This is a summary of the Mastering Onchain Data panel discussion from the Onchain Growth Summit 2025
In web3, nearly all economic activity happens onchain, creating a massive, publicly available dataset. This onchain data is a goldmine for any project aiming for sustainable web3 growth. It offers an unfiltered view of user behavior across the entire ecosystem, including your competitors—something web2 marketers could only dream of.
While the data is open, making sense of it can be challenging. Many projects still rely on vanity metrics like Total Value Locked (TVL) or raw active user counts. These numbers are often misleading, inflated by bots and airdrop farmers, and don't paint a true picture of a project's health.
This post is a practical guide for web3 builders on how to effectively use onchain data. We'll explore how to leverage it for user acquisition, ecosystem expansion, and data-driven crypto marketing, featuring insights from industry leaders at Coinbase, Dune, and Chain Flip Labs.
What is Onchain Data and Why Does it Matter?
Onchain data is the permanent record of all transactions and interactions that occur on a blockchain. Think of it as a public ledger detailing everything from simple token transfers to complex smart contract interactions.
Its importance for web3 growth cannot be overstated. Unlike the siloed data environments of web2, onchain data gives you a transparent view of user activity. You can see how users interact with your protocol, where they come from, and where they go next.
Key sources of onchain data include:
Transaction records: Volume, frequency, and value of transactions.
Smart contract interactions: Swaps, loans, and other engagements with dApps.
Wallet balances and token holdings: The assets a wallet holds.
Data platforms like Dune and Formo make this information accessible, allowing teams to analyze and act on it without needing to be data engineering experts.
User Acquisition: Finding Your Next Power Users
A common pitfall for web3 projects is focusing on misleading metrics. As Kofi from Base points out, it's crucial to identify "quality monthly active users" by filtering out bot activity and spam. Active user counts can be easily skewed, as bots can create thousands of wallets to mimic real activity.
To find high-potential users, analyze their onchain activity:
Look for wallets interacting with competitor protocols. These users are already familiar with your product category and may be looking for a better solution.
Identify users with specific token holdings relevant to your project. If you're building a dApp on a particular L2, users holding that L2's native token are a prime audience.
Target users based on their transaction volume or history. Wallets that frequently transact with similar dApps are likely power users who can bring significant value.
Projects can use this onchain segmentation to run highly targeted airdrops or crypto marketing campaigns. For instance, targeted wallet messaging can achieve click rates as high as 7-12%—a massive improvement over traditional marketing channels. By reaching the right audience with the right message, you can significantly boost conversion rates.
Ecosystem Expansion: Using Data to Grow Your Community
Monitoring the health of your ecosystem goes beyond tracking your own protocol's usage. Onchain data allows you to see the bigger picture, including developer activity and the flow of liquidity.
To foster developer growth, you can:
Identify active developers building on similar platforms or within your ecosystem.
Analyze which tools and contracts are gaining traction among builders to understand their needs and preferences.
Tracking the flow of liquidity and users between different protocols can also reveal opportunities for partnerships and integrations. If you see a significant number of your users also interacting with another protocol, a collaboration could be mutually beneficial.
Data-Driven Crypto Marketing: From Raw Data to Actionable Insights
Raw onchain data can be overwhelming. As Florian from Dune aptly puts it, "you can't improve what you don't track." A solid data strategy is essential before launching any campaign. This means defining clear goals and KPIs that align with your business objectives, not just hype.
Use tools to track user journeys from offchain sources (like a Twitter campaign) to onchain actions. Sean, CMO at Chainflip Labs, provides a great example. He tracks campaign effectiveness by taking snapshots of key metrics before and after a campaign. By using UTM parameters, he can link sign-ups directly to specific marketing efforts, giving him a clear view of what’s working.
AI tools are also emerging to help growth teams analyze complex datasets. These tools can identify patterns in onchain behavior that might be missed by human analysts, providing another layer of insight for your growth strategy.
Use Onchain Data to Your Advantage
Onchain data is the most powerful tool for achieving sustainable web3 growth, but it requires a thoughtful strategy. The key is to move beyond vanity metrics and focus on quality users, retention, and a deep understanding of user behavior.
Web3 provides a unique "panopticon" where all user activity is visible. The challenge lies in separating the signal from the noise. You need to identify the metrics that truly matter for your project and use them to make informed decisions.
Ready to get started? You don't have to build your data strategy from scratch. Learn from the experts and leverage the leading tools emerging in the space.
