#ActiveUserImpact The impact of active users on blockchain networks is a crucial factor in enhancing the value and security of these networks. As the number of users increases, the value of the network increases thanks to what is known as the “network effect”, where each new user adds additional value to existing users.
The importance of active users:
Enhancing security: Increasing the number of users and nodes in the network makes it more difficult to hack or tamper with, which enhances the reliability and security of the system.
Improving decentralization: Increasing the number of participants reduces the dominance of any one party, which enhances decentralization and reduces the risks of central control.
Increasing market value: A large user base contributes to attracting more investments and developers, which enhances the growth and development of the network.
Examples of the impact of active users:
Solana Network: Solana recorded the largest number of active users with 100 million users, which highlights its attractiveness and the strength of the network effect in it.
Base Network: Base Network has seen unprecedented growth, with its user base growing 56x in 2024, adding 13.7 million new users in October.
Potential Challenges:
Despite the benefits, decentralized networks may face challenges from large tech companies with deep pockets and regulatory advantage, which could impact the stability of these networks.