The first quarter Avalanche implemented several strategies that marked a constant growth, the consolidation of the use of the network, the financial performance, and its infrastructure.
Recently was the release of Avalanche Q4 2021 vs. Q1 2022 Development vs. Q1 2022 Comparison Report, tracking Avalanche network growth and progress toward optimization and expertise of the user. Cryptocurrency expert research firm Messari.io released the information.
During the fourth quarter of 2021, the Avalanche network evidenced a considerably important positioning, thanks to the Ethereum-Avalanche Bridge, the Avalanche Rush liquidity program, the main exchange listings, and the high-level partnerships that managed to materialize.
All this brought with it the increase in its user base and the attraction of new people and institutions in its economy, thus reaching record highs in active addresses, daily transactions, total value locked (TVL), and market capitalization. However, this was no guarantee that the network would continue to grow or remain stable.
For the first quarter of 2022, the platform carried out several strategic advances that meant for Avalanche, a constant growth, the consolidation of the use of the network, the financial performance, and the infrastructure of the network.
Among these key developments is the continued rollout of Avalanche Rush, the ecosystem fund called Blizzard, the development of the Ethereum Virtual Machine (EVM) subnet, and the introduction of the Multiverse subnet incentive program and the Culture Catalyst fund.
Network Overview
However, according to the above mentioned, the Avalanche network experienced moderate growth, in relation to the previous quarter, and a stabilization in its key metrics throughout the network. Although market capitalization “was relatively flat” (-5.4%), Avalanche saw continued upward trends in usage and revenue generation, as well as a move toward a favorable primary valuation.
The network’s average daily transactions experienced an increase of (82.8%), almost doubling its value for this quarter, total revenues reflected a growth of 72.7%, and the price/sale ratio (P/S), and continued to settle, with a relative price to earnings ratio going from 160x to 91x.
As a result, the network reached an all-time high of 140,000 active addresses in the month of January, due to the adoption of more daily active users in this first week of the month, compared to active addresses in the month of October 2021. For the fourth quarter, the network managed to average around 70,000 active addresses, and for the first quarter, reaching a stable range with an average of 92,000 daily active users.
Avalanche Growth in the First Quarter of 2022
As mentioned before, in the first quarter of 2022, Avalanche saw growth and development throughout its ecosystem. These strategic advancements have meant steady growth, consolidation of network usage, financial performance, and network infrastructure for Avalanche.
One of the key events with which the Avalanche ecosystem kicks off the first quarter of 2022 is the launch of the Subnet-Ethereum Virtual Machine, a custom virtual machine that allows users to create their own configurable EVM-compatible Blockchain. Pangolin’s announcement of its own subnet also took place. In addition to making strategic alliances, with additional business partners, for the design and construction of services based on smart contracts to improve autonomous mobility.
Last January, it also highlights the fact that the crypto fund manager, Bitwise, reestablished the Bitwise 10 Large Cap crypto index and also added AVAX. Later, Terra’s proposal to bring UST as Avalanche with Liquidity Mining Proposal #3 was approved.
By February 2022, street artist Banksy’s Avalanche fractionalized NFT, Banksy NFT generated interest and purchases by celebrities on the order of Paris Hilton. Later in March, the Particle Banksy collection would be sold.
In the middle of the month, the Avalanche Andretti team made its debut at the Mexico City E-Prix, the Formula E World Championship, thanks to a sponsorship deal with Andretti Formula E Autosports.
During March, the increase in daily transactions was largely due to the launch of the Crabada and DeFi Kingdoms subnets, the former running the testnet and the latter live on the mainnet. Also sparked was the launch of Avalanche Multiverse, by the Avalanche Foundation, a $290 million ($4 million AVAX) incentive program. Wildlife Studios joined the Multiverse program, and it will extend its flagship game, Castle Crush, on its own subnet, in order to integrate NFT and tokens into the game.
By Audy Castaneda
