What does a Daily Active User look like on Osmosis? First, plot out how many DAUs there are on Osmosis. For this exercise, consider a DAU would be any wallet transacting on Osmosis a majority of days every week.

Once you have the DAUs, what does their activity look like? Do they LP more or swap more? How often do they transfer tokens into Osmosis? Where are these transfers coming from?

Method

DAU definition :

a DAU is user which was active in at least 75% of days during past year.

Approach \n In this dashboard, in the first part, we examine the performance of DAUs in different sectors in the Osmosis network. In the following sections, we will examine their performance in each of the Sectors, and in some cases will compare with ordinary users.

Introduction

The Cosmos Ecosystem

Osmosis is a decentralized exchange (DEX) and automated market maker (AMM) protocol for the Cosmos ecosystem. To understand the specifics of Osmosis, it’s helpful for you to know the context of the Cosmos ecosystem upon which and for which it is built. Cosmos is an overarching ecosystem of blockchain networks that can connect with one another as part of Cosmos’ mission to build an “internet of blockchains.” Interoperable decentralized applications (dApps) on these various networks communicate with each other and send tokens and data back and forth via Cosmos’ Inter-Blockchain Communication (IBC) Protocol.

The Cosmos Hub is the mainchain that serves as the central ledger and primary blockchain protocol to connect with other blockchains in the Cosmos Network. It is a Proof-of-Stake (PoS) blockchain built by the Ignite team and uses ATOM as the native token for voting, staking, and transactions. Cosmos also provides a software development kit (SDK) to enable projects and teams to build on its network. Now that we have a surface-level understanding of Cosmos and how it operates, we can dive deeper into Osmosis.

• The Osmosis AMM

Osmosis is a DEX protocol, which means it uses smart contracts to determine the price of digital assets, to produce liquidity via a peer-to-peer (P2P) methodology, and to exact trades between users. This approach to an exchange platform is known as an AMM — a DEX protocol that prices crypto assets in liquidity pools. Contributing tokens to these pools helps foster decentralized liquidity, which is then used to facilitate trades on the exchange. Participating as a liquidity provider (LP) can earn you both trading fees and newly minted LP tokens as incentives for participation.

The Osmosis AMM is unique in that it affords users the ability to create their own liquidity pools, or to duplicate existing ones with their own unique parameters. Because Osmosis is built on the Cosmos ecosystem, users are able to natively trade assets from more than 47 different chains within Cosmos.

While most AMMs today are fairly efficient at providing liquidity in a decentralized manner, they still operate as service-based products: the platform creates pools that are free to join. In the dynamic landscape of decentralized finance (DeFi), this can arguably compromise the efficiency of the liquidity pools available for use. To help solve these issues, the Osmosis AMM was conceived as a “serviced infrastructure” that provides users the ability to tweak the values of tokens and the supply, therefore lowering the barrier to creating custom-built AMMs.

Two primary concepts that drive the Osmosis protocol are sovereignty and heterogeneity. To that end, Osmosis makes use of self-governing liquidity pools. These liquidity pools that exist in Osmosis are not hard-coded and users can use the native Osmosis token (OSMO) to vote on pool parameters and protocols, provide liquidity, and stake. Essentially, it allows holders of the token to decide the make-up of specific liquidity pools, in addition to playing a central role in wider Osmosis protocol governance.[1]

• So far, more than 622 thousand IBC_TRANSFER_IN txs have been recorded by DAUs, which is around 11 in terms of tx per user per week.
• About 1300 DAUs are swapped every week, which is equivalent to 30 thousand swaps per week and about 35 million dollars. Since June 13, this figure has increased and has reached 565 million dollars in recent weeks.
• In general, the average number of swaps per user DAU is 1000 < 25 for normal users.
• Among DAUS:
  • Pool id 752 was the most popular with $425M.
  • ATOM-INJ has been the most popular pair with over $520 million.
  • ATOM has been the most popular symbol in with more than 793 million dollars.
  • INJ recorded the highest amount of swap out with more than 1.4 billion dollars.
  • pool 1 with 54 M$, was the most popular pools in terms of LPing
  • \

Conclusion :

Daily Active Users, or DAUs, are defined in this dashboard as those users who have been active more than 75% of the days in the past 12 months. Although these users are much less in number compared to other users, they play an essential role in the network. The number of their transactions per user is 5 to 7 times more than of a normal user. So far, they have done more than 620 k of IBC receiving transactions in the network. The area where they were most active was swapping, and in this area, the number of transactions per user was 1000 for them and 25 for the normal user. Their favorite currency pairs were ATOM-INJ, OSMO-INJ and REBUS-INJ. Their favorite pool id for LPing is 1 and 725. Since the beginning of June, their activity has decreased surprisingly. They are part of the inseparable part of the network and play an essential role .

Findings :

• According to the results, from the first of this year to the end of May, the number of transactions related to DAUs was over 300 thousand per week. This number has suddenly dropped to around 110,000 per week since the beginning of June.

  The number of Active DAUs has not changed much over time. As a result, the number of transactions per DAU has decreased from around 200 in late May to around 70 in early June.

• Swapping, Transfer and LPing are 3 most popular sectors among in DAUs. Among them, Swapping has registered a high growth rate compared to others.

• On a weekly basis, about 10 to 19 thousand transactions related to transfer were recorded by DAUs, which compared to normal users, the number of weekly transactions per user for DAUs was more than 5 to 7 times that of normal users.