{"id":22301,"date":"2023-09-13T07:30:48","date_gmt":"2023-09-13T07:30:48","guid":{"rendered":"https:\/\/nftandcrypto-news.com\/crypto\/blockchain-active-users-can-be-misleading-metric-crypto-data-scientist\/"},"modified":"2023-09-13T07:30:51","modified_gmt":"2023-09-13T07:30:51","slug":"blockchain-active-users-can-be-misleading-metric-crypto-data-scientist","status":"publish","type":"post","link":"https:\/\/nftandcrypto-news.com\/crypto\/blockchain-active-users-can-be-misleading-metric-crypto-data-scientist\/","title":{"rendered":"Blockchain active users can be misleading metric: Crypto data scientist"},"content":{"rendered":"
Active user count can be a misleading metric for measuring the state of a crypto ecosystem as a small group of users can generate a significant portion of activity across multiple wallets, argues the co-founder of a blockchain analytics provider.<\/p>\n
0xScope\u2019s co-founder and chief data scientist, Philip Torres, told Cointelegraph amid the Bitget EmpowerX Summit that between monopolistic founding entities, bots, exploiters and airdrop hunters \u2014 as much as 80% of blockchain activity can be generated by just a small number of entities \u2014 despite looking healthy on the outside. <\/p>\n
\u201cThese projects make a claim such as \u2018we have 10,000 active users\u2019 \u2014 well, we find out using the entity model that you have about 10 to 20 different users that are controlling 10,000 different addresses,\u201d he added. <\/p>\n