What Is Optimism???

The most well-liked Layer 1 blockchain for creating dApps is Ethereum, and optimism is a Layer 2 solution for it. The first blockchain to use smart contracts, Ethereum, may be sluggish and costly. But more on it will be covered in the passage that follows. For the time being, be aware that Optimism is a scaling solution for Ethereum and that it runs on top of a different blockchain. Optimism's goal? to make it easier for people like us to utilize Ethereum's dApps by making transactions less expensive. Optimism, which has almost $850 million in secured contracts, is presently ranked #8 among TVL's most popular chains, according to DefiLlama. (Aave makes up about 50% of this remarkable amount.)

How Does Optimism Work?

• Using optimistic rollups, optimism is effective. These transactions are known as rollups because they combine all of the transactions into a single transaction that will be processed on Layer 1. In this manner, Ethereum's security characteristics are all passed down to Optimism's Layer 2 blockchain.

  They are called "optimistic" rollups for a reason, by the way. They make the fairly idealistic assumption that all transactions are legitimate until they are contested and shown to be false. This philosophical outlook is what enables Optimism to provide its crypto consumers lightning-fast transactions.

• What transpires afterwards when a questionable transaction really takes place? These transactions may be challenged by performing a fault proof within the system's one-week challenge window.

• It includes comparing the challenged state transition to those of the base layer, a process formerly known as fraud proofing. The batch of transactions is rerun if the fault proof is found to be valid. A tidy and straightforward plan, there haven't been any significant obstacles to yet.

Question:

Analyze Optimism during the recent bear as markets were turbulent, showing whatever metrics you care to unearth.

You can choose any topic you’d like: How did the network perform? What about market performance? Were there significant inflows or outflows on bridges? Were there any notable patterns in user behavior?

Methodology 🚩

• Duration ⏰: During the month of October and November 2022 - Analyze Optimism throughout the month of October and November, when markets were becoming volatile, to determine the network's speed and performance.
• Metrics 📝:
  • Transactions Per Minute (TPM)
  • Successful Transactions Per Minute (STPM)
  • Failed Transactions Per Minute (FTPM)
  • Transaction Fail Rate (TFR)
  • Transaction Sucess Rate (TSR)
• Comparison networks 📉: Ethereum, Solana, Polygon, NEAR, and Flow.
• Analysis 💻:
• We calculate and exhibit the distribution of Optimism's successful and failed transactions by program type.
• We calculate and demonstrate the distribution of Optimism's successful and failed transactions by project type.
• We compute and visualize average and daily TPM, STPM, FTPM, TFR, and TSR for the Optimism network in October and November 2022.
• During the month of October and November 2022, we compare Optimism's STPM and TFR with the other four comparator networks on a total and daily basis.

Analysis I:

This section's goal is to calculate and present the distribution of Optimism transactions by program type, both in terms of success and failure. The success and failure rates for each kind are also shown visually.

The pie chart seen above illustrates the distribution of successful transactions by type. At 29.6 percent, Dex type has the highest number of successful transactions. In contrast, Token has the lowest rate of successful transactions at 0.0286 percent.

The pie graphic illustrates the distribution of unsuccessful transactions by type. Dex has the largest proportion of unsuccessful transactions, at 40.6 percent. At 0.0258 percent, Token has the smallest number of failed transactions.

The chart above displays the success and failure rates for each type in October and November 2022.

• NFT has the greatest success rate, followed by Layer2 and Operator, in that order.
• Cex has the highest failure rate, followed by Dex and Defi, in that order.

Analysis II:

This section aims to determine and provide the distribution of Optimism transactions by project that were successful and unsuccessful. Each project's success and failure rates are also shown visually.

The above pie chart shows the distribution of successful transactions among projects. The Hop protocol has the highest proportion of successful transactions, at 17.7 percent. At 10.5%, the Perpetual protocol has the second-highest percentage of successful transactions. 9.46 percent of Uniswap's transactions are successful, followed closely by 9.12 percent of Velodrome finance’s transactions.

The pie chart demonstrates the distribution of failed transactions across projects. At 21.5 percent, the Perpetual protocol has the highest percentage of failed transactions. Velodrome finance has the second-highest percentage of unsuccessful transactions, at 15.8 percent. 11.6 percent of Chainlink’s transactions fail, while 11 percent of Uniswap's transactions fail as well.

The above graph illustrates the success and failure rates for each project in October and November 2022.

• Nested has the highest rate of success, followed by Aave and Nex projects.
• The failure rate for .l2 is the greatest, followed by Motor-hourse.

Analysis III:

This section will compute and present the average and daily TPM, STPM, FTPM, TFR, and TSR for the Optimism network in October and November 2022.

The above results indicate that the average number of transactions per minute (TPM), successful transactions per minute (STPM), and failed transactions per minute (FTPM) are 153.4, 145.1, and 8.3, respectively. In addition, the average success rate of transactions and the average failure rate of transactions for October and November 2022 are 94.6% and 5.41%, respectively.

In October and November 2022, the line graph depicts the number of transactions per minute (TPM), successful transactions per minute (STPM), and failed transactions per minute (FTPM) on the Optimism network. As seen in the graph, TPM, FTPM, and STPM increase gradually over time, reaching a peak on November 8, 2022. Here, we saw that STPM is somewhat more than FTPM, suggesting that the network seems to operate well under normal circumstances.

The line graph depicts the Optimism network's daily successful transactions per minute (STPM) and daily transaction failure rate. In the months of October and November 2022. Both STPM and transaction failure rate exhibit an upward trend. On October 13, however, the transaction failure rate surpassed STPM, showing that Optimism performed poorly on this day. Therefore, the result demonstrates that STPM and transaction fail rate move in the same direction and that the rise in the number of successful transactions per minute (STPM) on the Optimism network also influences the increase in the transaction fail rate.

The line chart illustrates the daily failed transactions per minute (FTPM) and the daily transaction success rate on the Optimism network over the months of October and November 2022. As noted on the graph, the FTPM tendency decreases steadily over time, whereas the transaction success rate increases continually. Evidently, we discovered that optimism performed badly on November 8, showing that the FTX issue had a significant impact on this matter.

The TPM value, transaction success rate, and transaction failure rate are shown in the scatter graphs above, with the x- and y-axes denoting the hour and day of the week, respectively. Each week, the TPM reaches its highest level of activity on Monday morning, while it seems to be low on Friday. Similarly, we determined that the Optimism network had a poor transaction success rate and a high transaction failure rate during high TPM on all days. The findings suggest that optimism performs poorly when exposed to high TPM levels.

Analysis III:

This section's purpose is to compare Optimism's STPM and TFR with those of the other four comparator networks over the months of October and November 2022.

In October and November 2022, the bar graph illustrates the number of successful transactions per minute for each chain. Optimism has the lowest STPM over all weeks compared to other networks, while its STPM has grown with time. Solana, on the other hand, has the greatest STPM with a declining trend over time.

The above bar graph illustrates the transaction failure rates for each chain in October and November 2022. In compared to other networks, Optimism has the second-lowest rate of failed transactions over all weeks, and this rate has risen with time. However, Solana has the highest transaction failure rate, but it fluctuates over time.

The line chart depicts the daily STPM for each chain throughout October and November of 2022. When compared to other chains, Optimism has the shortest STPM, yet the trend of STPM appears to be growing with time. In addition, we can see that Solana has the highest STPM, and the trendline seems to be rather stable over time. This result reveals that Optimism's speed performance is inferior to those of other networks.

The line graph depicts the daily transaction failure rate for each chain between October and November of 2022. For an evident period of time, the Optimism network has a higher transaction failure rate than Ethereum alone. In addition, Optimism's transaction failure rate is continuously growing with time. This data suggests that Optimism handles failed transactions more successfully than Solana Polygon and Flow.

Summary

This investigation examined Optimism during the volatile months of October and November 2022, when markets were becoming volatile, in order to evaluate the network's speed and performance, which are presented in the table below:

• We found that NFT had the greatest rate of success, whereas Cex had the highest rate of failure.
• The Nested project has the greatest rate of success, whilst the.l2 project has the lowest rate of failure.
• The average number of transactions per minute (TPM), successful transactions per minute (STPM), and failed transactions per minute (FTPM) are 153.4, 145.1, and 8.2, respectively.
• In addition, the average success and failure rates for transactions in October and November 2022 are 94.6% and 5.41%, respectively.
• Monday morning is the most active time of the week for the TPM, while Friday seems to be the least active day of the week. In addition, we saw that during Monday's peak TPM, the Optimism network had a high transaction success rate and a very low transaction failure rate.
• Optimism has the lowest STPM throughout all weeks compared to other networks, but its STMP has increased with time.
• In addition, we found that Optimism has the second-lowest transaction failure rate across all weeks and that its failure rate has grown somewhat over time.