Weekly DeFi Rabbit Hole - June 11, 2023
Welcome to the weekly 🐰 hole (11 June 23) of liquidity movements & defi analysis, where we uncover key trends and insights into the top protocols and hidden gems.
Sigh…the market is puking again… maybe it’s time to hand in those Macdonald's recruitment forms my fellow degens.
🐰 content:
Stablecoin flows
Smart Money Movement
Top L1/L2 Financials
Top DAPP Financials
Movement Analysis
TLDR
1. Stablecoin flows:
Total Stablecoin MCAP = 128.19 bil, with -0.73% weekly change.
Top 10 Chain (In terms of Stables Mcap):
Top inflows:
ThunderCore
Polygon zkEVM
zkSync Era
Ontology
Moonriver
Top outflows:
Kardia
Telos
TomoChain
Kava
Wanchain
2. Smart Money Movement:
Cr: @ozfrox
Top Smart money inflows (including stablecoins):
USDT
Coinbase Wrapped Staked ETH
stETH
Matic
Wrapped BTC
Top Smart money outflows (including stablecoins):
Wrapped ETH
USDC
TAI reflex index
Dai
Balancer
Frax
Top Smart money inflows (excluding stablecoins):
Coinbase Wrapped Staked ETH
eUSD
wstETH
Wrapped ETH (Polygon)
Wrapped ETH (Arbitrum)
Top Smart money outflows (excluding stablecoins):
Wrapped ETH
Aave USDC
Tai reflex index
Balancer
Wrapped ETH (Polygon)
3. Top L1/L2 Financials:
Fees-Generated
ETH
BNB
Arbitrum
Optimism
Solana
Revenue
ETH
Tron
BSC
Avalanche
Arbitrum
DAUs
Tron
BNB
BTC
Polygon
ETH
Active Developers
ETH
Polkadot
Cosmos
Solana
BTC
Code Commits
ETH
Polkadot
Solana
Cosmos
BTC
4. Top DAPP Financials:
Fees-Generated
Lido
Uniswap
Pancakeswap
GMX
Level Finance
Revenue
Pancakeswap
Lido
Convex Finance
Metamask
Level Finance
P/F Ratio
Relative valuation of protocols (Lower the no. the “better”)
El Dorado Exchange
Equilibre
Equalizer Exchange
Level Finance
Mummy Finance
P/S ratio
FDV Mcap/Annualized Revenue (Take this metric with a pinch of salt as revenue figs used could be annualized and not actual revenues earned)
El Dorado Exchange
Equilibre
Equalizer Exchange
Level Finance
X2Y2
Holders Revenue - Cumulative revenue attributable to holders 24 Hours
GMX
Synthetix
Convex Finance
Pancakeswap
Level Finance
DAUs - Daily
Pancakeswap
Uniswap
Stargate
0x
Metamask
Raises - Recent funding rounds
HyperPlay
Taiko
Lens Protocol
Informal Systems
Argus
5. Movement Analysis:
Stablecoin flows:
Total stablecoin market cap continues its downtrend this week at -0.55%. However, despite the recent SEC lawsuit wave, this drop is relatively muted, which could indicate that crypto natives view this as a nothing burger.
zk-rollup chains like Polygon zkEVM,zkSync Era and StarkNet continue to attract significant stablecoin flows despite the current regulatory uncertainty.
Kardia, Telos and TomoChain saw the largest stablecoin outflows.
Smart Money Movement:
Smart money is playing relatively defensively, with large conversions into USDT and the continued accumulation of ETH and its derivatives.
Smart money started buying $OX from OPNX, a new crypto exchange started by previous 3AC founders Su Zhu and Kyle Davies.
L1/L2 movement:
zkSync’s TVL is the only one in the green this week as it continues to grab market share from existing optimistic rollups like Arbitrum and Optimism.
DAPP movements:
Perp dexes like GMX and Level Finance rakes in fees as trading volatility spike with the recent market dump.
~17.8 billion worth of $ETH has been locked in LSD protocols, and the growth shows no sign of stopping. LSD aggregators/swaps/black holes could reap the benefits of this burgeoning asset class.
Alpha drop by @apes_prologue
6. TLDR:
LSDfi summer is prime to take off. I would spend some time now identifying protocols that provide a unique product-market fit in this burgeoning asset class.
Institutions continue to adopt blockchain technology despite the current regulatory uncertainty. If you are getting weak-handed now, you are NGMI.
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.
Follow me @zec_jay on Twitter or subscribe to this substack for more weekly deep dives.
Source:
https://defillama.com/stablecoins
https://tokenterminal.com/terminal
https://l2beat.com/scaling/tvl
Credits: