Solana DeFi Cambrian Explosion? What other potential tracks and projects are worthy of attention in the future?

Original title: "Coming at you live from goblin town》

Original author: knower

Original compilation: Eva, the chain catcher

Original compilation: Eva, the chain catcher

The recent market is not optimistic. Instead of examining why these damned tokens are going through price purgatory, I think it would be better to look at some of the more promising uses of cryptocurrencies. A lot of great things have happened in the various fields of cryptocurrency, despite some bullshit and sell-offs. I'm more of a "glass half full" kind of person, which makes it easier for me to see the positives even as our beloved token gets battered by a sea of ​​red. Maybe it's just my opinion, but I find it hard to be bearish on cryptocurrencies over a long period of time.

I've been in it for a long time.About a month ago, I wrote an article similar to this, whichis the link

. Not only is watching potential projects launched and coming soon a great distraction from price action, it can also give you a little "aLpHa" as your net worth plummets in real time, 24 hours a day, seven days a week in this way.

• As a brief disclaimer, I represent holding some of these tokens, this is not intended as financial advice. I just love these tokens. Some of these may be low caps, I don't endorse them, I generally try to avoid getting caught in a Ponzi scheme, so invest with caution. This article is meant to be an explanation, and I don't want you to break the bank on the chase. If you are lazy and don't want to read the rest of this article, I will give a short summary and omit some topics so that you will be motivated to read the whole article. If you don't want to be spoiled, cover your eyes and skip to the next section.

• It is more likely that Optimism will release a token soon, which will kick off the inevitable L2 season. If you haven't already, prepare accordingly. Will expand on this if you want to read on.

• Cross-chain bridges have become a very hot topic, with protocols like Synapse and LayerZero making up a large portion of the discussion in this space. As the TVL and DAU of more and more blockchains continue to grow, bridging solutions are becoming increasingly important to decoupling cryptocurrencies from their decentralized liquidity woes. There are also a few new bridging and blockchain interoperability solutions popping up every week, so be prepared for a slight oversaturation in the coming months.

• Sudoswap is the darling of cryptocurrencies, providing utility for NFT transactions (liquidity) and building a bridge between DeFi and NFT. Jpeg'd is pretty cool too, and there's even a new index of NFT-related tokens on the market, which I think is a nice touch.

• Despite the number of absolutely stupidly high FDV altcoins, DeFi on Solana looks more promising over time. Protocols like Drift and Zeta are taking the lead.

• Alchemix V2 should be a pretty solid upgrade for DeFi blue chips. While the token has experienced brutal "down, not up" price action since its inception, ALCX could be a good bet if you want to be a long-term beaten winner. There are some others like CVX, YFI and AAVE, which I will discuss later from different angles.

• NFTs have seen increasing trading volumes recently, with projects like Moonbirds and Miladys leading the way. I'm still not sure about NFTs in their final form, but trading these digital pixels is delightful, and PFPs can be very tempting at times. Perhaps it might be a safe bet to hold blue-chip NFTs for the rest of the year, I've been told that people prefer art and collectibles to tokens.

• I'm increasingly optimistic about the future of GameFi, but extremely dissatisfied with the current state of the industry. I'd like to write a GameFi paper for Substack at some point with some fascinating interesting ideas and more complex models for these protocols. Until then, we'll have to wait and see who wins this crowded game.

• Cryptocurrency infrastructure can be a very overlooked industry, and this article from Zee Prime Capital provides a great introduction for anyone as clueless as I am on the topic.

• As you probably know, I'm a big fan of on-chain derivatives. A large number of new agreements have emerged, all trying to seize the biggest pie of derivatives. The jury is still out on who will take it all, and I'm afraid the ultimate on-chain derivatives juggernaut isn't in the room with us yet. If you want to dig more into this industry, be prepared not to lose your mind for the amount of agreements and level of analysis you have to undertake.

Without further ado, now is the time to take a look at everything that has happened in the cryptocurrency space over the past few weeks. I may have missed something important, so feel free to drop me a note or comment if you want to hear my thoughts on anything else.

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Solana DeFi Cambrian Explosion

All of this together creates a more cohesive, functional and innovative DeFi ecosystem for Solana. Whether it's perps, automated investment strategies, structured products or lending, I think all of these offer something of value. Since digging into these protocols, I have come to the conclusion that the top 3 chains in DeFi are: Ethereum, Solana, and Avalanche. If more people grab these protocols and join them in hopes of earning tokens, I think we could see a renaissance for Solana. Be diligent.

Hackz

Unfortunately, last week the Beanstalk protocol was hacked, causing over $180 million in damages if the numbers I've seen are accurate. As far as the perpetrators are concerned, they should have made $80 million, quite a bounty. Hacking is always difficult to talk about, and hopefully the protocol and those affected will somehow recover from this incident. I support you.

Assorted Bangers

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I decided to include this section to help sort through some of the items that didn't fit into that particular section. I've been working on protocols like UXD, Gearbox, Axelar, Yeti, Psyoptions, and Mars, but there's still some work to be done on their ins and outs.

Overall, I am bullish on cryptocurrencies. The market looks weird, the NASDAQ continues to be slaughtered, inflation continues to run rampant, NFTs keep rising, and you have to be a crazy person to get addicted to this and try to guess where it's going.@ZeePrimeCapIn terms of learning more about encryption infrastructure,recentthis article

Aura Finance is another cool protocol that had a brief moment of glory, driving the price of DeFi veteran currency BAL. Aura hopes to provide a protocol built on Balancer that can provide additional incentives for Balancer LPs and BAL stakers. The old Ponzi economics. As far as I know, there's no announcement yet, but I've been keeping an eye out for when it does. This may have appeared in the "blue chip" segment of DeFi, but it's still pretty speculative and more like a new development. I don't want to talk about Moonbirds, so let's not talk about that. Congratulations to all holders, unfortunately, I am not one of them.

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bridge season

Protocols such as Synapse and Layerzero are two of the most well-known protocols in the field of cross-chain communication, each with its own unique value proposition. Personally, I'm a big fan of Synapse and use it a lot. In the past few months, I have seen a lot of discussions about cross-chain bridges, new protocols and dApps based on LayerZero are increasing.

As far as SYN is concerned, the token has held up well. Synapse has been developing like crazy, and I've been very impressed with the team. With over $9 billion in transaction volume since launch, Synapse is an interesting current leader in the crypto space in my opinion. When I think about tokens for these protocols, I do have a voice in the back of my head that keeps telling me there may be a "cross-chain bridge season", although I have no reason to believe it will happen before the L2 season. Like I said before, with the implementation of scaling solutions for cross-chain communication, only a similar narrative will make sense; we just need to give it a little time and let the developers work.

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Near and Aurora

If you've followed some of my tweets over the past month, you probably know that I'm dismissive of NEAR's price action. Despite a huge ecosystem fund of roughly $800 million, rumors of algorithmic stability (USN) and the fact that NEAR appears undervalued by competitors like AVAX, LUNA and SOL, the token has not performed as many had hoped that's good.

Looking at the Near ecosystem, there are a few projects that stand out to me, mostly because of the general scarcity currently occupying the chain. Here are some good projects (note that I'm not talking about tokens, as tokens are messy and low caps can easily blow up): Trisolaris, Ref Finance, Flux Protocol, Spin, and Paras. In terms of practicality, Near could use a more complete product suite, but isn't that what Aurora is for? Assuming the market doesn't fall, I expect NEAR to do well in the third quarter of 2022. While I'm not currently holding a position, I'd be happy to get back into a long position once it's clear that NEAR has shaken off its toxic and diabolical price action.

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Rekt "blue chip"

If you know me, you know I love DeFi. No other field in the crypto space can match the level of innovation and entertainment that DeFi brings me every day. The tricky part of loving DeFi is that tokens don't really behave the way you want them to. Basically, DeFi has been in a bear market since its inception. Of course, individual coins can go up on their own, whether it’s CRV, SUSHI, OHM, or any other coin of the month, but when it comes to the sector, you’re better off putting your money elsewhere.

But hear me out.@divdotvcI discussed the possibility of a DeFi renaissance in my last two articles, quoting from

tweeted as a hope, trying to bring my dead positions back to life. The truth is, it won't happen for a while, but when it does, the upward momentum will slam the market.

think about it.

If you want to take advantage of these oversold tokens, I'll be keeping a close eye on the development of Tribe Turbo, Alchemix V2, and OlympusDAO's new range stabilization mechanism. There's a good chance these coins didn't bounce back and break out of the bad downtrend, but if the crypto community is good at one thing, it's definitely going higher and higher. So find the next Apple or Microsoft product on the chain before Blackrock beats you.

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P2E and M2E

I would be lying if I said that there is no opportunity for either of these platforms, although I do not hold any tokens. We have all seen the meteoric rise of GMT (Stepn), which topped out at around $3.6 a few days ago. The size of M2E can be huge, especially considering how many people around the world have entered the fitness field in recent years. While I don't think tokenized walking apps are sustainable, what do I know?

One of the more interesting parts of GameFi to me is implementing DeFi token economics into games. This could be a really cool way to grab two huge communities and throw them into the crypto world, as well as an interesting thought exercise. If you want to learn more about GameFi, I can't recommend it enough@chng_raymond。

Rooftop Collective

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An awesome trader fighting for financial freedom.@brentsketitmy good friend

All joking aside, Rooftop is one of the more "elite" deal groups in CT, with members including @salience_xbt、 @ Sathematical、 @ Awawat_Tradesand@badquant1and

wait. Although they are all better traders than me, maybe this helps me get accepted. Before that, I yelled at them from below with a megaphone.@HsakaTradesRooftop has been known to hate deal-rushers. Rooftop also despises NEAR's price action, making us immediate allies. smart wolf

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options

options

Where do I start with on-chain options? We all know how much retail investors love these leveraged financial products, and I can't wait for the day when we can fiddle with them on-chain, fully capable of losing all of our capital (and more). Protocols like Dopex, Opyn, Zeta, and Opium are some of the standouts, but as I said in TLDR (if you read it, I know I said skip it), I still think the time for disruption in the industry is already Mature. Many people know that the TVL of DeFi is about $200 billion, but the TVL of on-chain derivatives protocols is only 0.5% of that. Compared to the TradFi derivatives, these numbers are starkly different.

But I think the option vault is enough for now.

NFT + DeFi

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And don't even get me started on the potential of protocols like Sudoswap and JPEG'd. While it’s a harsh reality that most people hate NFTs, you can’t deny the possibility of a future where NFTs will be as ubiquitous as paying for coffee online. Of course, apes are ugly. Of course, punk gets old. Who cares about these projects anyway? Considering how many blatant money grabs, pimps, and shoddy 10k generating PFP collections are released every day, it's impossible to keep track of every new NFT item released. Does Fiverr have stock? You should probably check it out instead of listening to anything I've mentioned so far.

The combination of DeFi and NFTs has been accelerating, with Olympus and Sudoswap’s upcoming JPEG bond offering (soon please). I think NFTs have a bad taste in a lot of people's mouths, but I think they're pretty cool. Would you rather lose money on a token with no utility, or on a pretty picture? I know what I'm going to choose nine times out of ten.

When will the coins be issued?

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eternal armageddonWe all love contracts. On-chain options are still a year or two away from full efficiency and optimization, so contracts are where crypto can really relax and lose money. Whether you're using 5x leverage or 50x leverage, there's nothing like betting your entire net worth on some perpetual swaps. As far as decentralized contract platforms go, here are some standouts: GMX, dYdX, Drift, and Rage Trade. Yes, I may have missed a lot, but don't blame me. There are so many protocols for creating contracts, I'd rather stick to what I know. Some recent developments include GMX's, Drift's continued dominance on Solana and dYdX's plans for 100% decentralization (whatever that means). I also like Rage Trade because it's neglected, so no promises. Most of what I've researched has been forgotten, and I'd better try to pay some attention to the protocols instead of keeping them to myself.

Network spirituality

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After a brief surge to a low of 2 ETH, for better or worse, Miladys is back on the floor. Personally, I would not sell my Milady for less than 50 ETH. Not only do I love the art, but the Milady community is one of the most unique and engaging niches on Crypto Twitter. If you don't understand it now, you probably never will. As far as Urbit is concerned, I still need to set it up, but I'm looking forward to going down the rabbit hole.

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L2 Token

I've written about L2 in the past, and while little has changed, we've been lucky enough to receive amazing news about the "next chapter" of Optimism. I'm sure you can all guess what this means. I didn't expect it to happen so soon, even though it's been almost a year since the L2 airdrop rumors first popped up on my TL. With an almost imminent token from one of the more famous L2, we face a burning question: Who will release their token next?

Just as we saw Sushiswap vs Uniswap create a very interesting vampire attack dynamic in the summer of 2020, I and everyone else thought the same would happen. Imagine a scenario where Optimism releases tokens, the ecology explodes, people make a lot of money, TVL increases, and developers are happy. Why don't other L2s take advantage of this opportunity? By issuing tokens and stealing other L2 users, this will start a vampire war, which I am very much looking forward to.If I had to guess, I'd say Arbitrum is a close second, followed by zkSync and Starkware. However, I'm biased when I say that Arbitrum will follow in Optimism's footsteps because I'll probably receive a bigger airdrop from them than Optimism. For more on a possible "L2 season," check out the cleverfirst level title

structured products

structured products

As far as on-chain derivatives are concerned, structured products are currently king. The combination of AMMs, liquidity pools, and ridiculous levels of composability has opened the door for structured products to enter the crypto market, and it’s only going to get better. These protocols are relatively prominent: Pendle, Primitive, Ribbon, and Element.

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Summarize

Summarize