Transactions

Transactions represent a bundle of intended actions to alter the ledger initiated by a user (human or machine). Transactions are counted whether they execute or not and whether they result in the transfer of native units or not (a transaction can result in none, one, or many transfers). Changes to the ledger mandated by the protocol (and not by a user) or post-launch new issuance issued by a founder or controlling entity are not included here.

A network with a high transaction count suggests a healthy network while one with a low transaction count suggests a relatively inactive network.

The value of transactions between native units is the sum value of native units transferred divided by the count of transfers (i.e., the mean size of a transfer) between distinct addresses in that interval. A high value shows meaningful economic activity flows on the network, which is a sign of health but can lead to both bullish and bearish action. Low values show reduced economic activity flows on the network, which is also a sign of health but too can lead to both bullish and bearish action.

The same logic can be applied when using the value of the native units (USD). This metric value is calculated as the Mean Value of a Native Unit * its price in USD.