📜 Introduction

What is Flow ?

• Flow is a decentralized and developer-friendly blockchain. Flow is designed as a foundation for the new generation of games, applications, and digital assets. The Flow project claims to be based on an architecture that attains the required performance for mainstream applications

• Originally conceived by the team behind CryptoKitties, Flow today is a decentralized network supported and built on by a growing community of  brands and Web3 builders

What are we doing here ?

• in this section we are going to analyze the progress toward decentralization at the Flow ecosystem
• Before Deep Dive into the ecosystem we should first get familiar with some Key-Topics

📌Key Topics

• What is Node & Staking ?
  • Node operators are what we call the people who run nodes. In order to connect their software applications as nodes on the network, a node operator must first purchase tokens. Every node operator has to temporarily give (or ‘stake’) a large number of their tokens to the network as a promise that they will not modify their node to do something that is against the rules of the network, like steal funds from users' accounts. This process of temporarily giving up tokens is called staking
  • If a node ever breaks the rules defined by the network, a number of the node operator's staked tokens will be taken from them as a punishment. This process is automatic. Every node knows the rules defined by the network and automatically watches other nodes and reports them if they misbehave. Meanwhile, the network pays the node operator a reward from a mixture of transaction fees and newly minted tokens on a regular basis provided their node does not break the rules
  • If a node operator breaks the rules, they lose the tokens they've staked. If they operate their node with integrity, they get rewarded with more tokens! This is the basic incentive that enables a decentralized proof-of-stake network, like Flow
• How Does Staking Work on Flow ?
  • The Flow protocol maintains a list of node operators. The list contains important information about each node, like their public keys, node address, and what kind of node they are running. (Collection, Consensus, Execution, Verification, or Access)
  • A node operator registers a node by submitting a transaction containing their node information and the FLOW they wish to stake. If they meet the requirements to run a node, then will be accepted to join the network!
  • Once a node is staking and operating properly, it will receive periodic reward payments, assuming it stays online and actively participates in the protocol without committing any actions that would harm the network, which we call slashable offenses. Once nodes have registered, they are required to operate for a protocol-specified timeframe. This timeframe is otherwise known as an Epoch

🔎 Methodology

the main table that I’m going to use is flow.core.ez_staking_actions

By filtering the events on the table we find out the staking actions on the database; There are several type of actions on this table which I have classified them into 3 overall types:

• Stake = DelegatorTokensCommitted & TokensCommitted

• Unstake = DelegatorUnstakedTokensWithdrawn & UnstakedTokensWithdrawn

• Claim Reward = DelegatorRewardTokensWithdrawn & RewardTokensWithdrawn

• Also in this article we were just calculate successful transactions

🤔 Questions?!

In this dashboard, I’m going to perform an analysis of following questions :

• How much $FLOW has been staked since today ?
• How much $FLOW is staked/UnStaked over time?
• How many unique delegators there are , and over time ?
• What are delegators behavior over time ?
• Total Amount of Node Over Time ?
• How Much amount of $FLOW staked vs $FLOW circulating ?

Total Number of Staked token & Delegators

• According to the Metrics There are total 581k FLOW stake-related Transactions
• these transctions are related to (stake + unstake + claim reward) events
• Also these actions done by total number of 38K Delegators
• as we can see from the left metric %67.4 of all circulating flow token has been staked on the ecosystem which could be a positive point for the network ( The total NET staked FLOW is currently 698,512,370.54 FLOW ; With considering 1036200000 tokens as circulating supply of FLOW )

Amount of staked/UnStaked Token & Delegators over time

• According to the Net Staked Graph we can realize that the highest Stake volume has been achieved in December 2020 with 910M $Flow Token
• Specially in the 3rd week of the December 2020 the ecosystem experienced 600M $Flow Token Staked amount
• Also on the 3rd week of March 2021 we can see the second spike of Staked Token; these happened when Flow price has been increased up 400% in less than one month
• It’s clearly visible from both Token Staked Charts After March 2021 the Net Token Staked amount has been decreased significantly; as we can see from July 2021 the total amount of staked token decreased more than 30% from 900M to 600M in less than 4 month; it could be happened because of bear market but generally it’s a negative factor for measuring Decentralization
• If we take look on new daily delegators chart we can see a huge amount of new delegators at the December 2021; One of the main reason of this spike is high annual staking rate when token project release
• Also the highest number of new delegators has been achieved 11-March 2022; we can’t see any special event on this day so it could be happened by whales
• If we compare number of delegators between 2021 vs 2022 we reach that new delegators who coming into ecosystem on 2022 is much more than 2021 ; also by reviewing the cumulative chart we can see that the diagram slope in 2022 is much more than 2021 which show us more new delegators in 2022 compare to 2021

Delegators Behavior

• According to the weekly charts we can realize that Delegators who stake their assets is much more than UnStakers
• Also it’s clearly visible the amount of Stake Events has been increasing over time and taken the most share between all actions; it can be a good point for the ecosystem and show that Flow blockchain moving toward decentralization more than past
• As we can see from the metrics the user addresses 0xe72ce32df935b2b4 and 0x0aabe4cf576e08ee have staked the highest FLOW volume (more than 315.60M FLOW for each address)
• These two addresses takes %67.4 of all staked staked token and also %60 of all circulating token on the ecosystem; it can be negative factor for the ecosystem because high percentage amount of the Flow token in control of these two address

Node Stats

• As we can see from Daily New Nodes chart in the last week of December we had the most umber of new nodes
• Also we can see the weekly active nodes has been dropped significantly on May 2021 from 370 Nodes to 90 Node
• In October 2021 the number of active nodes has been recovered and till now the ecosystem had stable number of Active node
• By checking the distribution delegators between nodes we realize that 31K delegators delegates their flow token to the 2cfab7e9163475282f67186b06ce6eea7fa0687d25dd9c7a84532f2016bc2e5e node id and taken %77.7 share of popularity between delegators
• Also The node ID 2cfab7e9163475282f67186b06ce6eea7fa0687d25dd9c7a84532f2016bc2e5e has currently the most net staked FLOW

Conclusion

According to the Metrics :

• Since May 2022, The circulating supply of $FLOW is 1,036,200,000 FLOW tokens which %67.4 of these token has been staked till now

• The total Flow Net Staked Volume is 0.7B which staked by total number of 38K Delegators

• In an average day, There are more number and volume of stakes than unstakes

• The highest number of nodes were active during January till April 2021 but after that there was a decreasing number of Nodes till October 2021, But after October, There was again the increasing trend of active nodes which shows the increasing decentralization of the Flow blockchain

• the user addresses 0xe72ce32df935b2b4 and 0x0aabe4cf576e08ee have staked the highest FLOW volume (more than 315.60M FLOW)

• Also both user addresses 0x0aabe4cf576e08ee and 0xe72ce32df935b2b4 have currently the highest net FLOW staked (both have 31,2500,000 FLOW staked)

• Node address 2cfab7e9163475282f67186b06ce6eea7fa0687d25dd9c7a84532f2016bc2e5e is the most popular node on FLOW that includes almost 78% of all total delegation and delegators activity !

• but the node ID The node ID 2cfab7e9163475282f67186b06ce6eea7fa0687d25dd9c7a84532f2016bc2e5e has currently the most net staked FLOW

• So by Comparing all metrics we realize that the total number of Delegators and also staked amount has been increasing over time and active users are more interested to stake their funds than unStake it; all of these conclusion show us the Flow ecosystem are going to more and more decentralized over time

• Hope you Enjoyed 🖤

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