February 2024 Blockchain Report: An In-depth Examination of Development, Stability, and User Interest
For those who are passionate about technology and want to thrive in this fast-paced world, it is essential to stay updated on every industry development. This monthly report aims to simplify blockchain analysis and provide a clear overview of the latest happenings.
With high-quality data, this report serves as an easy guide to stay informed about the ever-changing blockchain scene and be aware of major trends. Let’s delve into the report and gain a straightforward understanding of the current state of the blockchain landscape.
1. A General Analysis of Blockchain Performance
Understanding the dynamics of blockchain performance can be complex, but by examining the Total Value Locked (TVL), we can gain valuable insights. Let’s explore how this metric shapes our understanding of blockchain ecosystems and provides insights into adoption, economic activity, and user trust.
The Total Value Locked in a blockchain’s decentralized finance ecosystem represents the total value of assets locked in smart contracts. An increasing TVL indicates adoption, economic activity, and user trust, suggesting a positive month of robust DeFi participation and enhancing the overall performance of the blockchain.
1.1. Analysis of Blockchain Performance Using TVL and Dominance
In terms of blockchain dominance, Ethereum takes the lead with an impressive 65.61%, closely followed by Tron and Binance Smart Chain (BSC) at 11.62% and 6.17% respectively.
1.1.1. Analyzing Top Blockchains Using 30-Day TVL Movement
To gain a more nuanced perspective, let’s shift our focus from year-to-date (YTD) TVL data to the 30-day TVL movement. This analysis helps us understand the recent activity of top blockchains:
No.
Blockchain
30-Day TVL Movement (in %)
1
Ethereum
43.8%
2
TRON
Nil
3
BNB Smart Chain
23.4%
4
Arbitrum One
22.0%
5
Solana
53.1%
6
Polygon POS
18.4%
7
Optimism
7.9%
8
Avalanche
15.2%
9
Manta Pacific
24.4%
10
Base
5.0%
Here, Solana emerges as the leader with a significant 53.1% 30-day TVL movement, closely followed by Ethereum at 43.8%.
1.2. Monthly Performance Analysis of Blockchains Using 30-Day TVL Movement
Shifting our perspective to a more short-term analysis, let’s examine the monthly performance of blockchains based solely on the 30-day TVL movement:
Blockchain
30-Day Movement (in %)
Sei Network
116.6%
StarkNet
85.4%
Aptos
60.5%
Hedera Hashgraph
59.6%
Mantle
56.8%
Solana
53.1%
Ethereum
43.8%
Boba Network
38.2%
Scroll
34.4%
Ronin
34.3%
Sei Network stands out with an impressive 116.6% 30-day movement, followed by StarkNet at 85.4% and Aptos at 60.5%. Hedera Hashgraph, Mantle, Solana, Ethereum, Boba Network, Scroll, and Ronin also exhibit noteworthy 30-day movements.
2. Comparative Analysis of Top Blockchains: Performance This Month
Embarking on a detailed analysis of top blockchains, this review focuses on four pivotal aspects, offering insights into their economic strength, development activity, market stability, and adoption potential.
2.1. Analysis of Total Value Locked and Economic Activity
In dissecting the economic landscape of each blockchain, we examine Total Value Locked (TVL), transaction volume, fees, and revenue. These metrics serve as indicators of a blockchain’s vibrancy and utility.
Blockchains
Revenue
Fees
Volume
TVL
Ethereum
10740K USD
12060k USD
1772M USD
$48,409,240,331
TRON
1560K USD
1560K USD
53.77M USD
$8,575,920,943
BNB Smart Chain
51.41K USD
514.1K USD
698.55M USD
$4,553,551,332
Arbitrum One
85.91K USD
400.26K USD
413.81M USD
$3,523,328,614
Solana
1.66K USD
3.32K USD
656.14M USD
$2,112,119,544
Polygon POS
34.29K USD
79.94K USD
149.89M USD
$1,027,218,469
Optimism
-12.97K USD
214.1K USD
91.5M USD
$944,636,046
Avalanche
41.68K USD
41.68K USD
77.07M USD
$936,810,058
Manta Pacific
$547,258,490
Base
19.08K USD
179.11K USD
40.27M USD
$405,441,699
The data showcases the Total Value Locked in the top ten blockchains. Ethereum dominates with $48.4 billion, followed by TRON and BNB Smart Chain. Solana and Polygon POS also exhibit substantial values. This indicates Ethereum’s entrenched position, while emerging networks like Solana show potential for growth in decentralized finance.
The data illustrates the transaction volume in the top ten blockchains, with Ethereum leading at 1772M USD, followed by BNB Smart Chain and Solana. Ethereum’s high volume indicates its continued dominance in transactions. Solana’s notable volume suggests growing adoption, while BNB Smart Chain’s position underscores Binance’s significant presence in the blockchain space.
The data reveals the fees in the top blockchains, with Ethereum leading at 12060k USD, followed by TRON and BNB Smart Chain.
The data depicts the revenue in the top ten blockchains, with Ethereum leading at 10740K USD, followed by TRON and Arbitrum One. Ethereum’s high revenue indicates its thriving ecosystem. Negative revenue on Optimism suggests early challenges.
In the blockchain economic analysis, revenue, fees, volume, and TVL indices provide vital insights. Revenue showcases the financial health of networks, with Ethereum leading, indicating a thriving ecosystem despite Optimism’s early challenges. Fees reflect transaction costs, where Ethereum dominates, suggesting network congestion. The volume highlights transaction activity, with Ethereum’s dominance and Solana’s growing adoption evident. TVL signifies the value invested in DeFi, showcasing Ethereum’s entrenched position and Solana’s potential.
2.2. Analysis of Development and Innovation
Assessing the development and innovation within each blockchain involves evaluating core developers and commit counts. These metrics offer a glimpse into ongoing improvements and evolution.
Blockchains
Commits
Core Developers
Ethereum
9870
330
TRON
26
4
BNB Smart Chain
148
20
Arbitrum One
1760
41
Solana
500
28
Polygon POS
209
17
Optimism
2300
46
Avalanche
1680
37
Manta Pacific
Base
155
15
Ethereum leads with 330 core developers, showcasing strong ecosystem support. High commit counts, led by Ethereum, signify active protocol development and maintenance. Networks like Optimism and Arbitrum One exhibit significant developer activity, essential for protocol improvement and security standards.
The data displays the commit counts in the top blockchains, with Ethereum leading at 9870, followed by Optimism and Arbitrum One. High-commit counts signify active development and maintenance of blockchain protocols. Ethereum’s substantial commits indicate ongoing enhancements and updates, crucial for its robustness. Networks like TRON with fewer commits may encounter difficulties in keeping up with technological advancements and ensuring security.
Notably, core developers and commit indices are crucial for assessing development and innovation. Core developers represent the talent pool driving blockchain advancements, with Ethereum leading at 330, indicating strong ecosystem support. High commit counts, led by Ethereum at 9870, signify active protocol development and maintenance. Networks like Optimism and Arbitrum One show significant developer activity, vital for protocol improvement. However, networks with fewer developers like TRON may lag in innovation and security, emphasizing the importance of developer support for sustainable blockchain evolution.
2.3. Analysis of Market Performance and Stability
In this section, we explore the economic vitality within each blockchain’s ecosystem by scrutinizing Total Value Locked (TVL), transaction volume, fees, and revenue.
Blockchains
Stablecoins Market Cap
Price
Ethereum
71.288B USD
2.98K USD
TRON
51.506B USD
0.1 USD
BNB Smart Chain
4.732B USD
351.8 USD
Arbitrum One
2.226B USD
2 USD
Solana
2.206B USD
108.6 USD
Polygon POS
1.451B USD
1 USD
Optimism
O.632B USD
3.8 USD
Avalanche
1.206B USD
37.7 USD
Manta Pacific
Base
0.3B USD
Nil
According to the data, Ethereum leads with a substantial market cap of 71.288B USD, indicating its dominant position. TRON follows closely, reflecting its strong market presence. BNB Smart Chain also shows a significant market cap, underscoring Binance’s influence. Stablecoin market caps are indicators of investor confidence and network stability, with higher values suggesting greater adoption and resilience. However, lower market caps like Base’s 0.3B USD may imply lower stability or adoption rates, emphasizing the need for sustained growth and market confidence.
2.4. Analysis of Adoption and User Interest
Let’s examine the level of adoption and user interest by looking at inflows, coin price, and market capitalization. A blockchain with increasing user interest and growing market capitalization may indicate a higher level of adoption.
Blockchains
Token Market Cap
Net Inflows
Token Price
Ethereum
358.397B USD
29.78M USD
2.98K USD
TRON
12.263B USD
Nil
0.1 USD
BNB Smart Chain
Nil
Nil
351.8 USD
Arbitrum One
2.564B USD
-110M USD
2 USD
Solana
47.893B USD
-0.7M USD
108.6 USD
Polygon POS
8.831B USD
-0.61M USD
1 USD
Optimism
3.618B USD
-5.25M USD
3.8 USD
Avalanche
13.865B USD
0.978M USD
37.7 USD
Manta Pacific
Base
nil
3.3M USD
Nil
The data depicts the net inflow in the top blockchains. Ethereum leads with a positive inflow of 29.78M USD, indicating investor interest. Base and Avalanche also show positive inflows, albeit smaller. However, Arbitrum One exhibits a substantial negative inflow of -110M USD, suggesting significant funds moving out. Optimism, Solana, and Polygon POS show moderate negative inflows.
The data presents token market caps. Ethereum dominates with a market cap of 358.397B USD, reflecting its established position. Solana follows with 47.893B USD, showcasing its growing popularity. Avalanche, TRON, and Polygon POS also exhibit significant market caps. Meanwhile, Optimism and Arbitrum One show comparatively smaller market caps.
Let’s explore the adoption and user interest factor of the top blockchains using the above indices.
Token market cap and net inflow data are crucial for analyzing blockchain adoption and user interest. Market cap reflects overall investor sentiment and network value, while net inflow indicates recent capital movements, highlighting investor activity and sentiment shifts.
Ethereum’s high market cap and positive net inflow suggest strong adoption and sustained user interest. Solana’s growing market cap supports its increasing popularity. However, substantial negative inflows in Arbitrum One and moderate negative inflows in Optimism, Solana, and Polygon POS may signal investor caution or shifting preferences, impacting adoption rates.
In conclusion, this report covers all the vital developments the blockchain sector has witnessed this month. It is the product of a fine blend of professional analysis and quality data.