CryptoPotato
CryptoPotato
  • Crypto News
  • Margin Trading
  • Guides
    • Bitcoin & Crypto Guides 101
    • Bitcoin For Beginners
    • Editorials
  • DeFi & NFT
  • Buy
  • Language
  • Crypto News
  • Bitcoin For Beginners
  • Cryptocurrency Guides 101
  • Editorials
  • Bitcoin & Crypto Margin Trading
  • DeFi & NFT News
  • Bitcoin Price Analysis
  • CryptoPotato Crypto Fund
  • Ethereum (ETH) Price Analysis
  • Ripple (XRP) Price Analysis
  • Market Updates
  • Interviews
  • Buy Bitcoin with Card
  • bitcoin
    BTC$24,523.00
  • ethereum
    ETH$1,968.08
    • Market Updates
    • BTC Analysis
    • ETH Analysis
    • XRP Analysis
    • Interviews
    • Opinions
    CryptoPotato
    CryptoPotato
    • Crypto News
    • Margin Trading
    • Guides
      • Bitcoin & Crypto Guides 101
      • Bitcoin For Beginners
      • Editorials
    • DeFi & NFT
    • Buy
    • Language
    • Crypto News
    • Bitcoin For Beginners
    • Cryptocurrency Guides 101
    • Editorials
    • Bitcoin & Crypto Margin Trading
    • DeFi & NFT News
    • Bitcoin Price Analysis
    • CryptoPotato Crypto Fund
    • Ethereum (ETH) Price Analysis
    • Ripple (XRP) Price Analysis
    • Market Updates
    • Interviews
    • Buy Bitcoin with Card
    Home » Crypto News » Polkadot’s Network Usage Remained Consistent in Q2 Despite Market Downturn: Report

    Polkadot’s Network Usage Remained Consistent in Q2 Despite Market Downturn: Report

    Author: Mandy Williams

    Last Updated Jul 16, 2022 @ 08:02

    The report noted that Polkadot’s network usage and developer activity remained strong during the second quarter of the year despite market turbulence.

    Blockchain analytics platform Messari has published a detailed report on Polkadot’s performance in Q2, 2022, analyzing different aspects of the protocol, including market valuation, network usage, developer activity, parachains, and ecosystem challenges.

    Polkadot’s Valuation Dropped 66% in Q2

    The paper, dubbed the “State of Polkadot,” revealed that the blockchain project’s native crypto asset shredded about 66% of its market cap in three months.

    Polkadot closed the last quarter with a $7.9 billion valuation, down from the $15 billion recorded in Q1. This also represents an 86% drop from its all-time high (ATH) market cap of $49 billion in November 2021.

    The report further noted that despite the massive slump in valuation, Polkadot has continued to see favorable developments in some aspects of its ecosystem, especially in network usage and developer activity.

    Strong Network Usage

    Messari pointed out that Polkadot’s network usage remained strong in Q2 2022 despite the massive correction in the price of DOT, Polkadot’s native currency.

    ADVERTISEMENT

    While user accounts remained nearly consistent, the number of active monthly ones on the network grew by more than 30% in the last quarter. The project recorded 145,000 monthly users in Q2, with 77,000 active ones and 68,000 new users compared to the 149,000 monthly and 56,000 active in Q1.

    The consistency in user count is further revealed in the value of DOT token transfers made during both quarters. In Q2, Polkadot had an average of 293 million DOT transfers per month, marginally higher than the 288 million DOT transfers in the previous quarter.

    Thus, in the second quarter of 2022 alone, Polkadot had an estimated 435,000 users with 878 million DOT tokens transferred.

    Developer Activity Surges

    In addition to positive network usage, the report revealed that Polkadot’s developer activity was impressive during the second quarter of 2022.

    In 2021, the protocol had the second largest developer community, and in Q2 2022, developer activity on the network stayed consistent, with an average of 11,000 dev events per month. According to Messari, this metric on Polkadot remains one of the strongest in the crypto industry.

    Last month, Polkadot’s creator Gavin Wood disclosed a proposal for the next generation of governance for the DOT ecosystem.

    Polkadot’s Challenges

    The report also outlined some challenges that rocked the Polkadot network in Q2. Although the project recorded strong network usage and developer activity during the market crash, other metrics were significantly down from their all-time highs.

    Messari suggested that “developing new functionality and use cases” may help resuscitate user interest and more activities on Polkadot, especially now that the network has enabled XCM for cross-chain asset transfer.

    Furthermore, the report pointed out that Polkadot must continue to scale and connect more parachains to XCM while maintaining its developer activity dominance.

    SPECIAL OFFER (Sponsored)
    Binance Free $100 (Exclusive): Use this link to register and receive $100 free and 10% off fees on Binance Futures first month (terms).

    PrimeXBT Special Offer: Use this link to register & enter POTATO50 code to receive up to $7,000 on your deposits.

    You Might Also Like:

    • PolkadotBridge
      Polkadot XCM Format Goes Live, Enables NFT Functionalities
    • polkadot_cover
      Polkadot Unveils Proposal for Next Generation of Governance
    • polkadot_cover
      Polkadot Partners With Frank McCourt's Project Liberty to Democratize Social Media Data
    Tags: Polkadot
    Enjoy reading? Share with your friends
    Facebook Twitter LinkedIn Telegram

    About The Author

    Mandy Williams
    More posts by this author

    Mandy Williams is a full-time reporter at CryptoPotato. She joined the cryptocurrency space in early 2017 during her search for financial freedom and has remained devoted to the industry.
    Contact Mandy: Twitter

  • bitcoin
    BTC$24,523.00
  • ethereum
    ETH$1,968.08
  • Join Our Community

    FacebookTwitter YouTubeTelegram


    Editorials
    Will New Tokens be Airdropped to ETH Holders After Ethereum’s Hard Fork?

    Will New Tokens be Airdropped to ETH Holders After Ethereum’s Hard Fork?

    Cardano’s Vasil Hard Fork Explained: What to Expect from the Major Upgrade?

    Cardano’s Vasil Hard Fork Explained: What to Expect from the Major Upgrade?

    Users in Web3 Will Do a lot More Than Just Trade Crypto: Cronos’ Ken Timsit (Interview)

    Users in Web3 Will Do a lot More Than Just Trade Crypto: Cronos’ Ken Timsit (Interview)

    Institutions Are Starting to Buy Back: Interview with Nansen

    Institutions Are Starting to Buy Back: Interview with Nansen

    Top 5 Most Common Scams Related to Ethereum 2.0

    Top 5 Most Common Scams Related to Ethereum 2.0

    What is the Merge? What You Need to Know About the Transition to Ethereum 2.0

    What is the Merge? What You Need to Know About the Transition to Ethereum 2.0

    These are the Bear Market Benefits, and the Future of NFTs: DappRadar CEO (Interview)

    These are the Bear Market Benefits, and the Future of NFTs: DappRadar CEO (Interview)

    Join Our Newsletter
    Become a CryptoPotato VIP
    One Weekly Email Can Change Your Crypto Life.
    Sign-up FREE to receive our extended weekly market update and coin analysis report
    We NEVER send spam. You can unsubscribe at any time.
    Invalid email address
    Thanks for subscribing!
    Footer Logo
    About
    Advertise on CryptoPotato
    About Us | Contact Us | Careers

    Terms of service | Privacy Policy | GDPR
    More Sections
    IEO List | Evaluations
    Airdrops
    Scholarship
    Cannabis Stocks News | Market Analysis
    Disclaimer
    Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. Full disclaimer
    © Copyright CryptoPotato 2016 - 2021
    Scroll to top
    One Weekly Email Can Change Your Crypto Life.

    Sign-up FREE to receive our extended weekly market update and coin analysis report

    We never send SPAM. You can unsubscribe at any moment
    Invalid email address
    Thanks for subscribing!