DeFi Fuel: Daily Transactions on Ethereum Near 2017 Highs

According to data on Ethereum block explorer Etherscan, the daily transaction on the Ethereum (ETH) network exceeded one million in the last 24 hours. 

Etherscan revealed that the Ethereum blockchain recorded 1,073,442 transactions over the last 24 hours, showing that the amount of transactions on the network has gained momentum after the market crisis in March. 

Before now, the last time the Ethereum blockchain registered over one million daily transactions was on June 28, 2019. At that time, the network registered 1,004,170 transactions. 

Gradually, the number of transactions is getting close to the values recorded in late 2017 and early 2018. During that period, the on-chain transaction value of Ethereum transactions hit a record high of 1,349,890 daily transactions on January 4, 2018, when the ETH price surpassed $1000.

DeFi sparked the increase

The decentralized finance (DeFi) space has seen significant growth in recent times, and many crypto investors have widely adopted the initiative. 

Many DeFi projects facilitate the lending and borrowing of crypto assets in a decentralized manner. Earlier this month, the value of ETH locked in DeFI applications reached $1 billion again, a few months after it first achieved the milestone earlier this year. 

Notably, the total value of ETH in DeFi apps consists of all projects, including smart contracts, applications, and protocols built on the Ethereum network. 

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Compound Protocol leading Ethereum-based DeFi

Since the achievement, the DeFi space has not slowed down, as new milestones are being recorded daily, especially from the Compound Protocol. 

Compound Protocol, which was the second-largest Ethereum-based DeFi project a few months ago, has become the market leader after the project recorded unprecedented growth this month. 

In February, Compound announced a change in governance approach from being controlled by its founding members to a community-led one, thus promising to release and distribute a governance token called COMP.  According to the project, the token would give community members the right to involve in crucial decision-making processes on how the project would be governed. 

Compound released the first set of Comp tokens on June 16 without a price, thus allowing the market forces of demand and supply to determine its value. The COMP token grew from $0 to $230 within the first week of distribution. At the time of writing, the value of COMP is $315.22, and the token is now the 21st largest cryptocurrency by market cap. 

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