Total Closed Value (TVL) on Ethereum’s Layer 2 (L2) network has reached a new peak as gas fees continue to rise steadily and their use continues.

L2beat’s Layer 2 analytics platform currently reports that the total value locked across different L2 protocols and networks has reached $5.64 billion.

L2 scaling solutions offer significantly higher transaction throughput and lower transaction fees, and increased in terms of usage in November, when the highest average gas spend in the history of the Ethereum network was recorded.

Arbitrum owns most of the L2 market, with $2.67 billion, or about 45% of the total, blocked.

Decentralized derivatives exchange dYdX ranks second with $975 million in TVL, while Loopring L2 DEX comes in third with $580 million, but its LRC token makes up most of the value closed.

Level 2 TVL has more than doubled since early October, up 110% from $2.68 billion to its current level.

About it: Binance Opens Team Deposits to ETH With Arbitrum One Integration

According to Bitinfocharts, the average Ethereum transaction fee is currently around $40. It rose to a second high on November 9, at around $65, and has risen 700% over the past four months.

Gas prices vary by transaction, a simple ERC-20 token transfer can currently cost around $45, and a more complex smart contract interaction or Uniswap exchange can cost a painful $140, according to Etherscan.

Registering a name with the Ethereum Name Service can cost hundreds of dollars in gas, even though an actual domain name only costs a few dollars a year.

Since October, multi-chain compatible DeFi platforms have seen record inflows as investors and developers try to avoid the Ethereum network due to rising gas prices.

Source: CoinTelegraph