Blockchain technology offers a ton of on-chain statistics on network activity and market trends. But sorting through it all can be overwhelming. On-chain research tools help you make more informed decisions by processing this data into actionable insights.Â
In this article, weâll explore the best blockchain data platforms for on-chain research in 2024, highlighting their key features and how they can enhance your understanding of cryptocurrency dynamics.
Weâll start by explaining blockchain data, the gap between on-chain and off-chain data, how on-chain analysis works, and why getting this right helps your research.
What is Onchain Analysis?
Letâs kick things off with a quick explainer. On-chain analysis involves examining blockchain data to understand network activity, user behavior, and market trends. This process focuses on transaction details such as addresses, transferred funds, wallet balances, and feesâcollectively known as on-chain data. Due to the decentralized, transparent, and immutable nature of blockchain, this data is both reliable and publicly accessible. Think of it like fundamental analysis in stock trading, but more specificâit helps you figure out if a coin is being overbought or oversold based on the overall market sentiment.
What is Blockchain Data? The ABCs of On-Chain Data
On-chain data breaks down into several categories, depending on the type of information and its purpose in the blockchain.
Transaction Data: This data category includes the crypto transaction volume, sender and recipient addresses, the timestamp of the transaction, and any related processing fees.
Smart Contract Data: On blockchains like Ethereum, smart contracts open up a whole new world of data! This includes the contractâs code, the values stored within it, and detailed records of every interaction and outcome
Metadata: Think of metadata as the fine print that gives you more insight into blockchain transactions and blocks. It includes details like block hashes, links to previous blocks, merkle roots, nonce values for proof-of-work, and mining difficulty levels.
Account Data:This category relates to the state of blockchain addresses, including the current balance of cryptocurrency or tokens and a history of all transactions tied to each address.
Consensus-related Data: Consensus-related data provides insights into how transactions are verified on the cryptocurrency network, covering validator stakes in proof-of-stake and miner activities in proof-of-work systems.
Protocol-level Data: Protocol-level data is all about the settings that control the blockchain, including block size limits, gas prices, and details on protocol upgrades or hard forks.
What is Off-chain Data? On-Chain vs. Off-Chain
Now that we know what on-chain crypto data is, letâs talk about its off-chain cousin. Off-chain data refers to transactions that occur outside the blockchain network, meaning they are not recorded on the blockchain but can still interact with it. They are stored in traditional databases and servers.
Hereâs a quick breakdown:
On-chain: Recorded directly on the blockchain, transparent, and immutable.
Off-chain: Processed externally, potentially faster and more private, but may sacrifice some security.
Off-chain data can be less secure and transparent compared to on-chain data since it often depends on different protocols or third-party services, which might introduce trust issues or potential failures. Itâs also not always as easy to audit or verify as on-chain data.
Off-chain solutions include state channels, sidechains, and layer-2 protocols. Theyâre great for things like:
High-frequency trading on exchanges
Private transactions
Scaling solutions like Bitcoinâs Lightning Network or Ethereumâs Optimism
The choice between on-chain vs off-chain solutions depends on specific use cases, with many blockchain projects leveraging a combination of both to optimize performance and security. Itâs crucial to comprehend these distinctions for anyone aiming to excel as a blockchain on-chain data analyst.
How Does On-chain Analysis Work?
On-chain analysis can provide valuable insights into network activity, including intricate details about blockchain data storage, such as how a block of data on a blockchain gets locked and the volumes being transacted. It works by examining crypto transactions directly recorded on a blockchain to gain insights into network activity and user behavior.
The process typically involves:
On-chain Data collection: View blockchain transactions and extract raw data from blockchain nodes or APIs.
Data processing: Cleaning and organizing the data into usable formats.
Metric calculation: Deriving meaningful indicators from the raw data.
Visualization: Creating charts and graphs to represent trends and patterns.
Interpretation: Analyzing the visualized data to draw conclusions about market sentiment, user behavior, or network health.
Key metrics often examined include crypto transaction volumes, active addresses, token flows between exchanges and wallets, and mining/staking activity.
Top Blockchain Data Platforms
The blockchain world has a lot of tools for analyzing on-chain data. After thorough testing, weâve found the top eight blockchain data analysis tools that will help you and your business make smart, data-driven decisions.
Platform Best For: Price Freemium/ Free Trial 1. Dune Overall Best On-chain Data Analysis $349 and $849/month Yes 2. DefiLama DeFi Ecosystem Analysis Free N/A 3. Chainalysis Regulatory Compliance Tailored Yes 4. Glassnode Institutional-Grade Insights $29 and $833.33/ month Yes 5. Flipside Crypto Bounty Programs Free N/A 6. L2beat Layer 2 Scaling Solutions Analysis Free N/A 7. Growthepie Blockchain Adoption Metrics Free N/A 8. CryptoQuant Trading Signals $29, $99 and $799/month Yes
#1 Dune Analytics: Best Overall Blockchain Data Analysis
Dune Analytics is our most recommended on-chain data analysis tool. It is widely used in the crypto community to examine chains such as Bitcoin, Ethereum, Tron, Optimism, Fantom, xDai, Polkadot, Polygon, Optimism, BSC, and Solana, as well as newer additions like as Arbitrum, Mantle, Blast, zkEVM, zkSync, Zora and Base. Crypto fans use the program to analyze decentralized exchanges, lending methods, OpenSea listings, and much more. Users can query for data such as the longest ethereum transaction time, visualize, share, and export data from over 60 blockchains. Founded in 2018 by Fredrik Haga and Mats Julian Olsen, this Oslo-based startup provides over 1.5 million datasets and is trusted by over 6,000 Web3 enterprises and millions of consumers.Â
Dashboard by hagaetc What Makes Dune Stand Out?
Data Catalyst: Duneâs Data Catalyst program allows users to organize and update blockchain data, keeping the platform current and effective for analyzing developments across different blockchain systems.
Dune API: This blockchain data API enables developers to integrate seamlessly with Dune, facilitating the growth of web3 apps. It supports importing off-chain data from 350+ sources and combining it with 500TB of on-chain data.
Dune Datashare: In collaboration with Snowflake, Dune Datashare integrates blockchain data with business intelligence tools. Users get curated access to over 1.5 million tables of blockchain data, including smart contracts, protocol insights, and DEX/NFT trades.
Customizable Analytics: Dune supports custom SQL queries, allowing users to create tailored dashboards for complex blockchain data analysis. Dashboards can be shared for collaborative insights.
User-Friendly Interface: Dune is designed for ease of use, with tools like Dune AI for no-code setup and auto-debugging. It caters to both tech-savvy users and beginners, making blockchain data analysis accessible for all.
Pros and Cons of Dune Analytics
Pros Cons Easy creation and sharing of custom dashboards SQL knowledge required for advanced queries User-friendly interface with AI-assisted tools Paid plans can be costly for low-budget users Supports multiple blockchains Data accuracy may depends on community contributions
#2 DefiLama: Best for DeFi Ecosystem Analysis
DefiLama takes the second position in our ranking for the best on-chain data research tools for 2024. It is a 2020 established DeFi powerhouse that provides industry-leading data gathering and analytics. The platform provides data on critical performance factors such as annual percentage yield (APY), trading volume, market capitalization, and protocol revenues. It is fully free to use, and while it makes the majority of its revenue from new project listings and token exchange referrals, its open-source structure ensures that the community contributes to the data. As of 2024, DefiLlama tracks more than $93 billion in total value locked (TVL), making it an essential resource for anyone interested in DeFi. Its user-friendly interface and detailed statistics make it an essential tool for both individual and institutional investors. A recent addition to DefiLlamaâs services, allows users to monitor NFT market trends.
What DefiLlama Offers
Total Value Locked (TVL) Tracking: DefiLlama collects TVL data from over 2,000 DeFi protocols across 100+ blockchain networks, including Ethereum, Polygon, Arbitrum, Avalanche, and Solana.
Comprehensive Metrics: Users can access data across various blockchain networks to compare and analyze DeFi activity across different ecosystems.
Comparative Analysis: The platform allows users to evaluate blockchain networks based on metrics like fees, TVL, revenue, and active users, providing insights into different DeFi protocols, including borrowing and liquid staking.
Yield Farming and Staking: Users can explore and compare yield farming and staking options across multiple protocols.
Governance Token: DefiLlama has introduced a governance token for community involvement in platform decision-making.
DEX Aggregator: The platform features a DEX aggregator to help users find the best trading rates across various exchanges.
Airdrop Tracking: DefiLlama keeps users updated on potential token airdrops within the DeFi space.
Pros and Cons
Pros Cons Free to use Focused just on DeFi Intuitive data visualization Less suitable for advanced, customizable analytics Multi-chain support Lack of advanced predictive analytics
#3 Chainalysis: Best for Regulatory Compliance
It would be remiss to conclude this piece without mentioning Chainalysis. Founded in 2014 by Michael Gronager, Jan Moller, and Jonathan Levin, Chainalysis is a leading firm in blockchain data analytics with a strong focus on regulatory compliance and fighting financial crime in the cryptocurrency space. Theyâve made a significant impact globally, including recovering over $1 billion related to the Silk Road marketplace. Chainalysis partners with key U.S. agencies like the FBI and DEA, as well as international organizations such as Europol. In 2023, they launched Cross-Chain Investigations to track funds across various blockchains and have expanded their footprint into the Asia-Pacific region with new offices and local partnerships.
Key Features
Extensive Data Mapping: Chainalysis has mapped over 1 billion addresses to real-world entities, providing unparalleled insight into cryptocurrency transactions.
Crypto Business Profiling: Chainalysis Kryptos offers detailed profiles of cryptocurrency businesses, including KYC information and risk assessments.
Advanced Investigation Tools: Chainalysis Reactor allows for in-depth investigation and analysis of cryptocurrency transactions, linking them to real entities.
Real-time Compliance API: The Know Your Transaction (KYT) API enables real-time monitoring and detection of suspicious activities, ensuring regulatory compliance.
Continuous Data Updates: The platform adds over 100 new services to its database weekly, helping to identify potential scams and illicit activities.
Pros and Cons
Pros Cons Comprehensive Asset Coverage Complexity of tools Law Enforcement Partnerships Costly to use and maintain Industry-wide Adoption Potential privacy concerns
#4 Glassnode: Best for Institutional-Grade Insights
Yann Allemann and Jan Happelâs 2018 creation, Glassnode, is well in the race for the fourth position among the best on-chain crypto research tools of 2024. Itâs a leading blockchain data and intelligence platform based in Switzerland. It serves institutional investors and advanced traders with professional-grade analytics on major cryptocurrencies, including Bitcoin on-chain data and Ethereum. Glassnode provides extensive metrics on network health, market sentiment, and user behavior. Recent updates have introduced expanded DeFi analytics and new tools for analyzing Bitcoinâs Lightning Network and Layer 2 scaling solutions. The platformâs âWorkbenchâ feature, introduced in 2022, allows users to create custom charts and perform detailed data analysis without coding experience.
Key Features
Comprehensive On-Chain Metrics: Glassnode offers over 1000 indicators that analyze various aspects of blockchain networks.
Entity-Adjusted Indicators: The platform uses clustering algorithms to group addresses into entities, allowing for more precise analysis of user behavior and differentiation between individuals, exchanges, and other market participants.
Real-Time Data Updates: Glassnode refreshes most data points every 10 minutes, providing near real-time updates crucial for traders and analysts making quick decisions.
Multi-Asset Coverage: Initially focused on Bitcoin, Glassnode now includes Ethereum, major altcoins, and DeFi protocols, enabling comparative analysis across various blockchain ecosystems.
Customizable Alerts: Users can set alerts for specific metrics to stay updated on significant market movements or network events without continuous monitoring.
API Access: The platform offers a robust API for institutional clients to integrate on-chain data into trading systems or research processes, beneficial for quantitative traders and data scientists.
Pros and Cons
Pros Cons High-quality, accurate blockchain data Can be complex for beginners TradingView integration Less coverage of smaller altcoins Over 3,500 metrics available Limited alert options on free/lower tier plans
#5 Flipside: Best for Crypto Bounty Programs
Flipside, established in 2017, leverages a community of over 110,000 analysts who earn cryptocurrency tokens for providing insights and completing bounties. For instance, a top analyst earned 1047.89 LUNA tokens (about $50,000) in a 10-week span. The platform fosters data analysis and engagement in the crypto space, partnering with over 20 blockchain projects like Solana, NEAR, and Avalanche. Notable investors, including Republic Capital, True Ventures, and Coinbase Ventures, support Flipside, reflecting confidence in its blockchain analytics approach.
Flipsideâs standout features:
Community-Enabled Analytics (CEA): Flipsideâs CEA program incentivizes on-demand insights through bounties.
Cross-chain Analytics: Provides analytics across nearly two dozen blockchains, including Ethereum, Solana, Flow, Near, Cosmos, and Polygon
Educational Resources: Flipside provides extensive tutorials and guides, making it accessible for newcomers to blockchain analytics.
Flipside API: Allows developers to integrate Flipsideâs vast blockchain data directly into their applications.
User-Friendly Interface: Offers tools for no-code creation and auto-debugging, making blockchain data analysis accessible to users with varying levels of technical expertise.
Pros and Cons
Pros Cons Data-driven insights Data quality concerns Predictive capabilities Risk of automated errors Fast and efficient Might require advanced skills
#6 L2beat: Best for Layer 2 Scaling Solutions Analysis
L2BEAT has been around since 2021, but youâd never guess it! Itâs already made a splash as a top analytics tool for Ethereum Layer 2 solutions, offering detailed data tracking, an intuitive interface, and a strong commitment to transparency. The platform has made a name as a leading analytics platform for Ethereum Layer 2 (L2) scaling solutions. It tracks over 30 L2 projects, including Arbitrum, Optimism, and zkSync, providing valuable data for developers, investors, and researchers. L2BEAT delivers current information on Layer 2 protocols, including Total Value Locked (TVL), transaction volumes, and user activity, enabling users to make decisions based on the latest market conditions. Funded by Gitcoin, the Ethereum Foundation, and community donations, L2BEAT remains independent and delivers unbiased, accurate information on Ethereumâs L2 ecosystem.
Why it Stands Out
Layer Two Education: L2BEAT provides educational guides and explanations on Layer 2 technology, aiding newcomers in understanding Ethereumâs scaling ecosystem.
Impartial and In-Depth Analysis: Funded by grants and donations, L2BEAT ensures unbiased, fact-based analysis, maintaining independence and earning trust within the Ethereum community.
Community-Driven Approach: L2BEAT engages with the Ethereum community through protocol governance, conferences, and open-source tools, contributing to the broader ecosystem.
Technological Breakdown: The platform offers in-depth explanations of Layer 2 technologies, such as Optimistic Rollups and ZK Rollups, to help users and developers understand different scaling approaches.
Pros and Cons
Pros Cons Open-source tools to support the Ethereum developers Focused solely on Ethereum L2 solutions Specialized analysis of the L2 ecosystem May require technical knowledge Transparent and unbiased insights Relatively new platform
#7 Growthepie: Best for Blockchain Adoption Metrics
Ranked at number five is Growthepie, a company determined to dominate the Layer 2 space with L2BEAT. Launched in 2022, Growthepie is gaining prominence in blockchain data analytics, providing valuable insights into Ethereum layer 2 solutions and other scaling technologies. The platform offers new perspectives on network growth, user engagement, and overall blockchain health. Recent updates have expanded its data coverage to include detailed insights on specific blockchain applications, which are advantageous for investors, developers, and researchers. Growthepie also tailors analytics for enterprise clients. Supported by grants from the Ethereum Foundation and other organizations, Growthepie aims to enhance Ethereumâs ecosystem with precise and comprehensive analytics.
Growthepieâs unique offerings:
Adoption Metrics: Tracks key indicators of blockchain adoption like daily active addresses and transaction counts
Network Comparisons: Allows easy comparison of adoption metrics across different blockchain networks
Visual Data Representation: Presents complex data through intuitive charts and graphs
Focus on Layer 2 Solutions: Provides in-depth analytics on Ethereum scaling technologies like Optimism, Arbitrum, and zkSync
Real-time Data: Offers up-to-date information on transaction volumes, active addresses, and gas fees
Customizable Analytics: Allows users to create personalized dashboards and reports
User-friendly Interface: Designed to be accessible for both novice and experienced blockchain analysts
Pros and Cons
Pros Cons Intuitive dashboard Relatively new Growthepieâs Limited Scope Educational Tools Reliance on Funding
#8 CryptoQuant: Best for Trading Signals
Rounding out our list is CryptoQuant, founded in 2019. It might not be the biggest name out there, but under Ki Young Juâs leadership, itâs quickly become a go-to for top-notch trading signals and market insights in the crypto space. Based in South Korea, they offer in-depth data analysis on a variety of digital assets, from Bitcoin and Ethereum to various altcoins. CryptoQuant is especially known for tracking big moves in cryptocurrency, like those involving âwhaleâ wallets and exchanges, which helps traders predict market trends. Theyâve recently added detailed DeFi analytics, including info on liquidity pools and yield farming. Their new API service, launched in 2023, makes it easy to integrate their data into other apps and trading systems. Plus, their partnerships with major exchanges like Binance and Coinbase boost their data accuracy and market reach.
Key unique features of CryptoQuant
Exchange Flow Indicators: Provides real-time data on cryptocurrency flows in and out of exchanges, with metrics like Exchange Netflow, All Exchanges Reserve, and Miner to Exchange Flow..
Miner Data Analysis: Offers insights into miner behavior with metrics such as Minerâs Position Index and Puell Multiple, which can signal potential selling pressure and impact market prices.
Token Age Consumed: Measures the amount of tokens changing addresses and the time since they last moved, useful for identifying trend reversals or significant market events.
MVRV Ratio: The Market Value to Realized Value ratio helps assess whether an asset is overvalued or undervalued compared to its historical fair value.
Customizable Alerts: Users can create personalized alerts for various on-chain metrics, receiving notifications via email, mobile, or trading platform integrations to respond quickly to market changes.
Machine Learning Predictions: Utilizes advanced algorithms to generate predictive models based on historical data, offering potential future price trends and market scenarios.
Pros and Cons
Pros Cons Cross-Chain Analytics Focused primarily on on-chain data Pre-built metrics and customizable analytics tools Historical data for certain metrics may be mutable Integrates with CME DataMine for institutional access Steep learning curve for beginners
How to Choose the Best Blockchain Data for your On-chain Analysis
Picking the right blockchain data for on-chain analysis means looking at how accurate, thorough, and up-to-date the data is. Go for tools that give you detailed info, trustworthy sources, and solid analytics to boost your research and trading game. If youâre a developer, having a blockchain API is a must. So, choose a platform with an easy-to-access API, smooth integration, and solid support.
Closing Remarks
The importance of on-chain analysis in crypto trading cannot be overstated. On-chain analysis tools such as Dune Crypto Data Platform serve as powerful lenses, providing a detailed view of blockchain operations. They illuminate transaction patterns, wallet behaviors, and network health, providing traders and researchers with invaluable insights. Yet, these tools are most potent when integrated into a comprehensive research strategy, and combined with other forms of analysis including technical analysis.
Remember:
On-chain data is a piece of the puzzle, not the entire picture
Combine on-chain insights with technical analysis, fundamental research, and market sentiment
Stay adaptable â the most effective tools today may be outpaced tomorrow
Ultimately, the best crypto research tools for on-chain analysis are those that align with your specific needs, trading style, and analytical capabilities.
The post Best Blockchain Data Platforms for On-Chain Research appeared first on NFTgators .
