Leading Blockchains with the Highest DADs (Daily Active Developers)

Daily active developers (DADs) are the individuals actively shaping the blockchains we rely on, and their significance to progress is on par with that of the end-users. Developers’ input directly influences the value, resilience, and trajectory of cryptocurrency endeavors.

Daily Active Developer Defined

This simply means anyone actively engaged in the ongoing creation and upkeep of software within the blockchain arena is labeled a “daily active developer” (DAD). Electric Capital, the compiler of Blockchain Developer Reports, examines blockchain initiatives through the lens of open-source contributions on platforms like GitHub. In essence, “active developers” are those who are continuously crafting and sharing alterations to the blockchain’s codebase.

Daily active developers (DADs) hail from diverse backgrounds and fulfill a multitude of roles spanning the globe. We can broadly categorize DADs into the following groups:

Core Development Teams: Leading cryptocurrencies rely on foundational blockchain protocols, with dedicated teams of software developers, engineers, and data scientists responsible for crafting and upkeeping these crucial infrastructures. These teams consistently drive innovation within the dynamic blockchain realm.

Independent Contributors: Open-source development holds a pivotal position in the cryptocurrency ecosystem. Beyond the core teams, a multitude of independent developers and blockchain enthusiasts generously invest their time and expertise into enhancing particular functionalities and hunting for bug fixes within crypto projects, frequently doing so on a voluntary basis.

Startups and Service Providers: Workers at blockchain-driven startups and prominent corporations also fall within the scope of daily active developers. Their typical responsibilities include crafting wallet services, dApps, smart contracts, and various other cryptocurrency ventures.

Academic Researchers: Academic institutions and research establishments hold a significant influence within the realm of cryptocurrency. Many protocols and blockchain initiatives originate as research endeavors conducted by professors and students in an academic environment. An illustrative instance is the inception of the Zcash cryptocurrency project, which took shape at Johns Hopkins University back in 2013.

Why Are DADs Important?

Investors in the crypto space can uncover valuable insights by delving into the world of active developers steering a specific blockchain, project, or application. Below are essential performance metrics indicating that a blockchain project is gaining momentum:

Developer Interest: The sustained attraction of numerous developers to a protocol typically serves as a promising sign for the project’s enduring potential.

Competitive Advantage: Competent expertise remains a critical requirement in all IT sectors, and the cryptocurrency industry is no exception, particularly during periods of expansion such as the dynamic landscape of 2022. Fierce competition prevails among different projects and enterprises vying for the skills of talented developers.

Community Support and Engagement: Hype frequently assumes a pivotal role in the initial phases of a cryptocurrency project, serving as a potent tool to raise awareness among users and ultimately foster a thriving community around the endeavor. A wealth of active developers, particularly those who engage actively on social media platforms to promote the project, stands as a favorable indicator of its potential.

How Investors Use DADs to Value a Blockchain Project

Market price, token supply, token distribution, market capitalization, and daily active user figures all offer valuable insights when assessing cryptocurrencies. Nevertheless, these metrics predominantly revolve around the demand aspect of the equation.

A comprehensive evaluation of cryptocurrency necessitates a profound grasp of the supply side as well. From a cryptocurrency perspective, supply metrics encompass tokenomics, governance structures, security protocols, bug identification and resolution, smart contract functionality, cross-chain interoperability, and a myriad of other factors.

All of these facets entail the management of substantial volumes of software code. The availability of a robust developer community fundamentally influences a project’s capacity to shoulder these responsibilities and expedite critical tasks.

Leading Blockchains with the Most DADs

When a team consistently introduces captivating new features, enhances the user experience, and addresses bugs within a software project, you typically witness a consistent increase in the number of active users. A greater presence of daily active developers (DADs) can significantly contribute to attracting a larger user base.

Bitcoin, NEAR, Ethereum, and BNB stand prominently at the forefront of our list of blockchains, boasting the highest daily active user counts. These crypto ecosystems also enjoy the presence of numerous full-time developers dedicated to their ongoing development and improvement.

Conclusion

Even more significantly, the developers responsible for over 80% of the code commits for several years continue to be deeply engaged in the world of cryptocurrency. The majority of these developers exhibit a strong commitment to the long-term prospects of crypto, which bodes exceptionally well for the industry’s sustained expansion.

As the crypto market transitions from its winter into the spring season, this underscores the imperative need for investors to incorporate Daily Active Developers (DADs) as a pivotal metric in their fundamental research within the cryptocurrency sphere.

Developers indeed serve as the architects of crypto’s foundational infrastructure. They labor tirelessly to construct and uphold the codebase, engage with users, and actively contribute to community expansion. In the realm of cryptocurrency, development and innovation stand as indispensable catalysts for growth, and developers function as the steadfast vanguards guiding both facets forward.