Despite Unfavorable Global Events and Blockchain Security Concerns, 2.4 Million Dapp Daily Active Users

DappRadar’s Q1 2022 report says that 2.4 million people use Dapps every day, despite bad global events and concerns about the security of the blockchain.

DappRadar, the most popular store for decentralised apps, released its Q1 2022 Dapp Industry Report today, and it says that the blockchain space is mostly stable. There were at least $1.19 billion in hacks and exploits in the first three months of 2022, but 2.4 million unique active wallets were used every day. Blockchain use stayed the same, dropping 5.8% in Q4 2021 but rising 396% in Q1 2021.

The Wormhole Solana Bridge and the Ronin were the two token bridges that had the most problems with security. It cost Ronin more than $600 million to get hit in March, and Wormhole lost more than $300 million in February. This made up more than 80% of the total $1.19 billion in Q1. Buterin said at the start of this year that bridges were limited in terms of how they work. He now wonders if an interoperable multichain future is a right thing to do because of the hacks that happened in Q1.

Gaming dapps were used by more than 1.2 million people or 50.5 percent of all people who used apps every day in Q1. That’s down 5.8 percent from Q4 2021. It doesn’t look like NFTs will be going anywhere, even though people are calling for a burst bubble. Trades on the NFT market on LooksRare accounted for $12 billion of that. The number of sales and unique traders is rising. A company called Yuga Labs, which makes the Bored Ape Yacht Club NFT collection, bought the rights to CryptoPunks and Meebits, two of the most important NFT collections that had been owned by Larva Labs before that. The move made Yuga Labs one of the most important brands in Web 3. They now make up 44% of the market value of the top 100 NFT collections on Ethereum.

If things go well, the industry will be able to show the true potential of cryptocurrencies and dapps. So far, things are going well.” The top gaming projects stayed where they were, but DeFi used gamification to reach more people. NFT collectors have become smarter as projects try to keep their promises and new projects keep coming up. During this time, it feels like the post-2017 ICO phase. Now it’s time to find out who’s in it for the long run.” It was the head of finance and research at DappRadar who said that.

Defi was the only category that felt a downward trend more than any other one, As the price of cryptocurrencies went down, the industry’s Total Value Locked (TVL) and the number of UAW connected to Defi apps also went down a lot. Ending March, it was thought that in December 2021, the Defi industry’s TVL would be $214 billion, which is 8.4% less than it was in March 2019. There has been a drop in TVL and usage metrics from the previous quarter, but the industry appears to be consolidating and evolving to make it more appealing to more people. Second, only to Ethereum in terms of TVL, Terra became the second network. It had $23 billion in TVL at the end of March, up 68% from Q4 2021.

Macroeconomically, the sanctions against Russia had a negative effect on the markets, which included the crypto sector. However, token prices are starting to rise again and confidence is returning. UkraineDAO and other groups used Web3 to raise money for humanitarian aid in the eastern European country.

The Q1 2022 Dapp Industry Report is the most recent edition of DappRadar’s regular industry reports. This report is the company’s main report on the state of the blockchain industry, and it shows how the Dapp industry is doing. Also, there is a monthly Blockchain Gaming Report, a report on Dapp Users’ Behavior and Whale Analysis, and a report on New Dapps that comes out every two months.