Ethereum Network Revenues Increasing, but Activities Show a Decline

• The introduction of the Shapella update, which allows staking withdrawals from the Beacon chain, further increased interest in the protocol.
• According to recent data, Ethereum’s daily active users decreased by 3% on an annual basis and 4% on a quarterly basis.
• In the past month, the NFT sector has also experienced growth. According to data, the volume and number of NFTs traded on the network have significantly increased.

Ethereum, the second largest cryptocurrency, has been experiencing growth on its network in recent months; ‘revenue’ is one of the areas with the most growth!

Ethereum’s Revenues Increased by 56%

Despite experiencing volatility in the past year, the Ethereum (ETH) network has seen growth in recent months. The introduction of the Shapella update, which allows staking withdrawals from the Beacon chain, further increased interest in the protocol.

Revenue has been one of the areas where Ethereum has witnessed the most growth. According to Ethereum’s revenue statement, there was a significant 56% increase in total fees in the second quarter. Additionally, Ethereum showed a notable gross profit margin of 84%.

However, despite the growth in revenue, there has been a slight decline in activities on the protocol. According to recent data, Ethereum’s daily active users decreased by 3% on an annual basis and 4% on a quarterly basis. Furthermore, average daily transactions decreased by 4% compared to the previous year and 1% compared to the previous quarter.

Nevertheless, active users across the Ethereum ecosystem have experienced significant growth and doubled. Layer 2 (L2) protocols such as Polygon, Optimism, and Arbitrum attracted large users in this quarter.

However, it is important to note that this does not mean a two-fold increase in the number of individuals interacting within the Ethereum ecosystem. Nonetheless, it highlights the increasing level of interaction observed within the ecosystem.

In terms of transactions, Ethereum has shown stability with approximately 1 million daily transactions. However, average transactions within the broader Ethereum ecosystem saw a three-fold increase daily. This indicates a significant rise in transaction activity beyond the network.

How is the NFT sector doing?

In the past month, the NFT sector has also experienced growth. According to data, the volume and number of NFTs traded on the network have significantly increased. However, during this period, the base price of many blue-chip Ethereum NFTs has decreased.

The discounted price of these NFT collections may have led to increased interest from buyers.