In this analysis, we will delve into the utilization of USDC (USD Coin) on Avalanche compared to other Layer 2 (L2) solutions, namely Optimism, Arbitrum, and Polygon. L2s are scaling solutions built on top of existing blockchains to enhance scalability and reduce transaction costs. They offer users a more efficient and cost-effective way to interact with blockchain networks.

Each L2 solution provides unique values to its users.

• Avalanche offers fast transaction confirmations and low fees, making it an attractive option for users seeking high-performance decentralized applications (dApps).
• Optimism aims to bring scalability and low-cost transactions to Ethereum, allowing users to enjoy the benefits of Ethereum's ecosystem without the congestion and high fees.
• Arbitrum provides a similar experience, offering scalable and efficient transactions on the Ethereum network.
• Polygon offers a multi-chain framework, combining the benefits of Ethereum with interoperability and scalability.

To answer the question at hand, we will create a dashboard that crafts a narrative of USDC usage on Avalanche compared to Optimism, Arbitrum, and Polygon. We will explore various statistics and metrics to gain insights into the utilization of USDC on these chains.

• This includes examining the amount of USDC minted and burned,
• the number of holders,
• the velocity of transfers,
• the average transfer amounts,
• and other relevant data points. Additionally, we will analyze which protocols or platforms witness heavy usage of USDC.

Furthermore, we will investigate swapping activities involving USDC, specifically looking at the assets users are swapping to and from that involve USDC. This analysis will provide a comprehensive understanding of how USDC is being utilized and the key trends within the Avalanche ecosystem compared to the other L2 solutions.