Metamask vs. Other Platforms
Q3. How many users are swapping via MetaMask vs other platforms? How much volume have these users done? Chart a comparison between the two, and show the following metrics over a time period of your choosing: transaction volume, average amount swapped, and a comparison of fees.
Metamask is a plug-in that can be installed for various browsers and acts as a wallet on the Ethereum blockchain. Once installed, this wallet allows users to store ETH and other ERC-20 tokens easily and also enables them to interact with any Ethereum address.
By connecting MetaMask to Ethereum-based dapps, users can purchase the items they need for games, share tokens in gambling programs, or trade them in decentralized exchanges (DEX). It also gives users access to the world of decentralized finance or DeFi.
In this analysis, we use the Ethereum On-chain data provided by Flipsidecrypto to compare the Metamask with other swap platforms in the Ethereum ecosystem.
For the period from January 1st, 2022, to the present, we will analyze the following items to gain better insight from Metamask:
- Swap Volume (Metamask Vs Uniswap-v2 and Sushiswap)
- Number of Unique Users (Metamask Vs Uniswap-v2 and Sushiswap)
- Swap Volume, Metamask Vs Sushiswap
- Number of Unique Users, Matamask Vs Sushiswap
- Average Swap Volume, Metamask Vs Sushiswap
- Swap's Transaction Fee ($ USD), Metamask Vs Sushiswap
In this step-by-step section, we analyze the results and charts. First, we will see the number of users who have used the Metamask, UniSwap, and SushiSwap platforms to swap assets in 2022.
Most users are related to Uniswap with 1.2 million users, which is in the first place with a big difference from Metamask and SushiSwap. The number of Sushiswap users is about 347K, and the number of Metamask users is about 297K.
The following chart shows the swap volume in 2022.
Usually, the volume of swap in the DEX is more than the amount on a wallet, and as can be seen from the chart, Uniswap and Sushiswap are in the first and second place, respectively. But $ 6.67B is a significant amount for Metamask.
As seen from the above results, Metamask and Sushiswap are in close competition so we will compare them below.
The number of users who have used the Sushiswap platform to swap their assets has been declining since the beginning of 2022. On the other hand, the number of Metamsk users has not changed much on average, and only in cases such as the period from April 27 to May 16 has it experienced a sharp fluctuation.
If we compare the volume of swaps on the two platforms, it is clear that Sushiswaps have more volume, but this was not unexpected. Because Sushiswap exclusively works on assets swap, this result seems plausible, but Do not forget that the volume of the swap on the Metamask is very high as a wallet that is not exclusive to the swap. The most significant volume of swaps on Metamask occurred on June 25 with approximately $ 577M.
If we look at the average swap volume on each of the Metamsk and Sushiswap platforms (swap volume divided by the number of users), we find that on different dates, the value for the Metamsk was much higher than the Sushiswap. For example, on April 13, the average swap volume on the Metamsk was $ 103.7K and on the Sushiswap was $ 23.5K. Also, since mid-June, the average amount of swap on Metamask has grown significantly.
Finally, we discuss the Volume of transaction fees on the Metamask and Sushiswap.
Metamask does not swap alone, ie here it acts as an intermediary and makes things easier for users. Instead of connecting to a dedicated swap platform, the user easily swaps the desired asset in his or her Metamask wallet. Hence Metamask considers some transaction fees. As can be seen from the chart above, from the beginning of 2022 to the end of February, due to the high volume of transactions, the of transaction fee was high and gradually decreased. In the period from May 9 to May 13, we also see a peak in the chart. This peak was due to the market crash (sudden drop in the price of Bitcoin).