#ActiveUserImpact The Pulse of Blockchain Ecosystems**

Active users—those regularly transacting, staking, or engaging with decentralized apps (dApps)—are critical to blockchain health. Their behavior drives network effects, token utility, and long-term viability.

**Key Impacts**:

- **Network Value**: High active users (e.g., Uniswap traders, NFT collectors) boost metrics like TVL, transaction volume, and protocol revenue, attracting investors and developers.

- **Token Velocity**: Frequent usage increases token circulation, but excessive selling (e.g., gaming rewards dumped on markets) can depress prices.

- **Governance Power**: DAOs rely on active participation; apathy concentrates control in whales, risking decentralization.

**Case Study**: Axie Infinity’s 2021 boom relied on active play-to-earn users, but a decline in engagement later collapsed its token