DappRadar Discovers “Hidden Activity” on Ethereum (ETH) Network

The Ethereum network still carries the highest load of distributed computation and token action.

TheEthereum (ETH)network carries significant hidden volumes, found the latest research from the DappRadar monitoring service. Token transfers on the Ethereum network are not all accounted for, and DappRadar recently changed its methodology to account for additional activity.

DappRadar will now track activity for distributed apps not only based on users, but on the tokens passing through their smart contracts. This activity shows that the Ethereum network actually has higher value than expected.

At the moment, Ethereum activity is based on address activity, measuring the number of users. But accounting for tokens will measure the economic activity of the network based on the value of digital assets.

A shift was noted on the Ethereum network, with Maker DAO becoming the second most used dApp on the network. DeFi activity has grown, with the subsequent rise in token transfers. Based on DappRadar, Maker DAO carries 2.2 million ETH in value, with around 2,800 daily users.

The DeFi activity is currently struggling with correcting ETH market prices. However, for now liquidations were avoided via automated loan repayments through DeFi Saver.

https://twitter.com/DeFiSaver/status/1197483176601563137

ETH fell to $170.48, sliding from its usual perch above $180. The asset will test the stability of DeFi, which relies on the coin as collateral. After the recent price crash, MKR also sank by 12% in a week, to $566.10. The ETH locked as collateral also fell sharply, to 1.53 million, down from 1.79 million.

The number of DAI issued is down from above 102 million to 94 million, signalling a withdrawal from the lending scheme as ETH enters a downward trend.

The Ethereum network is also going through constrained block production lately, despite the Ice Age mining freeze being far. Still, the difficulty is rising of late, and less blocks were produced.

https://twitter.com/robertomazzoni/status/1197257472672706561

The Ice Age mechanism may be diffused in a few months, during the Berlin hard fork in 2020.