Web3 revenue shifts from blockchains to wallets and DeFi apps

Revenue successful the crypto manufacture is progressively flowing to user-facing applications alternatively than the underlying blockchain networks, according to caller data, signaling a imaginable displacement successful wherever investors and developers absorption their attention.

Decentralized concern (DeFi) applications present seizure five-times the fees generated by blockchains, according to information shared by Jamies Coutts, main crypto expert astatine crypto quality level Real Vision.

The inclination suggests that much of the industry’s fees volition beryllium captured by DeFi applications similar wallets, decentralized exchanges (DEXs) and different protocols, portion the underlying networks volition pull a smaller stock of revenue.

“While I americium a believer that blockchain’s web effects volition ever bid a premium, it makes consciousness that much worth than what is presently ascribed should drift to the beforehand extremity — wallets, DeFi apps, and protocols closest to users,” wrote Coutts successful a Thursday X post.

Source: Jamie Coutts

The illustration shows a important summation successful the interest stock captured by DeFi protocols, up from astir parity successful mid 2024.

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DeFi apps and protocols go blockchain industry’s apical 17 earners

Data compiled by DeFiLlama shows that DeFi protocols present predominate the rankings of the highest-earning crypto products. The apical 17 fee-generating entities implicit the past 30 days were applications oregon protocols alternatively than base-layer blockchains.

Solana captured implicit $20.4 cardinal successful fees implicit the past 30 days and was the lone blockchain successful the apical 20. However, this pales successful examination to the $563 cardinal generated by stablecoin issuer Tether, the starring protocol by fees, according to DeFiLlama.

Top protocols and chains by fees generated implicit past 30 days. Source: DeFiLlama

Ethereum was the lone different blockchain to marque the apical 30, with $10.3 cardinal generated successful 27th place.

The dynamic suggests that developers and organization investors whitethorn amusement expanding attraction to DeFi apps alternatively than the underlying blockchain layer, arsenic applications pull a increasing stock of full revenue.

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Blockchains by progressive users, 30-day chart. Source: Nansen

Solana’s pb among the chains tin beryllium attributed to its activity, arsenic Solana was the most-used network, with implicit 68 cardinal progressive addresses during the past 30 days, up 14%, according to crypto quality level Nansen.

Ethereum was successful the sixth place, with 13 cardinal progressive monthly addresses, up 53% during the past 30 days.

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