October 5, 2023 marked the beginning of a new era for cryptocurrency analytics. Slice Analytics, an on-chain data analytics service specialist celebrated for their dashboards and client reports, officially announced their strategic partnership with Nansen, the blockchain analytics platform renowned for enriching on-chain data with millions of wallet labels.
But this isn't just a big-name partnership. It's about tackling innate data interpretation problems in the crypto space:
Protocols need to look at more than just how many transactions are happening. They need to know the specifics. Are users accessing a particular feature or spreading their time and funds across multiple features? Just tallying transactions is misleading. Protocols need to analyze the exact actions users are performing when interacting with their smart contracts. If not, they end up pouring engineering hours into features users don’t actually care about.
Sure, a large quantity of transactions looks great. But who's actually using the platform? If a big chunk of those transactions are just bots/sybils farming for an airdrop, it suggests a transient user base rather than a community of long-term users and enthusiasts. Protocols need to differentiate between a genuine customer and a short-term farmer. Otherwise, they waste their marketing efforts on people who will leave the moment the market dips or the airdrop is allocated.
DeFi isn’t just about lending out money; it’s about closely monitoring repayments. For instance, if a majority of users are taking out loans but a small percentage are consistently repaying, it signals potential liquidity issues or a flaw in the lending criteria. Not keeping an eye on these repayment trends risks financial setbacks in the long run.
Ultimately, the flood of on-chain data can drown businesses that lack the right tools or know-how. This is where Slice Analytics’ partnership with Nansen shines: by pairing Nansen's top-notch datasets with Slice's knack for procuring customer specific insights from that data, we're bringing something fresh to the table for the crypto world.
“The joint services provided by Nansen and Slice Analytics are poised to redefine the landscape of on-chain analytics,” said Tim Conard, Slice Analytics CEO. “This collaboration not only helps users but also helps improve our understanding and use of blockchain technology through detailed on-chain insights.”
By nature, blockchain data is transparent yet complicated. But with on-chain insights, platforms can spot specific transaction details, how smart contracts work, and even the habits of users. This deeper look helps businesses understand what's actually happening on the blockchain. Slice Analytics and Nansen are not just making things easier for crypto teams—we’re helping everyone get a clearer picture of how and where blockchain technology works and where it can go next.
"We are excited to join forces with Slice Analytics to deliver cutting-edge analytics solutions to blockchain and protocol teams," commented Alex Svanevik, CEO of Nansen. "Through this collaboration, our goal is to enhance our capabilities and offer swifter service to a wider array of customers."
Using Nansen Query, Slice Analytics can provide broader and sharper insights to their users. This empowers teams with tailored dashboards, spotlighting vital data like customer preferences and growth trends. Now, crypto teams can confidently chart their next strategic move. Ultimately, from understanding customer segments and behaviors to gaining intelligence on competitors, the Slice Analytics and Nansen partnership will empower teams to make informed, strategic decisions.
Ready to dive deeper into the benefits of on-chain analytics? Book a demo with the Slice Analytics team.
You can also read Nansen’s announcement here.