NUGGETS OF ALPHA
Sui is the clear leader in terms of daily transactions and daily active users
Ethereum dominates in terms of transaction fees and DEX volume
SOL, ETH, and AVAX received the highest composite scores in our scoreboard
I’ve received numerous questions lately related to new Layer 1s and chains. Today we will discuss whether there is a new Solana killer and what might be happening with Ethereum. I decided to do my quarterly L1 update to analyze all of the major L1s and score them equally.
If you dislike data, this may not be for you. But if you like money, this process will help identify future winners.
In my perspective, a blockchain can be likened to a shopping mall or a shopping center. Its success is determined by various factors such as the presence of dApps (decentralized applications), robust infrastructure, strong security measures, and the ability to attract customers who engage in transactions.
On the other hand, Ghost Chains lack both dApps and customers.
I rely on data and quantitative analysis to make informed decisions, and I attribute this approach to my success.
This chart encapsulates the main idea behind my content, which highlights events outside of Ethereum, specifically a collection of Layer 2 solutions. However, we will compare the performance of other chains against Ethereum.
I have organized all the major Layer 1 chains in a spreadsheet, starting from Ethereum and extending down to the latest addition, SEI.
Correlation Between Age and Speed
This chart displays the Theoretical Max TPS against the days since the chain launched. You can see that the newer chains tend to be faster. So the first question is, can the old chains survive?...this would keep me awake at night if I held any of the old chains, but I do not!
Correlation Between Age and Speed (LOG)
You should pull out the data you want, test it yourself, and make your own decisions. Solana currently runs at around 5,000 TPS, but it has gone up to 400,000 on a few occasions. A beta of Firedancer recorded a period of 1.2M TPS.
As you move further to the right, you will notice that the TPS trends downward as the age of the chains increases.
Sui is the winner of this particular ratio, followed by Solana and Aptos.
Many people hold old chains, hoping and believing they will make it. The reality is as blockchains grow older, they accumulate what is referred to as "tech debt."
Some chains take a more academic approach to designing their protocol. They think about things for many years before implementing them, but the problem is that we are in a new world where things are moving quickly.
As a blockchain grows older, it may accumulate technical debt, which refers to the implied cost of additional rework caused by choosing an easy or limited solution now instead of using a better approach that would take longer. This can lead to
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