Top NFT Collections Fear Higher Gas Prices, Focus on Layer 1
Ethereum is the birthplace of NFTs, but some of the network’s most popular NFT communities have expanded to alternative Layer 1 blockchains. reason? The threat of high Ethereum gas prices may return.
On Thursday, both Pudgy Penguins and Doodles announced they would expand beyond Ethereum.stocky penguin launch Cross-chain bridge between Ethereum, Arbitrum, Polygon, and BNB chains, Doodles announced That new Doodles 2 project lives on the Flow blockchain.
Both teams said securing low gas prices for users was the main motivation for considering other alternative smart contract chains. Pudgy Penguins warned that with Ethereum currently processing less than 2 million transactions daily, a surge in on-chain activity could push gas prices “up by more than 1,000%.”
The 2021 NFT boom will congestion For the Ethereum network, in late 2021 and early 2022, average transaction fees for simple transactions will exceed $50, while complex smart contract interactions will cost hundreds of dollars.
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According to BitInfoCharts, Ethereum’s average transaction fee has dropped 93.5% from $63 in November 2021 to just $4 today.
Despite major players in the NFT sector paying hefty gas bills optimisation With on-chain activity remaining low in 2022 and the move to explore alternative chains from Pudgy Penguins and Doodles, many developers are bracing for the possibility that Ethereum fees will spike again soon. I’m here.
History of NFTs
“Ethereum is an ideal base chain for long-term storage of NFT provenance,” said Pudgy Penguins in a blog post. “However, the Ethereum mainnet user experience is not very friendly to those unfamiliar with the technology.”
Pudgy Penguins has partnered with Layer Zero, a cross-chain interoperability protocol, to launch its bridge.
“This partnership lays the groundwork for the Pudgy Penguins ecosystem to grow and opens up exciting opportunities down the road,” said Pudgy Penguins. murmured.
soul bound token
A non-transferable reward will be awarded to the stubby penguin owner who uses the bridge soul token Based on chain moving NFT. The team said they chose Arbitrum, Polygon, and BNB Chain for their first multi-chain forays because of their “rapid growth in usage and exposure.”
“It should be easy for the next wave of hundreds of millions of users to interact and become part of the Pudgy Penguins ecosystem,” said the team. “By enabling Lil Pudgys to cross-chain, we are building an ecosystem of Pudgy Penguins that can reach millions of people.”
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Pudgy Penguins has a market capitalization of $77.2 million, by NFT Floor Price. Starting at $8,710, it’s up 246% in two months.
Also on January 25th, Doodles, a popular PFP avatar collection limited to 10,000 NFTs, announced the release of Doodles 2 on Flow.
Doodles 2 will allow users to customize their NFTs. After creating a base-level doodle of her and choosing traits such as skin tone and hair color, owners can customize her NFT as follows: digital wearable Clothing, accessories, gadgets, and more of “various tiers and rarities.”
“In 2023, we will open the doors for Doodles to live anywhere,” says Doodles murmured“Thanks to gas fare, which does not exist in Flow, Doodles owners can enjoy endless customization to create their own personalized characters.”
Doodles said it will create the first digital wearable of the new project on January 31st.
Purchasers of Doodles 2 wearables will also receive a “Doodles 2 Beta Pass” which grants access to the project’s private beta launch.
The team says it will continue to invest in the Ethereum-based ecosystem, including upcoming “unannounced experiences” that it plans to launch on-chain.
Doodles is the 14th largest NFT collection by market cap. $114.7 million, according to NFT Price Floor. The collection ended at $11,475 for him, up nearly 80% from local lows in November.