1、The Chainalysis Guide toOn-Chain User Segmentationfor Crypto ExchangesJune 20230The Chainalysis Guide to On-Chain UserSegmentation for Crypto ExchangesWith Bitcoins price up over 50%in 2023,crypto winter may be thawing,but business is still toughnonetheless for exchanges.Since the start of 2022,the
2、number of active centralized cryptocurrency exchanges has fallen from750 to 640,due to pressure from decreasing transaction volumes amidst harsh market conditions,and ever-increasing competition from decentralized exchanges(DEXes).However,at the same time,the number of cryptocurrency users is still
3、increasing.We approximate that growth on the graphbelow,which shows the number of active or balance-holding personal wallets also known asunhosted wallets,as they are not hosted by a service and are under the sole control of the owner across all blockchains Chainalysis supports over the last five ye
4、ars.On-Chain User Segmentation for Crypto Exchanges1Exchanges who can win over the crypto users behind those wallets and take market share now willbe in the best position to reap the rewards when crypto winter ends and transaction volumes pick upagain.But not all users are the same.Exchanges need to
5、 segment their users,and focus ononboarding and retaining the ones that will drive the best outcomes for their business.Luckily,cryptocurrencys inherent transparency allows exchanges to segment more effectively than inany other industry.Only in cryptocurrency can you see the holdings,transaction hab
6、its,and productpreferences of your users and prospects in real time.Armed with that data,exchanges can makedata-driven decisions about where to focus their user acquisition and retention efforts.How exactlycan they do it?In this guide,well lay out a sample model for exchange user segmentation based