According to Cointelegraph: The streamlined blockchain infrastructure for decentralized applications (DApps) is experiencing a significant surge, with an uptick of active daily wallet usage by 77% in Q1 2024, according to DappRadar. The total number of daily active wallets reached the 7 million mark, reflecting an approximate rise of 40% from February 2024, the highest adoption figures since 2022.
In the aftermath of numerous approvals of spot Bitcoin ETFs by the US Securities and Exchange Commission, the world's dominant cryptocurrency, Bitcoin, hit multiple record-high values. Such overall market optimism also seems to have rejuvenated interest in nonfungible tokens (NFTs), which saw a slump in activity in 2022 but significantly drove the DApp sector's growth in 2023.
Data from DappRadar suggests that uniquely active daily wallet counts escalated to 4.8 million in 2023, a figure surpassing the previous year's by over double. Amongst the contributors, the NFT sector showed robust gains, registering a whopping 166% rise over 2022.
The NFT market remained consistent in its momentum, with Q1 2024 experiencing a 50% surge in trading volume, which amounted to $3.9 billion, and a 13% growth in sales reaching $11.6 million, becoming the strongest quarter for NFTs since Q1 2023.
The social vertical of the DApp platform led the sector's expansion in Q1 2024 with an extraordinary 324% growth in active wallets. While Decentralized Finance (DeFi), gaming, and NFTs sustained their stability, the spike in social media-based DApps could signify an emerging industry trend.
However, there's been mixed news for the Web3 infrastructure, as losses due to exploits and hacking incidents climbed by 9% year-on-year to reach $407 million in Q1 2024. Despite a 32% reduction compared to Q4 2024, these figures highlight the need for stricter security measures to safeguard the growing user base.
