Ever wished you could set an on-chain LIMIT buy order, STOP-loss, prevent a liquidation for your leverage farms or even automate a GameFi task? The wait is over! 🧵 ⬇️ about a Low cap gem btw.. read to the end for the real alpha.. 🧐
1/42
Introducing @gelatonetwork $GEL, a smart contract automation layer for DeFi. Built by a chad team backed by top tier investors and advisors. I’ve learnt to always back chad teams. Their product will change the DeFi landscape. Lets explore.
Introducing @gelatonetwork $GEL, a smart contract automation layer for DeFi. Built by a chad team backed by top tier investors and advisors. I’ve learnt to always back chad teams. Their product will change the DeFi landscape. Lets explore.
2/
Use case 1: AMMs like uniswap / spookyswap
⁃Limit orders (operators like @tetranode as pointed out in the recent podcast, wants to use this feature)
⁃Stop loss orders
⁃Dollar cost averaging
Use case 1: AMMs like uniswap / spookyswap
⁃Limit orders (operators like @tetranode as pointed out in the recent podcast, wants to use this feature)
⁃Stop loss orders
⁃Dollar cost averaging
3/
Use case 2: Defi asset management like Instadapp
⁃Automated migration of debt positions from ETH mainnet to Polygon without user intervention
⁃Prevent liquidation by refinancing debt positions to other protocols with lower collateral req
Use case 2: Defi asset management like Instadapp
⁃Automated migration of debt positions from ETH mainnet to Polygon without user intervention
⁃Prevent liquidation by refinancing debt positions to other protocols with lower collateral req
4/
Use case 3: Liquidation protection for debt position
⁃When collateral prices start to decline, gelato automated repayment of debt position to improve health factor
Use case 4: Automatically harvesting yield farming rewards from vaults
Use case 3: Liquidation protection for debt position
⁃When collateral prices start to decline, gelato automated repayment of debt position to improve health factor
Use case 4: Automatically harvesting yield farming rewards from vaults
5/
Use case 5: NFT / Gaming
⁃Automated petting of your aavegotchi
Use case 6: Automated uniswap v3 LP management (G-uni)
$tribe just announced they will be incentivising g-uni LPs very soon
Use case 5: NFT / Gaming
⁃Automated petting of your aavegotchi
Use case 6: Automated uniswap v3 LP management (G-uni)
$tribe just announced they will be incentivising g-uni LPs very soon
6/
Future use cases:
⁃Automated dao treasury management
⁃Arbitrage opportunities
⁃Automated trading strategies (ie. buy eth when eth/btc is 0.8)
⁃any many more…
Future use cases:
⁃Automated dao treasury management
⁃Arbitrage opportunities
⁃Automated trading strategies (ie. buy eth when eth/btc is 0.8)
⁃any many more…
7/
From my understanding team will be launching a new roadmap likely in q1 2022. Advance order types are currently under development. It seems the gelato team will be shipooooorrrrrss in 2022.
From my understanding team will be launching a new roadmap likely in q1 2022. Advance order types are currently under development. It seems the gelato team will be shipooooorrrrrss in 2022.
8/
Protocols using their service:
Fei Protocol, spookyswap, quickswap, instadapp, ETHA lend, QIdao, Zerion amongst others. This is a working product with real use cases with many many more in the pipeline.
Protocols using their service:
Fei Protocol, spookyswap, quickswap, instadapp, ETHA lend, QIdao, Zerion amongst others. This is a working product with real use cases with many many more in the pipeline.
9/
The total addressable market (TAM) for Gelato is huge enough for a few players. There are hundreds of dApps and currently 92 bil TVL on DeFi which is growing exponentially.
The total addressable market (TAM) for Gelato is huge enough for a few players. There are hundreds of dApps and currently 92 bil TVL on DeFi which is growing exponentially.
10/
Investors and backers
With the limitless use cases, strong team and large TAM, its not surprising to see top tier funds & angel investors supporting Gelato. The initial backers includes Andre Cronje (K3PR), Sam Kazemian (Frax), Mariano (Maker) and more. (Updated sep 21)
Investors and backers
With the limitless use cases, strong team and large TAM, its not surprising to see top tier funds & angel investors supporting Gelato. The initial backers includes Andre Cronje (K3PR), Sam Kazemian (Frax), Mariano (Maker) and more. (Updated sep 21)
11/
If that’s not attractive enough, they also recently raised $11 mil in Oct 2021 from Dragonfly cap, ParaFi, Nascent and Stani Kulechov (Aave founder). Fade them at your own risk.
If that’s not attractive enough, they also recently raised $11 mil in Oct 2021 from Dragonfly cap, ParaFi, Nascent and Stani Kulechov (Aave founder). Fade them at your own risk.
12/
Competition
Gelato’s competitors in the automation game are k3pr network (Andre’s project) and chainlink keepers. It was previously reported that Andre would work closely with gelato to compete with their main competitor. Win-win isn’t it?
Competition
Gelato’s competitors in the automation game are k3pr network (Andre’s project) and chainlink keepers. It was previously reported that Andre would work closely with gelato to compete with their main competitor. Win-win isn’t it?
https://twitter.com/andrecronjetech/status/1429021091218006023?s=21
13/
I think the automation infrastructure market will be big enough for these players to thrive. There is both DeFi, Metaverse/Gaming, and other new verticals that may come up. We are in very early days. Gelato could also do what @adamscochran mentioned
I think the automation infrastructure market will be big enough for these players to thrive. There is both DeFi, Metaverse/Gaming, and other new verticals that may come up. We are in very early days. Gelato could also do what @adamscochran mentioned
https://twitter.com/adamscochran/status/1476651933620342786?s=21
14/
The endgame
Dani mentioned that he intends build the on-chain binance, #frognation is eagerly waiting for that to be built. That will require automated smart contract layers to enable limit/advanced orders.
The endgame
Dani mentioned that he intends build the on-chain binance, #frognation is eagerly waiting for that to be built. That will require automated smart contract layers to enable limit/advanced orders.
15/
In the near future, all AMMs, lending protocols require automation infrastructure and gelato will reap the rewards. More fees, more demand for token to be staked for gelato network strength.
In the near future, all AMMs, lending protocols require automation infrastructure and gelato will reap the rewards. More fees, more demand for token to be staked for gelato network strength.
16/
In a future where users don’t know which L1/L2 chains their DeFi dApps use, Gelato’s automation seamlessly bridges funds from one chain to another to optimise for transaction fees and bridge back to the main chains. All this, without the user having to lift a finger.
In a future where users don’t know which L1/L2 chains their DeFi dApps use, Gelato’s automation seamlessly bridges funds from one chain to another to optimise for transaction fees and bridge back to the main chains. All this, without the user having to lift a finger.
17/
Have notifications on for Elon or hsakatrades but always too slow to press the buy button? Or you want to ape 🦧 into that shitcoin after the first Jeets sell? Gelato’s automation bots could help execute the trade.
Have notifications on for Elon or hsakatrades but always too slow to press the buy button? Or you want to ape 🦧 into that shitcoin after the first Jeets sell? Gelato’s automation bots could help execute the trade.
18/
Token utility
Thus far, we’ve discussed alot about the potential of the automation layer and it’s use cases. You may be wondering what the token is used for? -> 1) governance 2) executors have to stake in order to service certain use cases and collect fees.
Token utility
Thus far, we’ve discussed alot about the potential of the automation layer and it’s use cases. You may be wondering what the token is used for? -> 1) governance 2) executors have to stake in order to service certain use cases and collect fees.
19/
Marketcap
As of writing, the marketcap is only $15 mil. Most low cap gems have gone up by 10-100x in 2021. Does Gelato have the same potential? Well, I think there is a good chance we see prices much higher. How many multiples we see, is anyone’s guess. we are still early.
Marketcap
As of writing, the marketcap is only $15 mil. Most low cap gems have gone up by 10-100x in 2021. Does Gelato have the same potential? Well, I think there is a good chance we see prices much higher. How many multiples we see, is anyone’s guess. we are still early.
20/
The team
Super talented co-founders @hilmarxo and Luis, they even wrote a thesis on Proof of stake consensus. Whats impressive is their impressive firefighting and remediation after a hack. Even Haseeb from Dragonfly thinks so. See post below
The team
Super talented co-founders @hilmarxo and Luis, they even wrote a thesis on Proof of stake consensus. Whats impressive is their impressive firefighting and remediation after a hack. Even Haseeb from Dragonfly thinks so. See post below
https://twitter.com/hosseeb/status/1473049196232011779?s=21
21/
The play
It is getting extremely difficult to find high quality gems in this space. Instead of just buying just another defi protocol like a low cap AMM fork, this is an opportunity to participate in an innovative tech which will cover both DeFi and Metaverse/Gaming sector.
The play
It is getting extremely difficult to find high quality gems in this space. Instead of just buying just another defi protocol like a low cap AMM fork, this is an opportunity to participate in an innovative tech which will cover both DeFi and Metaverse/Gaming sector.
22/
As mentioned, the Automation layer in DeFi is a necessary tech to enable the creation of an on-chain Binance. We are looking at the next phase of explosive DeFi growth and the infrastructure layer that enables this should be on your radar, or even part of your portfolio.
As mentioned, the Automation layer in DeFi is a necessary tech to enable the creation of an on-chain Binance. We are looking at the next phase of explosive DeFi growth and the infrastructure layer that enables this should be on your radar, or even part of your portfolio.
23/
So you may be asking - why don’t protocols just build their own smart contract automation layer?
It’s because there are so many things that they need to build. Why not just integrate the codes from the best teams in this niche? It saves time for teams to build other stuff.
So you may be asking - why don’t protocols just build their own smart contract automation layer?
It’s because there are so many things that they need to build. Why not just integrate the codes from the best teams in this niche? It saves time for teams to build other stuff.
24/
A competitive advantage in a new defi protocol is their innovation (eg the next vecrv or ve3,3) Automation enables the protocol to have better user experience and quality of life. Dont have to sit at your laptop waiting to sell, while your partner is waiting for you in bed.
A competitive advantage in a new defi protocol is their innovation (eg the next vecrv or ve3,3) Automation enables the protocol to have better user experience and quality of life. Dont have to sit at your laptop waiting to sell, while your partner is waiting for you in bed.
25/
So devs can just focus on what is important (their own protocol’s USP) and let gelato handle the automation part. Think of it as a infrastructure integration like Chainlink or The Graph. You don’t see protocols creating their own innit?
So devs can just focus on what is important (their own protocol’s USP) and let gelato handle the automation part. Think of it as a infrastructure integration like Chainlink or The Graph. You don’t see protocols creating their own innit?
26/
Arweave is 2B marketcap (data storage)
Chainlink is 10B marketcap (oracle) with chainlink keepers as a competitor of GEL.
Arweave is 2B marketcap (data storage)
Chainlink is 10B marketcap (oracle) with chainlink keepers as a competitor of GEL.
27/
Gelato $gel is at 15M marketcap (CMC)
10x would bring GEL to 150M marketcap
100x would bring GEL to 1.5B marketcap
Is a 10x or 100x possible? I dont know. But what i know is there is a huge potential. Because even the largest holder of $spell thinks so! ⬇️
Gelato $gel is at 15M marketcap (CMC)
10x would bring GEL to 150M marketcap
100x would bring GEL to 1.5B marketcap
Is a 10x or 100x possible? I dont know. But what i know is there is a huge potential. Because even the largest holder of $spell thinks so! ⬇️
28/
🚨 Alfa alert 🚨
Interestingly a whale wallet which is one of the top holders of Spell and Ice, has a rather large bag of Gelato. Probably nothing to see here…
debank.com/profile/0x0aca…
🚨 Alfa alert 🚨
Interestingly a whale wallet which is one of the top holders of Spell and Ice, has a rather large bag of Gelato. Probably nothing to see here…
debank.com/profile/0x0aca…
29/
Whale watching can be incredibly effective and rewarding if you know where to 👀. Check out the holdings of this whale’s wallet, see gud coins only? Yeah.. that’s what i thought when i saw it.. as what @blocmatesdotcom and i would say.. BALLS tingling.
Whale watching can be incredibly effective and rewarding if you know where to 👀. Check out the holdings of this whale’s wallet, see gud coins only? Yeah.. that’s what i thought when i saw it.. as what @blocmatesdotcom and i would say.. BALLS tingling.
30/
When i saw the other holdings in this wallet. It got me thinking about how the automation layer of DeFi helps power the future of DeFi? Remember the on-chain binance part that i explained earlier? That’s not all.
When i saw the other holdings in this wallet. It got me thinking about how the automation layer of DeFi helps power the future of DeFi? Remember the on-chain binance part that i explained earlier? That’s not all.
31/
Investment strategies can also be implemented.
1.dollar cost averaging
2.auto compounding of rewards from vaults
3.set a particular order to rotate your bags
Investment strategies can also be implemented.
1.dollar cost averaging
2.auto compounding of rewards from vaults
3.set a particular order to rotate your bags
32/
4.copytrade like the bots that follow elon’s doge twitter posts (even if you dont do it, doesn’t mean other retails dont want this), imagine the fees devs will get? 🧐💴💴
and many other potential use cases. Mind blown? Theres more ser.
4.copytrade like the bots that follow elon’s doge twitter posts (even if you dont do it, doesn’t mean other retails dont want this), imagine the fees devs will get? 🧐💴💴
and many other potential use cases. Mind blown? Theres more ser.
33/
Because talent is so limit in this space (such that protocols have to even pay $20-40k or more for referrals), i think that is the competitive advantage that Gelato has. Remember how they handled the hack? Yeah. Thats important when investing in a protocol.
Because talent is so limit in this space (such that protocols have to even pay $20-40k or more for referrals), i think that is the competitive advantage that Gelato has. Remember how they handled the hack? Yeah. Thats important when investing in a protocol.
34/
To have good friends / partners that’s willing to help gelato in a crisis is also a plus imo. Looks rare.
To have good friends / partners that’s willing to help gelato in a crisis is also a plus imo. Looks rare.
https://twitter.com/bertcmiller/status/1473033612006154245?s=21
35/
Could gelato be classified as automation-as-a-service? Sure looks like it. And this reminds me of $newo because they are a dao that provides ecosystem-as-a-service. Helping incubate projects. While gelato helps enhance the projects with automation.
Could gelato be classified as automation-as-a-service? Sure looks like it. And this reminds me of $newo because they are a dao that provides ecosystem-as-a-service. Helping incubate projects. While gelato helps enhance the projects with automation.
36/
I strongly believe that gelato will have a strong mindshare in the automation layer niche as it is not the easiest space to break into. With the strong backers they have including Andre Cronje and Sam Kazemian. It just feels like gelato is bound to succeed, matter of time.
I strongly believe that gelato will have a strong mindshare in the automation layer niche as it is not the easiest space to break into. With the strong backers they have including Andre Cronje and Sam Kazemian. It just feels like gelato is bound to succeed, matter of time.
37/
So if this is such a gem, should i go all in?
I never go all in into any bets in crypto. Sizing it right is important. I personally think an infrastructure layer bet should be in our crypto portfolio. Think of it as being able to invest in the bridges in the real world.
So if this is such a gem, should i go all in?
I never go all in into any bets in crypto. Sizing it right is important. I personally think an infrastructure layer bet should be in our crypto portfolio. Think of it as being able to invest in the bridges in the real world.
38/
It is a pre-req to build more good stuff. The future is bright, and if you believe in a thriving DeFi ecosystem in the coming years, i think gelato is a project you should have in your watchlist.
It is a pre-req to build more good stuff. The future is bright, and if you believe in a thriving DeFi ecosystem in the coming years, i think gelato is a project you should have in your watchlist.
39/
What i plan to do here?
I think the bet here is simple.
Strong team, transparent roadmap (soonTM) and a viable product. Have a position that i can hold for awhile (3-6 months?) and can sleep easy. The r/r looks very attractive to me.
What i plan to do here?
I think the bet here is simple.
Strong team, transparent roadmap (soonTM) and a viable product. Have a position that i can hold for awhile (3-6 months?) and can sleep easy. The r/r looks very attractive to me.
40/
Oh and did i mention, it has been +EV to buy projects that have gone through a crisis and came out of it well. I think gelato did well and passed the test.
Oh and did i mention, it has been +EV to buy projects that have gone through a crisis and came out of it well. I think gelato did well and passed the test.
41/
In sum,
Investing in gelato is a bet on automation-as-a-service that will power amongst others, the future on-chain CEXs equivalent and make our crypto journey alot more convenient while enabling new UI function optionality for everyone.
In sum,
Investing in gelato is a bet on automation-as-a-service that will power amongst others, the future on-chain CEXs equivalent and make our crypto journey alot more convenient while enabling new UI function optionality for everyone.
42/42
Its also nice to have @feiprotocol $tribe incentivise @gelatonetwork g-uni LPs. Which was just announced recently, where tribe will be working on controlling liquidity stack.
Its also nice to have @feiprotocol $tribe incentivise @gelatonetwork g-uni LPs. Which was just announced recently, where tribe will be working on controlling liquidity stack.
https://twitter.com/joey__santoro/status/1480958317316898816?s=21
End/
Disclosure: I have a $GEL bag, i wrote this thread to pen down my thoughts and build my thesis on Gelato. Not Financial Advise.
Disclosure: I have a $GEL bag, i wrote this thread to pen down my thoughts and build my thesis on Gelato. Not Financial Advise.
• • •
Missing some Tweet in this thread? You can try to
force a refresh
