Hello Defiers! Here’s what we’re covering today,
and more :)
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🙌 Together with:
Kraken, consistently rated the best and most secure cryptocurrency exchange, which can get you from fiat to DeFi
Aave, an open-source and non-custodial liquidity protocol where users can earn interest on deposits and borrow assets.
The DeFi Pulse Index, a capitalization-weighted index that tracks the performance of selected DeFi assets across the market.
DeFi Saver is an advanced one-stop management solution dashboard for decentralized finance protocols, including MakerDAO and Compound. It offers options to create instantly leveraged positions in DeFi lending protocols, as well as tools to leverage, deleverage or fully close down a position in 1-transaction. It also includes loan shifting or refinancing tools for anyone looking to move their position to a different protocol or change their collateral or debt asset. Watch our tutorial here 👇
This is a weekly tutorial on the most compelling opportunities to consider yield farming, written by our friend DeFi Dad, an advisor to the Defiant and the Chief DeFi Officer of Zapper. The goal is to expose more Defiant readers to new DeFi applications and their associated liquidity mining programs.
Background on Protocol: When you use an iPhone, one of the most common features is push notifications. Push notifications instantly draw your attention back to your phone. It might be a new email, a new text message, or a reminder from your favorite app to check in. Research shows push notifications can boost app engagement by 88%, with 66% of users on average returning to that app when push notifications are enabled. For users receiving an in-device notification, app retention rates can increase 3-10x.
So what happens when you nudge DeFi degens about a new yield farm earning 500% APY or you mention an upcoming governance vote or you warn them about a protocol hack? We will soon find out when the Ethereum Push Notification Service launches on Mainnet Ethereum in Q3 / Q4 2021!
EPNS will be another crucial part of the DeFi builder stack much like The Graph. Push notifications at the protocol level means that DeFi users will become accustomed to reliable instant communications with protocol teams. With EPNS, you can message DeFi participants based on their wallet address and nothing else. Thus, you preserve their right to privacy by not forcing them to dox themselves while establishing a more reliable infrastructure for communications.
EPNS requires its users to opt into “channels” with an Ethereum wallet address. Once you opt in, the channel owner (ie DeFi protocols) can alert you about a variety of things including:
Exploits and hacks
Liquidation warnings (ie on Aave or Compound)
Loan expiry dates
New product announcements
Crucial governance votes
Instructions for token migrations
New yield farming programs and end dates
The list of possibilities is endless. We live in a world where we invest our life savings into applications that have no direct way of reaching us. Can you imagine opening a home mortgage without an email or phone number to be contacted in case of emergency? With over $100B invested in DeFi protocols, does it really make sense that we should have no direct line of communication between protocols and investors while maintaining the right to privacy?
The answer is clearly no. DeFi is ready to move beyond centralized, indirect communication channels like Twitter, Discord, and Telegram to a Web3 native tool like EPNS.
Opportunity: To distribute the governance token PUSH, EPNS offers liquidity mining rewards currently at a rate of 131% APR for staking PUSH or 221% APR for providing liquidity to the PUSH / ETH LP in Uniswap v2. All liquidity mining rewards are issued in weekly epochs which complete every Wednesday at 8:30 am UTC. One must remain in either staking pool until the epoch completes or else they forfeit their accrued PUSH rewards.
Time to Complete: 5 mins if paying the recommended FAST gas price on gasnow.org
Gas + Protocol Fees: Based on the FAST gas price on gasnow.org currently between 50-300 Gwei with ETH at $4000, I would estimate paying the following gas fees.
Adding liquidity to PUSH/ETH LP = $40 to $300
Staking LP or staking PUSH = $20 to $100
TLDR Ethereum’s cryptocurrency has shot up, almost doubling in price in one month and piercing through a record $4,000 on Monday. But some traders are preparing for a pull-back.
SHORTS ETH short positions are piling up to the highest since February 2019 on Bitfinex.
OPTIONS Open interest on Ether options is at an all-time-high of $6.98B according to bybt.com. For contrast, Bitcoin’s open interest stands at $11.14B, 21.7% off its all-time high on March 24. Presumably Ether’s rocketship price action has attracted option buyers to the smart contract platform’s currency.
PUT/CALL RATIO ETH’s put/call ratio is at 1.46 for May 14 according to option market analytics provider CoinOptionsTrack. As .7 is generally accepted as a neutral ratio for equities, by that metric option buyers are betting heavily against ETH sustaining its highs come Friday.
TLDR This report by Marina Spindler and Paulina Rodriguez finds women in crypto are in it for the tech, they want to be paid in crypto, and they hold the majority of their portfolios in digital assets. Read the main findings and quotes from 60 women interviewed from 31 countries.
WEEKEND HACKS While most of the DeFi community had their eyes glued to the ETH rally over the weekend, hackers took the opportunity to steal mooning assets through several protocol exploits.
EXPLOITED PROTOCOLS From Wednesday through Saturday, exploits occurred across three different protocols—Rari Capital, Value DeFi, and within Larva Labs’ Meebits NFT project—resulting in over $22M worth of stolen digital assets.
TLDR With hacks and exploits breaking every week in DeFi, participants are undoubtedly asking where to look for red flags, how to protect their investments and how to vet projects. In this three-part series, we provide a framework to help with just this. Part I analyzed Tokenomics, Part III will analyze markets and news buzz, and Part II here, analyzes team, social media and backers. Let’s dive in.
“eBay is now allowing NFTs to be sold on its platform, making the digital collectibles available side by side with physical ones. Whether you’re looking for a physical Dogecoin replica or a digital representation of Elon Musk holding Doge, eBay is apparently now the place to get both.”
🔗 Sky Mavis raises $7.5 million for NFT-based Axie Infinity game with backers like Mark Cuban: VentureBeat
“Sky Mavis, a game studio based in Vietnam, has raised $7.5 million for its Axie Infinity game, which uses nonfungible tokens (NFTs) to reward players financially the more they play. Backers include billionaire investor and one of the “sharks” in the Shark Tank television show, Mark Cuban.”
“Crypto investment firm Paradigm and DJ 3LAU are involved in a $7.6 million funding round for non-fungible token (NFT) social network Showtime. Showtime’s aim is to offer a familiar social media interface to the crypto community, enabling them to discover and share NFT art.”
✊ Head to THEDEFIANT.IO for more DeFi news 📰
🧑💻 ✍️ Stories in this newsletter were written by Dan Kahan, Owen Fernau, Eugenio Croitoru, and DeFiDad, and edited by Camila Russo. Videos were produced by Robin Schmidt and Alp Gasimov. Podcast was led by Camila, edited by Alp.
The Defiant is a daily newsletter focusing on decentralized finance, a new financial system that’s being built on top of open blockchains. The space is evolving at breakneck speed and revolutionizing tech and money. Sign up to learn more and keep up on the latest, most interesting developments. Subscribers get full access, while free signups get only part of the content. Click here to pay with DAI (for $100/yr) or sub with fiat by clicking on the button above ($15/mo, $150/yr).