Non-fungible tokens are attracting a lot of attention lately. On the one hand, the general public is scratching its head about the ever-rising records observed on flagship sales, now covered in the mainstream press1. On the other hand, artists still not initiated to blockchains realize the potential offered by disintermediation as well as the possibilities offered by the programmable nature of this new art form.
Today, I want to cover an essential topic for Ethereum and other blockchains and often misunderstood: “stable” assets, which track the price of a reference asset. Before looking at the different approaches to producing such an asset, we’ll first start with a higher level of analysis:
Money markets are at the heart of DeFi. From a high-level perspective, yes, they simply enable the borrowing and lending of various assets. Yet those functions are like the two primitive verbs of DeFi at the base of pretty much all use cases.
Yields are like fine wines, the secret lies in the brewing process. As DeFi is developing faster than ever, with now more than $ 50 billion of total value locked across all protocols, the yield offering is diversifying.
Our topic today strikes at the heart of this trend, with a solution offering a potentially instant payout for deposits on DeFi protocols like Yearn or Aave: APWine.
Despite launching barely a few weeks ago, BadgerDAO quickly grew into a DeFi powerhouse now hosting > $1.2B of assets farming. While I’ve quickly touched on Badger in previous articles or shows, I think it’s about time for a dedicated piece focusing on DIGG but not forgetting about its context.
I’ve shared my perspective on many DeFi protocols on this blog, but recently I realized I’ve never gone back to the basics: the DEXs. That’s precisely what we will do today, tackling the topic mostly by looking at value capture mechanisms.
AMM-based DEXs like Uniswap, Curve or SushiSwap all grew tremendously both in available liquidity and volume this year, and so did the fees they collected.