Twitter person @0x_shake, who recognized himself because the founding father of the Solana-based Cyber Samurai NFT venture, famous that regardless of a $1.2 billion valuation, Decentraland has simply 30 each day lively customers (DAUs).
Decentraland ( $MANA ) has 30 Each day Lively Customers
and a $1.2 Billion Market Cap pic.twitter.com/u4MBNsWvwk
— SHAKE (@0x_shake) October 6, 2022
The information was pulled from DappRadar however is below scrutiny given the low variety of DAUs. Another knowledge supply confirmed a discrepancy within the knowledge, however the quantity of DAUs per the choice knowledge supply was nonetheless within the a whole bunch.
Nonetheless, the discovering has reignited a number of dialogue factors, together with metaverse tokens (and cryptocurrency typically) being a speculative pursuit, the pointlessness of market cap valuations, and the shortage of curiosity within the metaverse.
Decentraland (MANA) is caught in a value hunch.
Decentraland (MANA) is a digital world platform on Ethereum enabling customers to create, expertise, and monetize content material and functions. Its two-day-long Preliminary Coin Providing (ICO) ended on August 19, 2017, elevating $24.14 million.
The venture prides itself on being “owned by its customers,” which is achieved by means of a Decentralized Autonomous Group (DAO) that permits customers to vote on the platform’s future course.
“The primary absolutely decentralized world, Decentraland is managed through the DAO, which owns a very powerful good contracts and belongings of Decentraland. Through the DAO, you determine and vote on how the world works.”
Decentraland operates utilizing MANA, an ERC-20 token giving the precise to vote, and LAND, an ERC-721 (non-fungible) token. MANA is burned to accumulate LAND. In flip, LAND is used to pay for numerous issues within the digital world, together with avatars, wearables, and names.
However shopping for digital land requires Ethereum or MANA and is purchasable immediately from the Decentraland Marketplace or OpenSea.
Per CryptoSlate data, MANA’s 24-hour quantity got here in at $121 million, the present market cap is $1.31 billion, and the token is down 9% year-to-date and 88% down from its all-time excessive of $5.85, achieved in November 2021.
Even earlier than the Terra UST implosion, the worth of MANA was on a pointy downtrend. Since late August, the token has settled right into a slender buying and selling band, with the $0.68 stage performing as help.
Is DappRadar correct?
Commenting on the low variety of Decentraland DAUs, Coindesk reporter Sam Reynolds mentioned DaapRadar knowledge counts the variety of each day customers interacting with good contracts on the platform.
In that case, this may suggest DAUs are underestimated, as customers could also be actively “enjoying” in Decentraland but not triggering good contract obligations, similar to buying and selling avatar wearables. Even so, the DAU determine per DaapRadar is extraordinarily low.
Knowledge from dapp.com explicitly states its knowledge on customers refers to “the variety of wallets that had interacted with a dapp’s good contracts.”
The chart beneath exhibits an approximate median baseline of 600 customers since July 8. Customers on October 5 got here in at simply 312.