What coins have any users?

in bitcoin •  2 months ago

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A look at the data suggests that only a handful of coins and tokens have any kind of significant userbase.

We know that bitcoin has a large and genuine userbase – that is, people who actually own it or use it long term, hold it in their own crypto wallets and make real transactions, rather than just trading it on exchanges. You can read that information from the blockchain easily enough. The same is true of Ethereum. People are holding it and transacting with it, and building real applications with its smart contracts.

But can the same be said for many of the almost 2,000 cryptos that now exist?

We’re afraid not.

We used the site https://onchainfx.com/ to compare not just prices and market cap (which is all that most people care about) but active addresses (send/receive in the last 24h) and numbers of daily transactions.

As expected, Bitcoin has the most active addresses (664,000) followed by Ethereum (307,000), Litecoin (89,000), Dogecoin (73,000 – yes, that’s still a thing) and EOS (58,000).

After that, it rapidly declines. There are just 19 cryptos shown with more than 1,000 active addresses. Only 21 show more than 1,000 transactions a day.

It’s not quite as bad as it seems. Onchainfx doesn’t supply data for all cryptos, so there are some glaring omissions here. For example, it doesn’t offer active addresses or transaction numbers for Waves, which is an extremely active network, averaging around 40,000 transactions per day for this month so far, which would put it above Litecoin on that measure.

On the other hand, there are some anomalies: Bitcoin Cash, for example, has twice the daily transactions of Bitcoin Core, but less than 10% of BTC’s active addresses. Clearly, some shenanigans are afoot here, because that’s certainly not organic usage. A spammer or stress test or just plain old fake tx volumes can skew figures.

Still, the overall picture for the majority of cryptos isn’t great. These are tiny communities with very few real users. Where it gets interesting is the smaller number of cryptos that do have a real and active userbase. Network effect counts, and those communities will give their blockchains a stronger chance of long-term success.

And, of course, deeper analysis of that list may show some interesting opportunities to pick up coins that are undervalued on their fundamentals.

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Bitcoin is big but remember Steem has one of the most powerful and busiest Blockchains !!!

it reminded me of a game

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Mostly Steem... and Pre

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Steem is by far the best

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I agree with this assessment. Most of these coins wont survive, they are nothing more than companies using "ICO" to raise cheap capital, it is that simple. In the real world most start ups fail and so will the majority of these, but sadly with a lot of peoples money.

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all this "ICO" is meant to fail, perhaps?? ICO is just a tool use by so call Dev Team to run away with the money they raised from ICO.

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That is a very general assumption. Yes it is true some companies do this but majority don’t. A large percentage will fail naturally, but there are some very good projects out there

We really start to see which projects have any fundamental value when the market turns like this! All the sht coins will flail and die given a long enough bear market. BTC to the moon!

best coin of the week is Dogecoin

now looking at the situation all the other coins looks shit , only bitcoin looks good.

If the crypto go down I buy Litecoin and Ethereum because this crypto look promising to me.

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Wow Bitcoin with 664k active addresses? That's actually really good.

Already have my porfolio ready. Not looking at all those shitcoins anymore

Your pust is very good,
you have won my vote!
Keep it up so I'll be aware of your posts

Greetings.

First of all, i will start by saying in the crypto market, we should give all coins a fair chance to prove themselves because, very few people valued Bitcoin during its infant stage. Secondly, whoever want to invest in crypto coins should do so wisely (take calculated risk). Vital information @crypto.inferno!

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True.

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Thank you great comment!

Personally, I prefer the 50/25/25 rule. I have about 50 % in BTC, 25 % in high cap Altcoins (XRP, ETH, Litecoin), and 25 % in lower cap coins (Mainly "shitcoins" I have mined). This way, I beleive I'm less likely to get REKT.

for sure btc withlarge and genuine user base caused btc is the first crypto XD LOL~

there is too many fraud project until can say crypto is abused by scammers