Hedera (HBAR) Q2 Update: Market Cap Climbs, Daily Transactions Boom, Revenue Follows
August 30 2024 - 1:00AM
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Hedera (HBAR) emerged as a standout performer in the second quarter
(Q2) of the year, reversing the downward trend faced by many
projects. The latest report from research firm Messari highlights
Hedera’s progress across key financial indicators. Hedera Q2
Momentum One of the pivotal highlights of Hedera’s Q2 was the
advancement in crucial financial metrics. Despite a 29%
quarter-over-quarter (QoQ) dip in circulating market cap to $2.7
billion, HBAR managed to climb six spots from 36 to 30 among all
tokens, surpassing similarly priced cryptocurrencies. Per the
report, revenue also became a beacon of success for Hedera during
Q2, with the network witnessing a 26% uptick in USD revenue,
reaching $1.4 million. Moreover, revenue in HBAR surged by 19%
quarter-over-quarter to 14.6 million. Related Reading: Bitcoin
Forecast: Expert Reveals 4 Reasons To Be Bullish On Q4 The pace of
HBAR issuance and circulation remained a focus, with 72% of the
total 50 billion HBAR in circulation at the end of Q2. The
quarterly distribution of HBAR indicated the release of an
additional 1.5 billion HBAR in the upcoming quarter, with a
significant allocation of 94% earmarked for ecosystem and open
source development initiatives. While daily accounts created
increased 31% sequentially to 11,100, daily active addresses
declined 37% to 10,600, reflecting a mixed picture of growth and
engagement within the network. Transaction activity rebounded in
Q2, as average daily transactions increased 46% to 132.9 million,
driven primarily by the Hedera Consensus service. Staking Surge And
DeFi Fluctuations The report further highlighted Staking in the
network, which emerged as a significant trend within the ecosystem,
with 62.2% of the circulating supply staked, signaling a high level
of engagement from entities like Swirlds and Swirlds Labs.
However, the decentralized finance (DeFi) landscape on Hedera
witnessed fluctuations in Q2, with Total Value Locked (TVL)
experiencing a decline in both USD and HBAR metrics. Still, Messari
asserts that initiatives like the HBAR Foundation’s DeFi TVL growth
program have injected vitality into the ecosystem, driving
liquidity and awareness. Liquid staking on the other hand, saw
a resurgence in Q2, with Stader’s TVL increasing by 41% in HBAR
terms. Related Reading: Polygon On-Chain Activity Lights Up:
MATIC Reversal Incoming? Lastly, Hedera’s decentralized exchange
(DEX) volumes also saw a dip in the second quarter after a bullish
first quarter, according to Messari, but it has remained strong
year-over-year (YoY). At the time of writing, HBAR records a
significant 22% drop in price over the past month, currently
trading at $0.050 amid the general market uncertainty led by
increased volatility of the largest cryptocurrencies on the market
Bitcoin (BTC) and Ethereum (ETH). Additionally, CoinGecko
data shows that the token has seen a notable decrease in trading
volume over the past 48 hours, dropping by 35%. Most importantly,
HBAR is still 91% below its all-time high of $0.056 reached in
September 2021. Featured image from DALL-E, chart from
TradingView.com
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