The Ethereum-based decentralized apps (dApps) has experienced a massive exodus of cryptocurrency gamblers over the past few months. This is according to a report by blockchain research unit, Diar.
Ethereum dApps lose gamblers to competitors
According to the report by Diar, the Ethereum dApps have seen gamblers on their network move to other competing networks like Tron and EOS. The research body studied three blockchains that support dApps which are Ethereum, Tron, and EOS, looking into the transaction volumes of each network.
Diar discovered that dApps on EOS and Tron now account for 94 percent of the US dollar value transacted by the three networks. EOS leads the way, accounting for 55 percent of the traffic. Tron came in second, recording 36 percent of the transaction volume of the combined networks.
The larger percentage of the transactions processed have been attributed to gambling. The EOS network which went live last year has processed over 5.5 billion USD worth of cryptocurrency. Currently, 70 percent of those transactions have been attributed to its gambling-specific dApps.
The larger percentage of Tron traffic is also attributed to online casinos. Diar pointed out that over 95 percent of Tron traffic is from gambling-related apps.
However, the Ethereum network has seen its gambling dApps record lower transaction volumes. Ethereum gambling dApps now account for just 2 percent of the network’s US dollar transactional volume. This is low considering that roughly half of Ethereum dApps are gambling-related.
The larger percentage of Ethereum traffic comes from trading on decentralized exchanges. Analysts revealed that even the decentralized exchanges are struggling to maintain the rate of adoption on the network.
Diar noted that gambling is high-volume trading. This implies that blockchains hosting gamblers will experience an increase in its USD traffic.
Gambling dApps still target of attacks
In the past, gambling dApps have been the target of attacks. EOS-based gambling dApps were once prone to security breaches following some coding failure. This problem was encountered just a few months after the network was launched. A hacker exploited the dApp dice game DEOSGames to win the 1,000 USD jackpot 24 times in a row.
Within a few days, attackers also raided rival dApp EOSBet and stole 40,000 EOS coins worth roughly 200,000 USD at the time. Before all these, EOS had bragged on social media about the robustness of its security. Hackers attacked the network again, stealing EOS coins worth roughly 338,000 USD.
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