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Analysis Shows Ethereum Is Still King Of DeFi

There have been many criticisms thrown the way of Ethereum due to its massive rise in gas fees. Even though that is subjected to change in the coming months, analysts have predicted the rise of blockchains that will take their place. With other blockchains springing up, it would look like it is signaling the end for Ethereum, but a recent analysis has shown that this is far beyond the truth.

According to several on-chain analyses, according to market cap, Ethereum, the second digital asset, has been the base for many projects and smart contracts in the decentralized finance sector. Even though the rise of activities has been telling on the price of transactions on the blockchain, users are still undeterred in their platform usage.

Ethereum has been able to cement its second position

With the massive activity taking place on the blockchain, Ethereum has been able to keep its place in the top 2 of the digital assets ranking unbothered. Nevertheless, some on-chain data has triggered the feeling that Ethereum might get upstaged in the nearest future. With this on-chain data, it poses a long asked question about which network would be strong enough to upset and take Ethereum’s place.

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According to a recent report, most of the decentralized finance sector applications have been built on the Ethereum blockchain, putting the network in first place in the sector. Even at that, the network is now seeing a low turn of addresses compared to other rivals in the space due to the rise in its gas fees in the past few weeks.

In the last few weeks, FLOW blockchain, which NBA Top Shot owns, has seen a massive 80,000 active addresses carry out transactions. This is a big figure compared to the second-placed Rarible NFT or decentralized finance exchange giant, Sushiswap. Notably, in comparing the best networks, the first detail to be analyzed is usually the highest active addresses.

Tron registers more active addresses than Ethereum

According to the details, Tron has also registered quite a number of active addresses over the past few weeks, surpassing Ethereum in the process. Even though this is the case, many analysts have argued that most of the addresses related metrics can be tampered with. The Tron blockchain does not charge any fee for transactions which further gives it the leeway to surpass Ethereum blockchain that charges a very high fee.

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Taking transfers and transactions into consideration, one would denote several addresses that have laid dormant over time. With this, it can be easily established that even though Tron sees more transactions according to the analysis, it is nowhere compared to the number of active addresses on the Ethereum blockchain.

The Tron network is presently slugging it out with Cardano in terms of addresses which shows that people are taking advantage of the free transactions. Cardano, on its own, handles smaller transactions compared to Ethereum, but at the same time, both of them are slugging it out for the network with the most active addresses.

Adebayo Owotunse (Nigeria)

Adebayo Owotunse is a versatile writer who has written hundreds of crypto articles for dozens of agencies across the years. He is now also the newest addition to the Tokenhell writers team.

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