Launch of KyberSwap DEX on the Arbitrum layer two network

Decentralized exchange (DEX) aggregator KyberSwap has launched on the layer-two Ethereum scaling solution Arbitrum network.

The move puts Kyberswap on its seventh network or scaling solution with Ethereum (ETH), Polygon (MATIC), Fantom (FTM), BSC (BNB), Avalanche (AVAX), and Chronos (CRONOS).

KyberSwap joins SwaprEth, Balancer Labs, Curve Finance and SushiSwap as DEXs available on Arbitrum at the time of writing.

KyberSwap DEX Aggregator launches integration with L2 scaling solution @OffchainLabs #Arbitrum Network
Redeem tokens on #KyberSwap at faster speeds and at lower cost, with the best rates!

Redeem and earn now: https://t.co/Yl4MTlr0di

Learn more: https://t.co/ksSu1YjQkt pic.twitter.com/sUI00hnsk5

— Kyber Network (@KyberNetwork) March 7, 2022

The KyberSwap team says Ethereum network congestion and the cost of on-chain transactions are issues that can be addressed “through Layer 2 scaling and other efforts.”

The average cost of a transaction on Ethereum (ETH) is currently quite low at 28 gwei ($1.48) according to the Ethereum network tracker Etherscan, but charges can reach over $100 during congested times. In comparison, gas fees on Arbitrum range from $0.50 to $0.69 depending on the L2 data aggregator. L2 fees.

Decentralized Application (dApp) Data Aggregator DappRadar KyberSwap class #76 compared to other DEXs. It has seen a huge increase in activity since March 5, with total users increasing 350% to 19,870 and daily trading volume jumping 31% to around $610,000.

In addition to daily users and trading volume, the new integration may have helped the total value locked (TVL) on Arbitrum end a five-day decline. Current TVL on Arbitrum is $3 billion according to Layer 2 (L2) ecosystem tracker L2 beat. Arbitrum is the top L2 network with a clear margin with dYdX in second place with $965 million in TVL.

Arbitrum was the only L2 to see net growth in the number of users by new addresses last week, outpacing the growth rate of BNB, Ronin and other well-established L2 solutions. There were 46,200 total unique addresses on Arbitrum in the last week of February, a 12.7% spike from the previous week.

Related: 18.36 million Ethereum addresses joined the network in 2021

The recent volatility on KyberSwap’s TVL reflects activity in the broader DeFi space. Across the entire DeFi ecosystem, TVL has been on a slow downward trend since peaking on November 10 from $180.7 billion to $105.3 billion at the time of writing according to DappRadar.