Optimism (OP) is a layer 2 network that solves Ethereum’s scalability problems, providing users with lower fees and faster transactions. scalability Low gas rates have always been there. EthereumThe main problem of This is because, in the cryptocurrency trilemma where security, decentralization, and scalability are not equal, Ethereum chose to focus on security over decentralization and decentralization over scalability. This is why Ethereum has so much going for it. layer 2 It helps solve scalability issues.
Over the years, people had to consume huge amounts of ETH gas to perform transactions, but at the time, the value of ETH was small, so no one cared. For example, when ETH is worth $300, spending 0.001 ETH means you spent $0.03 on gas, which is cheap.
This was also a time of less network congestion, but over time the value of ETH increased from $300 to over $2,000. During periods of congestion, users discovered that gas fees to approve a transaction on the Ethereum chain could cost upwards of $80.
OP analysis as a solution to Ethereum’s scalability problem
A better way to solve this problem is to introduce Ethereum Layer 2. It offers almost identical properties to Ethereum, but is expected to be better where Ethereum falls short. Ethereum lacks scalability aspects. Some of Layer 2 helps fill in the gaps, some doesn’t. One layer 2 Ethereum chain that can help you feel the void is the Optmism chain.
Imagine that Ethereum is great, but you don’t want to transact on the chain because you feel the gas fees are too expensive. That’s like spending $50 on delivery to buy something that costs $10. Although Ethereum boasts strong security, some people still dislike the expensive gas fees and decide to build on another chain.
Benefits of the Optimism (OP) network: low gas fees and ultra-fast transaction speeds
optimism It is an Ethereum rollup known for its low gas fees and ultra-fast transaction speeds. You will really appreciate using the chain to trade and you will want to trade on the chain regularly.
If you are used to paying $10 in gas fees on the ETH network, you will appreciate the Optimism network more since you are spending less than $0.01 in gas fees. Optimism Network is one of the most successful Ethereum layer 2 chains that has had a very successful airdrop of its native token called Optimism (OP), which can be traded on centralized exchanges.
Commentary on the Optimism Ecosystem
Let’s take a look at the Optimism ecosystem so you know how to navigate and use decentralized applications (DApps) on the network to avoid falling into fake sites and phishing links.
Optimism mainnet chain uses Optimism ETH and opETH as gas fees. Tokens on the chain are sometimes denoted as opX, where X represents the token. For example, if you have Bitcoin on the Optimism chain, it will be represented as opBTC, so Ethereum on the Optimism chain is opETH.
Analysis of buying, selling and trading on the optimism chain or network
To purchase tokens on the Optimism chain, you will need Optimism ETH. OPETH can be obtained in two ways: centralized or decentralized. Let’s talk about the centralized method first because it doesn’t require much effort.
If you have a Binance account, Bybit, Kucoin or HTX and have some USDT, you can trade USDT for ETH. Then withdraw your ETH from the Optimism network to an EVM wallet such as Metamask.
Commentary on a decentralized way to buy Optimism (OP)
To get opETH in a decentralized way, you need to know which wallet to use. The Optimism network supports a variety of EVM wallets. Here are some EVM wallets compatible with the Optimism network: There are general-purpose EVM wallets Metamask, Trustwallet, Coinbase Web 3 wallet, Rainbow wallet, Brave wallet, Taho wallet, OKX Web 3.0 wallet, Rabby wallet, and Zerion wallet. Check here for the full list. Optimist Ecosystem Wallet.
Insights into Optimism Network Connections
There must be a compatible product. EVM Your ETH is ready in your wallet and purse. The next step is leg Your ETH. There are several ways to link ETH. You can use native ETH or other layer 2 ETH, and you can obtain native ETH through centralized exchanges or P2P from local cryptocurrency providers.
You can also get native ETH by purchasing directly from Metamask as follows:
movement MetaMask Portfolio Connect your Metamask wallet or your EVM wallet. Select your region and choose your payment method. After that, you can select the coin of your choice. This method gives you a variety of coins on different chains.
You can choose ETH from the optimism chain and easily get ETH from the optimism chain. This makes it easier to earn ETH on the bullish chain or any other chain without having to use a centralized crypto platform. The downside to this is the spread. If you spend just $100, you can get $75 worth of ETH, with the rest going towards fees.
However, if you already have native ETH or ETH on Arbitrum or another layer 2 chain, there are two ways to connect.
Insights into bridging with Optimism Native Bridge: This will allow you to connect from any available ETH network to the Optimism network. This bridge primarily supports connections from native ETH to Optimism, but does not natively support other chains to the Optimism chain. Therefore, it uses secondary bridging platforms such as Hop Protocol, Stargate, etc.
using bridge of optimism It’s pretty easy, but you’ll need to have native ETH in your wallet. Go to the site, connect your wallet to the site, and confirm the deposit.
If you look at the review deposit you will see that you have to pay gas fees to the Optimist chain. This gas fee is for the optimist chain and even after paying it, you will have to pay additional gas fee to start trading depending on the gas fee stagnation at that moment.
For example, it states that you pay an extra $8.51 because gas fees are high on the Ethereum chain due to gas fee congestion.
So if you do the math, you will see that I spent over $16 just to connect to the optimism chain on the Ethereum mainnet. This is why you should consider another bridging option: bridging using a secondary bridging platform.
There are a variety of secondary bridging platforms available, each with different bridging costs.
Insights into bridging with Optimism App Bridge: All secondary bridging platforms are accessible from the Optimism App Bridge. https://www.optimism.io/apps/bridges. Although most are cheaper than native bridge options, you should do your research to find the cheapest option with the fastest transaction time.
Most are very easy to use, and some recommendations include Orbiter. Finance, bungee, layer swap. Transactions on these platforms are very cheap and can support connections to other chains.
Enter your site here: Optimism Bridging AppSelect what you want, connect it to your wallet, select the network you want to connect to your optimism chain, approve it and connect.
Insights on how to find and trade tokens on the Optimism Chain
Just put some bullish ETH in your wallet and start trading. To trade on the optimism chain, you need to know what you are trading. On the Optimism Chain, only tokens from the Optimism Chain can be traded. To find tokens in Optimism you need to use: Dex Screener.
Dexscreener is an on-chain tracker used to check most EVM and non-EVM coins and tokens. But for now we will focus on the optimism chain, so Optimism Chain Dexscreener.
You can see a variety of tokens available for trading on the Optimism Chain. If you have a specific optimism token in mind, you can enter its name in the search button. If you don’t know the token name, but have a smart contract address, enter that address and the token will appear.
In Dexscreener, you can also find the token contract address by simply clicking on the token name in Dexscreener.
For example, if you click on a token and scroll down, you will see the contract address, just like Smile in the red box.
Now that you know how to obtain token smart contracts, it’s time to trade them. There are various DEXs where you can trade these tokens, as shown below.
Check it out Optimism definition section Select the DEX to use. People mainly use Uniswap DEX, 1INCH DEX, and Sushi Swap.
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