Leading blockchain data analytics platform Nansen recently released its quarterly analysis report, which revealed that the crypto market had witnessed a decline in 2022 compared to its 2021 activity volume.
The report, however, pointed out that the performance of major blockchain networks Polygon, BNB Chain, and Avalanche remained fairly stable, with Avalanche standing out as a rising star among the pack.
Polygon Sees Adoption
According to the Nansen report, Polygon’s scalability, energy-efficient PoS system, and low gas fees compared to other blockchains like Ethereum boosted its adoption in 2021 by almost 1,000%.
However, the increase in activity on the Polygon network unexpectedly came to a halt in the first quarter of 2022. But the average transaction volume on the L2 network remained quite stable.
Interestingly, it recorded a massive gas spike in Q1 2022, which was a sign of growing activity. According to Nansen, the spike in gas prices was caused by SunflowerFarmz, a Polygon-based blockchain game.
The explosive growth of the game in January had led to network congestion that had sent gasoline prices skyrocketing. At its peak, the total daily gas fee paid by Polygon network users in January was nearly 800% higher than that paid in December 2021.
BNB Chain Remains Industry Leader
After peaking in Q4 2021, BNB Chain saw a massive decline in its on-chain activity in early 2022. However, Namsen noted that BNB Chain has continued to maintain its position as the industry leader and the most active blockchain network on its list.
According to the report, the total daily transaction volume of the network is estimated to be around 3-5 times that of Ethereum. The report also pointed out that the network’s renaming from Binance Smart Chain (BSC) to BNB Network is an indication of its intention to expand beyond its crypto exchange, Binance.
Avalanche Records Stellar Performance
Avalanche’s performance was one of the most impressive, Namsen said in the report. The blockchain recorded stellar growth in the previous quarter as its transaction volume continued to grow uninterruptedly.
Crabada and Trader Joe fueled the overall performance of the Avalanche Network, which contributed to over 84 million trades. Avalanche’s first subnet, DeFi Kingdoms, also facilitated over $500 million in transition volume.
The network’s active address data also showed surging interest, as Avalanche currently has 79,200 daily, 278,000 weekly, and 583,000 monthly active addresses.
