SUSHI

Value Locked in Defi Continues to Slide, ETH Defi Dominates by 65%, Solana Transactions Reign

17/12/2021 by Idelto Editor

The total value locked (TVL) in decentralized finance has slid 15.63% since the metric’s all-time high of $275 billion sixteen days ago on December 1. Since the end of the first week of December, the TVL is down 7.19% lower with a number of protocols seeing seven-day losses in terms of TVL.

Defi Tokens YFI and CVX See 7-Day Double-Digit Gains, Aggregate Locked in Defi Slips Close to 3% to $243 Billion

According to statistics, decentralized finance (defi) tokens represent $132.6 billion or roughly 5.79% of the entire $2.28 trillion crypto economy. The largest defi token in terms of market capitalization is terra (LUNA), which commands 18% dominance and a market valuation of around $23.9 billion. The top two performing defi assets during the last week were yearn finance (YFI) and convex finance (CVX). Yearn finance jumped 33% in value this past week and convex finance increased in value by 26.3%.

Meanwhile, the defi tokens tokemak (TOKE) and bonfida (FIDA) saw the deepest weekly losses last week. Tokemak lost 31.6% in value last week and bonfida shed 28.7% in USD value. The top decentralized exchange (dex) on Friday is Uniswap version 3 with $2 billion in 24-hour volume. Uniswap (v3) is followed by Pancakeswap, Trader Joe, Biswap, Sushiswap, Uniswap (v2), Raydium2, and Curve Finance, respectively.

There’s been $6.2 billion in 24-hour dex trade volume and 158,035,713 monthly visits to dex protocols. According to defillama.com, the aggregate total value locked (TVL) across a myriad of blockchains is $232 billion with Curve dominance at 9.17%. Curve’s TVL is $21.28 billion and it supports seven different blockchains.

Ethereum Still Dominates the Defi Landscape, Solana Transactions at 45 Billion, Cross-Chain Bridge TVL Slides 3.4% Last Month

Out of all the recorded defi blockchains, Ethereum commands $159.64 billion TVL in defi today which equates to 65.44% of the aggregated defi TVL. Binance smart chain (BSC) is the second-largest blockchain in terms of TVL in defi today. BSC has a $16.53 billion TVL on Friday which is roughly 6.77% of the $243.94 billion locked in defi. The chains that follow BSC include Terra, Solana, Avalanche, Tron, Polygon, and Fantom, respectively. Out of all the chains this past week, the only top-ten defi chains that gained a higher TVL percentage were Fantom (3.52%) and BSC (1.75%).

Statistics from Coin98 Analytics indicate that in terms of the total transactions for blockchain networks Solana holds the reins with 45 billion. Solana’s transaction dominance is followed by Tron (2.68B), BSC (2.09B), Ethereum (1.39B), Polygon (1.19B), HECO (534M), and Algorand (464M). As far as the number of validators on popular blockchains, Coin98 Analytics metrics show Ethereum has 270,322 validators, while Elrond has 3,222.

Lastly, as far as the TVL in cross-chain bridges is concerned, there’s $22.73 billion in cross-chain bridge TVL today. There’s been a 3.4% loss in TVL during the last 30 days and Ronin Bridge commands the top position with $6.4 billion. Ronin is followed by Avalanche ($5.88B), Polygon ($5.83B), Arbitrum ($2.3B), Fantom ($1.3B), and Optimism ($433M).

What do you think about the state of decentralized finance (defi), decentralized exchange (dex) applications, and the total value locked in these blockchains? Let us know what you think about this subject in the comments section below.

Value Locked in Defi Slips 5% in 24 Hours, AMM and Rebase Tokens Take Double-Digit Losses

05/12/2021 by Idelto Editor

Since mid-November the total value locked (TVL) in decentralized finance (defi) has slid from $257 billion to $250.55 billion and during the last 24 hours it lost a touch more than 5%. Over the last seven days, defi tokens like uniswap, pancakeswap, curve dao token, 1inch and sushi have lost anywhere between 15% to 23.9% in value.

Defi TVL Drops — Curve, Makerdao and Convex Finance Dominate

At the time of writing, the TVL in defi protocols across a myriad of blockchains is $250.55 billion, according to metrics from defillama.com. The aggregate defi value locked has lost 5.08% during the last day, and the protocol Curve dominates most of the TVLs listed with 8.07% dominance.

The automated market maker (AMM) Curve commands $20.23 billion TVL which is up 1.13% this past week. Makerdao is the second-largest defi protocol TVL with $18.56 billion at the time of writing. The third-largest defi protocol TVL belongs to Convex Finance with $15.14 billion today.

Ethereum Defi TVL Dominance 65%, Binance Smart Chain 6%, Terra 5%

TVL per blockchain shows that Ethereum commands $164.36 billion of the $250.55 billion in defi on Sunday. Binance Smart Chain (BSC) captures $16.61 billion and the chain is the second-largest chain in terms of defi protocol TVLs.

Following BSC is Terra ($13.29B), Avalanche ($12.03B), Solana ($12.46B), and Tron ($5.48B). At the time of writing, Ethereum commands 65.58% of the $250.55 billion of value locked in defi. While BSC commands 6.62% dominance, the TVL in Terra captures 5.30%.

Rebase and AMM Defi Tokens Slide —Crosschain Bridge TVL Slips 26% in 30 Days

Statistics from coingecko.com indicate that the total market capitalization of the top automated market maker (AMM) defi tokens has dropped 13.6% to $17.2 billion. Additionally, metrics show that rebase tokens have lost 5.1% to a low of $6.09 billion on Sunday.

The top AMM crypto asset uniswap (UNI) has shed 15% during the last seven days. Uniswap is followed by pancakeswap (16.7%), curve dao token (27.2), 1inch (26.3%), sushi (23.9%), and bancor token (10.1%).

Rebase tokens such as olympus (OHM) shed 17.1% this past week while wonderland (TIME) has lost 18.5%. Klima dao (KLIMA) is down 50.6% during the last seven days and ampleforth (AMPL) lost 17.7%.

Monthly stats show cross-chain bridge TVLs have slipped 26.9% and today there’s $24.40 billion TVL in bridges to Ethereum, according to Dune Analytics. The leader is the Ronin bridge with $6.9 billion and Avalanche has $6.6 billion and Polygon has $5.6 billion.

What do you think about the state of decentralized finance (defi) today? Let us know what you think about this subject in the comments section below.

Exploits and Flash Loans Are Just the Beginning, Defi Economy Is Less Private Than People Think

22/11/2020 by Idelto Editor

Exploits and Flash Loans Are Just the Beginning, Defi Economy Less Private Than People Think

Decentralized finance otherwise known as defi has climbed significantly in value this year, as the total value locked (TVL) in defi today is over $14 billion. Meanwhile, numerous defi platforms are getting attacked with flash loans and there are so many new defi projects, it’s hard to keep track of them all. Moreover, while many defi supporters claim these platforms offer greater privacy, examples now show that most everything can be seen onchain connecting ethereum addresses to identities and companies.

Exploits and Flash Loans Are Becoming Commonplace in the Land of Decentralized Finance

In 2020, defi exploded and there’s billions of dollars sitting in a myriad of platforms and applications today offering a new type of finance. The growth defi has seen is unheard of and resembles the initial coin offering (ICO) days back in 2017. One of the biggest differences, however, is many defi projects are more than just a white paper and token, as numerous applications like Maker, Uniswap, Aave, and others have offered various degrees of utility.

On November 22, 2020, statistics show that the defi TVL has surpassed the $14 billion handle. At the end of August, the defi ecosystem’s aggregate TVL was only $7 billion, which means the defi economy doubled in a mere three months. The massive growth is not without problems and even blatant defi scams. It seems a myriad of defi projects are getting drained by experienced ethereum users, liquidating capital via complex flash loans.

when next defi exploit?

— i.am.nomad (@IamNomad) November 21, 2020

This week alone, news.Bitcoin.com reported on two major flash loans, after reporting on these attacks on multiple occasions beforehand as well. Five days ago the Value Defi project saw a flash loan attack that siphoned $6 million in DAI. This was after the team tweeted that the project had “flash-loan attack prevention” and subsequently deleted the tweet. Flash loans and defi exploits have been happening so much, it’s become a regular activity.

On November 21, 2020, the popular Twitter account “I am nomad” asked his 65,000 followers when the next defi exploit would be in a survey with three choices. The three choices included “today,” “tomorrow,” and “within seven days.” Well not too long after the tweet, The Block’s director of research, Larry Cermak responded to the tweet.

“It was quick,” Cermak replied, sharing an article about the defi platform Pickle Finance getting exploited for close to $20 million.

Exploits and Flash Loans Are Just the Beginning, Defi Economy Is Less Private Than People Think — Defi users have been getting upset at defi projects that have been exploited in recent days and many say some defi developers are incompetent.

The Lidless Eye and Onchain Transactions

Moreover, a few days beforehand, the Twitter handle @n2ckchong (Nick C) shared an interesting perspective of how much of the defi world can be seen onchain.

“What’s beautiful (and kind of scary) about defi is that we can see everything that happens on-chain and connect addresses to identities and firms,” Nick C tweeted on Wednesday. In the Twitter thread, Nick C shows a breakdown of ether addresses stemming from Three Arrows Capital (3AC), Jump Trading, and Polychain Capital.

The first tweet alleges that 3AC is one of “the biggest Compound suppliers” and also notes 3AC has $100M in WBTC, $50M in ETH, and $6M in the stablecoin DAI. “3AC is also supplying 275 YFI and $13M in LINK to Aave and is farming SUSHI with 1.5M recently-acquired SUSHI,” Nick C said. “3AC [also] acquired 351k LINK during [the] recent dip,” he added. In another tweet, Nick C breaks down some ostensible estimates from Polychain Capital’s defi action.

“Polychain Capital has been the biggest YFI buyer over the past few weeks,” he further wrote. “They’ve acquired 570 YFI (~2% total supply) over the past five weeks at an estimated cost basis of $12~14k. They also own 48,000 ETH and 1,315 MKR on this address,” Nick C detailed. The Twitter thread also gives a breakdown of Jump Trading’s defi action as well as Nick C notes that Jump Trading is “a massive prop trading firm based in Chicago.” The researcher continued by adding:

[Jump Trading] are big investors in Ethereum tokens as well.

Nick C’s insights earned him a great number of Twitter followers after he shared his thoughts about the three firms and the defi action. After publishing the thread, Nick C got a few thousand followers and he said he “would continue posting high-signal content when I have the time.”

The perspective Nick C shared on Wednesday shows how the defi economy displays highly visible content onchain, and it’s a lot less private than most people think.

What do you think about all the defi exploits these days and the visibility of million-dollar onchain transactions and trades? Let us know what you think about this subject in the comments section below.

The post Exploits and Flash Loans Are Just the Beginning, Defi Economy Is Less Private Than People Think appeared first on Bitcoin News.

Q3 Crypto Volumes up by $155 Billion as Defi Hype Drives DEX Growth by 197%

11/10/2020 by Idelto Editor

The latest data from Coingecko shows that the combined trading volumes of cryptocurrency exchanges went up by $155 billion between July and September, from $175.7 billion to $330.6 billion. The new total volume represents a 88% increase which Coingecko attributes to the decentralized finance (defi) hype and yield farming frenzy that peaked in August.

In the report, Coingecko also observes that from the start of Q3, traded volumes on decentralized exchanges (dexs) grew much faster than those of centralized exchanges (cexs). For instance, in Q3, “the monthly average dex trading volumes (of top ten dexs) grew by 197%, outperforming the average volumes of the top ten cexs, which went up 35%.” Despite the explosive growth, which also appeared to slow in September, dex volumes account for just 6% of total cex volumes.

Explaining the relatively modest performance by cexs, the report observes that while the month of August proved to be the best after volumes grew by 83%, September trades ultimately reversed the previous month’s gains. According to the report, cex volumes dropped from $314.6 billion seen in August to $300 billion by end of September. The report states that Coinbase and Okex contributed 60% of the reversal.

Meanwhile, the report also provides data on the performance of individual dex platforms during the period. As the data shows, Uniswap, which contributed just under 50% of total dex volumes in July, saw its market share grow to 63% by end of September. Following Uniswap is Curve which experienced a fast-changing quarter after its share initially dropped from 24% in July to 13% in August. However, by the end of September, Curve had recovered after contributing 17% to total dex volumes.

In the meantime, Sushiswap, which forked from Uniswap on August 28, managed to account for 8% of the total volumes by the end of September. The rest of the dex protocols contributed 4% or less to the total volumes.

Next, the Coingecko report provides a timeline of key events that explain the apparent rivalry between Uniswap and Sushiswap. The report highlights that after forking, Sushiswap went on “to introduce a new token (SUSHI), distributed via liquidity mining.”

Explaining the significance of this move, the report says:

“Unlike Uniswap which shares 0.3% of trading fees to liquidity providers, Sushiswap shares 0.25% to liquidity providers with the remaining 0.05% being converted to SUSHI and distributed to SUSHI holders. Mining returns of over 2,000% drew in over $1.4 billion to Sushiswap at its peak.”

On September 18, Uniswap began liquidity mining and since then its total-value-locked (TVL) soared to over $2 billion by the end of that month. Lastly, the Coingecko report suggested that non-fungible tokens (NFT) farming are showing signs that they could be the next big thing after defi tokens.

Do you think DEXs volumes will continue to grow as they did in Q3? Tell us what you think in the comments section below.

The post Q3 Crypto Volumes up by $155 Billion as Defi Hype Drives DEX Growth by 197% appeared first on Bitcoin News.

Defi Market Cap Drops 25.1% in One Day: Proponents Say Tokens Self Correcting

09/10/2020 by Idelto Editor

The latest data from Santiment shows that the collective market capitalization of all defi-related assets dropped by 25.1% on October 7, while daily trading volumes went down 30.2%. The data also shows popular defi tokens like Sushi took heavy knocks after dropping by 50.9% during the week. Also making the list of heavy droppers is Uniswap’s new token (UNI) which lost 38.2% and the YFI which dropped by 31.3%.

According to Santiment’s Defi watchlist, many of these decentralized finance (defi) tokens have already erased the bulk of their summer gains. Meanwhile, as expected, news of this significant drop in market capitalization has added impetus to the ongoing debate about the so-called Defi bubble. defi critics insist the popularity of this space, which has plagued by scams and faulty contracts, is just hype engineered to enrich token creators and founders. When the hype dissipates tokens will drop in value leaving investors worse off. For example, prior to Santiment’s data release, Twitter users like Alan Silbert had been circulating data which supports this contention.

Yet despite these strong assertions by critics, proponents of defi insist that the latest drop in value only points to a market correction and that defi still has a future. In his comments on the recent slump of defi market cap, Daniel Dabek, Founder of Xcalibra Exchange thinks this could be due to the mismatch between the volume of coins and the demand.

“When prices rocket up, it is because of the low volume of coins (that) are entering exchanges,” said the Founder of Xcalibra Exchange. He adds that it takes time “for people to deposit them and be in a position to bring liquidity.”

Nevertheless, Dabek remains optimistic about what the future holds for defi. He says:

“However, you see more established coins like MKR AAVE ENJ AMPL are still holding up well, and even some green with TRADE introducing limit orders recently; and fervent demand for UNI as it approaches its introductory price of around $3.00 after a high of $9.00. This space is evolving quickly.”

Concurring with Dabek is Long Vuong, the Founder of Tomochain who notes that “this is probably the first significant correction of defi.”

However, Voung is quick to add that “as crypto communities expand, defi will become more used, more resilient as it fulfills the essential needs of exchanging cryptos, borrowing with crypto collaterals, and building more new crypto projects.”

Meanwhile, following the latest market cap drop, it remains unclear if this correction phase had ended. However, it is worth noting that some of the tokens appear to have made some recovery on October 9, 2020, and at the time of writing.

What do you think of this latest defi market cap drop? You can share your thoughts in the comments section below.

The post Defi Market Cap Drops 25.1% in One Day: Proponents Say Tokens Self Correcting appeared first on Bitcoin News.