1/ Today’s DeFi ecosystem faces an infrastructure risk with the base problem of liquidity - an issue that takes time away from protocol development.
@TokenReactor's model looks to solve this by establishing critical liquidity infrastructure in the form of Liquidity-as-a-Service.
2/ @TokenReactor is designed as a disaggregated market maker.
In Tokemak’s model, the protocol acts as the technology component with capital and market expertise being sourced from third-parties referred to as Liquidity Providers (LPs), Liquidity Directors (LDs), and Pricers.
3/ @TokenReactor's roadmap began in the summer of 2021 with the initiation of Cycle Zero.
Considered the pre-launch cycle, Cycle Zero consisted of three stages:
+ The DeGenesis Event
+ Genesis Pools
+ The C.o.R.E.
@RyanWatkins_@rleshner@twobitidiot 2/ "When I look at governance changes that the community implemented, so much happened this quarter - reducing the gas costs of claiming $COMP, adding new supported assets, proposal 62, and much more."
1/ @Barn_Bridge is a cross-chain risk management protocol founded in 2019.
It provides composable solutions for investors to hedge against interest rate fluctuations and price volatility.
Their latest product, launched September 2021, is called SMART Alpha.
2/ SMART Alpha allows investors to calibrate exposure by choosing a Jr/Sr position in an aggregated pool.
The senior side is better protected when the underlying asset dips but in turn loses out on gains; the opposite applies for jr. users who take leverage on price volatility.
3/ Every asset pool runs on an epoch-based timeline. The default period advances weekly on Mondays at 14:00 UTC.
Protocol revenue is earned through a fee taken at the end of each epoch, which currently stands at .5% of a given week’s profits and applies to the winning side only.
1/ The NFT marketplace landscape is heating up with @Coinbase_NFT & @FTX_Official announcing NFT platforms and trading.
Centralized exchanges have a few key advantages given their size & resources, however permissionless marketplaces will still have their own advantages as well.
2/ Asset custody is one key benefit of centralized exchanges.
@Coinbase_NFT ensures that retail traders don’t misplace their assets or get locked out of their accounts from forgotten passwords.
Essentially, centralized exchanges help prevent errors when transferring crypto.
3/ The key disadvantage for U.S. exchanges is regulation.
Many NFTs resemble securities or tip-toe on the line between consumer product and financial product.
However, many countries outside the U.S. don't have these restrictions, so the platforms may thrive in other countries.
1/ DeFi has once again resurfaced among crypto's leading narratives, this time dubbed "DeFi 2.0".
The nickname has sparked infighting over the categorization of DeFi protocols and has pulled the attention away from what's actually happening.
So what actually IS happening?
2/ Liquidity mining, the heart and soul of DeFi Summer 2020, has fallen off as protocols struggle through the effects of mercenary capital providers draining value.
Projects realize they need better systems to ensure sustainable liquidity while aligning w/ long-term incentives.
3/ Additionally, "second order" protocols are coming to life.
Leveraging DeFi’s composable nature, these projects build on top of existing DeFi infrastructure to automate, enhance, or extend existing DeFi economic models and processes.
1/ Web3 has taken time to fully manifest due to a need for infrastructure across computation, indexing, data management, hosting, storage, and other vital services.
However, data from @web3index shows that after years of building, many protocols are starting to generate revenue.
2/ Looking closer, Web3 protocols suffer from spikes of protocol usage & revenue generation followed by troughs where protocol revenue declines.
This is to be expected across early-stage networks that are trying to integrate vendors and developers to use their services.
3/ Network usage varies across networks.
Catalysts like new NFT projects may cause surges in use, but over time, volatility should smooth out as stable demand increases.
Of these six Web3 protocols, @Filecoin has generated the most lifetime revenue - approximately $3.8M.
1/ Perhaps the most polarizing project in recent memory, @OlympusDAO is an attempt to create a decentralized reserve currency through the management of a treasury of assets.
Within 7 months, it has accumulated >$400M in treasury assets, and has rocketed to over $3B market cap.
2/ @OlympusDAO has also garnered controversy over its tokeneconomics - specifically its bonds & treasury.
Simply stated, bonds are a mechanism for Olympus DAO to accumulate assets by selling $OHM at a discount.
This mechanism has helped accumulate 99% of its liquidity on-chain.
3/ @OlympusDAO aims to replicate the growth of Bitcoin, but with the key difference that it will accrue treasury as it grows.
This will provide intrinsic value to $OHM in addition to a monetary premium, but will also allow it to conduct more effective monetary policy at scale.