Hedera (HBAR), the open-source Proof-of-Stake (PoS) blockchain network, made significant progress in the fourth quarter (Q4) of 2023, according to a recent report. report by Messari. The network’s performance showed remarkable growth in key metrics, surpassing the crypto market.
Hedera outperforms the crypto market with a 78% quarter-over-quarter increase
During the fourth quarter of 2023, Hedera’s circulating market capitalization saw a 78% increase quarter-on-quarter (QoQ), reaching $2.9 billion. This growth exceeded the total growth growth rate of the crypto market of 54%, indicating Hedera’s growing influence. The year-over-year (YoY) change for HBAR was 211%, reflecting the network’s progress and adoption.
Along the same lines, Hedera Network’s revenue witnessed a substantial 59% quarter-on-quarter increase, reaching $1.6 million in the fourth quarter of 2023, mainly due to a 66% quarter-on-quarter increase in transactions, powered in particular by the Hedera Consensus Service.
Moreover, the revenue is generated from Token and Smart contract services contributed approximately 14% of total revenue, which is an example of a healthy distribution of Hedera’s revenue streams.
With a fixed total supply of 50 billion HBAR, 33.6 billion HBAR, or 67% of the total supply, was in circulation in the fourth quarter of 2023.
HBAR’s quarterly distribution, reported via the Hedera Treasury Management Report, expects an additional 10% of total supply to be unlocked in the first quarter of 2024, including new ecosystem subsidies.
While the number of addresses decreased in the fourth quarter of 2023, with an average per day active addresses With a 22% quarter-on-quarter decline to 6,600 and a 39% quarter-on-quarter decline in the average number of daily new addresses to 5,200, there was still substantial year-on-year growth. Active addresses increased 90% year-over-year, and new addresses increased 123% year-over-year.
Hedera Network achieved a new record in transaction volume for the sixth quarter in a row, with an impressive daily average of 164 million transactions in the fourth quarter of 2023, representing a 66% quarter-on-quarter increase. The Hedera Consensus Service remained the main driver of this activity, accounting for 99% of all transactions on the network.
DEX trading volume skyrockets 164% quarter-over-quarter
In the fourth quarter of 2023, the Hedera network reported 28 billion HBAR deployed, representing 85% of circulating and 56% of total supply.
Entities such as Swirlds and Swirlds Labs were instrumental in deploying their HBAR allocations, and the Hedera Treasury supported validators in meeting the minimum stake threshold for network consensus.
Total Value Locked (TVL) of the Hedera network showed positive growth, reaching $64 million at the end of 2023, reflecting a significant year-on-year increase of 169%. The TVL, expressed in HBAR, was 733 million, indicating an increase of 16% quarter-on-quarter and year-on-year. Interestingly enough, Hedera’s TVL was among the top 40 blockchain networks.
Additionally, Hedera Network experienced a 164% quarter-over-quarter increase in average daily trading volume on the decentralized exchange (DEX), reaching $1.3 million, an all-time high. SaucerSwap dominated DEX trading volume on the Hedera network and was responsible for the majority of trading activity, as seen in the chart below.
Finally, stablecoin market capitalization on the Hedera network grew by an impressive 73% quarter-on-quarter, peaking at a total of $6.3 million by year-end. Circle’s USDC was the only stablecoin available on Hedera.
The rank of the network in the stable currency the market capitalization of blockchain networks improved by four places quarter-on-quarter, solidifying Hedera’s position in the stablecoin market.
Under current market conditions, the price of HBAR stands at $0.0736, showing substantial growth in the last 24 hours, up 5%.
Featured image from Shutterstock, chart from TradingView.com
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