- Avalanche’s BTC.b witnessed a massive growth in supply
- But, Avalanche’s TVL witnessed a continued decline
According to Data Analytics’ tweet on 2 December, the amount of Bitcoin Avalanche Bridged [BTC.b] on Avalanche [AVAX] surpassed that of the Ethereum network. This development suggested that users may have spotted new opportunities on the Avalanche network and have showcased their faith in the protocol.
Monster issue of Dune Digest this week 📩
📈 Network Penetration
📈 Uniswap NFT launch
📈 Bitcoin on Avalanche
📈 The DAO tooling market
📈 Lending platforms
📈 November Liquidations
Check it out 👇https://t.co/S8U5EDT6au
— Dune (@DuneAnalytics) December 2, 2022
It’s a “wrap”
BTC.b represents the holdings of Bitcoin on the Avalanche network. It is similar to WBTC, as the two are ERC-20 tokens of, which are pegged to the value of BTC.
BTC.b, was launched in June 2022, whereas WBTC existed for the last two years. Despite this, the supply for BTC.b managed to compete with that of wrapped bitcoin as it witnessed a surge since its inception. Though it witnessed a slight decline during the period after the FTX collapse, its momentum picked up soon thereafter.
However, despite BTCB’s growth, Avalanche could not showcase the same level of improvements in DeFi. According to DeFiLlama, Avalanche’s TVL went from 1.33 billion to 860.9 billion in 30 days. Furthermore as of 3 December, Avalanche’s TVL surged by 1.81%.
Avalanche not ‘fee’ling good?
AVAX’s fees took a hit over the last month. The fees generated by Avalanche had decreased significantly over the last 30 days and had fallen by 13.6%, according to token terminal.
Avalanche wasn’t able to fare well upon considering its on-chain metrics either. Its volume in the last month went from 390 million to 192 million. However, its development activity witnessed a spike in the last few days, suggesting that the team at Avalanche had been contributing immensely to its GitHub.
This suggested that there could be several upgrades and upgrades on their way to Avalanche.
One reason for the spike in development activity could be Avalanche’s recent collaboration with Alibaba. However, it remains to be seen whether AVAX will benefit from these upgrades and collaborations.
At the time of writing, AVAX was trading at $13.63. Its price rose by 2.30% in the last 24 hours.