The CFX of Conflux emerged as a winner during the weekend negotiations, winning approximately 14%, according to data from the Coindesk market, and exceeding the wider index of Coindesk 20, which increased by 4%.
However, behind the scenes, something is missing: an increase in chain activity. Conflux positioned itself as China Ethereum, with a large digital book in accordance with regulations, which has no token, available in continental China.
Analysts addressing Coindesk in the past have described it as a “country, two systems” protocol, with its ability to overlap both the global cryptography markets with a token and act as a large digital book in continental China, by associating with national web giants like the Chinese version of Instagram.
Since the initiates say that Beijing warms up at the idea of the stabbed to counter the hegemony of the US dollar, and the conflux is preparing a stable offshore-yuan, the market euphoria is certainly justified. In the past 30 days, CFX has increased by more than 190%.
All this is not really reflected in the channel.
Aside from occasional points, the transaction activity did not increase last year, according to data from network block explorers.
In fact, it is still down compared to the daily averages of 2022.
Other data on the chain show that almost 80% of the total gas spent in the protocol comes from three accounts, creating a level of centralization concerning.
On the other hand, with Ethereum, the largest gas expenditure represents less than 10% of the total gas spent on the network.
There is certainly a growing story in China at the moment. Any kind of rumor that continental China has prohibited cryptography is manifestly false. Hong Kong’s Crypto Embrace reflects how the Shanghai stock markets learned from their counterparts in the city before opening the stock markets in mainland China in the 1990s.
However, the question remains: is conflux the best indicator of this story? The chain data suggest the opposite.
