Transactions on Avalanche’s blockchain increased by 1,500% last year, compared to 2021, even though the wider industry suffered from the collapse of many central crypto players and fell into a bear market.
Avalanche’s Q4 Report shared with CoinDesk data and analytics firm Nansen said The network showed strength, with notable increases in NFT trading volume as well as overall transactions.
Nansen stated that while the network had nearly 27 million transactions at its end, Avalanche’s cumulative total exceeded 450 million transactions as of November 21, 2022. This is an astonishing 1,507% increase in one year.
This transactional activity occurred even though the total value tokens on Avalanche-based, decentralized finance apps was just above $15 billion at its peak in 2021 to just under $900 million in November 2022. Data from DeFiLlama shows.
Mega Septiandara (Nansen research analyst) said that Avalanche users might be asking “What crypto winter?” as the network experienced impressive gains in Q4 2022.
Septiandara said that Avalanche has strong transaction numbers and NFT trading volumes, and is well positioned for continued growth as the Web3 space recovers from the FTX collapse.
The report specifically focused on Avalanche’s C-Chain and found that Q4 transactions were volatile. They ranged between 100,000 to 230,000 transactions each day.
Avalanche subnets may be responsible for some of this growth. This custom blockchain is built on Avalanche and features products like DeFi Kingdom’s DFK Subnet, which reached a total 200 million transactions on November 13, 2022.
However, it was noted that transactions on the Avalanche C-Chain were more stable than Ethereum.
The Avalanche C-Chain is short for contract chain. It’s the default smart contract block on Avalanche that allows the creation of any Ethereum-compatible smart contract. This is in addition to the XChain which allows you to send and receive AVAX tokens.
Avalanche also saw a thriving marketplace for non-fungible tokens (NFTs) during Q4, with industry-leading marketplace OpenSeas expanding to the network.
Avalanche witnessed key developments during Q4, including significant growth in NFT trading volumes and overall transactions. There were also several new protocols and features that Avalanche added to its ecosystem.
Core Web is a free and all-in-one command centre that gives users an intuitive and comprehensive way of viewing and using Web3 across Avalanche, Ethereum and Web3. JoePegs was launched in May and has grown to become the largest NFT marketplace on Avalanche, Nansen said. It boasts more than 12,000 users and more secondary NFT sales, with more than $3.4 million.