Metaverse Platforms Disagree With DappRadar Over Report

Following a recent report by DappRadar on daily active users, some Metaverse platforms like Decentraland and Sandbox have disagreed with the report, stressing that the data is misleading. 

Decentraland ( $MANA ) has 30 Daily Active Users

and a $1.2 Billion Market Cap pic.twitter.com/u4MBNsWvwk

— SHAKE (@0x_shake) October 6, 2022

The duo argued that the metric used by DappRadar in measuring the number of active users, which suggests that there is low daily activity is inaccurate and misinforming. 

DappRadar has revealed that Decentraland metaverse has just 30 daily active users despite boasting of a $1.2 billion market cap. In reaction, Decentraland contended that some websites are merely measuring smart contract transactions and reporting them as daily active users, which is not supposed to be so. 

Lately, there has been a lot of misinformation on the number of active users of Decentraland. Some websites are tracking only specific smart contract transactions but reporting them as daily active users DAU, which is inaccurate.

— Decentraland (@decentraland) October 7, 2022

In the same vein, Sandbox CEO Arthur Madrid opposed the DappRadar report that on-chain transactions do not translate to users in all ramifications. He further added that Non-Fungible Token (NFT) investors consider the long-term growth and values of the asset based on utilities. 

Some comments about Web 3 metrics:
= Web 3 player worth more than Web 2 players engaged with a wallet, all payers VS low conversion in "Freemium" model;
= on chain transactions does not mean Users;
= NFT owners invest in an asset that will grow in value over time based Utilities; https://t.co/IIpsDjRUnm

— Arthur Madrid (@arthurmadrid) October 10, 2022

Decentraland then suggested that accurate and reliable data can be seen at DCL Metrics, which is a data aggregator platform dedicated to providing information and statistics on DAUs transactions. 

However, Decentraland data revealed that there were 56,700 active users in the month of September but only 1,074, which is less than 2% interacted with Decentraland smart contracts.  

Let's have a look at some of September's data:

56,697 MAU
1,074 Users interacting with smart contracts
1,732 minted Emotes
6,315 sold Wearables
300 Creators received royalties
161 created Community Events
148 DAO Proposals

— Decentraland (@decentraland) October 7, 2022

In the same vein, Sandbox asserted that its platform has 201,000 monthly active users as against the low figures released by DappRadar. 

📢 Our ALPHA Season 3 growing metrics 👇

🔹Daily Users: 39K
🔹Monthly users: 201K
🔹Total Wallets: 4.1M
🔹LAND Owners: 22,267
🔹$SAND staking: 128M SAND
🔹Website 30d Users: 1.6M
🔹Number of chat messages: 4.1M
🔹KYC users: 113K
🔹Hours played: 1.6M#SandboxAlphaS3

— The Sandbox (@TheSandboxGame) October 10, 2022

Meanwhile, there is no denying the fact that the current bear market has taken a toll on these most legitimate metaverse projects. 

As of now, Decentraland Token, $MANA, is trading at $0.65 according to CoinMarketCap, which is down by 88.8% from its all-time high (ATH) of $5.85.

Also, Sandox token ($SAND) is trading at $0.78 according to CoinMarketCap, which is down by $90.6 from its all-time high (ATH) of $8.40. 

Metaverse Grows Amidst Bear Market

Despite the prevailing bear market, it appears that there is steady growth in the metaverse space. The US tech giant, Yahoo, recently joined Facebook owner Meta in testing metaverse tech in Hong Kong. 

Interestingly, there is a surge in holders of Decentraland’s MANA token as per DCL metrics report.