Hedera [HBAR] is a proof-of-stake (PoS) public network powered by a hashgraph consensus algorithm. In a new report by Messari, the blockchain data analytics firm noted that while registering some declines, the Hedera blockchain also made significant strides last quarter as compared to its performance in the first quarter of the year.

It is common knowledge that the last quarter was bad for the cryptocurrency market. The market capitalization of the entire market suffered a 58% decline.

The Hedera network was not shielded from the losses as it also posted a 71% decline in its market capitalization. Messari found that the chain ended the quarter with a market capitalization of $1.4 billion after seeing a market capitalization of $3.3 billion in the year’s first quarter.

Source: Messari

According to Messari, Hedera also suffered a significant decline in the total transactions processed on the network last quarter. With a 76% monthly decline, it processed an average of 19 million transactions every month between April to June.

In the first quarter, the chain saw a total transaction of 76 million per month.

Interestingly, despite the decline in completed transactions on the network, Messari found that the network saw a growth in its active user base in the last quarter. According to the report,

“Despite the drop in transactions, active users increased for the second consecutive quarter. During Q2 2022, Hedera averaged 33,000 active users per month, a 51% increase quarter over quarter and a 110% increase compared to Q4 2021.”

Source: Messari

With 258,000 NFT transactions processed on the network only in the last quarter, Messari found that the NFT ecosystem within Hedera was on the rise. The 258,000 NFT transactions came from 8,260