User Cohort Analysis

User Cohort Analysis is a method of grouping users based on when they first interacted with a protocol to observe their behavior and retention over time. By tracking these cohorts, developers can see if new users are more or less likely to stay compared to older ones, and how changes in protocol design affect user longevity.

This is essential for understanding the lifecycle of a user in a decentralized application and for identifying the most effective acquisition and retention strategies. It helps differentiate between short-term spikes in interest and sustainable growth.

This analysis provides a clear picture of how different product iterations influence user loyalty and helps in optimizing the funnel from first interaction to long-term participation. It is a standard practice in product development applied to the unique context of blockchain.