Mantle Network, a Layer 2 blockchain network operating on Ethereum, has seen notable growth since its launch last month.
The network’s total value locked crossed the $40 million mark, a key metric that underlines the increased user deposits on the network.
The mainnet alpha for Mantle was officially launched on July 17, and it has quickly become the seventh most valuable Layer 2 blockchain in terms of TVL, according to DeFiLlama, following major players like Arbitrum One, OP Mainnet, zkSync Era, Base, Starknet, and Immutable X.
One standout feature contributing to Mantle’s TVL is its native decentralized exchange, Agni Finance. The value locked in that exchange alone has surpassed $23 million, with the cumulative trading volume reaching $53.6 million.
Influx of assets from Ethereum bridge
The network’s growth has been further substantiated by the influx of assets sent to Mantle from the Ethereum bridge. Around 5,000 unique addresses have bridged nearly $56 million from Ethereum to Mantle, according to a Nansen report.
Sandra Leow, a research analyst at Nansen, attributed Mantle Network’s TVL growth to the current trend of Layer 2 chains launching and "the capital rotation from Ethereum’s mainnet."
“Mantle Network holds one of the largest on-chain treasuries (BitDAO rebranded and merged with Mantle), with $3.2 billion in liquid assets, most of which are in Mantle tokens, followed by stablecoins. This provides insight into their branding and credibility of the L2,” Leow told The Block.
In an effort to spur further growth, Mantle’s DAO-led ecosystem recently greenlighted a $200 million fund to support early-stage apps on the Ethereum Layer 2. This fund could enhance Mantle’s prospects for building a rapidly expanding ecosystem, Leow added.
Unlike traditional blockchains, where all transactions are funneled through a single layer, Mantle has introduced a more dynamic approach. It employs a modular chain system, breaking down execution, data availability, consensus and settlement into separate layers.
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