Hive Engine was created somewhere in April 2019. It has been more than a year now since this unofficial second layer DEX on Hive has been around.
We are calling it unofficial since its not fully integrated in the core code of Hive, but uses the custom_jsons transactions on Hive and builds on top of it.
Hive Engine is more than a DEX. It also allows creating tokens in an easy and simple manner. This has allowed creating of a lot apps and tokens on Hive. It is hard to imagen where would now Hive be without the Hive Engine tokens.
All the projects build on top of Hive are made possible by the custom_json data and Hive Engine. Splinterlands, dCity, Rising Star, CryptoBrewMaster and all the other games. Next the tribes, LeoFinance, Palnet, Neoxian, Sports, Weed etc. The NFT platforms, NFTShowroom, Lensy. Some other specific tokens like SPI, BRO etc. as well. Without a doubt Hive will be a much more boring place without Hive Engine and we should be grateful for it. This just shows the importance of the second layer.
In the last few months, we have seen some of the second layer tokens really started to take off, showing a decent trading volume. DEC, LEO, SIM for example. Maybe the creation of dSwap has something to do with it, but overall, there is a sense of growth in Hive’s second layer.
Originally, I wanted to show the increase in the deposits/withdrawals and the trading volume on the platform in numbers. But as things went along it was obvious that presenting this in one post would be too much. Because of this this post will only contain data on deposits/withdrawals, and the trading volume will be in part 2.
Deposits on Hive Engine/LeoDex
For deposits we will be looking at the transfers to the Hive Engine @honey-swap account and the @leodex account. There are some other services that offer deposits/withdrawals, but they will be ignored here.
Here is the chart.
The period that we will be looking at here is May 1st – September 30, 2020.
The Hive blockchain was created at the end of March 2020, and Hive Engine started operating a bit later in April. From May the operations are a bit more stable and because of this we are looking at this period.
We can notice a clear trend in the increased volume in deposits to Hive Engine and LeoDex. In May, June the deposits are more random with occasional spikes and in the last month we can see more deposits happening.
A more reveling representation can be made if we look at deposits on a monthly level.
We can see that September has seen quite a growth in the deposits. From around 700k HIVE deposited in August to more than a 1.4M HIVE deposited in September. Double the amount!
What is also interesting is that the @leodex account has seen a massive growth from 80K HIVE deposited through it in August to a 400k HIVE deposits in September. Leo has been making a hit on the Hive second layer in September, but its not the only project. More games and apps are there as well.
Who has deposited the most?
Here is the chart for the top accounts that deposited in the period.
The @sm-usd account is leading by a lot. Almost 1M HIVE deposited. It is most likely a Splinterlands official account. Next is @mydays with around 300k HIVE deposited and then @foremark with just above 200k HIVE deposited in the period. Some serious numbers here.
Withdrawals on Hive Engine/LeoDex
Here is the chart.
This chart is also following the up trend towards the latest month. The @leodex share also increasing.
The monthly chart for withdrawals looks like this.
A similar pattern as for the deposits here as well. Although not the same jump as for the deposits. An increase from 670k in August to 1M in September.
It is also interesting that the withdrawals are smaller than deposits meaning more value goes into the second layer than extracted from it.
Who has withdrawn the most?
Here is the chart for the top accounts that withdrew in the period.
The @th12-moon is on the top here with almost 700k withdraw. This was a Splinterlands whale that was selling, and probably the withdrawals are from DEC sold. Next is the @leo.bank account with 300k followed by @hive-engine.
In the next post we will be looking into the trading volume on the DEX, as that has been growing as well.
The Hive Engine platform has been growing nicely in the previous year providing the opportunity for new projects to come out. As these projects matures, the second layer is now seeing some nice numbers in trading volume and deposits/withdrawals. Its still far from the major exchange’s numbers, but as things stand its now on a verge to become a more serious platform. It’s not perfect at all and some improvements are needed, like more decentralization and better security, but it has provided this place with the much needed second layer tokens, that seems to be the future of Hive.
All the best
@dalz