Nansen: Avalanche (Avalanche) begins the "warm rush" in the data to see avalanche potential.

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Avalanche is an EVM-enabled Phase 1 platform focused on speed and low operating costs. It aims to solve the scalability issue currently faced by Ethereum. Some highlights include a second transition decision, special approval based on Snowball updates, a change, and a total production of over 1,200 blocks for network use. Simply put, Avalanche offers consumers the favorite and most wanted items at a very affordable price.

Following in the footsteps of many future chains, Avalanche has developed an excellent connection with the Avalanche Bridge. Ethereum integration tools are safer, cheaper, and faster, supporting over $ 27 billion in tokens entering and exiting the Ethereum network. It's also important to pay attention to the Avalanche shared security standards, which govern the subnet level and allow applications to choose the level of security they want. That's a big difference from Ethereum, where apps often pay too much for security.

For more than one year avalanche has a vibrant indigenous ecosystem and agreement of commitment along ether any function. Many jobs have begun in my liquid support for July $ 10010 million, but TVL, to continue and operate. From TVL, avalanche get less than 65 times less than $ 6 billion today in July to less than $ 2.00 million.

Categorize the DeFi application of the largest TVL, with 6 of the 10 best applications made on Avalanche. These apps are often provided by friends of Ethereum and support farm income. The popularity of these native apps identifies the communities created around Avalanche as the first best place. Trader Joe should make it clear that this is a local AMM product that allows users to trade, farm, donate, and use Zap to get LP Token Pairs with one click. Trader Joe is consistently in the top 5 of all DEXs with an average daily trading volume of $ 750 million. These features and Trader Joe's user portfolio and $ 2.5 billion TVL highlight the growing producer community and the beneficial LP environment of Avalanche.

Major Ethereum projects such as Aave and Curve have also moved to the Avalanche with improved agriculture to promote fuel oil flows along the chain. Avalanche has become the home of DeFi, encrypted applications, and business solutions.

Avalanche ecology guide and dApp manager

The Avalanche ecosystem is robust, covering all aspects of the blockchain including DeFi, NFT, DEX, and P2E. CK Ventures can explore the details of the ecosystem in the figure below.

Source: CCK's industry

Due to its close relationship with EVM, large Ethereum DeFi companies such as Aave and Curve could easily be transferred to Avalanche to facilitate on-chain races. The TVL of total avalanche operations exceeded $ 13.9 billion. Traders Joe and Benqi follow. These are major avalanche works and are still very popular.

Other well-known Avalanches still have dApps including Wonderland (the most successful OHM fork with over $ 2 billion in deposits), Cradaba (a battle you win as you play, fights the hermit crab that turns around the underwater world).

avalanche bridge

In the future of multiple chains, an important feature of L1 and L2 is ease of access. It is very important that users can transfer tokens from one blockchain to another quickly, securely and affordably. This can be accomplished via a so-called blockchain bridge, a connection that complements network integration by allowing tokens or illegal data to be sent from one channel to another.

To transfer ERC20 tokens from ETHereum to Avalanche's C chain, users can use the Avalanche bridge. It is an unreliable bridge and supports multiple ERC-20 tokens. The most popular are WETH, USDC, and WBTC. The exchange takes a total of 10 to 15 minutes and costs as little as $ 3 (Ethereum to Avalanche). More pricing information and other frequently asked questions can be found here.

You can watch Avalanche Bridge matches from the Nansen Dashboard. After the Avalanche Foundation announced the DeFi 180mm in mid-August, the Avalanche Bridge packaging industry grew, reaching the 370mm packaging industry on August 27 alone. With the launch of more apps and the support of well-known mining companies and resources (Curve, Aave, Trader Joe, Benqi), avalanche has become a popular sport among bridge and continues to grow and contain large volumes. Sep 23 Peak volume greater than 600 mm.

Avalanche Bridge transaction volume (Eth for Avax only)

Source: Nansen.ai Until December 3, 2021

The exchange rate and a gas cost

Scalability issues are a major constraint to the growth and adoption of blockchain to multiple networks. Due to the high fuel costs due to the Ethereum network crash, many manufacturers have switched to other L1 chains and L2 solutions. When the cost of completing a simple transaction is greater than the cost of trading assets, the cost of fuel becomes too high. High oil prices hamper business models by rewarding supplier sales and making them less financially viable. Holders of big tokens and bots have to put in place selling prices to support high and low fuel costs (and bad users). This, of course, limits the growth of the network, inhibiting innovation in the broader areas of cryptography. The figure below shows the increase in fuel prices over the past two years, which is easily seen on Nansen's Gas Tracker dashboard.

Median price of Ethereum gas (Gwei)

Source: Nansen.ai Until December 3, 2021

The Avalanche trade trades over 4,500 tps and the final trade time is less than 2 seconds. This is very good compared to other blockchain networks.

Comparison of past and final contract

Source: https://www.avax.network/ As of December 3

The graph below shows how the daily Avalanche Network market volume has grown steadily over the past 6 months. This interest extends to more and more projects involved in the ecosystem, from DeFi primitives (DEX, currency trading, property management contracts, etc.) to NFTs and participation in adoption.

modern trading volume

Source: Nansen.ai 丨 As of December 3, 2021

At the beginning of August, you can see the new increase in the daily market. This happened at the same time as the start of the "Avalanche Rush" program. This service is a $ 180 million DeFi sponsorship that well promotes DeFi applications for sending to Avalanche. Also, in November, there were some big announcements, like a partnership with Deloitte, so we could see another big increase. Additionally, a recent partnership with Fireblocks, responsible for digital storage and payment solutions, is expected to lead to further benefits of the transition changing daily over the next few months.

Daily Fuel Price: Ethereum vs Avalanche

Source: Nansen.ai 丨 As of December 3, 2021

In the image above, we can also see that in August the daily Ethereum fuel costs started to increase. This is mainly due to the increase in NFT operations shipped to Avalanche over the summer. The high prices of Ethereum fuel have forced many companies to look to expand other networks, and providing services on these networks is cheaper and easier to obtain.

Avalanche lets you create dApps quickly, inexpensively, and compatible with Solidity. As a result, many NFT projects have been deployed on the network. Examples include Topps NFT Industry (designed for the measurement and speed of international sports fans), Kalao (an NFT ecosystem that unlocks the full potential of the meta-spatial experience), Venly Market (NFT peer-to-peer, blockchain agnostic) market) is available. ) and Crabada (a game in which you earn NFTs as you play). In addition, part of the $ 200 million recently raised by the Avalanche Foundation will be used for NFT and cultural applications. However, it should be noted that Avalanche's most active applications remain DeFi dApps like Trader Joe and Pangolin (both DEX), which respectively represent 23% and 7.5% of the chain's total operations.

Trade between Avalanche and Ethereum has been on the rise, especially since August.

Ethereum vs. Industrie des avalanches

Source: Nansen.ai 丨 As of December 3, 2021

This percentage fell from 54% on November 26 to 1% in early August. To learn more about avalanche performance, check out the previous graph which shows daily fuel prices. The average fuel price paid by AVAX on November 26 is US $ 1,311,682 and US $ 51,389,748 to Ethereum. Today, the AVAX packaging industry is more than half of Ethereum's packaging industry, but the cost of these changes is more than 20 times cheaper than Ethereum's. This comparison shows how the Avalanche network works at a lower cost.

Therefore

As demand for block space increases, more layers 1 and 2 are explored for new design features. Some of the solution's measurement interpretation characteristics are based on a different visual environment and operating environment, resulting in better performance and lower costs.

Typically, cash extraction incentives are used to encourage users to use these channels as a marketing strategy. As we have seen time and time again, liquidity is not true. When these promotions are over, it will be interesting to see the players stand out in the market. Avalanche has enjoyed great success over the past 12 months and we are excited to see its future role in cryptocurrency.