Michael Nadeau, an analyst at The DeFi Report, analyzed the blockchain performance of the largest altcoin in the first quarter of 2024. The study found that current market dynamics will continue, primarily due to activity in the DeFi sector, the Ethereum blockchain could exceed $1 billion in 2024. FinTech Insider writes about this.
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As noted in the release, in the first quarter of 2024, net profit Ethereum reached $365 million, which is almost 200% more than in the fourth quarter of 2023, when revenue was $123 million. The total amount of funds received in the form of commissions reached $1.17 billion, which is 80% more than in the previous quarter .
According to the analyst, the reason for the increase in income was an increase in network activity, primarily in the DeFi sector. Current activity on the Ethereum network is approaching its 2021 peak with just under 1.25 million transactions. If current market dynamics continue, Ethereum's profits could exceed $1 billion in 2024.
The report notes that the organization made a profit for the first time only last year. In 2023, Ethereum's profits amounted to $623 million, although the organization's revenues were 75% lower than in 2021, when they reached an all-time high of $9.9 billion. The analyst attributes the profitability to the transition to the Proof-of-Stake consensus algorithm, after which the cost of adding blocks has decreased by 80%.