{"id":351871,"date":"2022-10-17T23:24:02","date_gmt":"2022-10-18T03:24:02","guid":{"rendered":"https:\/\/insidebitcoins.com\/?p=351871"},"modified":"2022-10-17T23:24:02","modified_gmt":"2022-10-18T03:24:02","slug":"is-it-that-lonely-in-the-metaverse-platforms-speak-out-about-daily-active-users","status":"publish","type":"post","link":"https:\/\/insidebitcoins.com\/news\/is-it-that-lonely-in-the-metaverse-platforms-speak-out-about-daily-active-users","title":{"rendered":"Is it that lonely in the Metaverse? Platforms speak out about daily active users"},"content":{"rendered":"

Data, whether on-chain or off-chain, is an extremely valuable commodity in a virtual future ruled by the metaverse<\/a>. However, interpreting that data can be difficult. A recent CoinDesk article cited<\/a> figures shared by decentralized finance (DeFi) analytic firm DappRadar as an example. On October 7, it was reported that popular metaverse Decentraland had 38 daily active users (DAU), while rival The Sandbox had 522 DAUs.
\nNonetheless, they have billion-dollar valuations.<\/p>\n

The CoinDesk headline, “It’s Lonely in the Metaverse: DappRadar Data Suggests Decentraland Has 38 ‘Daily Active’ Users in $1.3B Ecosystem”<\/strong>,\u00a0sparked some backlash, particularly from the projects themselves, which have moved to clarify their user statistics.<\/p>\n

As a result, the article has been updated several times to provide a more complete picture of usage within Decentraland and The Sandbox.<\/p>\n

In a blog post, DappRadar explained why it only had 40 active users on Decentraland.
\nDappRadar monitors on-chain transactions via smart contracts, which are mostly submitted by decentralized application developers (dapps). It counts the number of transactions from or to a smart contract, as well as the number of unique active wallets (UAW) that interact with a dapp’s smart contracts.<\/p>\n

The number of unique active wallets linked to Decentraland activity was cited in this case as the number of unique active daily users, or ‘payers’ versus ‘players.’ Users in these metaverse platforms frequently engage in activities without explicitly interacting with a blockchain, resulting in a relatively low amount of on-chain activity.<\/p>\n

\nDecentraland wants DappRadar figures to be recomputed<\/h2>\n

According to Sam Hamilton, Creative Director of the Decentraland Foundation, commercial activity on social media platforms, such as credit card transactions on Instagram, is never considered the primary measure of success for that platform. The metaverse should be no exception.<\/p>\n

“Success is measured by how many people share, engage, and socialize within the platform,” he explained, adding that “people traveling to and from different parcels, creating avatars and world building, and communicating with each other, should be the primary metric here, not smart contract transactions.”<\/p>\n

Decentraland quickly responded with its own statistics, claiming that the metaverse platform had 1,074 users interacting with smart contracts in September and a total of 56,697 monthly logged-in users.<\/p>\n

The Decentraland Foundation defined a “active user” in a blog post as someone who enters Decentraland and moves out of the initial parcel into which they entered the world, not just someone who engages in transactions.<\/p>\n

\n

Lately, there has been a lot of misinformation on the number of active users of Decentraland. Some websites are tracking only specific smart contract transactions but reporting them as daily active users DAU, which is inaccurate.<\/p>\n

— Decentraland (@decentraland) October 7, 2022<\/a><\/p><\/blockquote>\n