Crypto Market Surge: Layer 2 Networks Hit $10.27B TVL, XRP Overtakes BNB in Market Cap
The cryptocurrency market is currently experiencing a notable uptick, with the total value locked (TVL) on Layer 2 networks rising to $10.27 billion, up from $10.05 billion yesterday. This represents a positive shift in the DeFi landscape.
Among the top five Layer 2 networks, Base leads with a TVL of $3.68 billion, marking an increase of 3.44% from the previous day. Arbitrum follows with $3.17 billion, up by 1.34%. Optimism shows a TVL of $775.57 million, reflecting a rise of 1.57%. Blast and Mantle have TVLs of $631.34 million and $545.91 million, respectively, with increases of 2.34% and 4.55%.
In the broader market, Bitcoin (BTC) is trading at $97,294, a rise from $96,464 yesterday. Ethereum (ETH) is priced at $3,711, slightly up from $3,706.
Ethereum ETFs have seen record inflows of $333 million, outpacing Bitcoin funds. This surge is attributed to a catch-up trade as investors shift their focus towards ether. LMAX strategist Joel Kruger highlights an improved outlook for DeFi and a warmer regulatory climate with the incoming U.S. administration as key drivers behind this sentiment shift.
In other news, the Bank of Uganda confirmed a significant security breach, revealing that $16.8 million was drained from its official bank accounts. The police have initiated an investigation into the theft of 62 billion Ugandan shillings.
On the domestic front, a groundbreaking guaranteed income pilot program is set to launch in a major U.S. city, offering $3 million in unconditional cash payments to participants. This initiative aims to provide financial support to college students.
In a notable market shift, XRP has overtaken BNB to become the fifth-largest cryptocurrency by market cap, following a staggering 298% rally in November. XRP’s market cap now stands at approximately $110 billion, surpassing BNB's valuation of $94.422 billion.
Additionally, South Korea's political landscape has shifted as major parties have agreed to delay crypto tax plans until 2027. This bipartisan support indicates a significant change in the regulatory approach that could impact the crypto market.
As of today, total fundraising figures remain unavailable due to the weekend, but cumulative fundraising over the current week has reached $143.81 million.
