Markets are super volatile lately, and I suspect its large whales who came into yield farming and are not long on defi or ethereum-based products (Ethereum dapp dominance relative to Ethereum price itself had also popped to one of its highest)
Since the market is going crazy, I’ll save you some time and just hit you with bullet points
Catalysts:
Could the US be warming up to providing safe regulatory guiderails for projects launching? Hester Pierce’s comments here seem to be actually incredibly bullish, forgiving, and most importantly, innovation-fostering. That she specifically mentioend a “3 year window” to allow projects to try to fix whatever they may have done wrong is actually the longest window I could imagine, especially when the likes of YFI are spinning up products in days…
Read more: https://www.sec.gov/news/public-statement/peirce-statement-settlement-charging-token-issuer
ETH 2.0 in November? Even Omen prediction markets seems to suggest 69% likelihood of launching by end of the year. This should be the largest event in crypto, no holds barred. As Adam Cochran elegantly put it, the simultaneous supply shock (ETH locked up won’t be immediately liquid, sure there may be locked-ETH derivatives, etc.) & increase in demand as retail finds out that the thing that’s second largest to bitcoin has something that gives you a native interest rate with no counter-party? Sign me up.
Defi projects getting listed on Western, centralized exchanges
Defi & Polkadot ecosystem projects are going to get western institutional investors, which they don’t have today. few understand.
It’s also relevant to note that Synthetix, which offers synthetic assets like gold, and forex markets, might appeal a lot more to institutionals than retails.
As would Curve’s yields which are no longer the highest in crypto but would present a relevant upgrade over the tiny interest traditional markets offer with the relative most-trustable security and stability as the OG of stablecoin farming.
I heard you like hockey stick growth. Close to 1 billion USD worth of BTC has been moved to Ethereum. While this is just 0.5% of all BTC value, it suggests that people really do want to move their BTC onto a smart-contract-enabled chain. If these BTC holders really believe in securing the chain on which their value is held, well, you get the idea. https://btconethereum.com/
