Leofinance is quickly becoming one of the most popular tribes on Hive. While we await the release of the new user interface and a couple more applications tied to the ecosystem, it is worthy to look at what is presently taking place.
There are obviously many things to focus upon when looking at something like Leofinance. Many want to look at token price yet that is not the telltale sign of what is happening. We know that manipulation can take place in most markets yet it is especially true in ones that are so small.
For that reason, I think it best to focus upon growth. Ultimately, it all starts with users. That is where most projects are seeking to gain the network effect from. Leo is doing a tremendous job in this area.
Here is the chart of monthly users according to @leo.stats.
We see a low in the users of the Leofinance front end in April. It is best to remember that Hive forked in March and Leo joined a few weeks after. The transition took some time and many users across the spectrum were back and forth.
Nevertheless, there were 103 users in the month of April. For the month of July we see this number jump to 248. That is a 2.40x in the space of 4 months.
It is naturally easy to focus upon the raw numbers to conclude that 248 users is not a great deal. That is certainly true. However, we have to start from somewhere so the low is our starting point since that was the first month on Hive.
At the same time, companies that focus upon growth tend to see the raw numbers improve as time passes. This is the same approach we should take with Leofinance.
For example, if we replicate this growth rate over the next 4 months, we will see 597 users in November. If we go out another 4 months, by the end of Q1 in 2021, we will see 1433 users.
Now we are dealing with some numbers that contain a bit of punch, at least for the world of blockchain.
Will this rate continue? That is a question none of us can answer. At some point, whether it is one quarter or a year, the growth rate has to slow. Yet, it is possible we could see some jumps periodically that make this growth rate look small. Again, when dealing with numbers of this sort, enormous growth rates can take place. A site with 1 million users might have a tough time doubling ever few months.
Obviously, this is only one metric. There was a post that detailed how the advertising revenue is increasing from the levels we saw a few months back.
We also can look at things according to the visitors and page views.
From this view, we see things a bit more level since it captures all visits, regardless of the interface used. This could change, however, with the introduction of the new website and some of the features that are planned for the second half of the year.
Growth is an imperative. Wall Street has a problem right now because so many CEOs are more concerned about stock price than they are growth rates. This led to years of financial engineering along with many zombie corporations in existence right now.
We see similar behavior in the world of crypto, with the focus on price as opposed to growth. How many highly ranked blockchains in terms of marketcap have little to nothing taking place on them?
Leo is breaking away from this by continually bringing out applications that will contribute to the growth of the overall ecosystem.
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