December 9th – December 15th
PERSPECTIVES by Eric F. Risley
Signal from noise is a tough problem. What matters?
One thing that certainly matters to crypto is developer activity. Electric Capital has done an outstanding job with its just-updated Developer Report, shedding light on the state and trends of this critically important topic. A few highlights from our read:
Ethereum continues to lead in developer base (L1 and associated L2s), although it has declined by 17% in the past year.
Solana has the strongest momentum in attracting new developers, growing its developer base by 83% in the past year.
Active developers today total 23,613, still down from the peak in 2022, and have not yet regained upward momentum.
North America has declined from its leadership position and is now third globally, behind Asia and Europe. Regulatory policy matters!
Remarkably, NFT minting volume is at an all-time high, occurring mostly on Base, with most trading activity happening on Solana.
NFT use cases are shifting from “art” toward more practical categories, such as rewards and loyalty, credentials and identity, and game assets.
Decentralized Finance (DeFi) remains a popular development category, encompassing lending, DEXs, derivatives, stablecoins, restaking, and more. This represents the democratization of capital markets, enabling anyone globally to access and participate in a variety of low-risk and high-risk activities outside the traditional financial system.
The report features contributions from an incredible 339 collaborators—kudos for such a broad, open-source-minded effort!
We’ll leave you today with our picks for the two most interesting charts in the report: (1) where stablecoin transactions are happening globally and (2) the median transaction size. As highlighted in Stablecoins: The Emerging Market Story, Africa may be emerging as the “cradle of real-world stablecoin usage.”