According to a study conducted by Electric Capital the market for blockchain developers has experienced significant growth. The study found that there are currently 21,300 individuals employed in this sector which means a remarkable 92% increase compared to 2020 . The number of developers in the field fluctuates in cycle with the price of Bitcoin with higher prices generating greater interest in the cryptocurrency blo and consequently leading to an upsurge in projects.
Decline in Developer Numbers in Recent Months
However in the past year the number of blockchain developers has witnessed a decline of 22%. In June 2022 there were 27,200 developers employed in the industry. Notably the majority of departing developers were those categorized as “novices” with less than a year of experience . It is worth mentioning that even during November 2021 when Bitcoin reached a value of $69,000 the number of developers was only slightly higher than the current figure.
Crypto Winter Impact on Developer Trends
The Electric Capital study suggests that “newbie developers” tend to enter the cryptocurrency industry during periods of Bitcoin price growth and subsequently leave during crypto winter phases. In contrast more experienced developers remain in the field and account for 60% of all developers. The researchers note that when analyzing data from 2015 onwards it becomes evident that developers joining projects during bearish trends tend to depart more rapidly . In 2023 newcomers left the industry faster compared to 2022 or 2021.
Global Cryptocurrency Industry Employment Figures
Electric Capital estimates that almost 180,000 individuals are currently employed in the global cryptocurrency industry which includes all industry participants and not solely developers. It is important to note that previous reports highlighted a significant decrease in crypto developer activity due to the bearish trend in the market .
As the blockchain industry continues to evolve employment in the developer sector has witnessed substantial growth and subsequent fluctuations . While the market attracts a greater number of developers during periods of upward Bitcoin price movement it also experiences departures during market downturns. Nonetheless the presence of seasoned developers highlights the resilience of the industry, providing stability and expertise in navigating the dynamic world of cryptocurrencies.
