Key indices such as adoption, transaction volumes, and activity levels reached new highs in 2024, giving blockchain technology a significant boost. Despite persistent regulatory hurdles, blockchain is booming, as shown by this increase.
However, the most notable breakthrough that the blockchain achieved in 2024 was the transaction volume. In December, on-chain trades were worth $817 million, which was a lot more than the previous high of $730 million in January 2022. This meant the development raised an annual run rate of a staggering $10 trillion.
Fredrik Haga, CEO of Dune Analytics, said that the number of transactions showed that activity levels were similar to the peak in 2021. This shows that blockchain is becoming more important in the global banking system.
In 2024 unchain adoption reached 2021 levels while also surpassing previous highs in terms of transfer volume and transaction count!
Another significant change in 2024 was a sharp decline in blockchain transaction fees. The cost of transactions has been down from $2 billion in November 2021 to $500 million by December 2024.
This decline removes a large roadblock from adopting blockchain in all walks of life, such as individuals and corporations. This can make blockchains more applicable and scalable since transactions are cheap and thus makes its way toward numerous applications cutting across various industries.
Some of the expected problems and issues aside, the on-chain industry still continued to pursue decentralized structures, and with that, the role that blockchain played in the world’s economy expanded.
In 2024, a significant event — the approval of the Spot Bitcoin ETF by the US Securities and Exchange Commission — provided the broader crypto market with great enthusiasm and optimism. This gave Bitcoin and most other leading cryptos legitimacy and thereby brought in huge institutional investments into the digital market.
In addition to these market events, the win by Donald Trump in November brought up regulatory hope for cryptocurrencies once again. His promises to make the United States the “crypto capital of the planet” and his vow about clearer regulations increased market sentiment even more.
Featured image from Tech Xplore, chart from TradingView
