$AXL Token Recap
Overview
Axelar Network is a decentralised network that securely connects all blockchain ecosystems, dapps, assets and users to provide Web3 interoperability by building a network that unlocks cross-chain composability and liquidity.
The Axelar team launched its mainnet in phases at the end of January and also launched Satellite, the first dApp that allows users to transfer assets between multiple blockchains, including Ethereum, Cosmos, Terra, Avalanche, Polygon, Fantom, Moonbeam, etc.
$AXL is the native utility token that powers the Axelar network, built using the Cosmos SDK. As an interoperability network, the AXL token is a chain-agnostic asset that has representations on multiple blockchains. Its ERC-20 representations will live on all connected chains, including Ethereum [1].
AXL is a means to collect transaction fees and any other fees for using the network, paid by the user to the validator operating the network. Incumbents and their proxies use AXL to gamble and exercise governance on proposals (e.g. parameter changes or protocol updates). Moreover, AXL enables decentralised proof-of-stake consensus-enabled incentives that help secure the network and validate blockchain transactions. Validator receives AXL rewards as an incentive to continue securing the network.
Methodology
Since the $AXL token launch, the activity on different networks may have changed. But, the question is… how? What type of users has $AXL token? Which network is being used the most?
For this reason, we are gonna explore how have wallets that bought $AXL used it, what is the average holding period for wallets buying $AXL in the last month, as well as if users have kept their $AXL on exchange (in their Osmosis wallet) or have they bridge to other places.
To do so, the following metrics will be computed through this analysis:
- Number of holders comparison: Axelar vs Osmosis
- Amount of $AXL holded: Axelar vs Osmosis
- Average $AXL holded per wallet: Axelar vs Osmosis
- Distribution of holders by balance range: Axelar vs Osmosis
- Distribution of $AXL holdings by balance of holders: Axelar vs Osmosis
- Number of $AXL buyers
- Volume of $AXL bought
- $AXL buyers behavior
- Most common action done after $AXL buys
Osmosis
Axelar
$AXL buyers
Comparison of $AXL holders on Osmosis vs Axelar
Over the past month, there were around 2k users who bought $AXL. These users bought more than 3M of $AXL with an average of 531 AXL per swap.
It can be seen that there are like waves of movements were more $AXL are bought with a minimal treshold of 25k $AXL in a day. The minimum number of daily buyers is over 70 with a highest record of 232.
Finally, we can see how the volume metrics doesn’t vary too much. While the average volume is a little bit more volatile going from 100 $AXL to 1.7k AXL, the minimum value is at 0.001 and 0.01 and the maximum value range from 4k to 40k.
$AXL buyers behavior
In this first part, we can see a comparison between Axelar $AXL holders and Osmosis $AXL holders. Basically, we can see how there are more holders on Axelar than Osmosis, 5.9k vs 2.5k respectively. As well, the current amount of $AXL holded is higher on Axelar and consequently, the average amount of $AXL holded per wallet is higher as well on Axelar.
Looking at the evolution of these metrics over time, we can see that in both cases, the amount of holders has been increasing over time and the trends are so similar for both networks. Something similar occurred with the amount holded in wallets during the first months after launch, but it seems that in both cases the trend stopped and now, the holdings are stable, being higher as commented on Axelar.
In these other charts, we can see the evolution of holders and its holdings over time. Here we have seen that there are more proportion of users holding less than 1$AXL on Axelar than in Osmosis. In fact, the proportion of users are so different but the volume shows a big difference. While the major of the volume on Axelar comes from users who are holding less than 1$AXL, or between 10 and 100 AXL or more than 10k AXL, in Osmosis the volume comes from less than 10 AXL holders or those who are holding more than 10k AXL.
In terms of buyers behavior, we can see that there are 4 main actions users can do: transfer their tokens, trading, LPing or holding. If we take a look at the actions over time, we can see that the Transfer actions has been the preferred one for the buyers from the beginning until the end. However, it seems that the number of users doing this action decreased over time while the second most important action - trading - remained stable. In fact, looking at the distribution over time, we can see that the percentage of users trasnferring decreased from 75% to 68%, while the number of users who are holding the tokens increased from 5 to around 10%, the other actions remained steady.
In terms of volume, the most important action is trading which are moving the most of the volume currently, however its different from the beginning that was dominated by transfers.
Even these changes in the main activity, if we take a look at the final charts representing the overall metrics of the past month, we can see how in both cases the major of the activity resides in the transfers, following by trading. However, the difference is much clear in terms of users rather than in terms of volume.
Key insights
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There are more holders on Axelar than Osmosis, 5.9k vs 2.5k respectively. As well, the current amount of $AXL holded is higher on Axelar and consequently, the average amount of $AXL holded per wallet is higher as well on Axelar.
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The amount of holders has been increasing over time and the trends are so similar for both networks. Something similar occurred with the amount holded in wallets during the first months after launch, but it seems that in both cases the trend stopped and now, the holdings are stable, being higher as commented on Axelar.
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There are more proportion of users holding less than 1$AXL on Axelar than in Osmosis. In fact, the proportion of users are so different but the volume shows a big difference.
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While the major of the volume on Axelar comes from users who are holding less than 1$AXL, or between 10 and 100 AXL or more than 10k AXL, in Osmosis the volume comes from less than 10 AXL holders or those who are holding more than 10k AXL.
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Over the past month, there were around 2k users who bought $AXL. These users bought more than 3M of $AXL with an average of 531 AXL per swap.
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It can be seen that there are like waves of movements were more $AXL are bought with a minimal treshold of 25k $AXL in a day. The minimum number of daily buyers is over 70 with a highest record of 232.
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The average holding period for users who bought $AXL over the past month has been over 15 days.
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The major of the users have been holding their $AXL between 3 and 4 weeks. More than 11% of the buyers are still holding their $AXL bought, more percentage than the number of users who sold their tokens in less than a day.
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There are 4 main actions users can do: transfer their tokens, trading, LPing or holding. Among that, the Transfer actions has been the preferred one for the buyers from the beginning until the end. However, it seems that the number of users doing this action decreased over time while the second most important action - trading - remained stable.
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In terms of volume, the most important action is trading which are moving the most of the volume currently, however its different from the beginning that was dominated by transfers.
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To conclude this part, we can see that the average holding period for users who bought $AXL over the past month has been over 15 days, which is a good number in my opinion. It should say as that around half of the buyers hold their bought tokens for a while. In fact, if we take a look at the number of traders by each holding group, we can see that the major of the users have been holding their $AXL between 3 and 4 weeks. The PIE distribution shows that more than 11% of the buyers are still holding their $AXL bought, more percentage than the number of users who sold their tokens in less than a day.