Dapp Ecosystem Report | July 2020
Our July 2020 overview of the dapp ecosystem covers a total of six blockchains. Ethereum, TRON, EOS, Steem, Hive, and WAX. A major focus in July 2020 has been the Ethereum DeFi category.
Within this review, we are going to analyze daily active wallets, transaction volumes, and native protocol token price changes.
Table of contents
Key takeaways
- Ethereum’s blockchain demonstrated controversial results. DAUWs decreased due to still high Ethereum gas prices.
- Ethereum transaction volumes reached an all-time high $12 billion accounting for 92% of total transaction volumes in July driven by the Ethereum DeFi category.
- TRON showed positive development in all metrics. Daily active wallets and transaction volumes reaching their best results in July 2020.
- EOS growth was more conservative than compared to Ethereum and TRON. The biggest spikes were within transaction volumes triggered by DEX and DeFi dapps.
- Hive and Steem faced decreased activity within daily active wallets and transaction volumes.
- WAX generated all-time high results in both daily active wallets and transaction volumes.
Ethereum
For the last couple of months, Ethereum faced contradictory results. High Ethereum gas prices decreased the active wallet number drastically, especially within the Games category whilst the Ethereum DeFi category has exploded.
The blockchain value grew tremendously and reached an all-time high in July 2020. The reasons behind such growth in the Ethereum DeFi category were governance token releases and the hype around yield farming.
DeFi drives Impressive growth
The Ethereum token price also faced a significant increase as stated in our recent article and at the end of July surpassed $340 value. This is the biggest value in 2020 so far. It is still not clear how long we should expect this surge to last, but in the events of Ethereum 2.0 release, we might see even higher price jumps.
Daily Active Wallets haven’t recovered
On average the number of daily active wallets decreased by 6% to 15,200 in July compared to June 2020. All categories, except the Ethereum DeFi category, faced the downfall. The biggest percentage drop happened within the DEX category. The category suffered a decrease of 19%.
Games & Marketplaces also follow the trend and decreased by 8% month-on-month. On the other hand, on average DeFi grew active wallets by 36%. This happened mainly due to a couple of protocols: Synthetix, 1inch, and Aave.
MarkerDao seems to also be recovering their leadership position. The daily activity reached almost 600 wallets by the end of July 2020.
Transaction volume reached an all-time high 12 Billion USD
Ethereum faced all-time high results in regards to value. Of course, The Ethereum DeFi category was the biggest driver behind this. Accounting for around 95% of the total value created on the chain.
The biggest contributors to the category were Compound, Aave, and Curve in July 2020. They generated 48%, 14%, and 14% of transaction volumes respectively.
The second-biggest driver of transaction volume is the DEX category that demonstrated great results in July. Decentralized exchanges account for only 4% of total transaction volumes.
Games category still alive on Ethereum
Even though the Games category active wallets haven’t recovered from the effect of high Ethereum gas prices, the value surged significantly.
The biggest contributors were EvolutionLand, CryptoDynasty, and Sorare. These dapps generated 70% of the total transaction volume of around $3.3 million. Interestingly, Sorare combines collectible cards with real-world value and football game strategy.
TRON
TRON has always been a fascinating protocol especially in 2020 due to two factors. First of all, the release of version 4.0. Secondly, the attempts to create a DeFi ecosystem on the TRON network. That has an effect on three main elements: Daily active wallets, transaction volumes, and the value of the TRX token.
TRON faced their best month in 2020
The value of Tron’s native token TRX has faced a plunge to $0.00853 in March 2020, but from April the value has been increasing. Recently in July, the price has reached a value of $0.019. We can definitely witness the token regaining its value in the market.
Daily Activity is up 86% in July
Daily active wallets reached an all-time high in July with 31,600 active wallets. All categories on TRON have performed very well in fact. Especially Gambling & High-Risk, Exchanges and Games & Marketplaces.
Gambling & High-Risk has increased activity by 94% on average in July compared to June 2020. Gambling & High-Risk accounts for 81% of the total activity. This is due to dapps like Bank of TRON, WINk, RocketGame, and release of new High-Risk dapps like Tron Investing, T2X, TronSky.
The Games category has seen record-breaking activity in 2020 with 1,520 daily active wallets by the end of July. An increase of 139% when compared to June 2020. IOI-game accounts for much of this activity since the 23rd of July, having more than 1,400 daily active wallets.
The Exchanges category has also grown in July 2020. The category has increased by 47% on average compared to June 2020. Driven by Poloni DEX and TronTrade with a user base of almost 1,500 and 1,200 by the end of July.
Since the time TRON entered the DeFi space an exponential increase in daily activity month on month can be observed. This July the DeFi category has increased its daily activity on average by 47% compared to June 2020. The MakerDao like dapp JUST is responsible for such high activity.
Transaction Volume
TRON’s transaction volume surpassed $173 million in July 2020. The volume has increased by 62% compared to June 2020.
The biggest contributors were Gambling & High-Risk dapps. They grew by 40% month-on-month and surpassed $120 million in value.
EOS
EOS faced a tremendous decrease at the end of 2019 and within the first months of 2020. Recently, we spot increased activity within transaction volumes while daily active wallets were stable.
EOS token price surged 28% and reached $3.1 by the end of July 2020. As reported before, after back Thursday in Mid-March the price was around $2.4.
Daily Active Wallets were stable in July
In July, daily active wallets were similar to June. At the end of July, the blockchain carried more than 19,000 active wallets. The biggest growth witnessed in the DEX and DeFi categories. DEX surpassed 1,000 active wallets level while DeFi reached around 400 active wallets.
Newdex represents almost 100% of the DEX category activity. The number of active wallets grew by 70% month-on-month.
The biggest contributors within the DeFi category were two dapps: Vigor and Equilibrium. These two dapps accounted for around 160 active wallets by the end of July 2020. Vigor is a platform similar to Ethereum’s MakerDAO, while Equilibrium – EOSDT is a stable coin staking platform.
On the other hand, the Games & Marketplaces category slightly decreased. The daily active wallet number declined from 10,000 to 9,000 daily.
Transaction volume grew 15% month-on-month
Transaction volumes show positive signs with a 15% increase month-on-month. The biggest contributors were the DEX and DeFi category.
DEXs grew 16% and reached $700 million in transaction volume. The biggest contributor was Newdex with $690 million.
On the other hand, the DeFi category increased transaction volume by 469% and surpassed $8 million. The dapps behind this growth was swaps and lending dapp DeFis Network.
Steem and Hive
The last couple of months proved to be victorious for Hive. After the battle with Steem, the blockchain seems to be ensuring a leadership position.
Looking at the token price, the recent price is very similar for both Hive and Steem. However, Steem stands in a higher ranking on CoinMarketCap due to higher market capitalization. The Steem token holds 98th position with Hive in 110th position.
As stated before, Hive benefited from dapps moving from Steem. The biggest and most important ones were Splinterlands, Esteem, and Peakd.
On average, Hive’s daily activity has increased by 6% in July compared to June 2020. A slightly different story for Steem with a continuous decrease of 3%.
Steem and Hive protocols see a drop in transaction volume
Despite the growth in daily active wallets, Hive suffered a decrease in transaction volume. This decrease was mainly triggered by a fall in volume on the gambling dapp Krypto Gamers.
Steem faced similar challenges. The transaction volumes decreased by 25% due to the gambling dapp EpicDice.
WAX
WAX has expanded both its daily activity and transaction volume in July 2020. The daily activity has increased by 35% on average with the gambling dapp EarnBet and the dapp game Prospectors majorly driving this activity.
Collectibles finding a home
Following two successful Garbage Pail Kids digital card sales – and Blockchain Heroes due on 8 August – the WAX blockchain is also quickly becoming a go-to location for collectibles.
What’s interesting about this momentum isn’t the initial success of the releases. Instead, what’s been more significant is how the entire marketplace ecosystem on WAX is evolving.
The Blockchain Heroes set due out on 8 August is a collection from the Bad Crypto Podcast team that’s already building a strong audience. Other planned releases include Street Fighter collectibles and memorabilia from William Shatner.
Volumes reach an all-time high
With regard to transaction volume, we see an increase of 178% compared to June 2020. The reason behind this huge surge is due to the Gambling dapp EarnBet which is accountable for 68% of the total volume.
Conclusions
2020 continues to be dedicated to the Ethereum DeFi ecosystem.
By no surprise, 95% of the total Ethereum transaction volumes were generated by the category. While transaction volumes surge, we spot a decrease in daily active wallets due to high Ethereum gas prices.
ETH prices reached their highest value in July 2020. Peaking at around $340 USD.
TRON demonstrated growth in all main metrics. Both daily active wallets and transaction volumes reached their highest value of 2020. TRX also faced an increase in July.
On the other hand, the EOS blockchain witnessed increased activity only within transaction volumes. The biggest spikes were seen in the DEX and DeFi categories. This proves to be EOS’s attempt to join the DeFi ecosystem.
Both Hive and Steem have had a fairly uneventful July. While Hive daily active wallets slightly increased other metrics nosedived due to a couple of gambling dapps.
Finally, WAX also joined the best performers group. Both daily active wallets and transaction volumes reach all-time high numbers due to increased activity in the gambling category.
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