• STEPN’s user activity has significantly dropped since the end of the play-to-earn boom in December 2021.
• Despite a token airdrop, key growth metrics continue to decline and new demand for STEPN sneakers has also decreased.
• The native token GMT has shed 35% of its value in the last 30 days, resulting in negative sentiment from investors.
STEPN’s User Activity Continues To Decline
STEPN, a popular play-to-earn gaming platform, recently conducted an airdrop for its Genesis holders as part of its New Horizon initiative. However, despite this effort, data from DappRadar reveals that interest in the blockchain-based game continues to wane and key growth metrics still remain on a downward trajectory. Over the past month alone, unique active wallets on STEPN have declined by 33%, while monthly active users have decreased by 95% since May 2022.
GMT Price Follows A Downward Trend
The native token of STEPN’s ecosystem – GMT – has followed suit with its user activity and witnessed significant losses over the past month. At press time, GMT is down by 35% and investor sentiment towards it remains deeply bearish as they seek to hedge against further losses by distributing their holdings.
New Horizon Initiative Does Little To Change Trends
In February 2021, STEPN launched its New Horizon initiative which included an airdrop for Genesis holders as an incentive to drive up network activity from existing users. Unfortunately however, it appears that these efforts have failed to garner any traction among investors as evidenced by declining new entrants onboarded onto the gaming ecosystem – which stands at 42,965 monthly active users at present – and buying momentum which lay below neutral line on daily charts.
Key Indicators Point Towards Unhealthy Protocol
The consistent decline inSTEPN’s user activity serves as a key indicator of an unhealthy protocol; one that could likely be facing difficulties moving forward if trends remain unchanged. As such it is important that proactive measures are taken to ensure continued success for both STEPN and GMT moving forward so that they can remain competitive within the blockchain space.
With user activity continuing on a downward trajectory and no signs of improvement yet seen, it remains unclear whether or not STEPN will be able to turn things around anytime soon; particularly given current market conditions where other projects are experiencing similar difficulties with their own user bases. For now though all we can do is wait and see what steps are taken next to improve network health before further damage can be done.