The new report by a crypto research platform, Messari, evaluated Ethereum’s performance in the 3rd quarter of 2022. The State of ETH Q3 2022 report discovered that the blockchain saw a surge in network activity in the third quarter.
Nevertheless, the platform also noted some sectoral plummets and endured a general dip in revenue because of the L2 scaling solutions activity. In that context, did Ethereum see some notable growth?
Messari stated that the average 24hr transactions during the quarter totaled at 1.2 million. That confirmed a 6% uptick from 2022 Q2. The daily transactions surge was visible in Ethereum transfers & DeFi transactions, which the reposted indicated a 7% and 15% growth, respectively, during the quarter.
Moreover, the growth in daily transaction metrics reflected in surged active addresses on ETH during the quarter. The blockchain recorded 550,000 active wallets, indicating a 5% surge from the last quarter.
Messari indicated that the overall ETH active address rally emerged from the increase in active wallets on July 27. That was when Chandler Guo revealed plans of an ETH PoW form plus some maintenance activity by Binance.
During the quarter, Messari discovered Ethereum supply increased by 4.2% annually. The analytics site noted that Ethereum call volume increased steadily across crypto exchanges since the merge official block difficulty set in July. Moreover, the calls to put ratio also soared.
Here Comes the Dip
Though Ethereum in ‘smart’ contracts maintained uptrends since 2020, the May Terra collapse ended this growth, according to Messari reports. The overall Ethereum in smart contracts hit 30% peaks by May 9 when Terra fell. Meanwhile, Messari discovered this metric has declined since the Terra collapse.
Moreover, the L2 activity surge during the quarter had the network’s revenue decline. Consequently, the chain’s total fees plummeted to the lowest mark since 2020. Messari added that continued slide in network fees would ‘directly’ affect staking yield post-Merge.
Moreover, while Ethereum DeFi 24hr transactions and token transfers grew during the quarter, 24hr bridge and NFT transfers on the network plummeted by 41% and 17%, respectively. Ethereum recorded 181,000 average NFT transfers per day during the quarter, while bridge transactions stood at 9,000 in that timeframe.
Post-Merge, ETH developers remain dedicated to building the blockchain for heightened adoption. The network awaits the Shanghai upgrade, allowing pre-merge-stake ETH withdrawal plus several network improvements.