In Q4 2024, Tezos’s Etherlink, the EVM-compatible Layer 2 solution, saw its contract deployments surge by 184%.
In Q4 2024, Tezos’s Etherlink, the EVM-compatible Layer 2 solution, saw its contract deployments surge by184%, with over 1,700 new contracts deployed, according to the State of Tezos Q 2024 report by Messari.
The network’s DeFi sector also saw a boost, with Etherlink’s total value locked (TVL) growing significantly, driven by both the increase in Tezos (XTZ) price and the platform’s appeal for lower fees and faster transaction speeds. However, this growth in Etherlink’s TVL came at the expense of Tezos L1, which saw a decline in its TVL.
However, Tezos L1 also thrived, with 18% QoQ increase in contract deployments, totalling 5,800 new contracts. Additionally, Tesoz L1 experienced a 30.4% increase in transaction fee revenue compared to the previous quarter, a significant 90.8% surge when measured in USD terms. The number of daily active addresses on Tezos L1 also grew by an impressive 37% QoQ, reaching an average of 1,800 unique addresses per day.
Finally, the Quebec upgrade introduced several improvements aimed at supporting the seamless integration of Ethereum-based assets and dApps, boosting the network’s appeal for DeFi applications. The combination of this upgrade with Etherlink’s lower fees and faster transactions solidified Tezos’s position as a more efficient platform for both developers and users. Looking ahead, Tezos’ ecosystem is set to evolve further, with initiatives such as the upcoming JavaScript Rollup, which will allow developers to build JavaScript-based smart contracts.
Meanwhile, Tezos’s native token Tezos (XTZ) is currently trading at $1.10, with a market capitalization of $1.13B, making it 83rd crypto by market cap.
