THORChain Revenue Up 71% After L1 Swap Fee Increase

user avatar

by Giorgi Kostiuk

2 years ago

Made with AI

  1. Significant Increase in THORChain Revenue
  2. THORChain Users' Resilience
  3. Growth in User Base and Trading Volume


    4. THORChain, a decentralized liquidity protocol, has recently shown significant growth in revenue from fees, despite maintaining a stable user activity volume.

    Significant Increase in THORChain Revenue

    After more than four months of consolidation, THORChain's fee revenue has risen above the $500k mark, reaching $744.8k last week. This represents a 71% increase over the previous week, indicating a significant breakout.

    THORChain Users' Resilience

    This increase is particularly noteworthy as it occurs during the first full week since raising the minimum Layer 1 (L1) swap fee to 0.15%. Despite the higher costs, network users have demonstrated remarkable resilience. The L1 swap traffic has remained strong, with average daily volume holding steady at $30.8 million. This indicates that users are undeterred by the higher fees, showing the value they find in THORChain's services.

    Growth in User Base and Trading Volume

    The increase in swap fees has had a significant impact on the protocol's revenues. Since the price hike, average daily swap fees grew from $9.1k to $47.6k, a fivefold increase. This is especially notable given the steady swap volumes, suggesting the protocol has greatly benefited from the higher costs. Additionally, for the first time in 2024, network fees exceeded block rewards. Last week alone, liquidity fees accounted for 51% of total incentives distributed, highlighting the growing significance of fee revenue in the protocol's overall financial structure. In addition to strong financial figures, THORChain has experienced significant user growth. According to CNF, THORChain's user base increased by 41% in 2024, reaching over 510,000 unique users. This rise in users is reflected in the protocol's trading volume, which topped $71 billion, with a record-breaking $3 billion in just a few weeks this year.

    Thus, despite the increased fees, THORChain shows consistent growth in revenue and user activity, underlining the significance and demand for its services in the market.

Tier I

Sector: #18291

Sealed Cache Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, caches will be stored in your inventory and can be opened with Keys.

Other news

Zcash's Impressive Market Performance and ETF Launch

chest

Zcash has experienced a remarkable price increase, gaining over 2,300% in the past year, aided by the launch of Grayscale's Zcash ETF.

user avatarLucas Weissmann

Zcash Surpasses $1,000 Mark, Achieving New All-Time High

chest

Zcash's price broke above $1,000 for the first time in nearly a decade, marking a significant milestone in its market performance.

user avatarRajesh Kumar

Trezor Implements New Security Measures After Data Breach

chest

Trezor is enhancing security measures, including anonymous delivery options, in response to a data breach affecting 67,000 customers.

user avatarFilippo Romano

Data Breach Affects 67,000 Trezor Customers

chest

A data breach at shipping provider ShipMonk has exposed personal information of 67,000 Trezor customers in the US.

user avatarEmily Carter

BAI Establishes Global Settlement Layer for AI Agents to Enhance Collaboration

chest

BAI is building a global settlement layer to enhance collaboration and efficiency among AI agents across various workflows.

user avatarTomas Novak

BAI Launches Free Access to Premium AI Models, Surpassing 133 Trillion Daily Tokens

chest

BAI has launched free access to its premium AI models, leading to a significant increase in platform activity and user adoption.

user avatarKaterina Papadopoulou

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.