The Tie Terminal is the most comprehensive and actionable digital asset information platform for institutions.
Sep 15 • 7 tweets • 2 min read
Relative Value (RV) trading is one of the bedrock techniques for stock analysis. By comparing the fundamental drivers of a company’s growth against its peers, an investor can define comparative success for a company, rather than viewing it in a vacuum
(& it's possible in crypto)
Some traditional strategies, like Relative Value Long / Short Investing, are hard outside of Exchange traded pairs due to a lack of lending liquidity.
So, how can you use this time-tested investment strategy in crypto? A combination of relative value & sector analysis.
Sep 2 • 19 tweets • 4 min read
1/ Understanding the drivers of sector, tokenomic, and blockchains will grow increasingly important as regulation & markets mature.
Asymmetry in Crypto is huge, so broke down the fundamentals of relative value investing in the space. Let's dive in!
research.thetie.io/relative-value…2/ Relative Value (RV) trading is one of the bedrock techniques for traditional stock market analytics. By comparing the fundamental drivers of a company’s growth against its peers, an investor can define comparative success for a company, rather than viewing it in a vacuum.
Aug 31 • 7 tweets • 3 min read
With the rise of Ethereum came the rise of a mysterious source of consistent profit-making, regardless of market conditions. This source became known as Maximal Extractable Value or MEV... but what is MEV? Let's dive deep!
MEV refers to the total amount of Ether miners can extract from manipulation of transactions, such as re-ordering of transactions and generalized frontrunning. In order to better understand how MEV works, let's break down its supply chain.
1/ With the Merge comes a change of roles. Miners will become validators and their traditional role will be split into two. This is called the block Proposer-Builder Separation (PBS). Let’s dive in on what this means for Ethereum validators.
2/ A block proposer is an entity that creates a block of transactions, and sends it out to the network to be added to the blockchain. With PBS, instead of a proposer generating a revenue-maximizing block solo, they cooperate with a market of third parties called block builders.
Aug 16 • 12 tweets • 3 min read
1/ Heard about Sui on Crypto Twitter but haven't had a chance to dive in yet? We did it for you!
With the Solana and Nomad hacks over the last week, the demand for a secure and scalable blockchain has become increasingly apparent.
Enter Sui, by @Mysten_Labs2/ Sui was founded under the premise that, due to the issues that constitute the blockchain trilemma, current blockchain networks aren’t efficient enough to scale into the demand that comes with at-scale adoption. It’s important to note that Sui itself is not a derivative of Diem
Aug 16 • 7 tweets • 2 min read
If the last few months in crypto showed us anything, it is that risk management is as critical as opportunity identification.
We have rolled out a suite of new risk-related tooling on SigDev, to help our clients make more calculated decisions.
Here's what you'll find on SigDev:
Correlations & Beta
Compare your selected Coin's performance against BTC & ETH, or any other coin. Individual coins can also be compared to entire categories and ecosystems (e.g. Uniswap vs All AMMs)
Aug 11 • 4 tweets • 2 min read
1/ A Deep Dive on @MinaProtocol : In July, we saw a frenzy of activity in the zero-knowledge space. Mina Protocol was of the first Layer 1s to apply a proof-of-stake based zk-SNARK. Mina was launched in 2019 by the incubator, with their mainnet having launched March 2021 2/ What makes Mina so special? zkApps zkApps, or decentralized apps built on zk proofs, give users the ability to utilize dApps without jeopardizing their privacy or security. A zkApp consists of two components: - A smart contract (written with SnarkyJS) - A user interface
Aug 9 • 7 tweets • 2 min read
1/ Let's talk about Zero Knowledge Proving Mechanisms-
ZK-based protocols are all the rage right now, but how do you actually go about evaluating them? We dove into the different proving mechanisms, with examples of major developers building on each: 2/ Plonky2 is a recursive SNARK based on PLONK and is built for speed:
- 100x faster than any SNARK solution
- Combines PLONK and FRI
- Best of STARKs: fast proofs and trustless setup
- Best of SNARKs: recursion support and low verification cost on Ethereum
Aug 8 • 5 tweets • 2 min read
Today, @VitalikButerin posted about Stealth Addresses. Let's break them down-
1) What is it?
A way to add a privacy to the NFT ecosystem. Every ERC721 token is stored on a stealth address (a technique to obscure public blockchain transactions by generating one-time addresses)
2) How do they work?
Stealth addresses protect the privacy of the recipient by creating a random, one-time address for every transaction, so different payments are unlinkable to the same payee.
This works using Elliptic Curve Diffie-Hellman (ECDH) protocol
Aug 2 • 4 tweets • 2 min read
1/ It’s apparent that many blockchain systems aren’t inherently optimized to support blockchain technology's continuous growth and adoption.
@AptosLabs addresses these pain points by implementing novel methodologies focusing on performance, scalability, and user operability
Aptos Labs sought to create a general-purpose blockchain network with the following goals in mind:
- Draw on Diem through its programming language, Move, to create a scalable and secure infrastructure
- Ensure high throughput, low latency, and decentralized state synchronization
Jul 21 • 6 tweets • 2 min read
1/ Due to concerns about the overall liquidity of the company, Tesla reveals that the company has sold 75% of its Bitcoin, adding $936 million in cash to its balance sheet.
Potentially bullish information? Let's discuss
2/ First, let's talk about liquidity in markets. Liquidity refers to the degree to which an asset can be quickly exchanged at a price near intrinsic value. For every buyer, there must be a seller.
What happens if there isn't enough on one side to fill an order? Slippage.
Jul 21 • 6 tweets • 2 min read
This week has given us an explosion of development on the ZK-rollup front, but what kind of improvements do zero-knowledge rollups really offer, and what exactly is the difference between a SNARK, STARK, and a zkEVM?
Here's a comparative analysis on the different means of scalability. Dark green represents favorable outcomes, while dark red represents unfavorable outcomes. When considering security, economics, & usability, zk-rollups provide a route to sustainable scaling.
Jun 3 • 4 tweets • 2 min read
1/ Where is the sustainable yield in DeFi?
In contractionary markets, understanding the sustainability of asset yields is crucial. In 'The Hitchhiker's Guide to Yield', we identify baseline rates, and evaluate future sustainability of yield, relative to traditional finance.
2/ To start, it’s helpful to understand what unsustainable yield generation looks like in DeFi.
Bootstrapping liquidity remains a largely unsolved problem, with protocols often caught in the middle of a Catch-22: Either incentivize & bleed out, or never get off the ground.
Apr 22 • 14 tweets • 4 min read
1/ ZK Proofs for Anon Airdrops
After the Uniswap retroactive airdrop in 2020, the industry was flooded with people looking for the next hot thing, and matured as a result. This led to a dramatic rise in the increasingly complex nature of airdrop infrastructure and strategy.
Given the rising complexity, mistakes are bound to occur. Combine that with airdrops commonly exposing information about the token’s recipient, and the present state of airdrop infrastructure, security, and strategy doesn’t seem too great.
@SandclockOrg aims to revolutionize philanthropy by incentivizing charitable donations- crafting yield opportunities that are sustainable, scalable, and accessible
To do this, they drew on crypto-native primitives like mining, yield-farming, and creating a new token, $QUARTZ:
The TIE, through @WWolfCrypto, had a chance to sit down with Sandclock's founder, Christiano, and hear about some of the team's vision for the project & where they they are innovating.
Three things stood out: Charity Mining, Optimized Taxes, and Optimized Yield Re-Direction.
Apr 18 • 21 tweets • 6 min read
The DeFi derivative market is currently 30x smaller than its Centralized counterpart. As regulation increases, and protocols grow, that gap will shrink.
$dYdX remains the one to beat, but @GMX_IO is closing the gap. We sat down with the team to help you understand why:
When $GMX launched on 9/6, it was in tandem with Arbitrum & @dopex_io. The goal was to serve as a centralized execution hub for the L2 & later take their unique 0-fee perp trading experience and deploy cross-chain, which has started to happen with their move onto @avalancheavax.
Apr 13 • 12 tweets • 6 min read
Scared Money don't make No Money.
Leverage and Crypto go hand-in-hand, but how can you safely ape without risking your funds to lending protocol risk?
Combine that with hype around @DefiKingdoms and @PlayCrabada, and you're probably left wondering exactly why these 'subnets' are just so special when Layer 2s exist?
Hint: They're very different
Avalanche’s success and meteoric growth has been no secret. Early, the team distinguished themselves through the introduction of a new consensus protocol – Snow*. This novel architecture combines the best qualities of both classical and Nakamoto consensus mechanisms.
Mar 29 • 20 tweets • 7 min read
Before there was DeFi, there was @Bancor
A 🧵 and Deep Dive on history, to understand where the future is heading.
Bancor is among the most overlooked and misunderstood DeFi native projects, but has maintained a TVL of >$1B, and has one of the strongest teams in the space.
Exclusively for this series, @WWolfCrypto had the pleasure of chatting with Bancor's Head of Research, Mark Richardson, and Head of Growth, @NateHindman to talk v3- coming Thursday.
For this in-depth analysis, we simplify the core components of Bancor’s architecture and past.
Mar 18 • 8 tweets • 3 min read
Danksharding- Somehow, even cooler than it sounds, and, despite being in crypto, not named for what you'd think.
As the first of an ongoing series on scalability and centralization, @PuriVaish dives into Danksharding and it's implications for current systems:
Most L1s today are trending towards increased levels of centralization (AKA the wrong way). This is the result of a deep flaw in the system called Miner Extractable Value (MEV). In fact, just last year, experts were warning that it had the potential to kill the entire network.
Jan 31 • 4 tweets • 2 min read
The future of the Curve Wars is here, and it's ████.
No, that's not an error - @redactedcartel has created the first truly decentralized & permissionless marketplace for Bribes
What exactly is going on behind the scenes of this mysterious protocol? @YoniJMel dives in:
Redacted, $BTRFLY, has been accumulating some of the most in demand digital assets: $CRV, $CVX, $FXS, $DPX, $TOKE, $OHM, and more.
As investors rightfully point out, the token currently trades at a $125mn MC, a 66% premium to the notional value of the assets in the treasury.