Bybit going onchain is an important signal for for all of defi
The biggest players are disrupting their own business models. Why?
Because user behavior and token discovery/curation has completely shifted:
- More users are bridging onchain everyday
- New token price discovery is happening onchain
- DEX UX and infra has caught up
- Points meta and onchain airdrops create sticky liquidity
- MEV protection and routing are improving fast
The moat is no longer exchange listings. The moat is distribution, and CEXes are realizing they can distribute onchain too - where the action is
Bybit is launching its dex with vaults, liquidity plugged in from bybit (via RFQs), a token launchpad, and performant infra from Solana to power the whole thing
Its porting its liquidity and exchange muscle into a composable onchain format, and this is a trend we'll see from all major exchanges
Binance, Coinbase, OKX and now Bybit are all betting on the same thing: future liquidity flows will be programmable, permissionless and fully onchain
And if you’re not onchain, you’ll become irrelevant
What does this mean for DeFi users and builders?
For users:
- Better execution
- Better UX
- More reliable liquidity
- More transparency
For protocols:
- Competition is about to heat up
- But so is the market opportunity
CEXes aren’t here to just capture the current onchain market, they’re here to expand it
If your protocol already has a moat, now’s the time to double down on distribution. If it doesn’t have a moat, it’s time to iterate fast and find one
The lines between CEXes and DEXes are blurring, and I'm excited to see the DEXes building on Monad step into this arena and compete head-on with the biggest players in crypto
defi/acc
The biggest players are disrupting their own business models. Why?
Because user behavior and token discovery/curation has completely shifted:
- More users are bridging onchain everyday
- New token price discovery is happening onchain
- DEX UX and infra has caught up
- Points meta and onchain airdrops create sticky liquidity
- MEV protection and routing are improving fast
The moat is no longer exchange listings. The moat is distribution, and CEXes are realizing they can distribute onchain too - where the action is
Bybit is launching its dex with vaults, liquidity plugged in from bybit (via RFQs), a token launchpad, and performant infra from Solana to power the whole thing
Its porting its liquidity and exchange muscle into a composable onchain format, and this is a trend we'll see from all major exchanges
Binance, Coinbase, OKX and now Bybit are all betting on the same thing: future liquidity flows will be programmable, permissionless and fully onchain
And if you’re not onchain, you’ll become irrelevant
What does this mean for DeFi users and builders?
For users:
- Better execution
- Better UX
- More reliable liquidity
- More transparency
For protocols:
- Competition is about to heat up
- But so is the market opportunity
CEXes aren’t here to just capture the current onchain market, they’re here to expand it
If your protocol already has a moat, now’s the time to double down on distribution. If it doesn’t have a moat, it’s time to iterate fast and find one
The lines between CEXes and DEXes are blurring, and I'm excited to see the DEXes building on Monad step into this arena and compete head-on with the biggest players in crypto
defi/acc
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