Cryptocurrency exchange Gate has unveiled Gate Layer, a Layer 2 blockchain based on OP Stack. The company also announced changes to the GT economy.
According to the release, Gate Layer is designed to improve transaction processing speed and optimize gas fees. The settlement layer for it is GateChain’s L1 solution.
Key features of the network:
- full compatibility with Ethereum Virtual Machine (EVM), dApps migration capability;
- combining the advantages of Gate Chain and GT Staking to ensure security and stability;
- throughput (TPS) – over 5700, block processing time – about 1 second;
- claimed lower fees compared to other Layer 2 solutions;
- integration of LayerZero protocol for cross-chain settlements.
Gate Layer is part of the exchange’s comprehensive strategy called “All in Web3”. The first step in its realization is to offer all major financial products to the user. As part of this, the company has launched Perp, Gate Fun and Meme Go.
These are a platform for trading open-ended futures contracts with liquidity of the level of centralized crypto exchanges, a platform for launching “zero-code, low-cost” tokens, and a service for trading meme coins, respectively.
Also as part of the strategy, the exchange intends to increase the value of GT. It acts as a single gas token for the entire ecosystem. At the same time, it will retain a deflationary mechanism.
According to the release, as of Sept. 25, GT’s supply has been reduced by more than 60% of the original issue size. The burn continues on a quarterly basis. The supply is also being reduced through GateChain’s use of EIP-1559, which automatically sends commissions “to zero”.
Gate is not the only exchange to launch its own tier 2 network. Prior to that, such a decision was taken by Coinbase with the launch of Base. Moreover, the exchange’s management recently announced a plan to turn it into a superapp.