Please describe your proposed solution.
The data produced on the Cardano Blockchain is not easily translatable into consumable information which could be used by the public for, for example, blockchain health monitoring and financial analysis. Better exposing information extracted from the blockchain raw data, in a user-friendly format, is vital for the engagement of different user profiles, such as developers and/or investors, ultimately increasing the growth of the Cardano ecosystem.
In this context, we created Cardano Blockchain Insights as a tool to help different profiles of users to better visualize different dimensions of events inside this blockchain. This tool is materialised as a dashboard exposing data collected from multiple public data sources (Mesari, adapools, adatstats.net, Twitter, etc.) and private APIs exposing views made on top of Cardano DB sync and also other off-chain data. This tool is already created and being used by the Cardano community since February 2021. The CRFA team and other external contributors extended it multiple times within the course of the last year.
However, with the increasing complexity of the queries aiming to simplify its content and the growth of the blockchain itself, enabling a better way to scale will be crucial to continuing exposing the full history of the metrics collected so far. Thus, exploring different analytical data storage for our views over Cardano DB Sync (such as ClickHouse), and investigating the usage of other data sources such as Carp (https://github.com/dcSpark/carp) or IOHK's Cardano Bigquery solution (IOG analytics dataset), will be an important step of the work done on this proposal.
We also plan to devise a better solution to get a faster feedback loop from the community towards the data we are now exposing by open-sourcing all queries used on the Cardano Blockchain Insights. The goal is to provide a way for different contributors to challenge our data and propose fixes and improvements.
At last, besides current content, we plan future short / medium term developments that will help improve the user experience which focuses on improving the quality of current content and adding new metrics of interest.
How does your proposed solution address the challenge and what benefits will this bring to the Cardano ecosystem?
Based on the feedback received so far, it is clear that Cardano Blockchain Insights brings value to the community with its organised, easy to understand content and at the same time helps the ecosystem by attracting new users and reducing their learning curve. Although this proposal does not fit in the other specific Catalyst Challenges, we choose this broad section because it is a project that has the support of the community and could enrich the Cardano ecosystem even more.
There are 3 main values brought to the Cardano ecosystem by Cardano Blockchain Insights are: to provide decision-making tools for research/investor analysis, the opportunity to monitor the state of the blockchain, and create educational content for the community.
Data for research/investor analysis
Cardano Blockchain Insights content can be used as inputs for monitoring and performing multiple blockchain analysis, such as adoption or decentralisation analyses, amongst many others. It offers a way to visualize network effects in Cardano which can feed research/investor studies and also, creates the possibility to perform valuation projections. Many of the statistics already present on the site like: the number of wallets created, the total Ada staked by users or the social media statistics, are important KPI’s that show Cardano has a vibrant ecosystem and are metrics that an investor looks at when assessing a possible investment. As an example, Grayscale, an important investment fund, mentioned data from Cardano Insights about the rise of active addresses in their report “An introduction to Cardano”.
The content provided by Cardano Blockchain Insights can also be seen frequently on sites about cryptocurrency, in various articles about Cardano. For example, Ada’s increase in total number of transactions was presented by Cointelegraph.com using data from Cardano Blockchain Insights. Additionally, Kraken report about Cardano’s development of smart contracts also mentions Cardano Blockchain Insights data when presenting the network growth. The same can be said about the actual growth of the blockchain mentioned in an article on U.Today, or the fact that Cardano is 47,000x more energy-efficient than Bitcoin cited by Finbold.com. In conclusion, content from Cardano Blockchain Insights was overwhelmingly popular to present Cardano’s growth and increase in adoption.
Monitor the state of the blockchain
An important use case of the data is to check decentralisation metrics and use this as a compass for decision- making regarding governance policies. We can provide 2 examples of the way these stats can be used. The first example is the "Stake Pools" section on the dashboard, used to monitor the blockchain level of decentralisation. This healthy metric was useful, especially after the launch of ISPOs that started after smart contracts were deployed on Cardano. A second example is the tracking of the Nakamoto coefficient, which is an indicator striving to measure the extent of decentralisation. The goal of the community is to mitigate the risk of an attack on the blockchain and monitoring this coefficient and then taking action is critical in keeping the network decentralised.
The platform also provides a way to monitor the usage of smart contracts in the blockchain, by showing the number of Plutus scripts, indicating the growth of the number of Dapps or NFT marketplaces deploying on Cardano. It also tracks which Dapps are running smart contracts and counts how many times their scripts are being executed - this data can be used, together with the TVL (Total Value Locked) evolution, to check their user engagement and adoption.
Creating educational content for the community
As the language in the blockchain industry is quite technical, it is important to provide information that explains how the network is functioning in a way that the whole community understands the capabilities of Cardano.
A good example in this direction is the "Transactions" section, where it is presented what kind of transactions are being performed in the blockchain and their impact on the blockchain load. For example, a smart contract transaction requires much more resources than a simple transaction and by providing this information, the Cardano Blockchain Insight helps the community to understand the current status and the connection with the network scaling plan that is implemented this year.
Another interesting example can be found in the number of transactions per day chart. Cardano is using the eUTXO model (same as Bitcoin) and the way transactions are performed is different from the account model (used by Ethereum). For eg., one transaction can be a payment from either one-to-many addresses or even from many-to-many addresses. In this direction, Cardano Blockchain Insights is providing a way to normalize the transactions to account style blockchains also revealing the particularities of Cardano when compared with other blockchains.
How do you intend to measure the success of your project?
We consider the increase in adoption and awareness of Cardano to be the most important indicator of success of this project.
Becoming the first source of information about Cardano for regular Ada holders, Dapp developers and people from outside the ecosystem who are considering Cardano a potential entry opportunity.
In order to measure the success of the project, we will monitor the daily site visits by setting a target of 450 visits/day.
Use of Cardano Blockchain Insights as a reference-able resource, for example, the data provided to be used by other parties in marketing Cardano’s current level of development and high potential.
A monthly evaluation of the number of times Cardano Insights data is referenced in the media will be put in place.
Please describe your plans to share the outputs and results of your project?
Increases of media references to the Cardano Blockchain Insights and unique visits are internal data, but we can share it in case any project audition need.
Ultimately, we plan to provide all queries used on Cardano Blockchain Insights in a Github page so then we will be able to validated by the community, creating a feedback loop so we could increase the precision of our data.