Polygon (Previously Matic), has been one of the more successful L2, scaling solution for Ethereum. It has successfully survived the bear and is now a top 15 coin. It is competing with other projects that offer low fees as an option for Ethereum, but at the same time it has remained close to Ethereum, pining the chain for security.
A lot of the Ethereum top apps have their versions on Polygon. 
Some other major developments like the zero-knowledge proof (ZKP) rollups and other things.

 



![01.png](https://files.peakd.com/file/peakd-hive/dalz/23tkjzVU36U7UycYYk7t5sTbskrQJ8exze37kgLAuLC6J1DN3GwbbdedFnEge5KeHcpMg.png)




Let’s take a look at the data on the Polygon network and see what has been happening in the last period.

The data presented here is mainly from [polygonscan charts]( https://polygonscan.com/charts). 

We will be looking at:
-	Number of Addresses
-	Active Addresses
-	Daily Transactions
-	Fees
-	Contracts


## Number Of Addresses
One of the key metrics for crypto projects is the number of wallets. 
First the overall number of wallets.


![image001.png](https://files.peakd.com/file/peakd-hive/dalz/23t78yAKp5N37sSQsjiFUBWiVVLt4hHnMnUg1dTRrnJJvJNFysMmZxP5tvLge8WzsTRAz.png)

 



Interestingly we can see a higher growth in the number of new wallets in 2023. Starting from April 2023, there is an increase in the number of new wallets created. 

Previously there was a massive growth back in 2021, somewhat a slower pace in 2022, and now we are seeing a growth again in the numbers of new wallets. Polygon is now at **344M** wallets. It has surpassed even Ethereum in the numbers of wallets. It is now the number one chain in terms of wallets created. 

Out of the 344M wallets, a total of 138M were created in 2023 alone. 

If we take a look at the **new daily wallets** we get this. 

 


![image003.png](https://files.peakd.com/file/peakd-hive/dalz/23tkn52oPy7a497yzmBc9qoEZCVTRzLycNJPZ2drkRcdMd3CBLUExDtM9CG9Ub1gJBmJj.png)


We can notice the spikes in daily created wallets since the summer of 2021 and the record reached in September 2021. A slow down in 2022 and now again an increase in 2023. 

Starting from April 2023 there is an increased number of new wallets created daily on Polygon. More than 1M new wallets were created daily in April 2023. In the last period this number is around 500k new daily wallets, but it is still much higher than 2022, when the number of new wallets was below 100k daily. 


## Active Addresses

What’s more interesting in times like this is how many wallets are transacting. Volatility should increase the numbers of active wallets. How many of those 344M addresses are actually active?

 


![image005.png](https://files.peakd.com/file/peakd-hive/dalz/23uFKXp1Nzmu1fkAn1WvxffYQbrtgSDggQ472Sn9U7hvMghj9CWEAG2Lcdv4p3UWcebN1.png)




We can see an uptrend in the active daily wallets here as well. There are now around **1M** daily active wallets on Polygon. In the last year this number was around 200k, so a significant growth since then. 
For reference the number of active wallets on ETH is around 500k.


## Daily Transactions

The activity on the network is mostly represented by the number of daily transactions. 



 

![image007.png](https://files.peakd.com/file/peakd-hive/dalz/23tkp4K3TtZGmhtcC9H6mwvfDvvxnRVukNNf3gjxoiVYJZqf4BkQWPfZZoS4yELeTrnKi.png)




On the transactions side we can see a slow downtrend and somewhat stagnation. This is on contrary to the number of new wallets and daily active wallets. It means that although the number of active wallets is up, they are making smaller numbers of transactions daily. 

The number of daily transactions is around **2.4M** these days, compared to ATH when it was more than 8M. 
On Ethereum the number of transactions per day is around the 1M mark. 


## Fees
Polygon is known for its very low fees, that has been the lowest in the industry to under one cent, lower then BSC. Here is the chart.




![image011.png](https://files.peakd.com/file/peakd-hive/dalz/23tv8FKiiTkr5qQdxZ8FYtqAecipQa2MJTSEAxvHwjGQ3XrSabTAnNYN1dNPaatgDuwhz.png)


 


*The above are the fees per transactions in $.*

We can see the spike in December 2021 and January 2022.

**In the last period the average fees are around one cent.** Much lower than the ETH fees that are a few dollars per transaction or even up to 20$.

## Contracts

Polygon as Ethereum is a smart contract platform so here is the chart for verified contracts per day. 


 

![image013.png](https://files.peakd.com/file/peakd-hive/dalz/23vhVwMmFRUgRiTgidZJmQH2tLWmxVch6fLe2rRGMB94p7pVa82pfRz74nhkuKhVK7VyA.png)





The number of daily contracts has been steady around 200 per day. 



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The major takeaway here is the number of wallets and active wallets that have kept growing in the period. Polygon now has more active wallets per day compared to the 2021 period. On counter to this the number of transactions remains quite constant with around 2.4M per day, and the fees are just one cent. 



All the best
@dalz