Polygon PoS in Numbers

Part 1: Polygon PoS engagement growth

Polygon’s active users jumped an incredible 61.36% week over week. With six consecutive weeks of growth, DAUs have multiplied 2.6x in just 28 days.

Active users are growing at an accelerating pace.  Typically larger scale means lower growth rates. However, over the last month Polygon’s growth rates have increased steadily, from a low of +0.73% to last week’s +61.36%.

This growth has led to Polygon helping more people access web3 than Ethereum itself. Since October 1st, Polygon has had higher daily average users relative to Ethereum. On a weekly basis, Polygon had 99.2% of Ethereum’s average DAU.

Likewise, Polygon has made significant strides relative to Binance Smart Chain. We see that last week, Polygon jumped to 45.48% of BSC’s active users. Below is a chart showing how Polygon is growing faster than both of these chains.

Increased cohort sizes continue to be a primary factor in user growth.

Last week saw 361.4k new addresses interact with the network. This was by far the largest cohort to date, increasing ~60% week over week.

In addition to cohort size, we are seeing much better retention over the last few weeks, particular in the  last cohort.

Since cohort 30 (end of July), no cohort has been in top 50% quartile of retention. Until last week, which boasted a 36.71% week 1 retention rate.

Despite the user growth, transactions on Polygon PoS actually declined slightly (-4.26%) to 6.26mm.

While this isn’t what we would typically expect, we do see that transactions per user remain elevated, even compared to other low-fee chains. Currently, transaction/address sits at 13.48, much higher than the 5-10 range Binance Smart Chain experiences for example.

Over the medium term, we would expect transaction per address to continue to decline, but overall transactions to increase.

Part 2: Polygon PoS monetization growth

Network revenues seesawed back down this week. After increasing 26.61% last week, revenues are down -32.57% this week. This continues the pattern of volatility in network fees we’ve seen over the last several months.

The primary cause was a decline in the average cost per transaction. Transaction costs fell -29.57%, reaching $0.00418. This is the lowest transaction costs since last July and is a fantastic sign as Polygon PoS continues to scale while maintaining transaction costs of well under a cent.

Summary

The biggest catalyst for user growth is use cases outside of DeFi. Arc8 and the continued success of gaming titles on Polygon such as Neon District and Revv Racing are the biggest week-over-week contributors.

Another major catalyst are NFT adoption on Polygon. 

We put together an in-depth thread on OpenSea’s success on Polygon. There we describe how trader activity and artists are changing behavior, as well as share some incredible adoption stats such as having 272k active traders in September alone. You can find the full thread here.

Be a part of our social ecosystem!

More from the Polygon Blog
Announcing Polygon Pod, a Podcast From the Epicenter of Web3

What’s the future of DeFi? How can blockchain projects shake the reputation for being bad for the environment? What in the world are zero knowledge proofs? How can Web3 attract and accommodate the next billion users? When Flippening? You want to know the answers and so do we. That’s why Polygon is launching Polygon Pod […]

Read More
Introducing Polygon Nightfall Mainnet: Decentralized Private Transactions for Enterprise

We’re in the early innings when it comes to enterprise needs for blockchains. Whether it’s supply chain management or marketplaces, the potential for secure business transactions on a public ledger has enormous implications. That’s why we’re pleased to announce Polygon Nightfall, a blockchain solution that leverages cutting edge Optimistic-Zero Knowledge technology to give businesses an […]

Read More
Polygon Is Going Carbon Negative in 2022 With a $20 Million Pledge

Today marks the start of a new, sustainable era for the Polygon ecosystem -- the core team has committed to eliminating all of the network’s carbon debt going back to inception and making the chain climate positive into the future. Polygon’s Green Manifesto announced today is part of a broader vision for sustainable development that […]

Read More
Introducing Polygon ID, Zero-Knowledge Identity for Web3

At Polygon, we believe that putting people firmly in control of their digital identities is at the core of Web3’s promise to empower users over networks. We have been working behind the scenes to fulfill this promise and today are proud to introduce Polygon ID, the self-sovereign, decentralized and private identity for the next iteration […]

Read More
Calling All Web3 Developers: #WAGMIonPolygon

This is Dalip, head of Developer Relations at Polygon. These past few weeks have been tough on everyone in Web3. But when the going gets tough, the tough get building. That’s why today we are announcing #WAGMIonPolygon, a new series for developers available on our YouTube channel. The program will focus on educational content, expert […]

Read More
PolygonInsights - WEEK19

Hola readers! Roland-Garros, an eTennis competition series by BNP Paribas, will launch its first NFT collection on Polygon, Chainsmokers shared their album royalties via NFT drops on our network, and the Polygon PoS bridge maintains its position in the Top 5 most used dApps on Ethereum. Let’s dive in.  Key takeaways:  There was an increase […]

Read More
MSP Recovery and Tokenology Choose Polygon to Tokenize Medical Claims

MSP Recovery, a $32.6 billion publicly-traded U.S. company leading the healthcare reimbursement recovery industry, has partnered with Tokenology to launch a healthcare claims tokenization platform that will help eliminate fraud and benefit patients, care providers and insurers alike.  LifeChain will run on Polygon, leveraging the carbon-neutral network’s low transaction fees, high throughput and a suite […]

Read More
crossmenuchevron-down-circle