The Algorand blockchain’s daily on-chain volume recorded a Month-over-Month (MoM) increase of over 365% in September, according to Kraken’s latest crypto on-chain report.
More Than 365% Increase Last Month
The daily volume of ALGO transactions conducted on the Algorand network from the beginning of the year to last month rose by 367% in September. According to the report, the spike is worth noting because the volume of ALGO transactions has “steadily trended downwards throughout the year.”
As of September, ALGO was the second worst-performing crypto asset year-to-date (YTD) in terms of on-chain transaction volume. The crypto asset had dropped 68% compared to a year ago. Data from the report also shows that on the first day of January 2022, a seven-day average of $206 million worth of ALGO transactions were processed on the Algorand network but by August 31st, the volume had dropped to as low as $14 million.
ALGO Demand Takes Off
Worth noting is that the number of ALGO transactions increased in September as the last day of that month saw Algorand process a seven-day average of $65.5 million worth of transactions.
Calculating this together with the number of Algorand’s daily on-chain transactions for the months of January to July, Kraken’s report arrived at a 367% increase in the volume of daily transactions conducted by the blockchain in September.
No doubt, increased demand for ALGO was the force behind the surge in on-chain transaction volume last month. Recall that in the first week of September, Algorand announced the launch of a new upgrade dubbed Algorand 3.9 that introduced state proofs to help accelerate the network’s capabilities.
The upgrade saw Algorand’s Transaction Per Second (TPS) capacity significantly increase from 1,200 to 6,000, improving the network’s scalability and performance. The upgrade also reinforced the blockchain, making it produce larger blocks at 5Mib and faster blocks using the sub-4-second block latency and finality functionality from the state proofs.
Kraken’s report noted that news of the upgrade likely rekindled users’ confidence in ALGO, contributing positively to its increased usage in September.
Meanwhile, as of press time, ALGO was trading at $0.3 per token, representing an approximately four percent drop in value in the past 24 hours.
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Source: https://coinfomania.com/algorand-on-chain-volume-jumps-over-365/