An increase of 293% was recorded in smart contracts deployed on the Ethereum (ETH) core network in 2022, which shows both the impressive rise of Ethereum itself and the high activity seen on Web3.
This figure was derived from the “State of Web3 Q4 ’22 Report” published by software and blockchain developer, Alchemy.
The noteworthy points include the fact that the peak of this growth came in the fourth quarter of 2022, exactly the time period when FTX crashed.
According to the report, the number of smart contracts deployed in Q4 2022 was up 453% quarter-over-quarter to 4.6 million.
In addition, smart contract deployment on Ethereum’s testing network, Goerli, grew 187% in the last three months of 2022 and up 721% year-over-year to an all-time high of 2.7 million. This data suggests that these decentralized applications (dapps) may enter the market at some point in the future.
The report used various sources for data collection purposes, including Dune Analytics, DappRadar and Github, among others.
Developer activity on the rise
Smart contracts, a term coined by blockchain pioneer Nick Szabo in the 1990s, are self-executing pieces of computer code that debuted on the Ethereum blockchain, setting the stage for the creation of decentralized exchanges (DEX) and custody-less lending applications.
“The Web3 developer community is proving to be extremely resilient. This report shows they are as focused and motivated as ever to build the future of this ecosystem, at a time when they recognize the failures we’ve seen in 2022,” Alchemy’s chief development officer Jason Shah told Decrypt.
In addition, last December Alchemy surveyed 985 developers and of those, 94% said they planned to build on Web3, which “demonstrates the positive outlook despite the fact that the industry at the time was in a deep bear market,” according to Alchemy.
Following the launch of Alchemy University last October, the San Francisco-based company said more than 100,000 applications were created, indicating strong interest in Web3 development.
“We are encouraged by these numbers and expect developer activity to continue to grow in 2023,” Shah told Decrypt, although he admitted that this may be happening at a slower pace given the decline in investment in Web3 companies.