Why is ETH silent in the DeFi carnival?
Editor's Note: This article comes fromBlue Fox Notes (ID: lanhubiji), reprinted by Odaily with authorization.
Blue Fox Notes (ID: lanhubiji)
Blue Fox Notes (ID: lanhubiji)
Recently, it has been basically a feast of DeFi. From Kyber to Compound, a series of DeFi projects have emerged one after another, constantly breaking new highs. The overall market value of DeFi has exceeded 5.5 billion US dollars. This breakthrough is not only a breakthrough in its market value, but also a continuous increase in business volume.
image description
(Even for the sake of COMP, the total deposits and total loans of Compound increased several times within a week)
For example, the amount of locked assets of Compound was less than 100 million U.S. dollars a week ago, but now it has exceeded 500 million U.S. dollars, surpassing Maker to become the project with the largest amount of locked assets in DeFi.
image description
(The total amount of assets locked in Compound exceeds 500 million US dollars, source: DEFIPULSE)
This speed of development is somewhat magical. You know, DeFi has always spent a lot of effort to exceed the total asset lock-up of 1 billion US dollars. The previous breakthrough of 1 billion US dollars basically relied on the rise of ETH, but this time it broke through easily.
Stablecoin Pull Vs ETH Crowdfunding Pull
The crowdfunding token of the project in 2017 was ETH, which greatly stimulated the demand for ETH. After 2018, the ICO model basically failed and turned to the VC model. For most of the early participants in this mode, it is impossible to participate.
For example, Compound raised more than $30 million from VCs, less than a year after the last round of financing of $25 million, and now they hold tokens worth more than $500 million, with a return of more than 17 times in less than a year. Is this really a better model than ICO? For VCs, yes. Because only they can participate in the early days.
And the 2020 round has seen the most usage of stablecoins so far, not ETH. There are billions of dollars of stablecoins flowing on Ethereum. Curve’s stablecoin trading volume has remained high in the past two days. Its total transaction volume in 7 days reached 115 million US dollars, approaching Uniswap’s 224 million US dollars. Super other DEX.
image description
(DEX's seven-day trading volume ranking, source:duneanalytics)
The most profitable mining tokens on Compound are USDT and USDC, accounting for the vast majority of shares.
The opportunity of ETH is coming in Phase0Encryption cycle and value flowAt present, it will take some time before the full launch of phase 0 of ETH2.0. I don’t know if it will be at the end of August or before the end of the year. In any case, it is still under testing, so the temporary dormancy is understandable. Once the arrival of phase0, the arrival of PoS mortgage, and the subsequent arrival of EIP1559, the demand for ETH may far exceed the original demand of ICO. The subsequent feast may not be inferior to today's DeFi.
The two engines are still gathering strength
