DappRadar research: Ethereum dApp ecosystem flourishing despite bear market

According to DappRadar, the Ethereum dApp ecosystem has flourished in the second half of 2019. In particular, the number of users has increased sharply since June 2019. Surprisingly, DeFi is the category with the most substantial growth. The number of DeFi users has increased by 529% in 2019. This 529% figure makes the 195% increase of games and the market ashamed.

The Ethereum dApp ecosystem is thriving despite the bear market

Despite the Istanbul hard fork, Ethereum does not seem to bring anything new to the market. However, while ETH itself is struggling, the Ethereum dApp ecosystem is thriving. Despite being compared to Tron or EOS, according to DappRadar, Ethereum is still the most popular Blockchain for deploying decentralized applications. The report shows that every dApp category has a significant increase in daily activity, including user base or transaction volume.

The report stated:

“The headline success was in the DeFi category, which, although remaining small in terms of users, experienced spectacular growth in terms of the value of asset secured.”


Graph showing unique daily active wallets in the Ethereum dApp ecosystem (Source: DappRadar)

The number of active and interactive wallets on all daily Ethereum applications has increased by 118%, to more than 19,000 wallets in mid-December since the beginning of the year until now. Meanwhile, the combined increase of games and markets accounted for more than half of daily activity in the Ethereum dApp ecosystem, recording a 195% increase in the number of users.


Graph showing daily unique wallet numbers by category (Source: DappRadar)

While user activity is a good indicator of the popularity of dApps, the amount of ETH in the ecosystem and the volume of all ERC20 tokens on the network is equally important. This leads to some interesting conclusions. The total value of ETH for all Ethereum dApps in 2019 is $ 1.8 billion, up to 202%. However, the full value of ERC20 token activity in the second half of 2019 was $ 7.2 billion, up to 166%.

Diving the chart shows which categories contribute the most to the ecosystem. DeFi, accounting for 45% of the total value, token activity has increased by 1,990% since June 2019. Exchanges, which account for half of the total value in Ethereum dApp, token activity is down more than 40%.


Chart showing the total value of ETH and ERC20 tokens in the Ethereum dApp ecosystem (Source: DappRadar)

Another exception is game and market, which accounts for less than 1% of the total value of the ecosystem. The catalog has seen its token activity increase by 87% in just six months, showing that they don’t have to create significant value to attract more active users.

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