Polygon overtakes Ethereum for active addresses due to crypto gaming fever

    06 Oct 2021

    Layer-two protocols have seen 330% growth this year in terms of active addresses. One such protocol, Polygon, has briefly surpassed Ethereum, the network for which it is a scaling solution. Many of these new users may be engaged due to the upcoming mobile gaming app Arc8.

    Polygon, a layer 2 aggregator, has encountered an immense expansion in its dynamic locations in the course of recent months. Polygon had a 330% increment in its dynamic locations over the most recent three months. This is a great increment for Polygon; its development has tested even the Ethereum stage, for which it is scaling arrangement.

    According to Mihailo Bjelic, the prime Polygon supporter, the measure of day-by-day dynamic locations on Polygon was more than that on Ethereum on Sept. 27. His Twitter account said Ethereum had 326,000 everyday dynamic locations on Sept. 27, while Polygon had 351,000 day-by-day dynamic locations.

    According to Polygonscan, the number of active addresses skyrocketed on Sept. 20, hitting a peak of 426,586 on Sept. 27 before falling back slightly to 385,740.

    Etherscan is reporting that Ethereum’s daily active address count was 457,402 on Sept. 29, so the two are pretty evenly matched at the moment.

    Bjelic believes this as a significant achievement for Polygon since this was first whenever Polygon outperformed Ethereum layer 1.

    (Source: Polygonscan )

    In terms of cumulative unique addresses, Ethereum is way ahead with 170.8 million as of Sept. 29, according to Etherscan, while Polygon had 89 million total district addresses on Sept. 29 as well. However, Matic only rebranded to Polygon and launched in February, so its growth has occurred over a shorter period of time.

    Polygon has a greater number of transactions at present, according to Polygonscan, with 5.7 million total transactions recorded on Sept. 29 compared to 1.1 million on Ethereum’s layer one. This can largely be attributed to Ethereum’s high fees, which have increased again recently.

    Defi Llama currently reports that the total value locked (TVL) of all protocols on Polygon is $4.81 billion; however, it has more than halved since its mid-June all-time high of $10.54 billion. The most popular protocol on the network is the flash loan platform Aave, which has $1.77 billion TVL, or 37% of the total.

    (Source: DappRadar )

    Many of these new users seem to be interacting through an upcoming mobile gaming app called Arc8. Developed by GAMEE, a subsidiary of Animoca Brands, Arc8 promises to combine e-sports and crypto gaming, allowing users to play competitive games against other players and win GMEE tokens. GAMEE has also partnered with Polygon Studios to help launch its GMEE token and the Arc8 platform. Launched in July, Polygon Studios is an arm of Polygon that focuses on bringing more gaming and NFT development to the network.

    The GMEE token mining activity appears to be responsible for a large part of the increased activity on Polygon. The Arc8 app started gaining thousands of users per day around Sept. 19, the same time the uptick of active addresses on Polygon started.

    According to data from DappRadar, Arc8 had 257,000 active users over the last 24 hours, making it the biggest app on Polygon. It is also the third most-played blockchain game after Splinterlands and Alien Worlds.

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