The Ethereum network has recorded significant growth in the activity of users. This has been primarily due to the growing need for smart contracts and the buzz around DeFi. It seems that it might just be a matter of time before Binance Smart Chain (BSC) beats it in the number of daily active addresses.
A comparison of data from Etherscan and BscScan shows that BSC is currently recording a sharp rise in the number of daily active addresses while Ethereum has remained largely constant since October 2020. The growth in the number of daily active addresses started in February 2021 for BSC and has been rising steadily since then.
At the moment, there are roughly 400,000 active addresses per day which is more than the average for Ethereum in October 2020. While Ethereum’s average number of daily active addresses is approaching 600,000, it may just be a matter of time before BSC catches up with it at this rate of growth.
The sudden rise in the activity on BSC may be due to the ever-increasing gas fees on Ethereum. The gas fees have been rising since last year owing to the high activity on the network. As a result, users of the network have been looking for alternative networks to use and Binance Smart Chain and Tron are other networks that are now used as an option to Ethereum, although it still maintains the lead.
These statistics coincide with the recent increase in the price of Binance Coin (BNB). BNB is currently the 3rd largest cryptocurrency with a market capitalization of almost $90 billion. The price has hit $580 as of publication after gaining by 50% in the last 7 days.
Nonetheless, Ethereum remains much higher in terms of price at $2,225 and a market valuation of $250 billion. With the recent integration with scaling solutions, the gas problem may be resolved and Ethereum can maintain its lead or BSC will have a good chance of outcompeting it in the near future.