L1 Blockchain Valuation Metrics

L1 Blockchain Valuation Metrics are quantitative methods used to assess the intrinsic value and economic health of a base-layer blockchain network. Unlike traditional stocks, these metrics focus on network utility, security, and usage rather than earnings per share.

Key indicators include total value locked, transaction throughput, active addresses, and daily fee revenue generated by the protocol. By analyzing these data points, investors can gauge whether a network is overvalued or undervalued relative to its actual adoption.

These metrics also incorporate tokenomics, such as inflation rates and burn mechanisms, to determine how value accrues to the native token holders. Ultimately, these tools provide a framework for evaluating the long-term sustainability of decentralized infrastructure.