The Future is Multichain: Dev Trends Shaping Crypto's Future

Summary

In this video, the focus is on the 2024 Crypto Developer Report by Electric Capital, which tracks global crypto developer activity. It highlights key trends like the shift in developer geography toward Asia, especially India, and the increasing decentralization of development across various blockchains. Ethereum and Solana dominate, but emerging ecosystems like Base and Solana's Layer 2 solutions show notable growth. The report also delves into the rising trend of multi-chain development, with developers working across several blockchains. The video emphasizes that strong developer activity often leads to price growth, making Ethereum and Solana the most promising ecosystems in the crypto space.

Takeaways

• 😀 Developers are the driving force behind the success of crypto ecosystems, with development often leading adoption and price increases.
• 😀 Electric Capital's 2024 crypto developer report provides insights into where most crypto development is taking place globally.
• 😀 Crypto development is increasingly shifting towards Asia and emerging economies, with Asia now housing more crypto developers than North America.
• 😀 The number of crypto developers in India has surged, with India now home to 12% of the world's crypto developers, second only to the US.
• 😀 Ethereum remains the dominant platform for crypto developers, followed by Solana. Other ecosystems like Aptos and Polygon also attract significant developer interest.
• 😀 A rising trend in multi-chain development, with over a third of developers working across multiple chains, showcasing the growing multi-chain future of crypto.
• 😀 Base, an Ethereum Layer 2, has emerged as a major site of innovation in the EVM ecosystem, attracting a large share of new developers.
• 😀 The fragmentation of the developer landscape is notable, with many smaller blockchain ecosystems gaining traction, though they still lack the critical mass of Ethereum and Solana.
• 😀 The report highlights how developer activity can often serve as a predictor for future crypto market success and price growth.
• 😀 Despite the rise of numerous new ecosystems, Ethereum and Solana remain the most promising long-term investments, with their developer activity indicating strong staying power.

Q & A

What is the primary focus of Electric Capital's 2024 Crypto Developer Report?

The report focuses on analyzing where crypto developers are building in 2024, highlighting trends in developer activity, the ecosystems they are contributing to, and how this may impact the crypto market in the coming years.

Which regions are seeing the most significant growth in crypto developers?

Asia, particularly India, has seen substantial growth in crypto developers. While the US remains the top country, its share of the global developer population is declining, with India rapidly rising to second place.

What key trend is highlighted in the report regarding global crypto developer distribution?

The trend of diversification is highlighted, with crypto development shifting toward Asia and emerging economies, as well as an increase in developer activity in countries outside of traditional crypto hubs like the US and Europe.

How has the distribution of crypto developers changed since 2015?

Since 2015, the number of crypto developers in Asia has surged, with Asia now hosting one in three crypto developers, while North America's share has declined significantly.

Why is India significant in the context of global crypto developer activity?

India has grown from ranking 10th in 2015 to being the second-largest country for crypto developers, currently accounting for 12% of the global developer population, a trend that may soon surpass the US.

What role do cost factors play in developers' choices of blockchain ecosystems?

Cost factors, such as Ethereum's high transaction fees, have led many developers in emerging economies like India to favor other blockchains like Solana, which offer lower development costs.

Which blockchain ecosystems are seeing the most developer activity in 2024?

Ethereum and Solana are leading in developer activity. However, ecosystems like Base, Polygon, Aptos, and Nia are also growing in popularity, with Base in particular making significant strides among multi-chain developers.

What does the report say about the growth of multi-chain development?

The report indicates that multi-chain development is on the rise, with over a third of developers now building on multiple chains, up from just 10% in 2015, reflecting the growing importance of interoperability in the crypto space.

Why is Base considered a key player in the EVM ecosystem?

Base has become the most popular chain for multi-chain Ethereum Virtual Machine (EVM) developers, surpassing other Layer 2 solutions in terms of new code logic, likely due to its strong integration with Coinbase's infrastructure and user base.

How does developer activity correlate with the potential for crypto price growth?

Developer activity is often a precursor to increased user adoption, liquidity, and total value locked (TVL) in crypto ecosystems. Higher developer activity is typically associated with higher crypto prices as the ecosystem matures.