As of August 31st, Solana saw a drop in daily active addresses to roughly 204,000.
Since The Block’s measurements began in late 2020, that’s the lowest total.
With the lowest number of daily active addresses since The Block began collecting the data in late 2020, the Layer 1 blockchain Solana continues to lose steam.
Employing a seven-day moving average, The Block’s Data Dashboard shows that the number of daily active addresses on Solana dropped to about 204,000 on August 31.
The 7-day moving average is a useful statistic for spotting trends since it displays an indicator’s average value over the last week.
Since the crypto exchange FTX went bankrupt in November and the SEC classified Solana’s native SOL coin as a security, the number of people actively using Solana has dropped dramatically.
Data analyst Rebecca Stevens from The Block Research noted that the Solana ecosystem had already been experiencing a decline in active users prior to the collapse of FTX, but that the blockchain’s strong ties to the exchange and Alameda Research [FTX’s sister trading firm] hurt its reputation a bit. In addition to dragging down the token’s value, the SEC’s classification of SOL as a security has led to the token’s removal from popular U.S. exchanges including eToro and Robinhood.
According to statistics provided by CoinGecko, the price of SOL is now around $20, representing a decrease of almost 7% over the previous seven days. According to DefiLlama statistics, Solana is now ranked ninth in terms of total value locked, with roughly $311 million.
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