📜 Introduction

What is Near Protocol ?

• NEAR Protocol is a public Proof-of-Stake (PoS) blockchain that aims to bring DeFi to the masses with low transfer fees and fast transactions

Its consensus mechanism is Proof-of-Stake and it uses sharding technology to achieve speed and scalability. NEAR also provides a bridge and scaling solution for the Ethereum blockchain. NEAR Protocol uses PoS consensus to secure and validate transactions on the blockchain. Validators earn NEAR Token rewards for producing new blocks in the form of a static inflation rate of about 4.5% each year

What is Solana ?

• Solana is a blockchain platform designed to host decentralized, scalable applications. Solana can process many more transactions per second and charges lower transaction fees than rival blockchains like Ethereum.
• Solana uses a proof-of-history consensus mechanism. This algorithm uses timestamps to define the next block in Solana's chain. Most early cryptocurrencies, such as Bitcoin and Litecoin, use a proof-of-work algorithm to define the blocks in their chains.

SOL Token has experienced massive crash on its value because of heavy Alameda and FTX investments on this token and its ecosystem. SOL price has been decreased from $35 to $12 only in 2 days.

Introduction of FTT

FTT is a token used on FTX, a global centralized exchange for crypto derivatives. Often described as the “backbone” of the FTX exchange, FTT provides its holders with many benefits.

The terms “FTX” and “FTT” are sometimes used interchangeably. By having FTT tokens in your possession, you get to enjoy lower trading fees and access a slew of perks on the FTX exchange. You can also use your tokens as collateral to trade derivatives.

Previously, the crypto space took notice of FTX because its value soared within a short period of time. From less than $4 in December 2020, FTT surged to a high of $85 in September 2021, then falling to as low as $2 in November 2022. As of November 9, 2022, the FTT token is currently trading at around $6, and is highly volatile. Similarly, FTX’s market cap swelled from $400 million to $9 billion during the same period, but has since retraced to $312 million.

The rise of FTX isn’t a fluke. Analysts suggest that increased public exposure, strong partnerships and new protocol launches on the FTX exchange have made the FTT token successful, and expect the upward trend of FTT’s price to continue if the exchange keeps growing over time.

However, in November 2022, due to CoinDesk’s leak of an Alameda Research balance sheet, concerns about FTX’s solvency grew. On November 8, FTX faced a bank run. FTX halted withdrawals and approached Binance for assistance to cover the liquidity crunch. However, it was revealed on November 10 that Binance has walked away from the deal to acquire FTX.com.

🔎 Methodology

By reading this dashboard and finishing it you will have an understanding of how NEAR is weathering the market turbulence that occurred as a result of FTX’ insolvency, we also compare Near protocol with another Layer 1 block-chain ( Solana ) to make it better for all of you.

in this dashboard I am going to compare the performance of these chains during the collapse timespan vs 30 days before the collapse :

1. $NEAR and $SOL price
2. Number of Transactions and Active and New Users on Chains
3. Transactions Success Rate
4. Unstake Actions
5. Swap Activities

Also I’m going to use these flipside tables to analyze data :

• near.core.fact_prices, flow.core.fact_prices and solana.fact_swaps tables for price chart
• .core.fact_transactions for transactions success rate and new users
• near.core.dim_staking_actions, flow.core.ez_staking_actions and solana.core.fact_stake_pool_actions for staking actions
• near.core.ez_dex_swaps, flow.core.ez_swaps, solana.core.fact_swaps for swaps transactions

Token Prices

• Based on the left chart, both tokens has experienced heavy crash on their drop during the FTX collapse.

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• the SOL token price has dropped way more than $NEAR token during the collapse and the main reason behind this massive crash is because FTX & Alameda had invested on this token more than all other tokens and they have tried to sell SOL in order to be able to prevent themselves from bankruptcy.

Staking Actions - Stakes

• When we take a look at number of stakes for NEAR and SOLANA we understand that the stakers didn’t lose their interest in staking for NEAR because the count of 3240 stakers has executed 4940 transactions and these numbers stand at 966 stakers for just 2270 transactions.

• by these numbers, we get that at least NEAR’s situation is much better than SOLANA but overall we can’t say that NEAR situation is good because this numbers against their unstaking form are not as same as before.

• Let’s take a look at their staked amount. The total staked amount for NEAR is 25.7 Million and for SOLANA is 269k (considering the higher price of SOLANA to NEAR), on November 11 the exact day of insolvency announcement stakers wanted to keep NEAR market remain at its stable price and their try went through a great success, because the FTT insolvency wasn’t greater than their try.

• But the interesting part is that only one user of NEAR has staked the amount of 20 Million between 11/07 to 11/14 which is unbelievable and after that we have another staker who staked the amount of 1.5 Million for NEAR.

• For the stakers of SOLANA the number of amount for each one of them is logical and the best staker has staked the amount of 75 thousand.

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• Due to this part I can say that NEAR has cope well out of this insolvency of FTT for its stakes but SOLANA by each day has lost it’s stakers and the executed stakes by them.

Staking Actions - Unstakes

• I guess this is the part that hopes will run away for SOLANA because when we compare the unstakers to stakers we start to understand that the market downfall is logical for the next few days for SOLANA but for NEAR is on its peak, The number of unstakes for NEAR stands at 1327 transactions and for SOLANA is 14.62k by 932 unstakers (NEAR) and 5380 unstaker (SOLANA) … , that’s it the end of the story for Solana and a begining for Near. but is it really the end … ? Let’s check few more measures to seek more.

• As me and you could understand by the higher count of unstakes to stakes for solana, the amount of unstakes would be more too (what a tough week) but please take a look at November 11, do you remember by the last part that the stakers has staked the amount of 20 Million of NEAR on November 11?, here you see that there was some unstakers on November 11 who made the 11 November’s stakers job a bit harder but the user who made 20 Million of stake has saved the market of Near despite of Solana until now.

• The count of unstakes rises its slope and count for its maximum amount on November 9,10 for SOLANA but for NEAR is not so much unstable.

• the share of unstakes between unstakers for SOLANA is so balanced and there is no special unstaker who made the market worse than it is. and this pattern goes for NEAR too.

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• Due to high amount and count of unstakes for Solana we understand that there was no chance for SOLANA to cope what has come to it, but i guess considering other chains NEAR has done much better than the others by it’s stakers help on November 11.

Transactions & Users

• According to the above charts, we can see number of transactions and also new users on Solana during the collapse is way more than Near Protocol.

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• Also, we can see NEAR protocol has managed the collapse well and it has continued its regular trend without any very high spikes on number of transactions or users despite Solana that have experienced volatiles during the collapse timespan.

• On the left chart, we can see the average number of transactions on both chains before the collapse was more than after this timespan. this can be because users have lost their trust in cryptocurrency market and blockchains because of the FTX crisis.

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• we can see the average number of active users on both chains has been deacreased between %15 to %20 and solana ecosystem users lost almost 25K active user

Swap Activities

• On the above charts, on all days, we can see Solana had by far the most number and volume of swaps while NEAR is on the second rank on this terms.
• Moreover, we can see both increasing and decreasing swap activities trends during this week on both chains.
• on 9th November, we can see the highest spike of swaps (in terms of number) on NEAR protocol while its volume has increased after 13th November.

• The average daily number of swaps and swappers and also volume of swaps on chains have increased dramatically compared to the days and weeks before that
• Solana had experienced the most growth in its swaps after the collapse and NEAR was affected less than other chains in this terms

• on NEAR, despite high share of swaps from stablecoins, the share of swaps TO stablecoins have incrased compared to the days and weeks before the collapse.

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• The share of swaps TO stablecoins in terms of number of swaps have overataken the swaps FROM stablecoins!

• Similar to the FLOW, on Solana we do not see significant change of swaps from/to stablecoins after the collapse in terms of volume but in terms of number, the share of swaps from stablecoins have increased dramatically.

Conclusion

• Stakers of Near have saved the Near chain by staking a total amount of 25 Million of Near which 20 Million of this amount belongs to just one user and I guess this is the interesting part, But the users of Near didn’t really have an interesting method of swapping and their swap stats are stable.

• For Solana we see that users have unstaked a lot of amount out of Solana’s chain and this made the situation worse for Solana but when we come to swaps, we see the number of 41 Million swaps which is amazing and this made solana to keep going on what just happened in the last week, So the unstakes was not an end to Solana chain.

• the SOL token price has dropped way more than $NEAR token during the collapse and the main reason behind this massive crash is because FTX & Alameda had invested on this token more than all other tokens.

• Also NEAR protocol has managed the collapse well and it has continued its regular trend without any very high spikes on number of transactions or users.

• The average number of daily transactions and active users on both chains have decreased significantly after the collapse timespan compared to the days and weeks before.

• The highest number and also volume unstakes on Solana has occured on 10th November and after that, NEAR had took the lead from this chain and unstake activity of NEAR has increased significanly during recent days especially with the highest spikes on 14th November.

• Also The average daily number of swaps and swappers and also volume of swaps on both chains have increased dramatically compared to the days and weeks before that.

• Solana had experienced the most growth in its swaps after the collapse

• on All chains during the collapse, The swaps from stablecoins have more share than swaps to stablecoins (especially in Solana and its number of swaps). This means the majority of users on both chains prefer to swap their stablecoin to other assets in order to buy them at the dip rather than swapping (selling) their assets into the stablecoins and flee !

• Hope you enjoyed 🖤

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  ✍️Contact Info!

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