A report from DappRadar reveals that EOS, TRON, and other blockchains are struggling to capture a higher volume of daily activity through gambling and high-stakes gaming compared to the total volume created by Ethereum in DeFi ecosystems.
The European blockchain-based company, DappRadar, published a report in which he reveals the current struggle of EOS, TRON and other networks to reach the volumes of activities that the network has Ethereum Today, thanks to ecosystems DeFi. As of today, Ethereum controls more than 80% of the total volume reached in transactions carried out during the first half of 2020, and all this through DeFi. This reality has made the platforms of decentralized applications (dAppps) lose ground to the new financial model.
As the report indicates, several block chains are struggling to achieve greater volume of activity and transactions within their networks, but the three that remain in the lead are Ethereum, EOS and TRON.
“Total transaction volumes reached $12 billion in Q2020 4,5. This is $2020 billion more than in Q82 XNUMX. In all of this, Ethereum accounts for XNUMX% of the total value created, and the majority belongs to the DeFi ecosystem.”
The report also notes that while Ethereum is at the forefront of this success, the EOS and TRON blockchains are not giving up. Both networks are currently showing higher levels of daily activity. For example, EOS has become the main recipient of dApp migrants on Ethereum, due to the large increase in the cost of Gas, which is related to the DeFi fever on that blockchain.
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EOS and TRON vs Ethereum
DappRadar indicates that Ethereum remains the leading blockchain in decentralized ecosystems despite the large increase in gas prices on the network.
“Ethereum emerges as the most important blockchain, even with rising gas prices.”
However, the EOS and TRON networks showed an increased level of activity during the second quarter of 2020, with EOS experiencing a growth of almost 80% thanks to being the largest recipient of Ethereum activity compared to dApps, following the increase in the network's Gas prices. DappRadar's report reveals that EOS achieved an incredible recovery during the second quarter of 2020, and that this was due to the growth led by gaming. Upland y Crypto Dynasty.
For its part, the TRON network is integrating DeFi into its portfolio of services to achieve greater attractiveness and diversification of its products. Still, approximately 80% of the volume of activity reflected by this network remains in the gambling and high-risk categories, according to DappRadar.
Likewise, in reference to other networks that are also experiencing great growth in the volume of daily activity, DappRadar points out that WAX y ThunderCore maintain an upward trend thanks to gambling, while Hive is positioned above Steem following the migration of a popular game from this network to the Hive platform.
Ethereum, Gas Levels and DeFi
Although Ethereum continues to position itself as the second most important cryptocurrency after Bitcoin, High gas costs negatively impacted the gaming category, with a reduction in activity levels of approximately 80%. According to DappRadar, the Wallets active in this category rose from 10.000 to 2.000, while in DeFi ecosystems the opposite occurred. Now, DeFi compensates for the losses in gaming that the network experienced.
Source: DappRadar
DappRadar notes that in DeFi, the increase in active wallets is considerable and now represents 24% of current Ethereum activity levels. At the beginning of 2019, there were only 200 active wallets for DeFi, at the beginning of 2020 there were already 1.500 active DeFi wallets and, just at the end of the second quarter of this year, there were already around 4.000 of these wallets; which represents an average increase of 500% year-on-year and 200% quarterly.
“This means that in just six months, DeFi became the third largest category within Ethereum with 24% of total activity.”
The report also indicates that the greatest growth at these levels occurred on the platform Compound since the launch of his governance token COMP. Now around 45% of DeFi activity belongs to Compound.
When it comes to transaction volumes and locked value, DappRadar also notes that DeFi ecosystems saw a huge surge in Q1. The company’s metrics reveal that DeFi is not only number 80, but also holds over XNUMX% of the value within the Ethereum blockchain.
TRON attempts to enter DeFi ecosystems
TRON experienced two major changes at the beginning of 2020. Firstly, the protocol is trying to enter the DeFi ecosystems and launched its version TRON 4.0. Now, since the second quarter of 2020, DappRadar reveals that TRON's activity levels against DeFi increased thanks to the boost of 3 dApps. On the other hand, there was also a growth of more than 970% in the number of active wallets, which went from 74 wallets to about 790 on average.
Although TRON is among the top 20 most used cryptocurrencies on the market with a market capitalization of $1.100 billion, it is also one of the most controversial cryptocurrencies in existence today, not to mention that it is a centralized network and has a low level of security compared to Bitcoin or Ethereum.
EOS, recovering from a catastrophic start
In reference to EOS, DappRadar shows that despite the problematic start that the platform presented in November 2019 due to the massive launch of its token EIDOS After a network congestion and crash, EOS is now showing positive levels of momentum within dApps. Firstly, EOS is gaining ground against Ethereum in gambling, high-stakes, and markets. Furthermore, the growth in the number of active wallets in these categories also reached 50% compared to its beginnings. DappRadar notes that:
“There are two dApps that seem to be driving this growth: Crypto Dynasty and Upland. Crypto Dynasty is available on EOS and Ethereum. On the EOS version, activity increased by 25%, reaching around 4.500 daily active users. The virtual property trading game Upland has already reached an impressive 2.500 daily active wallets and looks set to continue growing in the future as they improve and update the game.”
Similarly, in reference to EOS, DappRadar concludes that 13% of daily activity on the platform is reflected in high-risk games of chance, which are the second most important category on the platform. Next is the transaction volume per day, which also experienced an increase in the second quarter of the year in relation to the initial data of 2020. Finally, in reference to DeFi ecosystems, DappRadar points out that it is still too early to talk about FORCE, the EOS project to enter the money markets to issue and borrow money or save.
Continue reading: DeFi experiences surprising growth after the arrival of Compound in this Ethereum ecosystem
