LD Track Weekly Report (2023/08/21): The encryption market plummeted, and market trading volume rebounded

Trend Research

特邀专栏作者

2023-08-23 11:36 (UTC+8)

This article is about 2128 words, reading the full article takes about 4 minutes

A quick look at important industry information of the week.

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A quick look at important industry information of the week.

Summary

RWA: MakerDAO DSR interest rate is reduced from 8% to 5%; MakerDAO founder proposes Spark protocol revenue sharing rules; Aave v3 is about to be launched on the Base chain.

LSD: The ETH pledge rate rose to 21.50% last week, a month-on-month increase of 1.16%. Last week, 25.84 million ETH were locked in the beacon chain, corresponding to a pledge rate of 21.5%, a month-on-month increase of 1.16%; of which there were 742,800 active verification nodes, a month-on-month increase of 2.1%, and 59,800 queued verification nodes, a month-on-month decrease of 9.43 % . The rising amount of staking and the lack of on-chain transactions caused the ETH staking yield to drop to 3.98%. (The APR of the consensus layer is inversely proportional to the square root of the total pledge amount, and the ARP of the execution layer depends on the Priority fee)

Ethereum L2: The total amount of layer 2 TVL decreased by US$500 million compared with last week, and the total locked amount was US$10 billion; Base continued its development momentum, and TVL further increased by 19.54%; the popularity of social protocol friend.tech reached a new high.

DEX：Dex combined TVL 12.27 billion,Thats down $1 billion from last week. The 24-hour trading volume of Dex is 1.3 billion, and the 7-day trading volume is 15.36 biliion, an increase of 4.7 billion from last week. Ethereum DEX transaction volume accounted for 49%, a decrease of 3% from last week.

Derivatives DEX: The overall trading volume of derivatives DEX rebounded significantly in the past week (August 14 to August 20). The weekly trading volume of major derivatives DEX was approximately US$8.9 billion, an increase of approximately 80% from the previous week. The previous week’s related DEX weekly trading volume was approximately $5 billion. The reason for the surge in trading volume is that Bitcoin and Ethereum fell sharply last week, with a single-day drop of more than 7%.

RWA

MakerDAO

MakerDAO passed a series of governance proposals on EDSR and stability fees last week, focusing on reducing DSR from 8% to 5%. As of today, the total Dai supply has fallen from a high of 5.47 billion on August 20 to 5.16 billion, a decrease of 310 million. The supply of Dai in the DSR also decreased from 1.476 billion to 1.199 billion, a decrease of 277 million, accounting for nearly 89% of the total decrease in Dai. It can be seen that the decrease in the total supply of Dai is mainly due to the flight of funds within the DSR. The decrease in DSR interest rate also means that MakerDAO’s expenses have been greatly reduced, and its PE value has also been reduced to 14.88.

Source: makerburn.com

Affected by the reduction in DSR interest rates, Spark protocol TVL also suffered a relatively large decline, decreasing by more than 200 million US dollars. Other than that, the protocol has not changed much. MakerDAO founder Rune also released a proposal last week to modify the revenue sharing rules of the Spark protocol. According to the proposal, Spark must pay 10% of the revenue generated by operating the protocol lending function based on the Aave code base. Once approved, payouts to the Aave community will begin immediately and will need to reach a minimum payout level (1 million Dai), otherwise the 2-year revenue sharing period will be suspended and the countdown will stop until the minimum payout level is reached again. Maker Governance temporarily pays a “virtual revenue share” on behalf of Spark Protocol until the SubDAO token is launched. Once the SubDAO token is launched, the Spark Protocol-Aave revenue sharing ecosystem protocol becomes the standard rule.

Aave

The proposal to activate Base Network Aave V3 was unanimously approved on the 20th (100% support rate). The proposal is currently implemented on the chain. The proposal will allow Aave to complete all initial setup and activate underlying liquidity pools such as wETH, cbETH and USDbC on Aave V3 on Base. Compound was launched on the Base network on August 15 and is currently the largest lending protocol on the Base chain (TVL is approximately $16.22 million).

LSD

The ETH pledge rate rose to 21.50% last week, a month-on-month increase of 1.16%. Last week, 25.84 million ETH were locked in the beacon chain, corresponding to a pledge rate of 21.5%, a month-on-month increase of 1.16%; of which there were 742,800 active verification nodes, a month-on-month increase of 2.1%, and 59,800 queued verification nodes, a month-on-month decrease of 9.43 % . The rising amount of staking and the lack of on-chain transactions caused the ETH staking yield to drop to 3.98%. (The APR of the consensus layer is inversely proportional to the square root of the total pledge amount, and the ARP of the execution layer depends on the Priority fee)

Pledge growth rate increased this week

Source: LD Capital

ETH staking yield drops to 3.98%

Source: LD Capital

Among the three major LSD protocols, in terms of price performance, LDO fell 7.9%, RPL fell 8.3%, and FXS fell 6.1%; from the perspective of ETH pledge volume, Lido rose 1.94% in the week, Rocket Pool rose 0.72%, and Frax rose. 1.97%. The overall market adjusted significantly last week, with BTC falling 11.3% for the week, and ETH falling 9.3% for the week; the LSD sector fell less than other altcoin sectors, and Lido MC/TVL reached a new low for the year; the Rocket Pool deposit pool is full, and the Minipool node growth rate remains to be seen. Improvement; RPL pledge rate is 47.6% (+ 0.24), effective pledge is 99.5%; Frax is still waiting for the FRAX V3 version to be launched. Last week, Brevan Howard Digital continued to sell 10,000 tokens, and the current wallet address balance is 560,000 tokens. Also pay attention to whether Secure Signer technology will bring changes to the current LSD market (Puffer).

Ethereum L2

TVL

The total amount of layer 2 tvl decreased by US$500 million compared with last week, and the total locked amount was US$10 billion.

Source: L2 beat, LD Captial

Base continued its development momentum, and TVL further increased by 19.54%.

Aave unanimously approved the proposal to deploy V3 on Base, which will allow Aave to complete all initial setup and activate basic liquidity pools such as wETH, cbETH and USDbC on Aave V3 on Base.

The popularity of the social protocol friend.tech has reached a new high, with the total transaction volume reaching 25,633.5 ETH, the protocol revenue reaching 1,165.2 ETH, and the total user market value reaching 10,663.3 ETH.

Source: Dune

Shiba Inu launches Shibarium mainnet, providing Ethereum L2 expansion solution. Applications built on the network will use BONE, TREAT, SHIB and LEASH tokens. Shibarium will focus on the deployment and development of Metaverse and gaming applications. The Shibarium RPC website, which was shut down last week after a cross-link bridge was discovered to be defective on 8.17, will reopen to the public this week.

Activity on the chain

Source: Artemis

DEX

Dex combined TVL 12.27 billion,Thats down $1 billion from last week. The 24-hour trading volume of Dex is 1.3 billion, and the 7-day trading volume is 15.36 biliion, an increase of 4.7 billion from last week. Ethereum DEX transaction volume accounted for 49%, a decrease of 3% from last week.

Ethereum

ETH L2/sidechain

BTC L2/Sidechain

Alt L1

Derivatives DEX

The overall trading volume of derivatives DEX rebounded significantly in the past week (August 14 to August 20). The weekly trading volume of major derivatives DEX was approximately US$8.9 billion, an increase of approximately 80% from the previous week. The previous week’s related DEX weekly trading volume was approximately $5 billion. The reason for the surge in trading volume is that Bitcoin and Ethereum fell sharply last week, with a single-day drop of more than 7%.

source:tokenterminal

In terms of TVL, the overall TVL of the derivatives DEX track is still in decline, and funds are slowly flowing out.

source:tokenterminal

In terms of users, the number of daily active users of derivatives DEX has increased compared with the previous week. Last week, GMX had 729 daily active users, while the previous week’s weekly active users were 580, an increase of about 25%.

source:tokenterminal

Quick overview of new projects:

The derivatives protocol HMX, which was migrated from polygon to arbitrum, went online at the end of July and achieved good trading volume. The main features of the protocol are as follows:

1. Provide cross-margin mode, which is more convenient than isolated margin and has higher capital utilization rate.

2. By accepting the multi-asset mortgage model, traders can have richer trading strategies.

3. Provide more trading assets, including cryptocurrencies, foreign exchange, commodities and US stocks.

4. Provide higher leverage, and the leverage of some varieties can reach 1000 times.

5. One-click trading function is provided through the abstract account. Traders can set up this function first, and then the trading procedure will be simplified without the need to go through several signatures for each transaction.

The current TVL is approximately US$15.1 million, and the specific distribution is shown in the figure below:

source:Defillama

Trading volume increased significantly in mid-August, with the highest single-day trading volume reaching $148 million. There are currently multiple trading incentives, including trader loyalty points, incentive rewards for open positions, liquidity provider rewards, recommender rewards, etc.