October 5, 2023 at 12:12 GMTModified date: October 5, 2023 at 12:13 GMT
October 5, 2023 at 12:12 GMT

Transaction count on Avalanche chain hits three-month peak

There has been a major uptick in activity on Avalanche’s C-Chain network on the back of Stars Arena’s popularity.

Transaction count on Avalanche chain hits three-month peak

The Avalanche network has been enjoying a surge in the number of transactions recently. The figure has now hit a three-month high of 310k, which was last seen in early August.

This materialised on the back of decentralised social media (DeSo) application Stars Arena’s rising popularity. Gaining much traction among users, the app has gathered the highest number of daily active users on the Avalanche C-Chain.

The Contract Chain, also known as the C-Chain, is a blockchain within the Avalanche network. Avalanche aims to provide a highly scalable and interoperable ecosystem for decentralised applications (dApps) and blockchain development. The C-Chain was designed specifically for running smart contracts on the network.

As per DappRadar, the new blockchain-based application took the lead with a total value of assets at $1.06million in the dApp’s smart contracts. It has grown by more than 186% over the past two days, now boasting more than 10,000 unique active wallets on the platform.

As of press time, the platform held more than $2.1m in total trading volume and about 246.8k transactions, according to data from DappRadar.

On 20 September, which was around the time Stars Arena launched, the total number of transactions on Avalanche was only around 158,000, from where there has been a significant uptick now.

Star Arena gets its inspiration from one of the pioneers in the scene – Friend.tech, which was launched in August. The crypto platform, which exists on Coinbase’s Base layer-2 blockchain, reportedly gained more than 100,000 users and made about $25m soon after launch. Even though this was followed by reports of its early demise, it was followed by a sudden surge in popularity.

Other similar platforms include Post.Tech on Arbitrum and Friendzy on Solana. These attracted users for its feature where they can trade tokens associated with social media influencers, granting them exclusive access to converse with them.

Similarly, Stars Arena offers users the ability to link their X (formerly Twitter) accounts accounts. This further facilitates the purchase or sale of profile tokens (tickets) of other users with Avalanche’s native asset $AVAX.

Here, a small cut of fees being paid to the platform itself and the users when tickets are bought and sold. The app automatically creates a wallet for users to deposit $AVAX and begin availing of the service.

Purchasing a user’s ticket grants one the access to a private chat. However, unlike Friend.tech, Stars Arena features a public feed where users can follow others without needing to front up large sums of money.

While recent traction has helped Stars Arena top go beyond the $1m mark in total value locked (TVL), as per the data from DefiLlama, it still stands way below Friend.tech, which boasts some $44.27m in TVL.

According to the on-chain data compiled by CryptoKoryo on Dune Analytics, FriendTech remains the largest project in the SocialFi field. It commands a monthly volume of over $297m, whereas Stars Arena pales in comparison with about $8m, just behind Post.Tech in the second spot.

However, the rise in transactions on Avalanche has also positively affected its native token, which has increased by over 5% in the last 24 hours.

Enjoying a trade in the green on charts, $AVAX was changing hands for $10.26 as of press time.