DappRadar, a prominent blockchain analytics platform since 2018, has announced it will cease operations due to significant financial pressures. This decision marks the conclusion of a major Web3 data hub that served millions of users within the decentralized ecosystem.
Founders Skirmantas Januskas and Dunica Dragos confirmed the shutdown in a message to users. They explained that despite exploring various alternatives, the platform had become financially unsustainable. The team will proceed with winding down all services in the upcoming days, encompassing blockchain tracking, decentralized application analytics, user metrics, and ecosystem dashboards.
The founders also indicated that updates concerning the DAO and RADAR token will be communicated through community channels, where final decisions will be made with community input.
A Key Pillar of Web3 Analytics Since 2018
Established in 2018, DappRadar gained recognition as the "World's Dapp Store," providing near real-time analytics across more than 90 blockchains. It delivered reliable metrics on active users, trading volumes, transactions, and trends for DeFi, NFTs, gaming, and metaverse projects.
Throughout its operation, the platform cultivated a reputation for offering trustworthy insights during both bullish and bearish market phases. Its dashboards, rankings, and data feeds were utilized by retail investors, blockchain developers, researchers, and global media organizations.
DappRadar also broadened its services to include tools such as:
- •Token and NFT portfolio trackers
- •Discovery tools, including quests and airdrops
- •In-depth research content
- •Multi-language analytics and reports
The founders highlighted their collaboration with hundreds of blockchain partners and thousands of Web3 projects, emphasizing their substantial contribution to the industry's growth and transparency.
Market Challenges Made the Business Model Unsustainable
DappRadar's expansion was supported by venture capital funding. The company successfully raised $7.33 million across two funding rounds, including a $5 million Series A in 2021, which was led by Prosus Ventures and Lightspeed Venture Partners.
These funds were instrumental in expanding the platform's infrastructure during a period of rapid crypto adoption. However, as market activity across DeFi, NFTs, and gaming experienced a slowdown, analytics platforms reliant on user engagement faced significant challenges. Revenues declined while operational expenses remained high, ultimately necessitating the shutdown.
The founders characterized the closure as "difficult but necessary," expressing gratitude to users, partners, and investors for their sustained support over the years. They also encouraged others to persist in building within the decentralized analytics sector.
With DappRadar's departure, the Web3 ecosystem loses a significant participant, creating opportunities for competitors and new startups to address the analytical gap as the industry strives for more robust business models.