As blockchain technology continues to advance and gain mainstream adoption, the demand for scalable and efficient solutions has never been higher. Enter the world of Layer 1 (L1) blockchains - the heavyweight champions of the blockchain world. These L1s promise to solve the infamous blockchain trilemma of speed, scalability, and fees, and have quickly gained a reputation as the go-to platforms for decentralized applications (dApps) and decentralized finance (DeFi). But with so many L1s to choose from, how do you decide which one is the best fit for your project?

In this report, we will deep dive into the comparative performance of five popular L1s - Ethereum, Solana, Avalanche, Polkadot, and Near - in terms of developer growth, project adoption and growth, geographic growth, unique use cases, and wins and fails over the past year. I will also provide recommendations for each of these aspects, so you can make an informed decision on which L1 is the right choice for your project.

But before we dive into the nitty-gritty, let's take a quick look at what exactly an L1 blockchain is and why it matters.

Layer 1 Blockchain: A Recap

Simply put, L1 blockchain serves as the foundation for other blockchains and dApps to build upon. It is the first layer of the blockchain stack and plays a crucial role in the overall performance and security of the ecosystem. L1s are typically highly scalable, with the ability to process thousands of transactions per second and low fees, making them attractive platforms for developers and users alike.

So, without further ado, let's get started on our deep dive into the world of L1 blockchains!

How have their developer ecosystems grown?

The growth of a developer ecosystem is an important indicator of the health and sustainability of an L1 blockchain. A strong developer ecosystem can attract new talent and drive innovation, while a stagnant ecosystem may struggle to keep up with the demands of the market. So, how do our five L1s stack up in terms of dev growth?

• Ethereum

Ethereum is the clear leader in terms of the developer ecosystem, with the Ethereum Foundation reporting over 100,000 registered developers in 2021. This is not surprising, given Ethereum's position as the first and most well-known L1 blockchain. Developers have flocked to the platform over the years, building a wide range of dApps and DeFi projects on the Ethereum network.

• Solana

Solana is a relative newcomer to the L1 scene, but has quickly gained a reputation as a developer-friendly platform. The Solana Developer Portal reports over 10,000 registered developers in 2021, a strong showing for a platform that has only been around for a few years. Solana's focus on scalability and low fees has attracted a number of developers to the platform, leading to the creation of a diverse set of use-cases and projects.

• Avalanche and Polkadot

Avalanche and Polkadot have also seen significant growth in their developer ecosystems since their respective launches. Both platforms have held developer conferences and community events to promote their platforms and attract new talent. While it is difficult to accurately estimate the number of active developers on any given L1, the number of registered developers on each platform can provide some indication of the size of the developer ecosystem.

• Near

Near, on the other hand, has a smaller developer ecosystem compared to the other L1s in this report, with the Near Foundation reporting over 1,000 registered developers in 2021. While this may seem small compared to Ethereum or Solana, it is important to note that Near is a relatively new platform and has only been live for a few years. Despite its smaller developer community, Near has a strong presence in the Asia-Pacific region and has focused on building a developer community in the region.

How easy is it for new developers to get started shipping?

The ease of getting started and shipping for new developers can vary significantly among L1s.

• Ethereum and Solana

Ethereum and Solana offer comprehensive documentation and resources for developers to get started building on their platforms. Both platforms have active developer communities and offer a range of tools and resources to help new developers get up to speed quickly.

• Avalanche and Polkadot

Avalanche and Polkadot have more focused developer communities and may require a deeper understanding of the underlying technology to get started. Both platforms offer documentation and resources for developers but may require a steeper learning curve for those unfamiliar with the technology.

• Near

Near has a developer-friendly platform, but also offers more advanced features and tools for experienced developers. The Near platform is built on a modular architecture, which allows developers to easily customize and extend the functionality of the platform. Near also has a strong focus on developer experience, with a range of tools and resources available to help developers get started quickly.

Overall, the ease of getting started and shipping for new developers on an L1 platform will depend on the specific platform and the developer's familiarity with the technology. Ethereum and Solana may be more suitable for new developers, while Avalanche and Polkadot may be more suitable for experienced developers looking for more advanced features and tools. Near is suitable for both new and experienced developers, with a range of tools and resources available to help developers get started quickly.

Project Adoption and Growth

The adoption and growth of projects on an L1 blockchain is an important indicator of the platform's success and usefulness.

• Ethereum

Ethereum has a large and established ecosystem, with thousands of projects built on the platform. According to data from DappRadar, there are currently over 2,000 dApps built on Ethereum, with a combined total of over 7 million active users. These dApps include decentralized exchanges (DEXs), games, and other financial applications.

• Solana

Solana has also seen significant adoption and growth in the number of projects built on its platform. According to DappRadar, there are currently over 100 dApps built on Solana, with a combined total of over 1 million active users.

• Avalanche

Avalanche has seen strong adoption and growth in the number of projects built on its platform, with over 50 dApps currently listed on DappRadar, with a combined total of over 100,000 active users.

• Polkadot

Polkadot has seen moderate adoption and growth in the number of projects built on its platform, with over 20 dApps currently listed on DappRadar, with a combined total of over 50,000 active users.

• Near

Near has a smaller ecosystem, with fewer than 10 dApps currently listed on DappRadar, with a combined total of fewer than 10,000 active users.

It is important to note that the number of active users and usage metrics for each project may vary depending on the stage of development and the specific use case. Additionally, it is important to separate vanilla signing/voting messages from actual user actions when calculating usage metrics, as these actions may not reflect active usage of the platform.

The stage of development and usage metrics of projects built on each L1 can vary significantly. Many projects on Ethereum, Solana, Avalanche, Polkadot, and Near are live and available for anyone to use, while others are in closed beta or are still in development. It is important to carefully consider the stage of development and usage metrics when evaluating the adoption and growth of projects on any given L1.

Geographic Growth

The geographic focus and growth of an L1 can provide insight into the platform's target market and overall strategy.

• Ethereum

Ethereum has a global presence, with a strong developer community and a wide range of projects built on the platform. Ethereum has also made efforts to expand into new markets, such as Asia and Latin America, through a variety of initiatives.

• Solana

Solana has a strong presence in the Asia-Pacific region, with a focus on building a developer community in the region. Solana has also made efforts to expand into new markets, such as Latin America.

• Avalanche

Avalanche has a strong presence in the United States and Europe, with a focus on building a developer community in these regions. Avalanche has also made efforts to expand into new markets, such as Asia.

• Polkadot

Polkadot has a strong presence in Europe and the United States, with a focus on building a developer community in these regions. Polkadot has also made efforts to expand into new markets, such as Asia.

• Near

Near has a strong presence in the Asia-Pacific region, with a focus on building a developer community in the region. Near has also made efforts to expand into new markets, such as Europe and Latin America.

It is important to note that the geographic focus and growth of an L1 may change over time, as the platform evolves and expands into new markets. The success of an L1's expansion into new markets will depend on a variety of factors, including the platform's unique value proposition and the level of developer and user adoption in the target market.

Unique Use Cases

Each L1 blockchain has its own unique value proposition and may be focused on particular kinds of use cases.

• Ethereum

Ethereum is the most well-known and widely used L1 blockchain, with a strong focus on smart contracts and the development of decentralized finance (DeFi) applications. Ethereum's decentralized nature and support for smart contracts make it well-suited for a wide range of use cases, including supply chain management, voting systems, and identity verification.

Ethereum has leveraged its strengths in smart contracts and DeFi to become the dominant L1 blockchain for these use cases. However, Ethereum's focus on smart contracts and DeFi has also led to scalability issues, as the platform has struggled to handle the increased demand for these use cases.

• Solana

Solana is a high-speed and low-cost L1 blockchain that is well-suited for fast-moving and high-volume applications. Solana's focus on scalability and low fees make it well-suited for use cases such as decentralized exchanges (DEXs) and high-frequency trading.

Solana has leveraged its strengths in scalability and low fees to become a popular choice for DEXs and other high-volume applications. However, Solana's focus on scalability and low fees may limit its adoption in other use cases that require different technical capabilities.

• Avalanche

Avalanche is a highly customizable and scalable L1 blockchain that is well-suited for a wide range of use cases. Avalanche's focus on interoperability makes it well-suited for use cases such as cross-chain communication and decentralized identity.

Avalanche has leveraged its strengths in interoperability to become a popular choice for cross-chain communication and other use cases that require interoperability. However, Avalanche's focus on interoperability may limit its adoption in other use cases that require different technical capabilities.

• Polkadot

Polkadot is a multi-chain L1 blockchain that is well-suited for use cases that require interoperability between different blockchain networks. Polkadot's focus on scalability and interoperability make it well-suited for use cases such as decentralized finance (DeFi) and cross-chain communication.

Polkadot has leveraged its strengths in scalability and interoperability to become a popular choice for DeFi and other use cases that require interoperability between different blockchain networks. However, Polkadot's focus on interoperability may limit its adoption in other use cases that require different technical capabilities.

• Near

Near is a developer-friendly L1 blockchain that is well-suited for a wide range of use cases. Near's modular architecture and focus on developer experience make it well-suited for use cases such as decentralized storage.

Near has leveraged its strengths in developer experience and modular architecture to become a popular choice for dApp development and decentralized storage. However, Near's focus on dApp development and decentralized storage may limit its adoption in other use cases that require different technical capabilities.

Hits and Misses

The overall performance of Ethereum, Solana, Avalanche, Polkadot, and Near in the last 1 year can be analyzed by considering a variety of factors, including developer activity, and technical innovations.

• Ethereum

Ethereum has seen significant growth and adoption in the last 1 year, with a surge in the development of DeFi applications and the increasing mainstream adoption of NFTs. Ethereum has also made significant progress in addressing scalability issues through the implementation of Eth 2.0 and the roll-out of layer 2 solutions like Optimistic Ethereum and zkSync.

However, Ethereum has faced challenges in the last 1 year, including high fees and network congestion, which have limited the adoption of some applications.

• Solana

Solana has seen significant growth and adoption in the last 1 year, with a surge in the development of DEXs and other high-volume applications. Solana has also made significant progress in addressing scalability and high fees through implementing layer 2 solutions like Serum and the roll-out of new features like cross-chain communication.

However, Solana has faced challenges in the last 1 year, including limited developer adoption and a smaller ecosystem compared to other L1s.

• Avalanche

Avalanche has seen significant growth and adoption in the last 1 year, with a focus on interoperability and the development of DeFi applications. Avalanche has also made significant progress in addressing scalability and high fees through implementing layer 2 solutions and the roll-out of new features like cross-chain communication.

The challenges include limited developer adoption and a comparatively smaller ecosystem.

• Polkadot and Near

Polkadot and Near have seen moderate growth and adoption with a focus on interoperability. Both these L1s made significant progress in addressing scalability and high fees through implementing layer 2 solutions and the roll-out of new features like cross-chain communication.

List of Suggestions

Ethereum:

• Continue to improve scalability and address high fees through the implementation of Ethereum 2.0 and the adoption of layer 2 solutions

Solana:

• Continue to improve scalability and address high fees through the implementation of layer 2 solutions and the roll-out of new features like cross-chain communication

Avalanche:

• Continue to improve scalability and address high fees through the implementation of layer 2 solutions and the roll-out of new features like cross-chain communication

Polkadot:

• Continue to improve scalability and address high fees through the implementation of layer 2 solutions and the roll-out of new features like cross-chain communication

Near:

• Explore new use cases beyond dApp development and decentralized storage to further expand the platform's adoption and growth

Conclusion

The performance of Ethereum, Solana, Avalanche, Polkadot, and Near in the last 1 year can be analyzed by considering a variety of factors, including adoption and growth, developer activity, and technical innovations. Each L1 blockchain has its own unique strengths and weaknesses and is well-suited for different kinds of use cases.

As the blockchain ecosystem continues to evolve and mature, it will be important for these L1s to continue to innovate and address challenges in order to maintain their competitive advantage and drive further adoption and growth.