Base Outpaces Ethereum in User Growth as Crypto Market Evolves, New Report Reveals

The crypto trade skilled a transformative 12 months in 2024, marked by speedy person acquisition and shifting ecosystem dynamics.

A brand new report from Flipside highlights important progress in person engagement, notably on Base and Ethereum, whereas decentralized exchanges (DEXs) and new blockchain tasks reshaped the aggressive market.

On-Chain Progress and Rising Market Dynamics

Base, a blockchain platform developed by Coinbase, led the market in 2024 with 13.7 million new customers in October alone. This surge positioned Base because the fastest-growing chain, outpacing Ethereum’s regular common of 1.56 million new customers per 30 days. As compared, Bitcoin’s progress lagged regardless of its worth reaching $100,000, signaling speculative curiosity quite than new person onboarding.

Ethereum’s consistency as a person acquisition chief helps its established place, however Base’s speedy progress demonstrates the potential for newer chains to disrupt the ecosystem. Polygon additionally noticed engagement, leveraging non-DeFi actions to broaden its person base.

Acquired Crypto Customers for Legacy Chains, MoM. Supply: Flipside.

Base attracted 15.1 million tremendous customers—these with over 100 transactions—surpassing even Ethereum and Polygon. This milestone displays Base’s means to maintain energetic engagement, positioning it as a standout platform. Polygon, in distinction, excelled by diversifying its actions and sustaining excessive transaction volumes throughout gaming and non-financial use instances.

Flipside Report Reveals How DEXs Evolve

Uniswap solidified its dominance within the decentralized change sector, capturing 91.3% of acquired person exercise on Base. On Ethereum, Uniswap’s share additionally grew, reinforcing its place because the market chief. Dealer Joe maintained its lead on Avalanche, supported by options like Auto-Swimming pools and multi-chain capabilities.

These shifts illustrate the growing consolidation of DEX exercise round main gamers, highlighting a maturing market. Nonetheless, newer chains face the problem of balancing innovation with person retention.

Acquired Crypto Customers for New Chains, MoM. Supply: Flipside.

New blockchain networks like Aleo demonstrated promising progress however face hurdles in sustaining person engagement. Base, by comparability, emerged as a mannequin for scaling engagement by way of options and partnerships. These new ecosystems should broaden past buying and selling to compete successfully within the broader crypto house.

Macro Developments Drive Institutional Confidence

In response to the Flipside report, regulatory readability performed a vital function in shaping the 2024 crypto house. The EU’s Markets in Crypto-assets Regulation (MiCA) bolstered institutional confidence, encouraging ETF launches and higher adoption. These developments supported constant person progress throughout main chains.

Ethereum stays a vital basis for innovation, notably for Layer 2 options. Whereas Ethereum continues to develop its person base, fostering deeper engagement and new use instances stays a problem.

Because the crypto market matures, new tendencies like GameFi and synthetic intelligence integration are anticipated to drive adoption. These improvements may deal with scalability and information administration challenges, unlocking alternatives for broader person engagement.

“Behind the headlines of file person progress lies a deeper problem: constructing ecosystems that create significant, lasting engagement, not simply fleeting hypothesis. In brief, most blockchains are nonetheless scratching the floor with regards to turning informal customers into high-value contributors,” the report acknowledged.

Flipside’s report highlights a pivotal 12 months for crypto, the place established platforms competed with rising ecosystems. The longer term will rely upon how chains stability innovation, person retention, and regulatory adaptation to maintain momentum in 2025.

With platforms like Base main the best way and Ethereum cementing its dominance, the competitors for person exercise and engagement is much from over.