Uncovering the ecological mystery behind Aptos: The halo faded and the ecological growth stalled

Writer: Fairy, ChainCatcher

Editor: TB, ChainCatcher

“The chain is quick, the coronary heart aches, and the cash is little.” This tongue-in-cheek comment absolutely captures the frustration of many early Aptos supporters.

When Sui took off, the different “Transfer Twins” fell into a totally completely different state of affairs. When Aptos was first born, it entered the market with excessive TPS, Transfer language and sturdy capital assist, however capital can mature a public chain however can’t give it actual vitality.

What sort of dilemma has Aptos fallen into?

The halo fades and the ecological growth stalls

Aptos was born in 2022. Backed by the former Meta group, it emerged as a star venture below the halo of “subsequent technology L1”. With the assist of a16z, YZi Labs, Bounce Crypto and different establishments, Aptos loved the enthusiastic pursuit of the capital market in the early stage. Nevertheless, as market sentiment cools, its as soon as proud technical narrative is step by step shedding its enchantment.

Dune knowledge reveals that the variety of energetic addresses of Aptos has dropped to about 1 million per day, and the variety of every day transactions is 3-4 million instances. Sui, which can also be based mostly on the Transfer language, has greater than 10 million every day transactions, and its DEX transaction quantity and utility income additionally far exceed Aptos.

So, what went fallacious with Aptos’ ecosystem growth?

 Picture supply: Deflama

False prosperity of sources

Aptos’ earlier ecological enlargement was extremely depending on the “resource-driven” mannequin fairly than actual market demand. Crypto KOL @cryptobraveHQ identified that Aptos distributed numerous chips to companions, launched well-known DeFi to counterpoint infrastructure, and pulled main establishments resembling Binance and OKX into ecological building by way of OTC refinancing. Nevertheless, this “quick-play” didn’t result in actual person migration, however was extra like a “useful resource arbitrage sport”:

• After the prime DeFi venture landed on Aptos, the actual person growth was restricted, and the chips have been shortly bought after being unlocked;
• TVL might appear to be rising, however most of the funds could be used to earn subsidies, and no actual liquidity has been fashioned;
• Ecological sources are tilted in the direction of “airborne” initiatives fairly than supporting native builders, which has restricted the growth of Aptos native initiatives and made it tough for the ecosystem to kind self-sustaining blood.

Aptos’ “ecological assist” is extra about kind than substance

In mid-March, Aptos launched the LFM program to assist ecological initiatives put together for TGE. Nevertheless, Amnis Finance, one among the first LFM members that was extremely supported by the neighborhood, “turned over” because of airdrops.

Group member @KuiGas identified that the airdrop distribution of Amnis Finance is very centralized: solely 10,000 of the 440,000 addresses acquired airdrops, leading to many actual customers getting nothing. On this “ecological assist” airdrop farce, Aptos’ shortcomings in venture overview and neighborhood governance have been uncovered.

Aptos’ “ecological assist” is extra like cooperation in title solely fairly than true ecological co-construction.

Aptos gave Amnis a variety of sources, together with token rewards, and the latter additionally spent a 12 months on advertising and lottery. Nevertheless, the complete course of was extra about kind than substance, and what it in the end introduced was not ecosystem growth, however a failed PR:

• There isn’t any mixed impact with the core ecology.
• There was no affordable recommendation or neighborhood steerage on the airdrop logic earlier than distribution.

@KuiGas stated that the airdrop of Amnis Finance was controversial, however Aptos nonetheless selected to exit silently, repeating a sequence of inaction in the previous.

 Picture supply: @KuiGas

Core executives go away in droves

Over the previous 12 months, Aptos has skilled fixed turmoil in its senior administration, with CEO Mo Shaikh, head of product design Jessica Anerella, and head of product Cathy Solar leaving the firm one after one other, sparking market issues about its chaotic inside governance.

Crypto KOL @cryptobraveHQ disclosed that final 12 months Aptos performed APT over-the-counter (OTC) buying and selling at a worth far under the market worth. At the moment, the market worth of APT was in the vary of $10-13, however some buyers have been in a position to take part in OTC buying and selling at a worth of about 40% off. Coincidentally, shortly after the incident was uncovered, co-founder and CEO Mo Shaikh and a number of staff with enterprise capital (VC) backgrounds left the firm one after one other.

It’s speculated that the direct purpose for the personnel adjustments might contain OTC curiosity switch, and the elementary purpose is that Aptos’ general efficiency after the coin issuance didn’t meet expectations.

The neighborhood is “upset” with Aptos, is it heading for decline?

Aptos was as soon as extremely anticipated, however now it’s deeply mired in neighborhood doubts and disappointment. “Lack of market acumen, unclear strategic course, inside corruption…” Many neighborhood members are “upset” with it, and the as soon as excessive expectations are being eroded step-by-step by actuality.

Group member @yi_juanmao bluntly stated that the core group of Aptos and Sui each got here from massive firms, however their growth trajectories have been utterly completely different. He criticized Aptos for not following the Web3 route when it comes to market sense, strategic format, person upkeep, and ecosystem co-construction. As a substitute, it was obsessive about boasting about its excessive TPS, and its type of doing issues grew to become extra and extra like a inflexible conventional Web2 enterprise. He additionally identified that the Aptos ecosystem was stuffed with parasitic initiatives, overly depending on capital transfusions, and the whole system lacked vitality and was lifeless.

Group member @Cary_Zz reviewed the adjustments in the previous 12 months and stated: “Final 12 months, the two Transfer leaders have been at the similar beginning line. At the moment, Aptos was much more in style than SUI, and the whole neighborhood was assured in welcoming the feast of the Aptos ecosystem. Nevertheless, a 12 months has handed, and issues have modified. One in all the two Transfer leaders has change into a hero, and the different has change into a bear. The worth of SUI has been rising, whereas the Aptos group is busy promoting cash at low costs on OTC, with inside corruption and revenue switch, and lastly with the departure of the CEO, a large number was left behind.”

Group member @imsongshu identified that Aptos’ inside workers have been pedantic and extraordinarily inefficient. @cryptobraveHQ echoed that Aptos used “compliance” as an excuse and the course of would take three months.

The capital halo might convey short-term prosperity, however what actually determines whether or not the public chain can acquire a foothold in the long term is all the time the person accumulation and sustainable growth of the ecosystem.

The competitors in the L1 monitor remains to be fierce. Solely time can inform whether or not Aptos can break by way of.