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.
A few weeks ago, I shared my first post on algorithmic stablecoins highlighting the key characteristics that made such projects interesting in my eyes. In this piece, we’ll go deeper into the topics, with a comparative analysis of the two main models: the Basis model and the ESD model.
DeFi has grown tremendously over the past year, partly thanks to the appearance of more streamlined investment products such as Yearn’s or Harvest’s vaults. Thanks to their architecture, they facilitate the mutualization of capital which enables smaller yet profitable investments on money markets and other DeFi services like Curve or SushiSwap.
Remember when we used to talk of a “post-covid world”? It’s funny to see how the expression quickly stopped being used as people realized the social order of the “new” world would be as nonsensical and wasteful as the previous.
Yet, the phrase had the merit to stress the role of the pandemic which brought so much stress on our social structures that it resulted in twenty years of “progress” packed into one.