Ethereum (ETH) Transactions, dApps Use Show Marked Drop
The Ethereum network remains among the best-developed ones, but widespread adoption is still not happening.
The Ethereum (ETH) transaction count is retreating to levels not seen since the fall of 2017 as interest in the digital asset continues to drop. Additionally, distributed apps (dApps), which only have a handful of users, sometimes record zero activity.
The low transaction count follows a serious stagnation in initial coin offerings (ICOs) due to tightened regulations. As for dApps, in the case of Polymath (POLY), users suddenly disappeared in November, with zero activity registered since then. Projects like Augur (REP) have had between 30 and 50 users per day in recent weeks.
Ethereum daily transactions have fallen to about 470,000 in 24 hours, down from daily peaks of above 1.34 million. The slowdown in network usage has affected most assets, but while Bitcoin (BTC) has seen a pickup in transactions, ETH transfers are falling precipitously.
However, a revival in activity could be coming as another round of the FOMO3D betting game gains speed. FOMO3D and similar games are among the biggest gas burners, counting on incentives to keep people playing and using ETH.
Gambling dApps represent one of the leading use cases. Ethereum still requires gas fees for those games, but the EOS and TRON networks are free, hence the increased number of users. However, other use cases see almost no activity, statistics from DappRadar show.
After a recent upswing, the ETH price hovers around $120, its movement based on market logic and speculation, but the Ethereum network seems to be losing positions.
In the weeks ahead, it will become clear how the Constantinople update and the reduced block reward will affect the network. For now, miners have withdrawn from ETH as hashrates slowed down in the past three months. The Ethereum block reward will fall from 3 to 2 ETH in a bid to shift the network to proof-of-stake and do away with mining in the future.