Ethereum revenues hit $369 million in Q1 2024

Compared to the previous quarter, the figure tripled

03.04.2024 - 14:06

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3 min

What’s new? Ethereum, the largest blockchain network by transaction volume, has shown significant growth in the first quarter of 2024. According to Coin98 Analytics, the platform’s revenue tripled year-on-year to $369 million.

Source: Twitter.com

What else is known? Ethereum generated $1.2 billion from transaction fees from January to March, up 84% and 161% respectively compared to the previous quarter and the same reporting period in 2023.

The total number of transactions grew 8,4% quarter-on-quarter to over $107 million. Additionally, Ethereum’s total value locked (TVL) grew by 86% quarter-on-quarter to $55,9 billion.

Ethereum network’s growth of activity has caused the supply of ETH to fall to its lowest level since August 2022

The number of active addresses and transaction volume reached a yearly peak

The growth in network usage was seen despite users facing high fees. In late February, the ETH native token rate surpassed the $3000 mark. At that time, some users reported paying more than $100 per transaction at peak times, with ETH swap fees reaching $400.

At the same time, on March 13, the Dencun hard fork took place, which allowed reducing fees in Layer 2 (L2) networks based on Ethereum by 60-90% due to proto-danksharding. After that, the daily number of transactions in the L2 network Base from crypto exchange Coinbase updated the record. Base is currently experiencing an increase in activity due to the meme token boom.

Capitalization of Solana and Base-based meme tokens fell by 12% and 19% amid BTC depreciation

By now, the market is showing a recovery

Earlier, Polygon Labs CEO Marc Boiron, said that L3 networks are risky for Ethereum. He believes L3 networks exist solely to take value away from the underlying blockchain.

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