Thread by @FishMarketAcad

0/15 $CANTO has received a lot of attention recently but I haven't seen an all-in-one thread.

So I decided to explore their ecosystem to help you understand what @CantoPublic is, how it works, and is it a ponzi?

🧵 on everything you need to know about $CANTO.
LFG! 🚀

1/ The first thing I noticed is that their website has hacker vibes which might attract degens but may turn away tradfi peeps.

On the tech, Canto is fully EVM compatible, so forking solidity dapps to Canto easy, and Canto is twice as fast as Ethereum (6s vs 12s blocktime).

2/ Canto is originally an $EVMOS fork, using Tendermint consensus and EVM execution layer via Cosmos SDK (but uses metamask).

They are a DeFi-Focused L1, similar to @seinetwork and @0xcarbon, as they have built-in DeFi modules, so it's easier for devs to build DeFi apps on it.

3/ What’s unique about them is that there are no official foundation, no presale, no vesting and no venture backers.

This makes them a fully decentralized chain.

But they host hackathons online frequently and it's all community-led, sounds pretty fun.

4/ Canto believes that core primitives should exist as Free Public Infrastructure (FPI):

1. Fee-Free DEXs (like Uniswap)
2. Free Lending Markets (like AAVE)
3. Decentralized money (like DAI)

Canto wants its users to use these core primitives for free, similar to free parking.

5/ What's interesting is, its DEX cannot be upgraded and will remain ungoverned and can never implement fees.

LPs also don't earn fees I think so the LPs are purely earning inflationary $CANTO reward. 🚩

6/ The Canto Lending Market (CLM) is governed by Canto stakers who wants the best for both developers and DeFi users.

Currently depositing Canto LPs gives you insane 3 digits APR! But they cant be used as collateral to borrow assets, or be borrowed so this is kinda #ponzi NGL.

7/ $NOTE, the decentralized money, softpeg to $1, uses interest charged for price stability to fund public goods.

The system for adjusting interest rate also prioritizes stability rather than revenue maximizing, and interest paid by borrowers are given to lenders, not protocol.

8/ I see a lot of misconcept about $NOTE so tldr:

1) NOTE is an overcollateral-backed stable, not an algo stable
2) NOTE is only minted against NOTE/USDC/USDT collateral
3) NOTE can't be minted against any volatile LPs currently

9/ You can bridge assets onto Canto via synapseprotocol.com or bridge.blockscape.network to begin your journey!

Make sure you have some WETH in your wallet, as well as ETH for gas and bridge fees. USDC / USDT tokens is fine as well to bridge over to Canto.

10/ On Canto, you will need 0.5 $CANTO to generate a public key. Follow and DM me if you need (FCFS)!

Once on Canto you can go to app.slingshot.finance/swap/CANTO to start buy memecoins like CMOON (JOJO ANYONE?), even CINU (canto inu). They have NFTs too!

11/ How do devs make money if infrastructure is free?

They build cool dapps on top! Using Contract Secured Revenue (CSR lol), a portion of the gas fee spent on smart contract can be collected in a CSR NFT designated by the smart contract dev to redeem the $CANTO as revenue.

12/ Digging into the numbers its where things look a bit fishy.

Canto's market cap is $270M at $0.64 per $CANTO. There are over 80,000 wallets on Canto.

But is this price rally sustainable? Isn't $CANTO emitted as inflationary ponzi incentives?

Source: analytics.neobase.one/home/

13/ This guy dug into the numbers and the top 5 wallets actually make up for nearly 50% of CANTO's liquidity!

They are most likely insiders, and if they don't sell, the price is won't crash, and the confidence (con) game continues.

https://twitter.com/0x_Nick_/status/1621560669794406401

14/ What about the tokenomics?

Check it out here!

https://twitter.com/UnlocksCalendar/status/1618227472130248708

15/ So is it a ponzi?

Yes. At least in its current form, $CANTO looks like a ponzi, but this does mean it's a ponzi forever.

Almost everything started as a ponzi (including $BTC).

If there's enough development, use cases, and adoption, it can become a real ecosystem!

#believe

Tagged #RealYield seekers:
@TheCryptoDog
@milesdeutscher
@OnChainWizard
@SamuelXeus
@Route2FI
@thedefiedge
@blocmatesdotcom
@CryptoHayes
@takegreenpill
@0xthade
@CryptoKaduna
@MoonKing___
@crypto_condom
@ThorHartvigsen
@AstrologyCrypto
@CroissantEth
@andrewsaunders

Tagged amazing #DeFi educator (1):
@byChadManDan
@jediblocmates
@rektdiomedes
@JiraiyaReal
@NickDrakon
@ReveloIntel
@RiddlerDeFi
@crypthoem
@TheDeFinvestor
@crypto_linn
@mimiLFG
@launchy_
@Dynamo_Patrick
@jake_pahor
@CryptoDragonite
@VirtualKenji
@defi_mochi
@eli5_defi

Amazing #DeFi educators (2):
@phtevenstrong
@DeFi_Made_Here
@Prof_Crypto_B
@thewolfofdefi
@0xUnihax0r
@defiprincess_
@cyrilXBT
@DefiIgnas
@DegenSensei
@DeFi_Cheetah
@TheDeFISaint
@TheCoffeeBlock
@ViktorDefi
@safetyth1rd
@SmallCapScience
@ChadCaff

Amazing #DeFi educators (3):
@DeFiMinty
@Slappjakke
@DAdvisoor
@MeetWawa
@burstingbagel
@royalty_crypto
@shitc0in
@EricCryptoman
@WinterSoldierxz
@Chinchillah_
@0xTindorr
@ArbiAlpha
@0xCrypto_doctor
@Only1temmy
@CoinSurveyor

@DeFiMinty @Slappjakke @DAdvisoor @MeetWawa @burstingbagel @royalty_crypto @shitc0in @EricCryptoman @WinterSoldierxz @Chinchillah_ @0xTindorr @ArbiAlpha @0xCrypto_doctor @Only1temmy @CoinSurveyor Hope you guys enjoyed this summary thread!

Like and RT if you learned something!

Follow me for more summaries of ecosystems as I explore interesting protocols in crypto.

Tag your favourite protocol you want me to explore, analyze, and summarize!

https://twitter.com/FishMarketAcad/status/1621881011524218882