Web3 devs ‘more active than ever’ amid crypto winter: Report​​

Published at: Oct. 14, 2022

Web3 developers don’t appear to be fazed by the crypto bear market, with one Web3 platform suggesting they’re “more active than ever” — particularly on the Ethereum (ETH) network.

In a new Q3 2022 report on Oct. 13 by Web3 development platform Alchemy, the company said that 2022 could be the “biggest year yet” for development on Ethereum.

Around 36% of all smart contracts ever deployed and verified on the blockchain have been in 2022, a count of nearly 118,000 compared to the over 323,700 ever deployed, according to the report.

This is despite the price of ETH falling by nearly 66% since the start of the year and the total value locked in decentralized finance (DeFi) protocols falling around 70% year-to-date according to DappRadar.

Nonfungible token (NFT) trading volumes have also taken a beating, decreasing by 98% since late January.

Alchemy states the deployment of smart contracts increased by 40% from the first quarter of the year with consecutive all-time highs hit every month over the third quarter peaking at 17,376 in September alone.

The data also shows smart contract deployments increased by 143% compared to the third quarter of 2021, reaching over 48,500 for the third quarter of 2022.

Alchemy noted that in the two weeks following Ethereum's Merge — when the blockchain moved from a proof-of-work to proof-of-stake consensus — smart contract deployment increased by 14% suggesting some developers may have been waiting for the event to launch their projects.

The company also analyzed the usage of two Web3 script libraries Ethers.js and Web3.js, which allow developers to read blockchain data and build Web3 products.

The team found the number of developers installing either library had increased by three times that of Q3 2021 to over 1.5 million downloads on average per week.

Related: Demand for talent in crypto less dependent on market as industry matures

Although some have claimed this current crypto bear market is a good time to build products in Web3 that hasn’t always been the case in previous cycles.

As evidenced in Alchemy’s data the 2017 to 2020 bear market saw a 45% decline in smart contract deployments in the middle of the cycle, from 2018 to 2019, although so far that metric has increased by 50% this year from 2021.

Tags
Related Posts
Web3 innovations are replacing middlemen with middleware protocols
Cryptocurrencies and the wider blockchain ecosystem are helping change the status quo of how we conduct our day-to-day lives. With these emerging technologies, Web3 is being ushered in as a permissionless and open innovation using middleware blockchain protocols. By doing so, they’re replacing middlemen software-as-a-service (SaaS) companies by capturing value at a greater level. Middleware protocols are by no means new. After all, Web2 is supported by middleware applications, the main one being HTTP. Middleware is what enables users to interact with each other and with applications in a computing environment. And with Web3, there are a variety of protocols …
Decentralization / Jan. 29, 2022
Web3 sees 15 new scam smart contracts an hour: Solidus Labs
The Web3 and cryptocurrency space is seeing a significant amount of smart contract scams proliferating, with blockchain risk monitoring firm Solidus Labs saying it has detected on average 15 newly deployed scams every hour. Solidus Labs said on Oct. 27 that it had been monitoring 12 blockchains including Ethereum (ETH), Polygon (MATIC), and BNB Chain (BNB) since Oct. 10 and in that time had detected 188,525 smart contract scams. Former United States Consumer Financial Protection Bureau (CFPB) director, Kathy Kraninger, who is now Solidus’ VP of regulatory affairs, said in the statement that “while some of the big rug pulls …
Blockchain / Oct. 28, 2022
Lido fundamentals shine even as the wider crypto market struggles to regain traction
The crypto market has witnessed a turbulent few weeks after the FTX collapse but Lido Finance, a liquid staking protocol, has been a bright spot amidst the chaos. According to Data from DeFiLlama, Lido protocol has earned $1 million or more in fees daily since October 26. Lido fees and revenue over time. Lido has collected over $1M in fees every day since October 26th pic.twitter.com/GHkzSzYIOo — DefiLlama.com (@DefiLlama) November 18, 2022 Let’s analyze the on-chain fundamentals to see why this trend has continued. What’s behind Lido Finance’s growth? Lido’s growth started in May 2021, pre-FTX collapse. The fees reached …
Markets / Nov. 21, 2022
Users need to go under the engine in Web3 — HashEx CEO
Hacking in Web3 is easy because it uses the same pattern that’s been used since the inception of the internet — pretending to be someone else. Due to the complexity and the “cool factor” of Web3 projects, one can easily — and mistakenly — assume that it takes Mr. Robot level of advanced hacking techniques to pull off a successful attack. In truth, however, it only takes a sinister ad placed on Google search results, an impostor Telegram group or a deviously-crafted email to break the security barriers of the Web3 ecosystem. Blockchain projects can use top-notch smart contracts, securely …
Adoption / Jan. 3, 2023
Number of devs increased during crypto winter: Electric Capital report
The notion that bear markets are good for builders appears to be true with the total number of monthly active Web3 developers increasing 5.4% to more than 23,300 over the last 12 months despite a near 70% drop in crypto prices. According to a Jan. 16 report from Electric Capital, “full-time” developers — categorized as those who contribute to 76% of Github commits — also increased 15.2% to over 7000, while “one-time” builders fell 6.2% to over 3,500 during the same time period between December 2021 and December 2022 Despite the crypto market capitalization beginning its long plunge from from …
Adoption / Jan. 18, 2023