Electric Capital, a venture company, released its annual developer report today, depicting the activities of crypto developers since 2020. Aside from the new ones, old developers building in the crypto space regularly became active this year, growing for the first time since 2017. This may correspond to the increase in the number of new projects launched in the crypto industry.
In the Decentralized Finance space, especially, many protocols and cryptocurrencies launched during the recent yield farming fuzz.
New Crypto Developers in 2020 Surged by 15% Monthly
According to the report, the last time the number of new crypto developers increased for more than three most was in December 2017. Electric Capital also reports that the monthly active developers in the cryptocurrency space stayed flat even as new developers joined. However, the number increased by 15 percent since the beginning of this year – the first monthly increase since the 2017 drop. Additionally, more than 80 percent of the active developers today joined the digital currency space in the last two years.
This somewhat signals a new interest in cryptocurrency for the returning developers. In the decentralized finance ecosystem, the number of active developers grew by 67 percent on a monthly count. In the entire crypto ecosystem, the Bitcoin and Ethereum networks see the highest number of developers. However, Ethereum leads Bitcoin, the largest blockchain network by market valuation, in this aspect.
Bitcoin vs Ethereum Developers
On average, nearly 2,300 crypto developers worked on the Ethereum network throughout the third quarter of this year. Bitcoin, on the other hand, reportedly posted slightly below 400 developers within the same period. More than 300 new developers joined the Ethereum blockchain on a monthly basis within that period. Although Bitcoin sees fewer developers than Ethereum, Electric Capital notes that the ecosystem gained over 70 percent in the past three years.
The increase in the Ethereum ecosystem corresponds to the growing number of projects developed directly on the network, including DeFi. It’s safe to mention that more crypto developers could join Ethereum soon, as it’s currently on the path to becoming more scalable. The network’s long-planned transition to Proof-of-Stake (PoS) already began on December 1, following the launch of Phase 0. This enabled Ethereum 2.0 Beacon Chain, which acts as the backbone for other developments to Serenity. It can still take more than a year for this upgrade to finalize.