TheBlock
2022-09-01 17:20:09

State of Scaling Issue 4: How The Merge Impacts Rollups and Bridges

Quick TakeIn this bi-weekly series, we look into some of the most interesting data and developments across the Layer 2 blockchain landscape, from DeFi and bridges to network activity and fundingThe Ethereum Merge is drawing significant attention from the crypto community and many traders are attempting to speculate on the developments pre- and post-MergeOne of the main implications is that traders will attempt to maximize the amount of Ether held by their private keys pre-Merge, which may include borrowing Ether from alternative ecosystemsRollups, bridges and alt L1s will likely see an outflow of Ether from their TVL and liquidity pools and into Ethereum mainnetThere will likely be a scramble post-Merge where traders would seek to unwind any leveraged positions on alternative ecosystems

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