What is Harmony?

Harmony is a layer-1 blockchain with an effective proof-of-stake validation technique and 4 shards for parallel computing.

• Sharding is the technique of splitting a blockchain into separate pieces so that each node does not need to keep a record of the entire blockchain - reducing computational burden.
• Effective proof-of-stake is slightly different than proof-of-stake. Both require a validator node and can have underlying delegators to each node; however, Effective proof-of-stake rewards smaller nodes more than larger nodes. This encourages "whales" to break their validation nodes into several smaller ones and promote more decentralization.

Due to the sharding and effective proof-of-stake methodology, Harmony boasts fast transaction speeds with low gas prices.

To understand how the Harmony blockchain has grown over time, lets take a look at the number of transactions that have occurred.

When we look at daily Harmony transactions, we can see that it takes a triangular shape. Growing transaction volume up until January 2022, and shrinking volumes from that point onwards.

Another odd pattern we see when we look at failed transactions is the spike of failed transactions in March 2022, followed by a drop in failed transactions.

Let's compare this to other transaction patterns for other blockchains.

Transaction Volumes

When we look at transaction volumes across multiple Blockchains, we can see the Algorand, Harmony, and Solana chains: a triangular pattern with a decrease in transactions since January 2022. Eth has been fairly consistent in transaction volumes. Terra has been increasing in transaction volumes steadily, until their collapse where transaction volumes spiked.

Successful Volumes

An interesting trend we see when we look at successful transactions is the spike in Sol and Harmony transactions since Jan 2022 -- with Harmony being a temporary spike, and Solana being consistent. We also see a massive spike in failed transactions for Terra as their blockchain collapsed.

It is also important to call out the 100% success rate for Algorand transactions. Either they haven't had any failed, or our data does not capture failed algorand transactions.

Overall, we can see a consistent trend across blockchains of a decrease in transactions since 2022. This is to be expected due to the bear market, this would be a little more worrisome if we saw a decrease in transaction volumes during a bull market.

Next we can look at the success of transactions across each blockchain.

• ETH is consistent near 100% success.

   Mid Volume, low failure, high transaction costs.  
  

• Terra was consistent near 100% success.

   Growing mid volume, low failure, low costs.  
  

• Harmony appears to be fairly inconsistent with a massive spike in failed transactions in March of 2022.

   Mid volume, inconsistent failure rate, low transaction costs. 
  

• Solana appears to have high failure rate somewhat consistently.

   High volume, high failure rate, low transaction costs. 
  

• Algorand has near 0% failure (either by design or in data).

   Mid volume, no error*, and low costs. 
  

Conclusion