Messari: Ethereum on track to settle $1.6 trillion in Q1 2021

TL;DR Breakdown

• The value of quarterly transactions settled on Ethereum already up by 60 percent compared to Q4 of 2020.
• Messari predicts the network will settle more than $1.6 trillion this quarter. 

The number of transactions settled on the Ethereum network keeps increasing with every proceeding quarter of the year. This is clearly evident following a chart shared on Wednesday by Ryan Watkins, a researcher at Messari. The value of transactions settled on the network in the first quarter of 2021 is already greater than the value recorded in the last quarter of 2020.

Messari predicts that Ethereum might top as high as $1.6 trillion in quarterly settlement value.

ETH network set to settle over $1 trillion in transaction

According to Messari, The ETH network already settled $926 billion worth of transactions in the quarter of 2021, which indicates a massive increase in network adoption. The record today represents a 698 percent increase when compared to the $116 billion settled in the first quarter of 2020 and a 60 percent increase when compared to the $577 billion settled in the last quarter of the year.

A total of $2.1 trillion in transactions were settled on the Ethereum network throughout last year. Following the increase in the ETH blockchain adoption, one can easily predict the network will gain a massive record in 2021. Already, the cryptocurrency analysis firm, Messari, predicts that the value of transactions settled on Ethereum is on pace to reach $1.6 trillion in this quarter alone. 

The issue with the increase in Ethereum usage

The data today shows why the transaction fees have been hitting the roof lately. Congestion on the network usually causes a rise in the fee, making the network more expensive to use. Recently, many users had to desert the ETH network for other blockchain networks, especially the Binance Smart Chain. As at the 24th of January, 1.28 million transactions were recorded on Ethereum, while Binance Smart Chain had 2.67 million transactions.