Weekly DeFi Digest #3 Sep 21 — Sep 27, 2020
- DeFi-market capitalization exceeded $10 billion.
- Pantera Capital announces 100% profits on the background of DeFi hype.
- Due to the growth of transactions number in the Ethereum network, the gas price has skyrocketed.
DeFi hype does not stop. In today’s digest, we will talk about what has happened in the field of decentralized finances and how token rates have changed over the past week.
DeFi sector capitalization exceeded $10 billion
The DeFi market capitalization reached a new absolute maximum last week, breaking the $10 billion mark for the first time. DeFi platforms continue to compete fiercely in terms of the number of blocked Ethereum (ETH) tokens.
Last week, MakerDAO entered the game again, taking a leading position in terms of capitalization, reaching almost $2 billion and removing the former leader of Uniswap (UNI) from the throne, and its dominance in the decentralized market was 17.99%. It became known that MakerDAO will not pay victims of “The Black Thursday” — so the community voted on Tuesday. Recall that on Thursday, March 12, due to a breakdown in the protocol logic, investors lost about $8.3 million. The DAI cryptocurrency exchange rate has returned to a stable state and currently stands at $1.01.
Pantera Capital, one of the largest and most popular crypto funds investing in promising tokens, reported 100% profit last month. The reason for this was the decentralized finance boom. Among the DeFi tokens listed by the crypto fund are projects such as Yearn.Finance (YFI), Polkadot (DOT), Ampleforth (AMPL), and Terra (LUNA).
Due to the high demand for DeFi products, the Ethereum network is overloaded and cannot cope with the increased flow of transactions. The Ethereum blockchain can only process up to 15 transactions per second. As a result, the average transaction cost for the first time in the history of the cryptocurrency exceeded $10 and reached $14 at its peak. Previously, until July 2020, the average cost of ETH transactions rarely exceeded $1. This forced DeFi projects to integrate second-level (L2) blockchain solutions to make the network scalable and more resilient to overloads. On September 24, the Synthetix protocol has already updated the platform to a test version of L2, capable of providing up to 2000 transactions per second.
DeFi projects capitalization:
1. Uniswap $2.07B (+0.0%)
2. Maker (MKR) $1.93B (+7.2%)
3. Aave (LEND) $1.32B (+18.9%)
4. Curve Finance (CRV) $1.26B (-3.2%)
5. WBTC $844.30M (+16.8%)
Total DeFi capitalization: $11.06B (+13.2%)
DeFi Gainers and Losers
↑ Cream (CREAM) — 55.9%
↑ Uniswap (UNI) — 44.5%
↑ Hakka Finance (HAKKA) — 28.4%
↑ xDAI Stake — STAKE
↑ iETH (IETH) — 13.6%
Earlier on September 20, Cream Finance (CREAM) burned 67.5% of the total tokens supply . The name of the platform is quite symbolic, since the platform removes all the cream from the DeFi sector, providing loans for all blockchain networks.
Uniswap (UNI) is the leading AMM on the market and one of the largest protocols by market capitalization. Mask Network recently created a widget that allows Twitter users to exchange tokens for Uniswap without ever leaving the platform.
↓ Akropolis Delphi (ADEL) — 52.3%
↓ Swerve (SWRV) — 50.8%
↓ bZx Vesting Token (VBZRX) — 50.8%
↓ Balancer (BAL) — 32.1%
↓ Force Protocol (FOR) — 31.0%
Well-known Crypto.com platform added the SWRV token to its DeFi Swap service, allowing users to exchange and earn revenue by providing liquidity. SWRV tokens can be exchanged for UNI, YFI, WETH, USDT, DAI, and others.
Ocean Protocol (OCEAN) has teamed up with Balancer (BAL) to create the first fair blockchain market for exchanging data for tokens. Despite this, the price of the BAL token has decreased by almost a third in a week.
Stay updated and be part of the new digital economy. See you next week!