A new report shows crypto whales are vital to the survival of blockchain-based gambling apps.
According to the crypto data company DappRadar, as much as 80% of the value flowing through a number of decentralized gambling apps on the Ethereum, EOS and Tron networks is coming from high-net-worth individuals.
The report also finds whales are extremely sensitive to new features on blockchain gambling apps and are quick to jump ship if the potential returns are tweaked.
“In addition, whether or not they are actively in contact with each other, [whales] are highly likely to act in unison to react to any changes in a dapp or the launch of a new dapp they consider offers better opportunities.
In that context, successful dapps will typically generate a high percentage of value from its top wallets, hence a decline in this metric is often (but not always) a negative sign.”
Gambling applications continue to be the most popular use for decentralized apps, with over 900 new apps built for gambling and other “high risk” applications emerging in 2019, according to a recent report from Dapp.com.
In order to retain users and have a greater chance of long-term success, DappRadar recommends platforms aim to attract and retain high-value users.
“Developers are going to have to spend more time and resources creating higher quality experiences that can attract and retain existing users, especially the whales, who spend the most and hence provide the majority of profits.”
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Featured Image: Shutterstock/Fer Gregory
According to the crypto data company DappRadar, as much as 80% of the value flowing […]