The following report belongs to the blockchain user behavior report series. A set of DappRadar reports aims to provide users with different perspectives of the blockchain industry, combining traditional behavioral financial analysis with blockchain indicators. This article analyzes the trend from the perspective of the blockchain industry, and also determines the modes of DeFi, NFT, and gaming.
DappRadar is the industry’s premier platform, with more than 650,000 monthly users, where users can track, analyze and discover decentralized applications. In addition to useful data-driven insights, such as NFT, DeFi pages, and rankings, DappRadar also provides a series of products, such as portfolio trackers, TokenSwap functions, and NFT valuation tools.
By analyzing different indicators, we aim to understand the main patterns and trends that emerged in the blockchain industry last month. In addition, we are trying to determine who are the main users of the blockchain and support the recent claim that NFTs and blockchain-based games are driving the peak of industry usage.
Specifically, in this report, first, we analyze the latest industry trends based on a comprehensive demographic analysis. We then focused on the NFT category, which has attracted the most attention after setting a record in August. After that, we will evaluate how the interest in “playing games to make money” shifts from existing countries to emerging markets and advanced economies. Finally, evaluate the DeFi case; however, because other similar products show little interest, DeFi may be waiting for an outbreak.
Games and NFTs are still the focus of attention in the industry. The number of independent active wallets interacting with games and NFT dapps increased by 27% and 7%, respectively, while the number of DeFi-connected wallets remained the same.
Young millennials (25-34 years old) are still the most important group of blockchain users, accounting for 37% of the total number of users, followed by 18-24 years old with 27%, and 35-44 Year-old users account for 18%.
In September, the proportion of women declined slightly, from 25% in August to 23%; in September, 77% of DappRadar users were men.
NFT replaced games as the main source of traffic in September; among the three main categories of blockchain, NFT accounted for 48% of traffic, while games and DeFi accounted for 33% and 19%, respectively.
The play-and-earning model is expanding to new regions; Iran’s game-related traffic has increased by 300% month-on-month, while traffic in Northern Europe, France and many African countries has also increased significantly.
After a record-breaking August, the market’s interest in NFTs is high
Will the play-and-earn model expand to new regions?
DeFi field performance
The blockchain industry showed signs of growth for the fourth consecutive month. In September, an average of 1.71 million independent active wallets (UAW) were connected to the blockchain dapp every day. This figure represents a monthly increase of 12.4% and a year-on-year increase of 487%.
Continuing with the demographic analysis, this report also considers DappRadar’s September traffic, which includes more than 650,000 users. As in previous months, the United States and the Philippines are still the two most important countries in terms of traffic. However, there is a big gap between the two countries. The United States has nearly 110,000 users per month, while the Philippines has 37,000 users per month. In the traffic ranking, we found that Indonesia (33,500) and the United Kingdom (31,000) ranked third and fourth respectively. The month-on-month growth of these two countries was 43.1% and 62.1% respectively, surpassing China (30,000), Thailand (26,000), India (25,000) and Brazil (24,000) in the corresponding rankings.
Compared with the previous month, the other country with the most significant traffic growth is Iran. This Middle Eastern country recently participated in government discussions on cryptocurrency mining. In contrast, traffic in Southeast Asian countries has been declining. For example, traffic from the Philippines fell 33% month-on-month, while traffic from Thailand and Vietnam were 14% and 11% lower than in August, respectively.
Another important aspect that needs further monitoring is the way blockchain users interact with decentralized applications. In the first half of 2021, mobile devices are the first choice for connecting DappRadar resources. However, as shown in the figure below, this trend was reversed in August, and desktop devices are now the main way of interaction.
Currently, the most important Web3 function can only be used on a desktop computer, or at least it is more effective on a computer. However, with the popularity of wallets and some blockchain games on mobile devices, this trend is likely to change again.
Other demographic analysis shows that age range has always been one of the most stable variables in DappRadar traffic. Young millennials between the ages of 25 and 34 are the main group, generating more than 37% of traffic. Followed by 18 to 24 years old, accounting for 26%, 35 to 44 years old age group traffic accounted for 20%. Compared with the August figure, there is no significant difference in any range.
Finally, analyzing the gender of the traffic in September, we found that the participation of women in the industry declined slightly. Although the male-to-female ratio is very close to 3:1, before May, the male-dominated ratio was 4:1, and this ratio is on the rise.
In general, the main demographic indicators have not changed significantly compared with the previous month. The most notable changes are in geographic location. Indonesian and British users surged in September, while user interest in Southeast Asia seems to have cooled. The next section will delve into the three most important dapp categories.
The market’s interest in the NFT field is high
Since the third quarter, the gaming and NFT categories have made positive progress. On the one hand, the play to earn model led by Axie Infinity has become a sensational headline news, helping blockchain games enter the mainstream channel. This trend is particularly relevant to emerging economies, where the potential value of passive income is well known.
On the other hand, the hype surrounding NFT has helped this field develop rapidly. In only three months in the third quarter of 2021, the value of transactions in the NFT field exceeded US$10.67 billion. In the long run, this is more than the sum of 2019, 2020 and 2021.
Analyzing the traffic of DappRadar by category, we can see that there was a trend reversal in September. NFT became the leading category in terms of traffic for the first time. After a record-breaking August, after experiencing the transaction volume of NFTs reaching US$5.2 billion, and headlines such as VISA’s purchase of CryptoPunk #7610 for US$150,000, NFTs broke the high interest caused by earning revenue through games in the previous months. .
According to the interactions tracked by DappRadar, the United States is the country with the most NFT-related incidents on record. China is far ahead, accounting for one-third of the United States. Also in the top five are Turkey, Russia and Thailand.
The United States is expected to top the NFT rankings. According to Forbes, the United States has a $5.4 billion sports memorabilia market and has one of the largest groups of sports fans in the world. In addition, Hollywood celebrities such as Snoop Dogg, Jay-Z and Stephen Curry have become true ambassadors of the NFT community.
Although some mature NFT collections, such as CryptoPunks or NBA Top Shot, are far from reaching the sales volume of the previous few months (transaction volume decreased by 58% and 45% month-on-month, respectively), new collections such as CryptoPunks, MekaVerse, and Sneaky Vampires Syndicate, In less than a month, it created more than 2.5 billion US dollars in revenue.
Those NFT projects that have been released and well-designed are stimulating investor interest by generating utility in different ways or by building close communities. In addition, by providing visibility to digital artists around the world, the NFT field is becoming more global.
It is worth noting that Russia’s NFT interaction volume increased by 108% month-on-month . This country is the birthplace of one of the most famous NFT markets, Rarible . Like Russia, NFT interactions in the UK have increased by 44% from last month. The number of NFT interactions in countries such as Ukraine and Romania has at least doubled from last month.
Will the “play and earn” game profit model be extended to other regions?
The attractiveness of the “play to earn” model of blockchain games has been weakened. To some extent, it seems that the NFT has been heavily reported and the price of cryptocurrencies has soared, and the appeal of the game has been diluted. However, on-chain analysis shows that this is not the case. Since July 2021, the main usage of the industry has been driven by games.
In the past few months, Asian countries such as the Philippines, Thailand or Vietnam, like China, have been the main traffic drivers. However, the data in September showed a different situation. Compared with August, game-related traffic in the Philippines, Taiwan and Vietnam dropped by 58%, 43% and 40%, respectively.
Another downtrend in the gaming sector in September can be observed by returning to NFTs. In blockchain games, NFTs represent props, characters and virtual land in the game. Game NFT transactions in September dropped by 17% compared to August, and only generated $640 million in sales. In addition, the dominant position of games in NFT transaction volume dropped by 2% during the same period.
However, there are also some positive signs in the gaming sector. First, a considerable number of blockchain games are still in the development stage. Several gaming dapps across different protocols are preparing to launch their functions in the coming months. Meta universe and games with comprehensive token economics will completely change the way users play games in the future.
In addition, after analyzing the top 10 dapps that generate the most user interactions, we found that 9 of them are blockchain games. People’s interest in the game may not be as high as in previous months, but this does not mean that it will disappear soon.
Finally, as the previous behavior report revealed, the game’s “play and earn” model is not limited to a specific type of economy. Currently, users from Northern Europe, Canada, France and other countries through this model have confirmed that they have increased their interest in the game. In addition, countries such as Iran and Greece have also begun to show interest in this field. It is worth noting the situation in Iran, whose game users have increased by 300% month-on-month. As mentioned earlier, there is a discussion about crypto mining, but their interest in games is real. As Ian Kane pointed out, “Game token mining does not require expensive equipment—just a laptop or mobile phone. In the past three months, the use of DappRadar’s website from Iran has increased by more than 160%. “
DeFi field performance
Although games and NFTs have become the focus of attention since the first half of 2021, the Defi field cannot be underestimated. Blockchains such as Solana, Terra, and Avalanche have become extensive DeFi networks with a total locked value (TVL) of more than 20 billion U.S. dollars.
Contrary to games that still dominate in Asia and NFTs, which the United States is interested in, the DeFi field is not entirely dependent on specific regions. Currently, Thailand is the country with the most DeFi interactions, followed by the United States, Brazil, Spain and Indonesia.
In total, the industry’s TVL is estimated at US$178 billion, which is 2% lower than in August, but 27% higher than the July record. UAW related to DeFi dapps has stagnated throughout the third quarter, but there is still a feeling that decentralized finance may be more widely used.
Widespread use is undoubtedly a positive sign. Although TVL’s numbers don’t seem to be encouraging, unless a negative event occurs, the competition brought by the blockchain will attract more value. In addition, as shown by the monthly trend of interaction between UAW and DeFi dapp, almost all users’ interest in DeFi is declining. Although the blockchain industry is expanding, the value has not flowed from DeFi to other similar products.
Demographic analysis based on the main traffic indicators of DappRadar helps to assess the potential patterns of consumer behavior and thus better understand user decisions. Although there are no important trend differences from a demographic point of view, there are still some behaviors worth noting.
Once again, the United States is still the largest market in the industry. Their demand for NFT is the largest in the world, and their interest in DeFi and blockchain games is still high. Although some major Ethereum NFT series remained stagnant in September, the value they generated mainly relied on the newly released NFT series. In addition, it should be noted that the participation of NFTs in other countries such as Russia and the United Kingdom indicates that there may still be room for growth in NFT demand.
At the same time, the participation of Southeast Asian countries declined slightly. Especially in games. Individuals from countries such as the Philippines, Vietnam, and Thailand may have fully participated in blockchain games. Their main need is to immerse themselves in the gaming experience, not to explore other options. On the other hand, the situation in Iran, El Salvador and other emerging African economies still exists, and the “play to earn” game in these countries has just begun. It is likely that the delay is caused by asymmetric information or other types of supervision. Compared with other regions, the emergence of money-making games in this region may be later than in other regions.
Like the mainstream NFT series, the number of NFT items in the game has declined compared to August. Coupled with the downward trend in Southeast Asia over the same period. Overall, the situation looks positive. As new blockchain games are about to be launched, interest in other regions is also increasing, and games in the “play to earn” mode have yet to be developed.
Finally, even though DeFi hasn’t seen any new impressive indicators recently, TVL is still an important indicator. It remains one of the most extensive categories. In short, on the road to mass adoption, it will be crucial for DeFi to reach as many users as possible
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/interpretation-of-blockchain-user-behavior-reports-from-the-perspective-of-games/
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