Whereas the Ethereum Ecosystem continues to broaden with a number of Layer 2 (L2) networks designed to enhance scalability and cut back charges, the info reveals that it’s not at all times financially viable for a distributed monetary (DEFI) protocol to deploy iterations throughout all these networks.
Defilama’s knowledge reveals that for probably the most expanded protocol throughout the Ethereum Ecosystem, greater than 90% of charges or income comes from the mainnet, with L2S contributing solely a small share.
Aave, the most important Defi Cash Market, which generated greater than $65 million in charges in July 2025, transformed roughly $9 million into income. However most of it got here from Ethereum Layer 1, which locked a complete of $29 billion.
Aave charges through blockchain
In the meantime, the mixed TVL (arbitrum, avalanche, base, polygon, optimism, Sonic, scroll, celero, soneum) of Layer 2 chain constellations pales as compared, and likewise contributes to charge income.
Scroll, for instance, generated solely $46,366 on Aave in June, underneath $1,500 per day, with Gnoss barely higher at $93,241.
I will speak about the identical with curve finance numbers. Over the identical interval, the charges had been about $2 million, with about $1 million being transformed into income. Ethereum pool dominated that tally, leaving solely a small L2 with a small portion of the pie. Though there are few granularity failures because of the chain, the out there knowledge attracts a conservative image of returns for a lot of of those new developments.
Saturation level
Ignas, co-founder of Defi Inventive Studio Pink Brains, mentioned in an X put up on August 1 that the trade might have hit “L2 saturation level.”
It has already raised considerations that some Layer 2 are barely chopping the $1,500 a day charge. In Curve’s discussion board, customers underneath the alias “Phil_00llama” prompt stopping all new Layer 2 growth. It takes a variety of builders’ time and sources, but it surely solely brings about $1,500 a day to cost, which is just too little to cowl the excessive upkeep prices of those quickly altering chains.
Nonetheless, the dialogue on the proposal was quiet and there have been few responses. Those that responded expressed skepticism about halting L2 growth fully, suggesting that these chains could also be price pursuing.
The precise price of operating a protocol on L2 is just not at all times clear, making it troublesome to measure profitability. For instance, increasing Aave to scroll required committing $500,000 price of Aave tokens within the security module, however shifting to GNOSIS required as much as $5 million in capital to help GHO liquidity. Gho is Aave’s native Stablecoin with a market capitalization of round $300 million.
Already low costs and even decrease revenues – tasks aiming to be wherever in Ethereum could have to rethink their technique. As a result of some deployments can require extra effort than they’re price it.
