The Q4 2022 report for Ethereum cites a 94% decline in its network revenue related to falling crypto prices that have yet to recover from last year’s bear market, which defined four categories: Crippled most cryptocurrencies: NFT, Layer 2s, DeFi, and Protocol.
Ethereum Q4 Report Breakdown for 2022
Ethereum’s L2 ecosystem experienced some hiccups during Q4 last year, with TVL falling 29.2% from $5.8 billion to $4.1 billion. The decline was the result of decline. Ethereum prices As well as declines in other crypto assets.
Also, for Ethereum’s NFT ecosystem, trading volume for the non-fungible token marketplace fell 64% to $2.6 billion from $7.3 billion. The decline is due to weakness in NFT and crypto markets. Also, the number of NFT day traders decreased by 14.4% from 20,467 to a daily average of 17,562.
The DeFi ecosystem has recorded a 75% drop from $95 billion to $23.2 billion due to bearish crypto prices. The decline is also a result of the redemption of centralized stablecoins for fiat currencies. Also, lenders employing CDP-based stablecoins, including MIM and DAI, contributed to the decline.
Additionally, Stablecoin circulating supply also decreased from $90 billion to $85.78 billion. ETH Inflation rate fell By 101%. This was due to the reduction in emissions since the transition to proof-of-stake.
Decision The network’s revenue also declined during Q4, falling from $5.7 million to $749k, recording an 86.8% drop in revenue. Optimism Networks revenue also fell by $2.5 million to $913k, a 63% decrease. The decline was due to a drop in demand for block space.
Milestones achieved in Q4 2022
Ethereum Q4 2022 Report Defines key KPIs and milestones for cryptocurrency growth and inclusion in the L2 ecosystem. Among them is ‘transaction reversal’.
Ethereum’s L2s have processed more transactions than L1 since October 9, 2022. Currently, rollups for L1 transactions are 2.84* higher.
This is proof of that. Ethereum The ecosystem is safely navigating through the bear storm with exciting promises for the future. Regardless of the decline, the future of Ethereum is still unknown.
#Ethereum #Unveils #Report