Try Quests to earn AXL$AXL Token Recap
What is covered in this analysis?
How have wallets that hold $AXL used it are most wallets holding or trading? What is the average holding period for wallets buying $AXL in the last month? Where did users kept $AXL in their Osmosis/Axelar wallets? Where did they bridge to?
Introductions
What is Axelar?
Simply put, Axelar network is a blockchain that connects blockchains, enabling universal Web3 interoperability. The network is secured using proof-of-stake consensus, and messages are routed and translated using permissionless protocols. As an analogy, Axelar is like Stripe for Web3, Axelar is composed of a decentralized network of validators, secure gateway contracts, uniform translation, routing architecture, its native token is AXL.
What is Osmosis?
a 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, it was launched in late 2021 and its native token is OSMO.
What is Axelar Satellite Bridge?
Satellite is a web app built on top of the Axelar network. Use it to transfer assets from one chain to another one.
- Most of the AXL satellite bridges was on Feb 2022 and the third week of Feb with half of the bridges on that week being to Luna (49K) recorded the most bridges in a week, number of bridges decline significantly Luna crash could be a major deciding factor as its used to be the most favorite destination before the crash but the decrease in number of bridges were kick started even before the Luna crash.
- Overall Terra with 237K, 30% of the bridges was the most popular Satellite bridge destination followed by Avalanche with 126K bridges and Polygon with 111K bridges.
Methodology
The needed data was mainly extracted via using axelar.core.fact_transfers for visualized metrics regarding AXL on Axelar and osmosis.core.fact_daily_balances for metrics regarding AXL on Osmosis to filter the extracted data to be narrowed down to AXL token the contract ID ibc/903A61A498756EA560B85A85132D3AEE21B5DEDD41213725D22ABF276EA6945E was used, the mentioned tables were provided by Flipsidecrypto database and to make these raw extracted data more comprehensible all types of proper charts and graphs were utilized.
Conclusion
- More than five times the volume of held AXL on Axealr is held on Osmosis (178M vs 35M) this could be due to Osmosis overall being a more popular platform compared to Axelar the collaborations between these two platforms could be a major factor too, strangely most of the held volume of AXL on Axelar left the platform four days after the AXL launch opposite to AXL on Osmosis which most of the held AXL volume was left intact and even saw a jump in volume on November. Bulk of the held AXL on Axelar(85%) is less than 5 AXL this might be due to users leaving the platform and leaving small volumes of AXL, 45% of the held AXL on Osmosis is more than 5 AXL overall Osmosis seems to be the most picked option for users holding AXL.
- Users in the past month held their AXL tokens for an average of 3.76 days. Number of users trading and AXL traded is far more than holding it seems like AXL have not yet gained the trust required to be a holders favorite token.
- Terra being 30% of the AXL Satellite bridges destination before its crash was the most popular destinations among users, after that Avalanche with 126K received bridges seems to be the new popular destinations among users.
- Overall seems like AXL lost most of the hype surrounding it after the first month of it launch but it being launched in the middle of a year long bear market could be promising as it is possible this relatively young token have not discovered its full potential yet.
Thank you for your time
- Users used the highest volume of AXL on the second day of its launch on Sep28 with 890K of the volume being transferring, 532K(35%) via 515 users, trading and 26 users held 2.8K(0.2%) tokens on that day, number of AXL use cases by user count and volume declined after September with some recorded spikes in Nov largest was on Nov4. Seems like both by size and transaction count trading is far more popular among AXL users with holding being the least favorite actions by transaction with only 479 done via 267 users and bridging AXL with 38%, 8K of transactions done via more than half of the users(2.7K) is the most popular used case for AXL among enthusiasts.
- Seems like users on average held AXL for 3.76 days in the past month.
- Since AXL launch late Sep 2022 users on Osmosis seems to hold majority of their AXL this could be proven by the fact that in the visualized graph, there is not any signs of notable decrease in daily held AXL the most visible, there was a spike in held AXL on Osmosis after Nov1 which nearly doubled the held AXL on the platform and overall 178.8M AXL is held as balance on Osmosis which is keeping its increasing momentum.
- Majority of the AXL balance on Axelar was held on the first week of AXL launch on Axelar with highest held volume reaching ~13M on Sep24 2022 after that held AXL on Axelar decreased significantly being under 50K most of the year overall 35M AXL is on Axelar this amount have not seen much of a growth overtime.
- Around 85% of the held AXL on Axeal is less than 5 tokens followed by 4.7% between 100-500 and only 1.44% wallets holding more than 10K AXL. 55% of the volume of held AXL on Osmosis is less than 5 followed by 13% 20-100 AXL and only 1.3% of held AXL are more than 10K AXL tokens, the high share of lowest size tier of held AXL on Axelar could indicate that users on the platform are less experienced rather than Osmosis and they could be gravitating toward Axelar solely because its AXL native protocol.