Try Quests to earn cryptoAcquiring goBTC and goETH
Where are users acquiring goBTC and goETH? Are they acquiring the assets by swapping or by minting? Has this changed over time? Explain the insights you find.
This question pertains to the Algorand blockchain: a proof-of-stake blockchain with the native coin ALGO. goBTC and goETH are fully collateralized, wrapped versions of BTC and ETH on the Algorand Blockchain. goBTC and goETH can be aquired by Minting them on Algomint, or by swapping on Tinyman.
For this analysis, we are going to compare Mints vs Swaps for both volume and number of users over time. This will be done both from a daily value and daily cumulative value perspective.
Observing the trend over time, we see that the number of goETH Minters starts off much higher than Swappers; however, in March of 2022, we see this pattern flip. Over the past 3 months we see the number of minters much higher than the number of minters.
Observing the trend over time, we see that the number of goBTC Minters starts off much higher than Swappers; however, in March of 2022, we see this pattern flip -- much like the pattern for goETH. Over the past 3 months we see the number of minters much higher than the number of minters.
The difference between goBTC and goETH is the speed of the flip.
- goETH is a a dramatic increase in swappers and a dramatic decrease in minters.
- go BTC shows a gradual increase in swappers and a dramatic decrease in minters.
The Cumulative graph for goETH is a more dramatic representation of the drop off in Minting wallets: initially far superseding swappers, but completely falling off. Swappers shows a gradual increase cumulatively.
The Cumulative graph for go BTC displays the nice consistent growth of Swappers, while also emphasizing the drop off of minters.
Comparing this graph to the cumulative for goETH we can see how go BTC is characterized more by strong growth in swappers, while goETH is more a dramatic change in characteristics in March of 2022.
When looking at goETH swap vs. mint volumes, we see very sporadic peaks in the mint volume. Swap volume appears to be fairly consistent with some growth in volume in May 2022. These sporadic peaks in mint volume on specific days would be representative of large whales minting as opposed to swapping.
When looking at goBTC swap vs. mint volumes, we see very sporadic peaks in the mint volume. Swap volume appears to be consistently growing over time. Since April of 2022, it appears that swap volumes have surpassed mint volumes on the aggregate.
Between both goBTC and goETH we see consistent numbers for swaps, with some infrequent peaks in mint volumes. This would emphasize the point that whales tend to mint goETH and goBTC, while traditional users prefer swaps.
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Looking at the cumulative graph for goETH, mint volume is larger than swap volume in cumulatively. Moreover, we can see the nature of whales in a different manner. The curve for mint volume has a "stair-step" slope, while swap volume appears to be parabolic. This shows large sums of money being minted by whales -- while traditional users are causing slow growth in swap volume.
Looking at the cumulative graph for goBTC, mint volume is larger than swap volume in cumulatively; however, since May 2022 the swap volume is approaching the mint volume.
This curve also has much more dramatic "stair-step" slope for mint volumes, while swap volume also appears to be more parabolic.
This shows large sums of money being minted by whales -- while traditional users are causing slow growth in swap volume.
Overall, for both goBTC and goETH, since March of 2022 we see the number of wallets swapping greatly surpassing the wallets that are minting. For both goBTC and goETH we see steady growth in volume -- with much more sporadic mints occurring.
For minting -- We see see a decrease in wallets minting (a plateau in cumulative). This behavior coupled with consistent volumes illustrates the fact that whales prefer minting goETH and goBTC.
For Swapping -- we see consistent, strong growth in wallets for both goETH and goBTC. This behavior coupled with consistent growth in volumes illustrates the fact that traditional users prefer swaps for both goETH and goBTC.
The number of wallets increasing over time and the large spike in volumes in May are promising for the space - appears to be growing!