Weekly DeFi Rabbit Hole by zj.valz
Welcome to the weekly 🐰 hole of liquidity movements & DeFi analysis, where we uncover key trends and insights into the top protocols and hidden gems.
🐰 Contents:
- Stablecoin flows
- Smart Money Movement
- Top L1/L2 Financials
- Top DAPP Financials
- Movement Analysis
- TLDR
1. Stablecoin flows:
Total Stablecoin MCAP = 122.84 bil, with 0.83% weekly change.
Top 10 Chain (In terms of Stables Mcap)
Top inflows:
- Hedera
- Aptos
- Osmosis
- smartBCH
- Stellar
Top outflows:
- Heco
- Conflux
- Oasis
- Waves
- Base
2. Smart Money Movement:
Top Smart money inflows (including stablecoins):
- uBoredApeYatchClub
- USDT
- Wrapped ETH (Base)
- USDC
- Wrapped BTC
Top Smart money outflows (including stablecoins):
- FLC
- LUSD
- Wrapped ETH
- Rollbit
- Hay
Top Smart money inflows (excluding stablecoins):
- uBoredApeYatchClub
- Wrapped ETH (Base)
- Wrapped BTC
- uPPG
- imgAI
Top Smart money outflows (excluding stablecoins):
- FLC
- Wrapped ETH
- Rollbit
- Hay
- Refund
3. Top L1/L2 Financials:
Fees-Generated
- ETH
- Tron
- BTC
- BSC
- zkSync Era
Revenue
- ETH
- Tron
- zkSync Era
- Arbitrum
- BSC
DAUs
- Tron
- BSC
- Near
- BTC
- Polygon
Active Developers
- ETH
- Polkadot
- Cosmos
- BTC
- Solana
Code Commits
- ETH
- Polkadot
- Solana
- BTC
- Cosmos
4. Top DAPP Financials:
Fees-Generated
- Lido
- Uniswap
- MakerDao
- Aave
- PancakeSwap
Revenue
- MakerDAO
- Lido
- Friend.tech
- Metamask
- Synthetix
P/F Ratio
Relative valuation of protocols (Lower the no. the “better”)
- Mummy Finance
- Nether.Fi
- Level Finance
- ApeX Protocol
- HMX
Holders Revenue - Cumulative revenue attributable to holders 24 Hours
- Synthetix
- Venus
- PancakeSwap
- Curve
- Radiant
DAUs - Daily
- Pancakeswap
- Uniswap
- Friend.tech
- Osmosis
- 0x
Trending Applications
- Basecamp
- Basic Attention Token
- Paraswap
- Gnosis
- Xencrypto
Trending Categories
- NFT Apps (Base)
- Social (Base)
- L2 (OP)
- NFTs (Base)
- NFTs (Polygon)
Raises - Recent funding rounds
5. Movement Analysis:
Stablecoin flows:
- Total stablecoin market cap remains stable this week with a slight increase of 0.83%.
- Hedera, Aptos, and Osmosis saw the most significant stablecoin inflows.
- Heco, Conflux, and Oasis saw the most significant stablecoin outflows.
- Stablecoin outflows from the Base continued as interest in the chain wanes and other L2s embarked on incentive programs (e.g. Arbitrum).
Smart Money Movement:
- Smart Money has an aggregated portfolio allocation of 43% ETH/ETH Variant, 42% Alts, and 15% Stablecoin this week.
- uBoredApeYachtClub, uPPG, and imgnAI saw the largest Smart Money inflow.
- FLC, Rollbit, and Hay saw the largest Smart Money outflow.
- Interesting to see the sizeable adoption of FLC’s product by Smart Money as seen from uBoredApe and uPPG which are fractionalised with FLC protocol. This could bring much-needed liquidity into the NFT ecosystem.
L1/L2 movement:
- Fees on Base continue to decline as users migrate back to other L2s, such as zkSync Era and Arbitrum.
- Solana's price has increased by ~30% this week alone, following Bitcoin breaking the $30,000 barrier, as market sentiment improved.
DAPP movements:
- Friend.tech continues to trend down the leaderboard as the protocol gradually matures, with the majority of accounts already onboarded and investments in Keys yielding diminishing returns.
- Lido and MakerDAO continue to benefit in the current crab market as investors choose to park their capital in generally risk-free yields.
- Alpha drop by @apes_prologue
- Raises that caught my eye this week include:
- SynFuturesDefi - A decentralized derivatives protocol managed to raise a $22 million Series B round from prominent backers like Pantera Capital and HashKey;
- ElixirProtocol - A decentralized, algorithmic market-making protocol with upcoming exchange integrations this coming November 23; and
- MyShellAi - A decentralized and integrated platform for discovering, and creating AI-native apps with a focus on Generative AI.
6. TLDR:
- BTC breached the $30,000 price barrier this week following false news that BlackRock's ETF had been approved. Although BlackRock promptly debunked this, market sentiment has improved dramatically as regulatory risk subsides.
- Interesting to note that smart money allocation to altcoins has remained relatively stable for the past three weeks, hovering between 40% and 42%. This could indicate caution as macro factors remain relatively uncertain.
- SOL outperformed ETH this week as crypto market sentiments improved.
- VC investments continue to be allocated to DAPPs over Alt L1s, which could indicate an increased focus on bridging the UX gap and onboarding the next generation of users on-chain.
P.s. I may have positions in the projects discussed in this article. Please note that this article is not intended as financial advice, and I encourage readers to conduct their own due diligence and ape responsibly.
Conclusion
That’s it Anon, hope you enjoyed the 🐰hole this week.
