Most crypto experts noted that Avalanche would be Ethereum’s biggest rival in 2022. The first few weeks of the new year have shown that there is much truth in that statement. Some Ethereum users have flocked to Avalanche’s platform, searching for “greener pastures.”
A tweet shared by Jay Kurahashi-Sofue, AvaLabs VP of Marketing, showed how much progress the layer-one network has made. This progress is mainly at Ethereum’s expense. Since it launched in 2020, Avalanche has consistently moved up the ranks and is a threat to other big players like Bitcoin and Ethereum.
Avalanche apps have woken up bridge enjoyoooors.
In the last 3 days, $367.5 million has transferred from Ethereum to Avalanche via https://t.co/xjJLMP4Erw
Good Bridging pic.twitter.com/8y3lxPdBQn
— Jay Kurahashi-Sofue 🔺 (@jayks17) January 16, 2022
According to Jay, the network now has $367.5 million transferred from Ethereum within three days. The transfers occurred via the Avalanche Bridge, which facilitates transfers to and from Ethereum. With a market cap of $22 billion, Avalanche ranks as the 12th largest cryptocurrency in terms of market capitalization. It is also $4 billion away from joining the top ten.
Why the Rush to Avalanche?
Jay’s post points out that the network has become a new hub for transactions. Most users have grown tired of the high transaction fees on Ethereum. This dissatisfaction has led them to search for a better alternative. Avalanche has several features that now put it ahead of Ethereum in terms of transaction demand. For example, Avalanche’s transactional throughput rate is 4,500tps, while Ethereum can only boast 14tps. There is a massive gap in those figures. Furthermore, Ethereum has a transaction finality time of six minutes. In contrast, Avalanche completes transactions in less than two seconds.
Also, Avalanche’s native token, AVAX has enjoyed a considerable surge since the year began, while others have staggered. A year ago, AVAX traded at $12.88, but as of January 19, AVAX traded at $82.68. It peaked at $144 in November. Despite being down 4.39% in the last 24 hours, AVAX is one of the most consistent performers of the year. This consistency is bait for newcomers.
Avalanche Bridge, the New Bait
The introduction of the Avalanche Bridge is one of the many reasons for Avalanche’s growth. The Avalanche Bridge is allegedly five times less expensive than other previous mediums. Furthermore, it serves as a future growth driver for the platform. In addition, DeFi tool users can utilize the bridge to transfer their assets across the two ecosystems smoothly. AB is the next-generation cross-chain technology.
Emin Gun Sirer, the Ava Labs’ CEO, called Avalanche Bridge a dramatic improvement. He said, “The new Avalanche Bridge is a leap forward in bridging technology, but most importantly, it is a dramatic improvement in experience for users and developers across the Avalanche community.”
The VP of Marketing tweeted that the network had surpassed its daily active users to show Avalanche’s remarkable growth. Jay wrote that Avalanche hit 1m active users. According to him, it achieved this “while keeping gas fees low and finalizing transactions nearly instant.”
Yesterday, Avalanche hit all time highs at +1M daily transactions–while keeping gas fees low and finalizing transactions nearly instant.
This is 84.3% of the daily transactions that Ethereum is processing. pic.twitter.com/5XD1Zs2zkh
— Jay Kurahashi-Sofue 🔺 (@jayks17) January 18, 2022
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