Developer activity recorded a new increased level; the highest level since the beginning of the year pre-crisis
Developer activity for Ethereum has hit a seven month high. Judging from past trends, this blockchain activity has been a definitive pointer of the medium-term trend of the concerned crypto. As such, the elevated level of Ethereum developer activity indicates an optimistic medium-term trend for Ethereum.
According to a 2017 study rounded up by JP Vergne, a professor at the UCL School of Management, “The best predictor of a cryptocurrency’s exchange rate is the amount of developer activity around it”.
An analyst at Santiment reported: “Santiment is indicating that #Ethereum is reaching #Github development rates not seen since February (a 7-month high)! $ETH continues to make its case as the most highly innovative network in #crypto, including the many ERC-20’s under its umbrella”.
Propelled by DeFi projects, Ethereum blockchain user activity posted a massive upswing to unmatched levels since 2017 across several sectors.
A crypto trader by the name Qiao Wang suggested that the majority of the population is still trying to understand DeFi.
This indicates that both mainstream and existing crypto users are unfamiliar with DeFi and most of its underlying concepts. The decentralized aspect of DeFi platforms increases the level of complexity for beginners to navigate various platforms.
However, the DeFi space is just in its early stages of growth, moving from $1 billion to $8 billion within the last 4 months.
According to Wang, the more people try out DeFi products, the faster they realise and understand their fundamental aspects.
Wang explained in a tweet: “Lotta people try to reason about DeFi on an abstract level. I had made this mistake myself. But reality is the only way to truly appreciate what’s going on is to use the products. Spend a week to trade/lend/asset-manage, and you’ll get why this stuff is fundamentally interesting.”
ETH developer activity will increase as more people start using DeFi. The ETH developer community is projected to focus on slowly releasing ETH 2.0 in the next one year.