Perpetual contracts are growing strongly｜Snap Finger Institute Weekly #03
No.1 Agency Report
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No.1 Agency Report
A & T Capital NFT ecological structure
The recent data of Axie Infinity is very eye-catching: transaction volume, active users, protocol fee income, and of course its token price. NFT is no longer just a spark, its development has penetrated into all levels of the ecology, showing a prairie fire. Having a clear NFT structure allows us to quickly locate a certain project in the ecology.
The following is from the NFT industry value chain depicted by A & T Capital
1. Infrastructure layer: underlying public chain, side chain/Layer2, development tools, token standards, storage and wallets. Such as: Ethereum Flow BSC Polygon. Network fees are collected through NFT casting, on-chain transactions, storage and other activities. The more prosperous the NFT ecosystem, the greater the value captured at this layer.
2. Protocol layer, including:
NFT Minting and Primary Circulation
NFT avatar: cryptopunk
Art/Collectibles: SuperRare
Game: Axie Infinity
Virtual world/metaverse: cryptovoxels
Fan Economy: Rally
Comprehensive platform: Mintable
Liquidity protocol: NFT value discovery, such as NIFTEX, NFT20.
NFT+: Use NFT to empower DeFi, such as Aavegotchi.
3. Application layer, realized based on traffic and demand, including:
Data service: Cryptoslam
Curation and Community: WhaleDAO
Social: Nifty's (completed $10 million in financing on July 12, will launch a social NFT platform and an NFT movie starring LeBron James)
Pan secondary market: Opensea
https://inf.news/en/tech/9163f6bb65f6b6a52c200b5bdb9d23c0.html
https://www.chainnews.com/articles/808724023675.htm
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NFT finance: mortgage lending, such as NFT Bank
IDEG Partner: Five trends and three investment strategies in the encryption industry in the next four years
5 trends in the encryption industry:
1. It is predicted that the proportion of Bitcoin will further drop to 20-30% in the future. It may say goodbye to the 4-year bull-bear market cycle, and applications with unique fundamentals will have independent market prices and be decoupled from BTC**. **
2. Stock listing is expected to become the main line of investment in the next few years, such as Coinbase.
3. TradFi institutions and ETFs will provide more mature infrastructure for large-scale applications. 2020 is just the beginning, and the larger institutional wave is accelerating.
4. The encryption industry will embrace compliance. If the market grows to a larger scale, it will inevitably face regulation head-on.
5. Assets are the core of the market. Top exchanges are exploring and building independent ecosystems covering the full life cycle of high-quality assets, such as Coinbase FTX Binance.
3 investment strategies:
1. Blockchain infrastructure: incubator, secondary market, asset management, data, wallet and custody, media, security.
2. Encrypted native ecosystem: smart contract platform, infrastructure, oracle, DeFi, Layer2, NFT, games.
https://min.news/en/tech/8c84c8dae8758c5c0151814fdee2eabb.html
https://www.chainnews.com/articles/593455123588.htm
3. Key innovations: Syntetix, yearn, Uniswap, balancer, etc.
No.2 Tuyere Track
Inventory of the top protocols of perpetual contracts: Perpetual, dydx, Futureswap and MCDEX
As mentioned in the Glassnode 2021 Q2 report, perpetual contracts have always been a bright spot in DeFi derivatives. In the past few months, this "cake" has grown bigger and bigger, and the trading volume of Perpetual Protocol and dydx has been very strong. And grow month by month. Messari's research report introduces the top agreements in the DeFi derivatives track. With the advantages of fees and execution speed provided by Layer 2, perpetual contracts will attract more traders.
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Perpetual Protocol（$PERP）
On the left is the platform for protocol access, and on the right is the market size
Layer 2 solution: XDai
Advantages: vAMM provides protocol price discovery, and the collateral supporting vAMM is stored in the smart contract vault. In contrast to order books, vAMMs are able to trade at known prices, require no counterparty (vAMM is the default counterparty), and have no taker fees.
02
Fees: Perpetual Protocol charges a flat fee of 0.10% on all transactions. The fees earned are split 50/50 between the insurance fund and PERP token stakers. This resulted in more than $4.3 million being distributed to stakers in May, making the protocol the top protocol for returning revenue to users.
dYdX (unissued currency)
Layer 2 solution: StarkEx
Advantages: dYdX is the only perpetual trading protocol that uses traditional order books, providing traders with more advanced order types such as market orders, limit orders, stop orders and trailing stop orders.
03
Futureswap($FST)
Fees: Provides a tiered fee structure based on transaction volume. Currently, all transaction fees remain on the platform. For transactions in the past 8 weeks, dYdX charges an average fee income of 0.11% based on its transaction volume.
Layer 2 solution: Arbitrum
Strengths: The upcoming V3 will be a redesign of the previous AMM. The new AMM aims to improve the traditional price curve to provide greater capital efficiency. According to the core team, with $100 million in liquidity provided, a $1 million trade has only a 0.5% impact on price.
04
MCDEX($MCB)
Fees: A fixed transaction fee of 0.10% is charged on closing transactions and a variable opening fee is charged based on the transaction balance.
Layer 2 solution: Arbitrum
Fees: 0.015% of the transaction volume fee is charged every day as its main source of income, and MCDEX DAO earns corresponding transaction market fees as an operator (0.005% by default)
https://messari.io/article/marty-mcfly-goes-defi-an-overview-of-decentralized-futures-exchanges
https://www.8btc.com/article/6657569
No.3 project attention
No.3 project attention
Olympus DAO: Free Floating Algorithmic Stablecoin
Stablecoins have become an important infrastructure of the encryption market and are playing an increasingly important role in the global financial market, which has also attracted the attention of regulators. The US Secretary of the Treasury convened the President’s Financial Market Working Group on July 19 to discuss stablecoins regulatory issues. Dagonfly once divided the development of stablecoins into 3 stages:
1. Stablecoins collateralized by fiat currencies, such as USDT.
2. Regulated stablecoins such as USDC, BUSD, and TUSD, as well as Facebook-owned Diem.
3. Encrypted native stablecoins, such as DAI and Celo.
market data
https://insights.glassnode.com/defi-uncovered-experiments-in-money-and-value/
https://www.8btc.com/article/6657493
market data
#macro
#macro
The U.S. producer price index (PPI) recorded an annual rate of 7.3% in June, and the core PPI annual rate recorded 5.6%, both hitting record highs.
The U.S. consumer price index CPI in June increased by 5.4% year-on-year, the highest since 2008, and the core CPI rose by 3.4% year-on-year, a 30-year high.
CPI and PPI are two important inflation indicators. In the US, the year-on-year growth of PPI and CPI in June both exceeded expectations.
On July 14, Powell testified in Congress: Inflation is temporary and will not reduce bond purchases for the time being. The central bank will be prepared to adjust the stance of monetary policy as appropriate if it sees that the inflation path or long-term inflation expectations are significantly and persistently exceeded the US 2% inflation target.
#Bitcoin#Ethereumhttps://twitter.com/santimentfeed/status/1415074083880935425
Santiment: The top ten Ethereum addresses currently hold 20.58% of the total supply of ETH, the highest since May 2017.
Cointelegraph: Bitcoin holdings on centralized exchanges have fallen back to their lowest level since April. Glassnode: Most of the BTC has flowed to the Grayscale GBTC trust or accumulated by institutions, which has driven "continuous net outflows from exchanges."
Tokenview: The weekly inflow of Bitcoin on the exchange has dropped to a level close to the same period last year.
Bitcoin turnover hit an all-time low of 195% on July 11.
#DeFi
Reserves in the 3iQ Bitcoin Fund have fallen by nearly 50% since June.
#NFT
According to statistics from Dune Analytics, an on-chain data provider, the total number of DeFi users has reached 3 million (number of independent addresses).
Axie Infinity earned more than $8.2 million on July 15. It is close to the June average daily revenue of the global mobile game revenue champion Glory of Kings ($9.2 million).
#Exchange#ETF #Liquidity
Paypal is raising the cryptocurrency purchase limit for US users to $100,000 per week.
S&P Dow Jones Indices has launched five new crypto-asset-related indices, of which the "S&P Cryptocurrency Broad Crypto Market Index" covers more than 240 crypto-assets and aims to track the performance of crypto-assets on recognized open trading platforms. The remaining four indices are its subset.
Grayscale Digital Large Cap Fund GDLC has become a fund reporting to the US SEC. Fund portfolio: Bitcoin 67.49%, Ethereum 25.35%, ADA 4.30%, BCH 1.03%, LTC 0.96%, LINK 0.87%.
The number of publicly reported trusts managed by Grayscale reaches five, with trusts for Bitcoin Cash (BCH), Ethereum Classic (ETC) and Litecoin (LTC) joining previously filed Bitcoin and Ethereum (ETH) trusts. Becoming a fund reporting to the US SEC helps lower barriers to entry and improves liquidity.
Decrypt: Fund giant Capital Group purchased a 12.2% stake in MicroStrategy and became its second largest shareholder, which means that one of the world's largest investment institutions has indirect exposure to Bitcoin. (MicroStrategy's largest shareholder is the asset management giant BlackRock.)
Project Progresshttps://coingape.com/brazilian-securities-regulator-approves-first-ethereum-eth-etf-latin-america/
Project Progress
#bitcoin
#bitcoin
Bitcoin Taproot has been successfully activated on the test network and is expected to be activated on the main network in November.
Taproot is the most important upgrade to Bitcoin in four years and will enhance privacy, lower fees and improve scalability.
#Ethereum#Expansionhttps://blog.ethereum.org/2021/07/15/london-mainnet-announcement/
The Ethereum Foundation officially announced that the London upgrade will be activated on the mainnet between August 3rd and 5th. (block height 12965000)https://twitter.com/ethereumJoseph/status/1414629174795513863
The Ethereum development tool Truffle has added support for the Ethereum scaling solution Arbitrum.https://optimismpbc.medium.com/announcing-uniswap-v3-on-optimism-6fb033398a11
Uniswap V3 officially announced the launch of the Ethereum expansion solution Optimism, which is currently in the Alpha stage.https://help.uniswap.org/en/collections/3033942-layer-2
Detailed tutorial:
The Basis lending platform launched polygon, and the first version supports DAI and Matic as deposits, loans and collaterals.
#New public chain
#New public chain
Cosmos' first IBC DeFi protocol, Gravity DEX, announced that it has completed its deployment.
#DeFi
The first hard fork of the RChain mainnet was carried out on July 18, and the problem of "block merging" has been solved. It is expected to be deployed in one month and open external nodes at the same time. RChain is the first PoS public chain to implement the CasperCBC consensus, with concurrent consensus and concurrent execution capabilities.
ShapeShift will close the corporate entity and airdrop 340 million FOX tokens to DeFi investors.
Large companies/investment funds/traditional finance
British digital bank Revolut completed $800 million in financing at a valuation of $33 billion, led by Softbank and Tiger. Revolut provides stock and cryptocurrency trading services.
#channel#service
Bank of New York Mellon will provide ETF-related services to Grayscale Bitcoin Trust.
#Blockchain+
#Blockchain+
Swiss bank Sygnum is issuing NFTs of partial ownership of Picasso's painting "Fillette au béret" for $6,000 each.
Alibaba’s Hong Kong “South China Morning Post” launched the NFT platform plan, which can NFT any “historical assets”.
Bit Mining, a listed company in the U.S. stock market, will raise US$50 million in private placement to purchase mining machines and build new overseas data centers.
Voice·Viewpoint
Voice·Viewpoint
ConsenSys founder Joseph Lubin said in an interview with CNBC that the London hard fork will trigger a "huge" increase in demand and value for ethereum.
Bank of England: There are signs of growing interest in crypto assets from institutional investors, banks and major payment providers.
Former Tether co-founder: NFT may become a daily necessity in the next decade.
project financing
#public chain
Terraform Labs, the Korean company behind the public chain Terra, has received US$150 million in financing, with participation from Pantera Capital and Galaxy Digital.
#Layer2 #interoperabilityhttps://www.theblockcrypto.com/post/111150/ethereum-based-interoperability-network-connext-raises-12-million-funding
Ethereum interoperability network Connext (a layer-2 network) completed $12 million in financing, co-led by ConsenSys Mesh and 1kx Capital.
Axelar, a blockchain interoperability protocol, completed a US$25 million Series A round of financing, led by Polychain Capital and participated by Dragonfly Capital and Galaxy Digital.
#DeFi #Hybrid calculation is stable
Anchor Protocol, a DeFi fixed-rate agreement, has received approximately $70 million in grants from Terraform Labs (the parent company behind Terra). ($ANC, Circulating Market Cap: 160 million USD, OKEx)
DEX developer Shipyard Software raised $21 million to develop Clipper, led by Polychain Capital.
The co-founder of Clipper published a doctoral dissertation in 2012 and first proposed the theoretical framework of AMM
Superfluid Finance, a capital flow protocol on Ethereum, has completed a $9 million seed round led by Multicoin Capital.https://medium.com/dragonfly-research/a-visual-explanation-of-frax-bcce72c1730f
#NFT
Algorithmic stable currency Frax completed a strategic round of financing, led by Dragonfly Capital.
Nifty's has completed $10 million in financing and will launch a social NFT platform and an NFT movie starring LeBron James.
#tools#infrastructure
Cryptocurrency wallet Phantom announced the completion of a $9 million Series A round led by a16z.
#other
#other
CertiK, a blockchain security audit firm, has completed a US$37 million Series B financing, led by Coatue and Shunwei Capital, and participated by Coinbase Ventures.
sudden progress
UK police have seized a record $250 million of crypto as part of a money-laundering probe.
The Metropolitan Police have seized $250 million worth of cryptocurrency, the largest cryptocurrency seizure in the country.
The Anyswap multi-chain router v3 version of the decentralized cross-chain transaction protocol was attacked, and the cross-chain fund pool lost about 8 million US dollars. (July 12)
secondary titleCore Research Reportplan
plan
Secondary data report: Provide professional market data and interpretation.
First-level project recommendation: From more than 60 encrypted KOL Twitter and top institutions' new Portofolio, artificially select early projects worthy of attention.
Secondary data report: Provide professional market data and interpretation.
NFT Market Data: Provides important NFT market data.
It is very difficult to screen first-level projects and must rely on continuous human input. For users who are concerned about early projects, they can use this as a high-quality information source, or conduct cross-validation with the projects they have mined.
-Advantages of snapping research reports:
The media often release relevant information based on market hotspots, making it difficult for readers to establish a system. Regular reports have a fixed framework, can gradually form their own cognitive system, and can also become a source of high-quality information.
It is very difficult to screen first-level projects and must rely on continuous human input. For users who are concerned about early projects, they can use this as a high-quality information source, or conduct cross-validation with the projects they have mined.
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