Kusama launched the first public welfare parachain, the Bitcoin bull market may start in June | Industry Weekly
Ouyi OKEx Information Bureau Industry Weekly will take you to quickly review industry trends and clarify industry trends.
Table of contents:
Market overview
Institution and company dynamics
cryptocurrency market
Polkadot/DeFi/Layer2 Dynamics
industry voice
Market overview
Ouyi OKEx Information Bureau Industry Weekly will take you to quickly review industry trends and clarify industry trends.
Institution and company dynamics
1. Institutional and company dynamics
cryptocurrency market
Polkadot/DeFi/Layer2 Dynamics
industry voice
first level title
Market overview
According to CoinGecko data, as of 16:00 on June 4, 2021, the total market value of the cryptocurrency market was US$1,691.39 billion, an increase of 2.02% in the past 7 days. The USDT premium rate is -0.32%, and the average OTC price is ¥6.39. The market sentiment index is at 27, a level of panic.
According to OKEx data, as of 16:00 on June 4, 2021, BTC was temporarily reported at US$36,621.5, an increase of 1.81% in the past seven days, and OKB was temporarily reported at US$16.347, an increase of 22.1% in the past seven days. The long-short position ratio of the OKEx BTC contract is 1.44, and the number of parties is dominant; the total position of the BTC contract is 1.396 billion US dollars, an increase of 0.21% from the same day last week.
first level title
1. Institutional and company dynamics
1. Data: No funds have flowed into Grayscale Bitcoin Trust since the premium turned negative at the end of February
On June 3, the encrypted data platform Skew tweeted that since the premium turned negative at the end of February, no funds have flowed into Grayscale Bitcoin Trust.
[Interpretation] Grayscale has been the best exposure for institutions to enter the crypto market from the very beginning. The sharp correction in the crypto market may have the most direct relationship with institutions stepping on the brakes on crypto investment. After all, this round of bull market is called "institutional bull market". ".
2. Data: Purpose ETF increased its holdings by 288 BTC and 939 ETH
According to data from OKLink, as of 10:00 on June 2, the number of BTC held by the Purpose Bitcoin ETF was 19450.39, with a new position of 288.61 BTC; the number of ETH held by the Purpose Ether ETF was 52583.78, with a new position 939.84 ETH.
On June 2, the asset management giant Guggenheim filed a filing with the US Securities and Exchange Commission (SEC) for the launch of a new fund called the Guggenheim Active Allocation Fund. The fund's investment objective is to maximize total return through a combination of current income and capital appreciation, the filing said. The Fund will employ a tactical asset allocation strategy (dynamic allocation across asset classes) as well as a relative value-based investment strategy, utilizing quantitative and qualitative analysis to find securities with attractive relative value and risk/return profiles. Page 7 of the filing reads: “The Fund may seek to invest in cryptocurrencies, particularly bitcoin, through cash-settled derivative instruments, such as cash-settled exchange-traded futures, or through investment vehicles that provide exposure to exposure".
2. Cryptocurrency market
[Interpretation] Guggenheim Macro Opportunities Fund, another fund under Guggenheim, has previously invested 10% of its net assets (approximately $500 million) in Grayscale’s Bitcoin Trust (GBTC). The new fund proposed for cryptocurrency investment will increase investment channels and opportunities for Wall Street institutions and investors.
4. Angermayer and Novogratz plan to invest $100 million in crypto funds
According to CoinDesk, Cryptology Asset Group, a European investment firm founded by billionaires Mike Novogratz and Christian Angermayer, plans to inject about $100 million into crypto venture capital funds in the next two years. Cryptology Asset Group will take an entrepreneurial approach to enrich its fund portfolio and keep a close eye on first-time crypto funds, emerging fund managers and seed funds. According to fintech and crypto entrepreneur Angermayer, the company will invest globally and will be involved in blockchain and cryptocurrency-related businesses. Patrick Lowry, CEO of Cryptology, said: "Our vision is to work closely with our portfolio funds, investing alongside them in innovative blockchain companies and crypto assets. There is no better asset class than cryptocurrencies."
[Interpretation] There are still more and more large investors and encryption companies deploying cryptocurrencies in various forms. Mike Novogratz is the founder of Galaxy Digital and one of the largest Bitcoin bulls in the world; and Christian Angermayer is a German billionaire who has about $1 billion in assets through his family office Apeiron Investment Group. And become a loyal supporter of cryptocurrency.
5. Anchorage Launches ETH-Backed Loans With BankProv, America's 10th Oldest Bank
According to news from The Block on June 4, Anchorage and BankProv, the 10th oldest bank in the United States with a history of 200 years, launched ETH-backed loans. The Anchorage will continue to hold ETH as collateral while BankProv extends a credit line denominated in USD and backed by ETH. The partnership is specifically for institutions working with these companies.
[Interpretation] Anchorage is the first cryptocurrency company to obtain a license from the US national banking regulator in January 2021. BankProv is the tenth oldest bank in the United States. The partnership between the two means Anchorage customers can access an Ethereum-backed USD line of credit without liquidating their ETH.
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2. Cryptocurrency market
1. Bloomberg report: The fundamentals of Bitcoin are still intact, and the bull market may start in June
According to U.Today news on June 3, Mike McGlone, chief commodity strategist at Bloomberg, shared a report on Bitcoin and Ethereum on Twitter, and said that Bitcoin should return to the track of $100,000. With Bitcoin trading in the $38,000 range, the Bloomberg report authors suggest that Bitcoin may be in a “dormant crypto asset bull market.” The Bloomberg Galaxy Crypto Index (BGCI) suggests that the bull market may begin in June. Now that much of the excess speculation is gone, Bitcoin’s fundamentals remain intact, the report said. The report mentioned that one of the main reasons why Bitcoin may continue to rise is its dwindling supply and the large amount of retail and institutional money that has been flowing into Bitcoin this year.
On May 30, the encryption analysis company Santiment tweeted that although the price of Bitcoin fell slightly, the holdings of Bitcoin giant whales increased slightly. Addresses with between 100 and 10,000 BTC have accumulated around 30,000 BTC over the past week.
3. Polkadot/DeFi/Layer2 Dynamics
[Interpretation] The more you fall, the more you buy, which is the belief of giant whales in Bitcoin. A large number of hoarding coins at this stage also means a firm optimism about the future of Bitcoin.
3. Tether's net money printing in May 2021 is about 11 billion USDT
According to the Tokenview block explorer data, in May, 11 billion USDT banknotes were newly printed and 6,129 newly destroyed. Among them, the amount of banknotes printed on Ethereum is about 5 billion, and the amount of banknotes printed on TRON chain is about 6 billion. The newly printed banknotes flow into 5 exchanges in total, and the rankings are Binance-5.137 billion, Bitfinex-1.583 billion, Okex-079 million, Huobi-010 million, HitBTC-734,000. The current total market value of USDT has exceeded 62.7 billion US dollars.
[Interpretation] In May 2021, USDT printed 11 billion banknotes, while in May 2020 the data was only 2.5 billion, a year-on-year increase of 440%; USDC printed 8.3 billion new banknotes in May, and the data in May 2020 It was 13 million pieces, a year-on-year increase of 63800%. The rapid issuance of USD stablecoins has injected strong liquidity into the encryption market.
4. Report: In the past week, the crypto market saw $74 million in institutional capital inflows
The CoinShares report shows that in the past week, the crypto market saw an institutional inflow of $74 million, and more than 63% of the institutional funds flowed into ETH, a total of $46.8 million. ADA ($5.2 million), XRP ($4.5 million) and DOT ($3.8 million) also saw significant inflows. BTC has outflows, and the outflow is about 4 million US dollars.
[Interpretation] Many indicators on the chain show that the future of Bitcoin is optimistic. For example, Glassnode data shows that the current selling pressure of Bitcoin holders on Bitcoin is at the lowest level since November last year.
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3. Polkadot/DeFi/Layer2 Dynamics
1. Kusama has launched the first public welfare parachain Statemine
According to PolkaWorld news, the parachain Shell has been officially upgraded to the Statemine asset parachain, which means that the Kusama network has officially launched the first public welfare parachain statemine, and it is currently running stably. According to Cao Yin, through this public welfare parachain, mainnet tokens, such as USDT, can be issued directly on Polkadot.
According to nansen data, on June 2, Polygon hit a new high with 66,837 active addresses; in terms of the number of transactions, Polygon completed 6,609,041 transactions in a single day, which is 502.9% of Ethereum. Whether it is the number of daily active addresses or the number of transactions, as a barometer of Polygon's popularity, it is basically growing rapidly. Polygon has currently been integrated with many top application projects such as Sushiswap and Aave, and is good at user subsidies. So far, it has achieved considerable results.
4. Industry voice
[Interpretation] Although Polygon uses Plasma technology, it is not the most advanced Rollup, but Polygon is a layer-2 network that can be directly put into application. As the Polygon ecosystem continues to improve, network effects can make up for its shortcomings.
3. The income of the DeFi protocol in May hit a record high, exceeding 370 million US dollars
Monthly revenues for Ethereum-based DeFi protocols reached an all-time high of $371.6 million in May, according to data compiled by The Block. Uniswap topped the list that month, accounting for 41.4% of the total monthly revenue of DeFi protocols, reaching $153.9 million. This is followed by Sushiswap with 20.3%, followed by Aave with 16.6%. Most of the revenue goes to the suppliers who provide liquidity to the protocol.
[Interpretation] The so-called income generation mostly comes from the transaction fees of DEXs like Uniswap. Taking Uniswap as an example, users will be charged a handling fee (0.3%) during the transaction process as the income of liquidity providers (that is, users who deposit coins in the pool). However, since the transaction process will lead to changes in the number of two Tokens, liquidity providers may suffer impermanent losses in the case of large price changes.
4. Data: DEX trading volume doubled month-on-month in May, hitting a historical record, and PancakeSwap accounted for nearly half
According to data compiled by The Block, the trading volume of decentralized exchanges in May reached a record high of US$319.1 billion, a month-on-month increase of 97.85%. Among them, PancakeSwap accounted for 49%, reaching US$156.48 billion; Uniswap's total transaction volume accounted for 26%, reaching US$83.14 billion, of which V3 accounted for 7.5% of May's transaction volume, reaching US$24.03 billion; SushiSwap accounted for 8.1%, reaching US$25.93 billion ; 0x accounted for 5%, reaching $16.18 billion. In addition, the proportion of trading volume on decentralized exchanges and centralized exchanges is also on the rise, accounting for 15.08% in May.
[Interpretation] In the future, the relationship between DEX and CEX will be symbiotic coexistence. CEX will continue to innovate under the all-round "encirclement and suppression" of DEX, while DEX will continue to develop under the general trend of DeFi. Businesses include derivatives transactions, insurance, games wait.
first level title
4. Industry voice
1. Wall Street analyst: Bitcoin will soar 500% this year
According to dailyhodl, on May 31, Wall Street financial analyst and Bitcoin supporter Max Keizer said in an interview with The Wolf of All Streets podcast that a large number of money printing and new signs of inflation will force companies to buy more and more BTC this year. . He also said that Bitcoin will soar 500% this year as the cash tsunami returns to crypto.
[Interpretation] BTC is about 180,000 U.S. dollars after a 5-fold increase in the current price. Whether the price of Bitcoin can reach this price remains to be seen.
