DeFi in Ether: $28 in DeFi, 1 day til the Merge, Uniswap Just in Time liquidity research, Gnosis Safe rebranded as Safe, Compound v2 cETH market restored, 0x API integration is now live on Bancor, Nominations for the next epoch’s Synthetix Councils started, 1inch Wallet users to be rewarded with OP, Ren development update, and more!
Biweekly update on the Ethereum DeFi ecosystem vol.60, 30th August — 13th September
TL;DR
- $28B in DeFi this week, currently at ~ $28.06B, with Maker dominance 30.62%.
- Countdown to the Merge: TTD predicted September 14.
- The Kiln test net will be shut down this week, with the Ropsten and Rinkeby testnets to follow later down the road.
- Latest Aave News: Spotlight on Tranzo, New Financial Reports from Llama, and Analytics from Messari, Chaos Labs & Gauntlet. AIPs live for Retroactive v3 Funding & Adding stMATIC to Polygon v3. Follow the Aave governance forum.
- Compound v2 cETH market restored after reverting to old price oracle. Compound Proposals 124 ‘Initialize Compound III COMP Distribution’, 123 ‘Risk Parameter Changes for FEI’, and 122 ‘cETH Risk Mitigation’ have passed successfully. Find the latest Compound proposals here.
- mStable Governance Updates — 12 September 2022 are out. Check out mStable’s latest proposals here.
- Yearn is cutting management fees on key vaults like ETH, USDC, DAI, and more.
- Gnosis Chain Weekly · 09 September 2022: DappCon runs from the 12th to the 14th of September at Radialsystem, Berlin. Gnosis Chain currently has two clients: Nethermind + OpenEthereum. Post-merge Gnosis Chain’s main client will be Nethermind with Geth and Erigon coming online in the near future to increase client diversity. Teams from Commons Stack and TEC joined the GBC validator community on the Gnosis -Chain Discord this week for a community demo about the Praise Reward System. Gnosis Safe rebranded as Safe last week. The Gnosis Chain doc site is live.
- Staging Testnet Migration to Goerli: At 2022–09–12 15:00 UTC, the team turned down the dYdX exchange services running on the Ropsten Testnet. Trading Leagues Update: Starting Season 34, on September 13th, 2022, USDC rewards will no longer be included in the Trading Leagues prize pool. Trading Leagues will still remain available for all users as will the distribution of Hedgie prizes. Anatomy of a Trade with CMS: Episode 3 of the dYdX podcast: Depth and Spread is live. In this episode, the hosts sat down with Dan Matuszewski, Founder of CMS Holdings.
- How Oracles can be Optimistic with Hart Lambur of UMA. UMA Building with the Optimistic Oracle: Workshop. Connect with UMA and earn prizes at ETHOnline hackathon.
- Uniswap Just in Time liquidity research: Did you know JIT transactions account for < 1% of Uniswap v3’s total liquidity provided? Learn more in the latest research paper. What The Merge Means for the Uniswap Protocol. The latest Uniswap proposals are here.
- Enzyme has partnered with Polygon DAO to offer vouchers for projects building on Polygon. Idle finance is now live on Enzyme’s Polygon deployment. Avantgarde, Reimagined: Discover how Avantgarde’s new vision and branding will help their clients DeFi gravity. Check out MFP: Enzyme Funding Proposals here.
- Nexus Mutual Newsletter | 7 September 2022. How Celsius Custody Cover holders can prepare for claims filing: If you held an active Celsius Custody Cover on 13 June 2022 when Celsius first halted withdrawals, you’ll be able to file a claim starting on Monday, 12 September 2022. If you couldn’t join the team on the Community call this week, you can listen to this week’s community call recording on the Nexus Mutual YouTube channel. Community proposals of these weeks. Nexus Mutual Integrates Chainlink Proof Of Reserve.
- 1inch Monthly Digest: August. The 1inch Wallet security explained. 1inch Wallet users to be rewarded with OP tokens: OP tokens will be available to claim by the 1inch Wallet’s most active and regular users.
- The Benefits of Multi-Token Pools: Balancer Multi-Token Pools offer Liquidity Providers a greater degree of control compared to traditional 50/50 Pools. veBAL Pt.2 — Bribing and BIP19’s Free Bribes: Part two of veBAL series dives into bribing, BIP19’s free bribes, and how protocols use voting incentives. Messari presents the new report of Balancer LP annualized yield by chain ETH, Polygon and Arbitrum. Read more here. The latest Balancer Report is here.
- 0x API Integration is now live on Bancor. Bancor Simulator Live Tutorials: Fundamentals of Bancor V3 Simulations. Bancor Update — Week of Sept 5, 2022. Two proposals regarding the Ethereum Merge have recently been voted on by the Bancor DAO: Proposal: Determine action in the event of a PoW Fork and Proposal: Pause Bancor during The Merge — both failed. Get involved in Bancor DAO at gov.bancor.network.
- KyberSwap Product Update: Trading contest UX improvements. Interim Update: Hack is removed, KyberSwap is secure, & next steps. Notice of Exploit of KyberSwap Frontend — All funds will be reimbursed. Find out all Kyber proposals here. Check them out on GitHub.
- Synthetix Elections — Nominations start Sep 10th. New Synthetix Perp Futures Market: sXMR: XMR Perpetual market will join the growing list of supported cryptocurrencies available for leverage trading through Synthetix Perpetual Futures.. Synthetix Perp Futures Markets: BNB, DOGE, and DEBT-Ratio. Synthetix and the Merge. A dive into the Synthetix Ecosystem on Optimism.
- Ren Development Update | August 2022: The month of August has been historic for Ren with the announcement of Ren 2.0 and the progress made since then, which will take the protocol to the next level in terms of security, efficiency, and developer tooling. The first Cosmos chain — Kava — was also integrated into Ren, and work was begun to support more non-Ethereum stablecoins, which will open up more bridge-routing pathways and support more use cases. Finally, the process to start auditing the upgraded Ren gateway contracts has begun. This will ultimately enable the earliest assets such as renBTC to migrate to the new version that supports the burn-and-mint functionality, allowing direct any-to-any-chain bridging for Bitcoin, Dogecoin, and more.
- Gensler of the SEC has stated that they’ve been ‘clear’ on crypto.
- Coinbase proposal to custody USDC from Maker and pay interest
- Coinbase published an article analyzing the Celer Bridge incident.
- Coinbase has also funded a lawsuit that challenges the Treasury’s decision to sanction Tornado Cash.
- And more!
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Total Value Locked in DeFi
$28B in DeFi this week, currently at ~ $28.06B, with Maker dominance 30.62%.
Top DeFi Tokens by Market Capitalization
Total Market Cap: $92,930,729,087
DeFi Aggregators
mStable:
- mStable Governance Updates — 12 September 2022 are out.
- Check out mStable’s latest proposals here.
Yearn Finance:
- Yearn is cutting management fees on key vaults like ETH, USDC, DAI, and more.
- Gearbox V2 AllowedList Alpha: Yearning For More… APY
- Rebranding Yearn, consistency from chaos.
Lending
Aave:
- Latest Aave News: Spotlight on Tranzo, New Financial Reports from Llama, and Analytics from Messari, Chaos Labs & Gauntlet. AIPs live for Retroactive v3 Funding & Adding stMATIC to Polygon v3.
- Pause ETH borrowing. After a successful on-chain vote, ETH borrowing has been paused ahead of the Merge.
- Retroactive funding for v3. The on-chain vote to retroactively fund Aave Companies for developing v3 is live for voting.
- Llama shared their August financial reports including a deep dive into revenue generated from the ETH reserve and other comprehensive metrics.
- Messari shared their first weekly report that outlines key analytics and insights from the Aave ecosystem.
- Follow the Aave governance forum.
Compound:
- Compound v2 cETH market restored after reverting to old price oracle.
- Compound Proposals 124 ‘Initialize Compound III COMP Distribution’, 123 ‘Risk Parameter Changes for FEI’, and 122 ‘cETH Risk Mitigation’ have passed successfully.
- Find the latest Compound proposals here.
Gnosis Chain (formerly xDai Chain):
-DappCon runs from the 12th to the 14th of September at Radialsystem, Berlin.
-Gnosis Chain currently has two clients: Nethermind + OpenEthereum. Post-merge Gnosis Chain’s main client will be Nethermind with Geth and Erigon coming online in the near future to increase client diversity.
-Teams from Commons Stack and TEC joined the GBC validator community on the Gnosis -Chain Discord this week for a community demo about the Praise Reward System.
-Gnosis Safe rebranded as Safe last week.
-The Gnosis Chain doc site is live.
Derivatives, Swaps and Prediction Markets
dYdX:
- Staging Testnet Migration to Goerli: At 2022–09–12 15:00 UTC, the team turned down the dYdX exchange services running on the Ropsten Testnet.
- Trading Leagues Update: Starting Season 34, on September 13th, 2022, USDC rewards will no longer be included in the Trading Leagues prize pool. Trading Leagues will still remain available for all users as will the distribution of Hedgie prizes.
- Anatomy of a Trade with CMS: Episode 3 of the dYdX podcast: Depth and Spread is live. In this episode, the hosts sat down with Dan Matuszewski, Founder of CMS Holdings.
UMA:
- How Oracles can be Optimistic with Hart Lambur of UMA
- UMA Building with the Optimistic Oracle: Workshop.
- Connect with UMA and earn prizes at ETHOnline hackathon
Fund Management
Enzyme Finance:
- Enzyme has partnered with Polygon DAO to offer vouchers for projects building on Polygon.
- Idle finance is now live on Enzyme’s Polygon deployment.
- Avantgarde, Reimagined: Discover how Avantgarde’s new vision and branding will help their clients DeFi gravity.
- Check out MFP: Enzyme Funding Proposals here.
Securities, Insurance
Nexus Mutual:
- Nexus Mutual Newsletter | 7 September 2022
- How Celsius Custody Cover holders can prepare for claims filing: If you held an active Celsius Custody Cover on 13 June 2022 when Celsius first halted withdrawals, you’ll be able to file a claim starting on Monday, 12 September 2022.
- If you couldn’t join the team on the Community call this week, you can listen to this week’s community call recording on the Nexus Mutual YouTube channel.
- Community proposals of these weeks.
- Nexus Mutual Integrates Chainlink Proof Of Reserve
Liquidity Relays
1inch:
- 1inch Monthly Digest: August
- The 1inch Wallet security explained
- 1inch Wallet users to be rewarded with OP tokens: OP tokens will be available to claim by the 1inch Wallet’s most active and regular users.
- The Ethereum Merge: what to expect? In this post, the meaning and ramifications of Ethereum’s upcoming switch from the PoW consensus algorithm to PoS are discussed.
Balancer:
- The Benefits of Multi-Token Pools: Balancer Multi-Token Pools offer Liquidity Providers a greater degree of control compared to traditional 50/50 Pools.
- veBAL Pt.2 — Bribing and BIP19’s Free Bribes: Part two of veBAL series dives into bribing, BIP19’s free bribes, and how protocols use voting incentives.
- Messari presents the new report of Balancer LP annualized yield by chain ETH, Polygon and Arbitrum. Read more here.
- The latest Balancer Report is here.
Bancor:
- 0x API Integration is now live on Bancor
- Bancor Simulator Live Tutorials: Fundamentals of Bancor V3 Simulations
- Bancor Update — Week of Sept 5, 2022
- Two proposals regarding the Ethereum Merge have recently been voted on by the Bancor DAO:
- Proposal: Determine action in the event of a PoW Fork — Failed
- Proposal: Pause Bancor during The Merge — Failed
- Get involved in Bancor DAO at gov.bancor.network
Kyber:
- KyberSwap Product Update: Trading contest UX improvements.
- Interim Update: Hack is removed, KyberSwap is secure, & next steps.
- Notice of Exploit of KyberSwap Frontend — All funds will be reimbursed
- Find out all Kyber proposals here. Check them out on GitHub.
Loopring:
- Lido Staked ETH on Loopring L2
- As Loopring L2 continues to get a big influx of new users each week, please be sure to check out their knowledge base for all things Loopring L2.
Uniswap:
- Uniswap Just in Time liquidity research: Did you know JIT transactions account for < 1% of Uniswap v3’s total liquidity provided? Learn more in the latest research paper.
- What The Merge Means for the Uniswap Protocol
- The latest Uniswap proposals are here.
Payments Networks
Raiden Network:
- Raiden Tech AMA will start in a few hours
- Anyone who runs a Raiden node can collect mediation fees. They incentivize node runners to contribute to the network’s overall health. Read more here.
Synthetix:
- Synthetix Elections — Nominations start Sep 10th
- New Synthetix Perp Futures Market: sXMR: XMR Perpetual market will join the growing list of supported cryptocurrencies available for leverage trading through Synthetix Perpetual Futures.
- New Synthetix Perp Futures Markets: BNB, DOGE, and DEBT-Ratio
- Synthetix and the Merge
- A dive into the Synthetix Ecosystem on Optimism
Privacy protocols for DeFi
Ren protocol:
- Ren Development Update | August 2022: The month of August has been historic for Ren with the announcement of Ren 2.0 and the progress made since then, which will take the protocol to the next level in terms of security, efficiency, and developer tooling. The first Cosmos chain — Kava — was also integrated into Ren, and work was begun to support more non-Ethereum stablecoins, which will open up more bridge routing pathways and support more use-cases. Finally, the process to begin auditing the upgraded Ren gateway contracts has begun. This will ultimately enable the earliest assets such as renBTC to migrate to the new version that supports the burn-and-mint functionality, allowing direct any-to-any-chain bridging for Bitcoin, Dogecoin and more.
More updates
- Countdown to the Merge: TTD predicted September 14 by Bordel & 797.
- The Kiln test net will be shut down this week, with the Ropsten and Rinkeby testnets to follow later down the road.
- Gensler of the SEC has stated that they’ve been ‘clear’ on crypto.
- Coinbase proposal to custody USDC from Maker and pay interest
- Coinbase published an article analyzing the Celer Bridge incident.
- Coinbase has also funded a lawsuit that challenges the Treasury’s decision to sanction Tornado Cash.
This is not financial advice.
Subscribe to ‘Defi in Ether’ newsletter ⬙
For more updates, join Paradigm o Medium, Twitter, Telegram, Telegram Chat, LinkedIn, and Reddit.
