Twitter Users Can Now Add ETH Addresses for Tipping

2 years ago

Ethereum, the Goliath of the crypto space, has not been warmly received by users in the last couple of years. The reason for this is the emergence of several new projects that intend to resolve the setbacks of the Ethereum chain. The same reason was quoted by Sameep Singhania, who chose Polygon to build QuickSwap. It is also statistically concerning for Ethereum to see scaling solutions like Polygon trading with a volume three times higher. Ethereum, however, is on its way towards positive developments thanks to a new announcement by Twitter.

According to IntoTheBlock, the number of wallets on Ethereum has been on the rise since last year. Ethereum welcomed more than 18 million new wallet addresses in the last year alone. It means the blockchain has posted a growth of 1.53 million new wallets per month. Out of the 18 million new addresses, nearly 10 million have appeared only after October. Currently, Ethereum houses more than 70 million wallets that have a balance greater than zero. These numbers, however, have not had any lasting impact on the price of Ethereum. Find how Ethereum’s price might change in the future, given the upcoming developments, by clicking here.

The reason for the rise in addresses is the steady decrease in the daily transaction volume of ETH. The active addresses on the chain jumped from 1.05% to an immense 1.66% within a quarter. This soon met with a downside that gradually brought it to less than 1% by February 15, 2022. The drop is not the only issue Ethereum had to face after the crypto boom of the last year. The count of whales with more than 1000 ETH has also been decreasing in the past few months. Ethereum’s outdated, slow and expensive model does not hold well against the arrival of new and improved blockchain projects. Analysis from Glassnode claims that the whale count of ETH has reached a 4-year low of 6,226.

However, Ethereum is still leading the market when it comes to mainstream adoption with endorsements from giantly names like Twitter. Twitter has announced the integration of Ethereum wallets along with other payment apps, like PayTM, Paga, and Barter, for its tipping environment. Ethereum becomes the second cryptocurrency to be supported by the social media platform, following the adoption of Bitcoin last September. Twitter earlier offered NFT verification for its subscribers, i.e., the accounts with blue ticks. This new announcement, however, will be available to every user on the platform.

This recent endorsement from Twitter offers ETH a new use case in the real world. Mainstream adoption implies exposure to a wider market which is exactly why the cryptocurrency projects are willing to spend billions on it. Social media platforms bring an effective way to reach millions of customers, with added trust from the platform itself. This new tipping option by Twitter could potentially address the decreasing daily transaction rates to a significant degree.