The latest report by a crypto intelligence provider, Messari, shows Tezos saw some growth during the previous quarter. Tezos is an open-source platform for smart contracts deployment. With the global crypto market cap dropping 58.1% in 2022 Q2, analysts have described the last quarter as the worst for the markets within the past decade.
Reflected by a dip in the price of most digital coins, last quarter’s bear run also catalyzed a drop in growth metrics for several blockchains that run this asset class. However, Messari suggests a different tale for Tezos. Tezos witnessed a surge in network usage during the last quarter.
Besides other verdicts, Messari also discovered that Tezos-based NFT marketplaces attained substantial user traction over the previous quarter. Let us evaluate the report and assess how the platform’s native, XTZ, performed during that timeframe.
Last Quarter’s Network Performance
The report suggests that the market-wide downturn catalyzed a substantial decline in Tezos’ market capitalization. The network recorded a 60% plunge from $2 billion registered in Q1 to closing the last quarter with a market cap of $1.3B.
Surprisingly, Messari discovered increased network usage regardless of the declined market cap. The platform saw a 94% surge in network usage on Y/Y, considering the 1.9 million monthly transactions in the previous quarter.
Though Tezos witnessed a network usage growth in the last quarter, breaking down the parts reveals a different tale. The platform’s usage is composed of transactions and smart contract calls. 2022 Q2 saw Tezos averaging 4.4M smart contract calls (a 12% surge from 2021 Q3) and monthly transactions of 3.7 million, suggesting a 12% decline quarter/quarter. Meanwhile, transaction charges stayed consistent, averaging below $0.01 within the previous year.
Thanks to NFTs
With the substantial surge in sale volumes by Tezos-based NFT marketplaces, Messari discovered that NFT sales accounted for most of the network activity. Meanwhile, the 90-day phase from April to June had XTZ price dropping 62%, declining to $1.38 from $3.72. Also, Santiment noted a 66% slump in trading volume, ending the quarter with $55.47 million in trading volume. Moreover, the asset’s market cap plunged to $1.34B from $3.478B in the previous quarter, reflecting a 61% decline.