Analyst company Nansen has examined the Fantom (FTM) altcoin network, which has an important place in the DeFi world, in depth.
Here is the data from Nansen’s report:
While the impact of extraordinary events in the second quarter subsided, the bearish trend in the overall crypto market remained unchanged in the third quarter. Despite this, Fantom and its ecosystem projects continued to develop and launch new products. In this report, we will examine Fantom’s performance in Q3 2022 and the strategies implemented by FTM and its ecosystem.
Amount of Staked FTM
The amount of FTM staked by validators to secure the fantom network increased by 2% during Q3 2022, reaching 51% (~1.4 billion) of all circulating FTM.
On October 5, 2022, the Fantom Foundation accepted a proposal to reduce validator rewards as fee revenue for validators and stakers increased 18x over the previous year. This put the network in a stronger position and adjusted the rewards to the market rate, signaling a longer run rate for emissions.
Fantom announced several strategic financing partnerships with some venture capitalists, including Cypher Capital, Mapleblock Capital and GDA Capital in Q3 2022. These partnerships provided access to finance to early-stage projects within the ABC ecosystem. Cryptocurrency wallet Exodus has added FTM with full mainnet support and joined several other wallets in recent quarters.
Number of Transactions per Day
The number of daily transactions on Fantom fluctuated throughout the third quarter of 2022, ranging from 600,000 to 1.2 million transactions, slightly higher than in the previous quarter. The gas fee on FTM experienced several spikes with a peak of over $14,000 in Q3 2022. The highest number of transactions occurred on July 19, 2022, due to market speculation about the Fed’s rate hike and the announcement of the 3AC liquidation court documents.
Daily Active Addresses
Daily active addresses on Fantom continued to drop further in Q3 2022, staying just above the all-time low of ~33k addresses. At the beginning of the quarter, more than 50,000 active addresses were seen on some days, but this trend did not continue beyond August. This could be due to the general bearish sentiment in the crypto market during the 3rd quarter of 2022.
Compared to Ethereum, Fantom’s transaction count seemed unstable. While FTM never surpassed Ethereum in Q3 of 2022, the two chains were relatively close in transaction count.
In Q3 2022, market sentiment continued its downward trend, which was reflected in the number of active users and transactions on Fantom. However, the FTM ecosystem continued to be a great space for innovation, collaboration and community building.