#AvalancheRush
Here are my initial thoughts on @BenqiFinance $QI
-Super smooth launch so far (congrats to QI team!)
-UI is slick & a lovely experience
-#Defi on @avalancheavax $AVAX is silky smooth & fast, by far my favourite L1 to do stuff. Soooo much better than #Ethereum
1/8
- @BenqiFinance $QI has launched on @kucoincom
Currently at $0.056, a 6x from IDO Price of $0.009
Circulating Mkt Cap is still a modest ~$18m 2/8
The market leader @AaveAave $AAVE, on the other hand has $13 BILLION 3/8
- UI is slick & a lovely experience
Super easy to lend & borrow! My only minor gripe is I prefer $AAVE's dashboard that shows both supply & borrow (but it is easy to switch between tabs)
I lent out my $AVAX at 30% LTV (40% is max) & borrowed USDTe-DAIe to stablecoin farm 4/8
- The $QI experience really highlights the huge advantage on TPS & finality of @avalancheavax $AVAX. Forget about marketing, this is the best user experience, while also maintaining decentralisation 5/8
IMO the launch of $QI lending/borrowing (+$3m incentives) +$180m #defi ecosystem-wide incentivised liquidity mining program will bring an influx of new user to @avalancheavax
The superior UI of $AVAX has the *PROMISE* of making TVL explode
(Speaking of +$3m incentivised rewards on @BenqiFinance $QI, we're still waiting. Also still waiting on @pangolin $PNG trading) 7/8
Currently @avalancheavax $AVAX is currently at ~$400m TVL vs. a TOTAL TVL of ~$150b or 0.2% market share (that is also growing fast with greater #crypto#DeFi adoption)
Yesterday, I wrote this thread about why I thought NOW was the right time to invest in @avalancheavax $AVAX, why NOW was going to mark the start of #AVAXdefisummer
There are clear macro drivers & near-term catalysts for my belief as outlined
As many of you know, I was until recently consulting on #defi@avalabsofficial. They didn't provide any confidential info, but it was clear from my interactions & research that something was brewing. Partnerships & investments were being made, sh*t was happening
2/7
As part of my general research, I looked into incentivised liquidity mining @0xPolygon $MATIC. $75m incentives assisted in creating +$8.5m in circulating market cap gains 3/7
Basically boils down to:
a) #AVAXdefisummer is happening
Lending (missing piece of puzzle) is coming with @BenqiFinance $QI, @traderjoe_xyz $JOE & others. Further, @AvalaunchApp $XAVA is bringing the floodgates for high quality #IDO new projects. Many more partnerships TBD
3/8
A thread on why NOW is the time to invest in @avalancheavax $AVAX
I've been tweeting it, but for posterity, I want to state here that I think this week marks the start of AVAX #defi summer
Here are my reasons: 1/7
a) General macro renewed interest in L1s
Specific catalysts:
b) @BenqiFinance $IQ launch Aug-19 with incentives
c) @AvalaunchApp $XAVA launch this week
2/7
a) General macro renewed interest in L1s, with @solana $SOL & @terra_money $LUNA leading & $AVAX now following
Not that SOL & LUNA are better, just that they're larger cap & more visible. At this stage, I'm loading up on $AVAX > SOL/LUNA (though IMO both deserve a place) 3/7
My Portfolio Strategy
Apologs for relative absence the last few wks, I’ve been running on empty working 20-hr days & my tweet volume has suffered. I use these tweets to think thru portfolio decisions, so not tweeting deprives me of an important part of my investment process
1/20
With this thread I'll do a run-down of my overall portfolio (not just the AVAX portion which is obv. a major piece) & my macro investment decisions, esp. important to do during such volatile times (yesterday – ouch). I hope its helpful, but this is *not* investment advice
2/20
1) The Macro Picture: for my process, I think it’s important to take a step back from individual positions & recalibrate your macro view on occasion & esp. during uncertain fears
I'll normally go to technicians/mkt commentators to understand what price action/mkts imply
3/20
A huge CONGRATS to the @yieldyak_ & @gondola_finance teams for cracking top 5 TVL on @avalancheavax:
- $YAK team has been a #defi leader & “foundational” $AVAX project from the start now ~$35m
- $GDL is the NKOB after just launching last week & already at ~$25m TVL 1/6
$GDL $25m TVL is all the more impressive given some early hiccups at launch. The team is delivering an airdrop to compensate those users negatively impacted by the staking bug (in conjunction with swapping incentives & early staker airdrops)
So what could @yieldyak_ $YAK token be worth? Some napkin maths:
- $20m TVL x 0.5%/day (avg APR) x 5% fee = $5k/day this money printer makes x365 days = $1.8m revs
- this is *current* run-rate TVL. $AVAX TVL is currently ~$375m so $20m is ~5% of total
- $AVAX defi ecosystem is nascent & has huge potential. Let's assume it grows to $1b TVL (not inconceivable, more likely than not), & let's say @yieldyak_ continues to outpace overall AVAX defi as I expect it to, ie auto-compounding trend is strong & their roadmap to be the
2/4
@iearnfinance of $AVAX becomes realised on the way to world domination. I think 10% share of overall TVL is pretty conservative given this. So revised maths:
- $1b total AVAX TVL x 10% share = $100m TVL x 0.5%/day (avg APR) x 5% fee = $25k/day x365 days = $9.1m revs!
3/4