Weekly Market Review | TokenInsight
Weekly Market Review | TokenInsight

Hi, crypto communities,

We are delighted to provide you with our weekly review of the crypto market, beginning this week. We are very excited to work with CoinMarketCap to bring our research to the public. The review will be initially published on our website and the CMC blog.

If you have any questions or feedback, feel free to email us viaresearch@tokeninsight.com. We are happy to listen to any comments and provide the readers of CMC and TokenInsight with better content and analysis.

Getting Back to the ‘Old Times’

Bitcoin’s price reached its highest level since the end of 2017 this Wednesday: $18,400, which is just less than $1,500 on the way to reaching the historical highest price. After reaching $18,400, Bitcoin suffered a decline and then fluctuated around $18,000. …

2020 DeFi Industry Research Report | TokenInsight
2020 DeFi Industry Research Report | TokenInsight

Summary and Outlook

Q3 has led us to a world where different projects were working together, driving the concept of “money legos” to achieve its potential.

The Rise of DeFi in Q3

In the wave of the rise of DeFi, total value locked (TVL) has increased by 500%, thanks to the popularization of yield farming. Price for DeFi assets soared while the congestion on Ethereum pushed the transaction fee to all-time high. The issuance and distribution of governance tokens through liquidity mining reward the participants not only economic incentives but also the ruling power, and more voices have been heard from the community.

Automated Market Maker (AMM) took the lead and drove the total trading volume of Decentralized Exchange (DEX) to $47 billion. Uniswap has shown a dominant place with QoQ growth in trading volume reached 2000%, presenting competitive trading activeness compared to some top centralized exchanges. …

2020 Q3 Cryptocurrency Exchange Industry Leaders‘ Opinions | TokenInsight
2020 Q3 Cryptocurrency Exchange Industry Leaders‘ Opinions | TokenInsight

Overview

According to “2020 Q3 cryptocurrency spot/derivative exchange industry research report” released by TokenInsight Research, the total trading volume decreased by 26.5% in the spot market, and increased by 25.1% in the contract market, compared to the previous quarter.

TokenInsight Research conducted statistics on user changes, user distribution, user types, and leverage types, based on the interview with nearly 30 exchanges in the industry. Meanwhile, the research team collected multiple attitudes towards market highlights, industry dynamics, and futures & options market.

In general, cryptocurrency has experienced the extreme crash like “3.12”, and external factors like the spread of Covid-19 exacerbated global economic uncertainty. Looking back to the Q3, the rise of DeFi is undoubtedly the biggest highlight in the industry. Decentralized exchanges have grown rapidly, meanwhile, DeFi fever contributed a certain amount of traffic to centralized exchanges.

TokenInsight has recently published the rating report for Injective,which has received a exchange rating of B with a outlook Positive.

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TokenInsight has recently published the rating report for Mirror World Network,which has received a exchange rating of CCC with a outlook Positive.

Mirror World Network Rating Raport | TokenInsight
Mirror World Network Rating Raport | TokenInsight
2020 Q3 Cryptocurrency Derivatives Exchange Industry Report | TokenInsight
2020 Q3 Cryptocurrency Derivatives Exchange Industry Report | TokenInsight

Executive Summary

1. $2.7trillion In the third quarter of 2020, TokenInsight obtained data from 42 exchanges in the derivatives industry. The transaction volume of the digital asset derivatives market reported $2.7 trillion, an increase of 25.1% from the previous quarter, and a year-on-year increase of 159.4% from the third quarter of 2019.

2. Elastic The trading volume of derivatives continues to rise, and the year-to-date growth rate is 4.35 times that of the spot market year-to-date, with higher flexibility. At the same time, the exchanges continue to enrich products and functions.

3. Risk In September, the trading volume and the market open interest fell together. The withdrawal of funds may be a precursor to subsequent market changes. …

2020 Q3 Cryptocurrency Spot Exchange Industry Report | TokenInsight
2020 Q3 Cryptocurrency Spot Exchange Industry Report | TokenInsight

Executive Summary

1. DeFi? This quarter BTC transaction volume fell to 31.4% of the total spot transaction volume, which was a decrease of about 8% compared to 39.6% in the previous quarter. TokenInsight’s analysis believes that the decline in the proportion of BTC transaction volume is related to the emergence of hot sectors such as DeFi and Polkadot in this quarter.

2. Abnormal The authenticity of transaction volume has always been one of the pain points of the industry. According to TokenInsight Research, this quarter, some assets of some exchanges showed abnormal trading volume performance on a few specific days.

3. Million The visit traffic of the top 20 countries or regions in the spot market visitor output exceeded 1 million, and those countries with smaller share accounted for 44% of the visits. …

TokenInsight has recently published the rating report for eToroX,which has received a exchange rating of BB with a stable outlook.

eToroX Exchange Rating Report | TokenInsight
eToroX Exchange Rating Report | TokenInsight

ADVANTAGES

① eToroX exchange has a relatively solid team and ecosystem construction. Core team members’ backgrounds are professional and they have more than 8 years of experience in the fnance and blockchain industry;

② eToroX exchange has complete security measures, and is under a strict regulation with a license from Gibraltar;

③ eToroX is a part of eToro Group, which has been operating 13 years in the traditional fnancial industry and has a good reputation.

④ eToroX’s fee schedule is unique and a default 0.05% fee structure is attractive to low-volume trading users. …

TokenInsight has recently published the rating report for Velo, which has received a project rating of BB with a outlook stable.

Velo Rating Report | TokenInsight
Velo Rating Report | TokenInsight

Outlook

The key partner company, Lightnet, can provide a reliable support to Velo. However, there are many projects performing value transfer and payment transactions, and the market is relatively competitive. As a project in such an industry, the future development of Velo is closely related to the extent to which it expands its ecosystem network.

Conclusion

Based on the above information, TokenInsight gives Velo a rating of BB, with a stable outlook.

Velo Rating Report | TokenInsight
Velo Rating Report | TokenInsight

Executive Summary

Advantages:

① The project is clearly focused on application scenarios and market needs, and thus has a fairly good probability for future popularization. …

Exchange Token Valuation Report | TokenInsight
Exchange Token Valuation Report | TokenInsight
Exchange Token Valuation Report | TokenInsight

Overview

In the cryptocurrency industry, it is always diffcult to properly provide accurate valuations for digital assets. Currently, there exists no uniform industry standard or completely reliable valuation method to discover the true value of digital assets. A lot of cryptocurrency exchanges issued their platform tokens which directly relate to their platform. The exchange token (exchange based token), as a unique category of digital assets, can be fairly evaluated due to inherent properties of “stable currency fow”, allowing the foundation of a fair price.

Correct and reliable analysis of the digital asset industry can provide intuition for the overall industry. According to data provided by TokenInsight, we have found that the transaction amount on exchanges is highly correlated to the market, directly affecting the income of each specifc exchange. …

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TokenInsight

Leading Data&Tech-driven Blockchain Financial Institution.

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