Recap: DeFi Week of Nov. 30 🦄

Hello Defiers! Hope you’re having a great weekend.

Summing up the past week: The biggest news this week for the Ethereum ecosystem was the successful launch of the first phase in the transition to ETH2, the proof-of-stake chain. Anyone can become a validator in the network by depositing ETH in multiples of 32, and earn ETH rewards in exchange. Another consequence for crypto traders is that we will start to see many versions of staked ETH derivatives being traded on exchanges. The other news that dominated the week was a proposal by US lawmakers, which would make issuing and transacting with stablecoins require a banking license. This has the potential to upend much of DeFi activity and make even running an Ethreum node illegal. It also reveals how deeply regulators misunderstand open source and distributed networks.

Yearn Finance continued with its “merger” spree. Check out the related video on The Defiant’s YouTube channel; a rap on how Andre Cronje, aka Dr. Dre, got one of the recently hacked DeFi projects out of a “pickle” with a partnership. Aave released its V2, with flash-loan-powered innovations meant to make DeFi more seamless. Also, the latest and largest round of Gitcoin grants started. In this week’s podcast, we spoke with EG Galano, the cofounder of Infura, about running Ethereum nodes, claims of centralization in the Ethereum network, and how this DeFi and crypto rally is different from 2017. And there’s even more :)

💗 You Can Contribute to The Defiant’s Gitcoin Grant Here: Huge thanks to the 46 contributors so far. Your support for high-quality, DeFi-focused journalism makes a huge difference.


That was just one week. Subscribe to get the latest DeFi news and analysis straight to your inbox and you don’t miss a thing. Free-signups get partial content, paid subscribers get everything. Click here to pay with DAI (for $100/yr) or sub with fiat by clicking on the button below ($10/mo, $100/yr).


🙌 Together with Zerion, a simple interface to access and use decentralized finance, 1inch.exchange v2, which aims to provide the best rates by discovering the most efficient swapping routes across all leading DEXes, and DeversiFi's Nectar Beehive V1, which allows traders to provide liquidity & earn Nectar ($NEC) tokens.


Interview

"This Boom Feels Organic; Traffic's Not Coming Out of The Blue Like With ICOs in 2017:" Infura's EG Galano

In this week’s episode I speak with E.G. Galano, cofounder of Infura, an infrastructure provider for Ethereum and other blockchains. Many Ethereum applications depend on Infura to run their nodes, and it became apparent why that’s problematic recently, when the service provider was having trouble connecting to the Ethereum blockchain, causing much of DeFi to break down. E.G. dives into the recent outage; he goes into what went wrong and what Infrua is doing to make sure it doesn’t happen again. He also talks about DeFi from the backstage perspective of an infrastructure provider, and what he says might get you feeling even more bullish on this space.

🎙Listen to the interview in this week’s podcast episode here:


📺 Be ready to get your mind blown by the latest Defiant video on Pickle

The Defiant’s video mastermind Robin Schmidt already did the first DeFi ballad. You’ll have to see the first-ever DeFi rap, ft. Simon Wan and Cooper Turley.


Friday

Dives

  • YFI Holders Have Strong Hands and Bought the Dip: The last time YFI was around $29,500 less than 50% of holders were in the money, or profiting from their positions. This percentage has grown significantly to approximately 73%, suggesting that new holders were able to buy at lower prices while some existing ones decreased their average cost.

  • US Regulators Propose Stablecoin Crack Down With STABLE Act: A new bill by US lawmakers has DeFi up in arms after proposing that all stablecoin issuers need to obtain a bank charter, which would potentially make much of DeFi trading and even running an Ethereum node, illegal. 

Bytes


Wednesday

Dives

  • Wall Street’s ETH Gateway is Getting Ahead of Itself Again: Grayscale’s ether-based investment vehicle ETHE is surging above ETH itself as institutional appetite for crypto increases.

Bytes


Tuesday

Dives

Bytes

Links


💜Community Love💜

Thanking all the amazing Defiers for the support and love this week (and always)!


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 at $10/month or $100/year, while free signups get only part of the content.

About the founder and editor: Camila Russo is the author of The Infinite Machine, the first book on the history of Ethereum, and was previously a Bloomberg News markets reporter based in New York, Madrid and Buenos Aires. She has extensively covered crypto and finance, and now is diving into DeFi, the intersection of the two.