DeFi has steadily grown in prominence over the past year thanks in large part to the strong foundations established by decentralized exchanges (DEX) that enable easy access to the latest tokens and projects.
While there have been previous iterations of DEX user interfaces, such as IDEX or Etherdelta, it wasn’t until Uniswap launched that trading in the DeFi network really took off and facilitated the launch of the finance tokens.
Here are six of the top-performing tokens in the decentralized finance sector.
Uniswap has risen from the humble beginnings of a simple user interface that allowed for a token swap between two ERC-20 tokens, to a rapidly evolving DeFi centerpiece that now sees an average daily trading volume of $1 billion and $3.95 billion worth of liquidity locked on the protocol.
Originally the Uniswap platform operated without a native token and fees that were collected went into a liquidity reserve, but the project performed a surprise airdrop to platform users and liquidity providers following the launch of the rival SushiSwap (SUSHI) platform which offered the same interface as Uniswap at the time but also included the SUSHI governance token.
Following its release and subsequent listing on several top exchanges, UNI quickly spiked above $7.00 before correcting as low as $1.93 on Nov.4.
Since that time the price of UNI has continued to climb to a new all-time high of $32.50 on Feb.20.
Excitement over the release of Uniswap v3 and the ability for token holders to stake their UNI and collect a portion of the fees continues to help drive demand and token price higher.
SushiSwap has a controversial origin story, from starting off as a clone of Uniswap to having the lead developer dump their tokens on the market and subsequently donating all funds towards project development, but has since emerged as a top DEX in terms of community involvement and token price.
Governance and staking were early features that SUSHI holders benefited from, as well as increased incentives for early liquidity providers that some called a “vampire attack” on Uniswap.
After listing, SUSHI price rallied from $1.16 on Aug. 29 to $8.84 on Sep.1, but lead developer ‘Chef Nomi’s’ token dump on the open market caused SUSHI to drop as low as $0.475 on Nov.4.
Since that time SUSHI price has grown by more than 4,080% to a high of $19.77 on Feb.20 and SushiS has become the sixth-ranked DeFi platform in terms of total value locked (TVL) with $3.56 billion currently providing liquidity for the protocol.
PancakeSwap (CAKE) has seen a significant rise in price over the first two months of 2021 as the project emerged as a competitive DEX and the first billion-dollar project on the Binance Smart Chain (BSC).
Skyrocketing fees on the Ethereum (ETH) network have opened the door for the BSC to drain liquidity and users from its top Ethereum-based competitors, and CAKE has stepped up to facilitate that process.
The protocol offers an expanding list of staking pools, yield farming opportunities, a collectibles section and a built-in lottery, hitting many of the “hot topic” trends in cryptocurrencies on top of being a DeFi platform.
Prior to late January 2021, CAKE generally traded below $0.70 with its all-time low of $0.194 on Nov. 3, 2020. Price action for the token began to pick up around the last week of January, around the same time as traders from r/Wallstreetbets were causing havoc in the traditional markets.
Since its low of $0.194, CAKE has exploded 11,000% to an all-time high of $20.33 on Feb. 19 as the Binance Smart Chain emerged as the top competitor to the Ethereum network thanks to the significant resources of the Binance ecosystem.
Serum (SRM) is a decentralized derivatives exchange that operates on the Solana blockchain network. The DEX is a result of the collaboration between the Solana team and the operators of the FTX crypto derivatives exchange.
Solana was chosen to host the DEX due to its potential to react 710,000 transactions per second (tps) with a current capacity tested to 50,000 tps. With the Ethereum network currently offering 15 tps and high fees due to network congestion, Solana and the Serum DEX could soon see increased usage from traders seeking a lower fee environment.
SRM offers token holders the ability to stake their tokens to earn a yield as well as use them to reduce trading fees on the exchange by up to 50%. The exchange offers cross-chain support allowing for the trustless exchange of assets on different blockchains through a network comprised of more than 100 validators.
Following a price breakout after launching during the summer of DeFi in 2020, SRM price reached a low of $0.78 on Nov.04 before finding support and heading higher. It has since increased by more than 944% to a new high of $8.13 on Feb. 25 as options outside of Ethereum begin to gain traction.
Linear Finance (LINA) is a new arrival to the DeFi scene which recently launched on the Binance Smart Chain after originally releasing as an ERC-20 token.
Along with the ability to lock up tokens to mint Linear’s synthetic asset tokens, known as “Liquids,” the protocol allows users to access traditional assets like forex and commodities by utilizing dynamic price feeds and trading them in the decentralized finance setting.
Linear’s cross-chain approach allows users to benefit from reduced fees and the built-in oracle solution helps combat the problem of oracle frontrunning currently experienced in protocols built on Ethereum.
Future plans for LINA also include the rollout of governance capabilities and allowing community members to vote on the future direction of the project. This will include deciding the cost of transaction fees and how much to allocate to the insurance fund.
Following its release in September 2020, LINA price dropped to a low of $0.0047 on Nov.19 before skyrocketing 3300% to a high of $0.112 on Feb.12 following its migration to the Binance Smart Chain and several partnerships and exchange listing announcements.
Waves Exchange and a growing suite of DeFi apps
Waves (WAVES) is a multi-purpose blockchain that is capable of supporting a variety of dapps and smart contracts including decentralized exchanges.
One of the integral pieces of the Waves ecosystem is the Waves Exchange, which was initially launched as the Waves DEX in 2017 and offered fast, secure, and low-cost trading and staking for major cryptocurrency assets as well as tokens minted on the Waves protocol.
While the Waves Exchange currently experiences an average 24-hour trading volume of $10 million, recent price gains in WAVES alongside an expanding suite of DeFi apps like Swop.fi could lead to an influx of activity for the Waves ecosystem as fees on the Ethereum network look to remain elevated until the full release of Eth2.
Bitcoin At $100,000: Estimating The Chance Of Six Figure BTC In 2021
Bitcoin price (BTC) reached a new all-time high this week, soaring to almost $65,000 on Wednesday the 14th of April. With Bitcoin’s price now in “blue sky territory” and its market cap sitting comfortably around the $1.17 trillion level, the big question is – just how high will the current bull market push the BTC price this year?
Rounding Up The Most Famous Bitcoin Price Predictions
Here are some of the most famous individuals and institutions in crypto that have gone on record with bullish Bitcoin price calls:
In March, analysts at major US investment bank, JPMorgan, were reported to be eyeing a Bitcoin price of $130,000 – although no timeframe was provided for their prediction. JPM’s CEO, Jamie Dimon, was vocal in his criticism of Bitcoin in the past. However, the firm’s increasing involvement in crypto projects reflects the growing integration of cryptocurrency within the traditional financial sector.
Related Reading | The Bearish Bitcoin Chart Bulls Definitely Don’t Want To See
MicroStrategy’s CEO, Michael Saylor, is renowned for converting his firm’s cash reserves to Bitcoin and encouraging other corporate leaders to follow suit. At last count, MicroStrategy held over 90,000 BTC, worth approximately $5.5 billion at the time of writing. Unsurprisingly, Saylor is extremely bullish on the BTC price, saying in a March interview that he “can see Bitcoin going to a million… [or] five million.”
Pantera Capital, launched in mid-2013 as the original American crypto investment fund, has projected a Bitcoin price of $115,000 before September of 2021. Pantera’s call is based on the Stock to Flow (S2F) model of Bitcoin’s price, which has thus far shown a high degree of predictive power. Given the time-specificity of Pantera’s call as well as their transparency regarding its rational basis, we would consider this the most considered prediction.
Daily Bitcoin chart showing the bull run since late 2020 until present | Source: BTCUSD on TradingView.com
A Rally-Supportive Economic Environment
Predictions alone, no matter who makes them, aren’t enough to elevate Bitcoin to a six-digit price level. What’s needed are enthusiastic buyers and hodlers, whether they be individual investors or large institutions.
As to the latter, we’ve already alluded to MicroStrategy’s crypto corporate coffers. Perhaps following Saylor’s advice as presented to thousands of corporate representative, Time Magazine recently announced their own acquisition of Bitcoin.
Furthermore, with financial titans like BlackRock and MasterCard recently announcing their involvement in Bitcoin, there can be no doubt of the institutional appetite for » Read more
” href=”https://www.newsbtc.com/dictionary/satoshi/” data-wpel-link=”internal”>Satoshi’s invention.
The stock-to-flow model projects much higher prices for BTC | Source: Digitalik.net
Perhaps the most compelling reason driving investors, big and small alike, into Bitcoin is the expectation – and indeed the observation – of high inflation. With central banks around the world printing billions if not trillions of fresh fiat units as a response to COVID 19, the scene has been set for declining fiat value and rising costs for goods and services.
Related Reading | Coinbase COIN Debuts To A Bloody Bitcoin, But Bullish Structure Remains
With high inflation everywhere except government statistics – steel prices up 3x on the year, for example – it’s no wonder that demand for hard, deflationary money has never been higher.
Featured image from Deposit Photos, Charts from TradingView.com
Coinbase’s $86bn Valuation Has Been Grossly Exaggerated by Misleading Media
Coinbase shares closed at $327 on their Nasdaq debut, giving the crypto exchange an initial market cap of $86bn on a fully diluted basis.
Fully diluted refers to the total number of common shares outstanding and available to trade on the open market after all possible sources of conversion. But some feel this measure gives an inaccurate valuation as it includes options and restricted stock, therefore overstating the number of shares used in the valuation.
In the buildup to the IPO, some analysts expected Coinbase to achieve a $100bn valuation. While its closing valuation wasn’t a million miles away, it was still less than expected.
Coinbase Listing is a Watershed Moment For The Cryptocurrency Industry
Coinbase is the first major crypto company to test the U.S. public market. Its IPO was hailed as a turning point in cryptocurrency going mainstream. Analyst Dan Ives wrote:
“Coinbase is a foundational piece of the crypto ecosystem and is a barometer for the growing mainstream adoption of bitcoin and crypto for the coming years in our opinion.”
” href=”https://www.newsbtc.com/dictionary/coin/” data-wpel-link=”internal”>COIN opened at $381 on the Nasdaq Global Select Market. Early on, buyers pushed the price as high as $429, but bears soon took over to dip the price as the day wore on. It ended the session at $327.
Source: COINUSD on TradingView.com
The firm had released some impressive figures before its public debut. It showed a spike in revenue and a doubling of its monthly active users from the previous quarter.
But market research firm New Constructs had already sounded the alarm on a severe overvaluation at $100bn. They believe a valuation this high takes no account of a future squeeze on its transaction margins.
the company has little-to-no-chance of meeting the future profit expectations that are baked into its ridiculously high expected valuation of $100 billion.”
The Actual Valuation Should be $65mn
While Coinbase’s fully diluted valuation came in at $86bn, pretty much in the middle of pre-debut expectations of between $60bn – $100bn, CIO at Arca Jeff Dorman said this figure is grossly overstated.
Dorman slammed the media for “misinformation” and “horrible reporting,” saying they were using the wrong share count. Based on 198mn class A and B shares, Coinbase’s closing valuation should be $64.7mn.
“That math is wrong — There are 198mm class A and class B shares o/s, not 261mm. If we use fully diluted share count, then every stock on the planet has infinite shares due to no restrictions on how much stock a company can issue.“
On the matter of ever reaching a $100bn valuation, researcher Larry Cermak expects this to happen as long as the bull market continues.
“Direct listings almost always trade down in the next few days because of the high float that’s being dumped. As long as the bull market continues, it will eventually recover and go $100B+ IMO. Low volume today is somewhat surprising though.”
At this point, it’s unclear whether an overstated Coinbase market cap is a help or hindrance to crypto. While an overstated valuation is likely to drum up interest, the spin side sees additional pressure on Coinbase to live up to the hype.
ETH bonanza as three North American Ethereum ETFs approved in one day
While gaining exposure might still be difficult south of the US-Canada border, Canadian investors will shortly have a host of options to choose from to gain exposure to Ethereum (ETH) via an ETF as regulators have approved three different Ethereum ETFs in a single day.
Purpose Investments, Evolve ETFs, and CI Global Asset Management were all approved by Canadian regulators to launch Ethereum-backed ETFs today. The ETFs will be the first ETH ETFs in North America, and among the first in the world.
Some observers noted that all three being approved at once may have been part an effort not to give Purpose an “unfair advantage”. Purpose appeared to gain an edge after the launch of the wildly popular Purpose Investments ETF, the first North American Bitcoin ETF which quickly swelled to $1.3 billion in AUM while competitors waited for approval. Rival Evolve Fund Group’s Bitcoin ETF only managed to attract $100 million in AUM, despite launching only two days later than Purpose and offering 25% less management fees.
In a Tweet, a reporter for Bloomberg said that the CL Galaxy and the Purpose ETF funds will begin trading on 4/20 — a date he thought would please Elon Musk, given it’s marajuana culture connection. Likewise, Evolve’s ETH ETF — which they first filed for in March — will begin trading on the same day.
Updating yet again… @CIGlobalAsset & @GalaxyDigital just got approval for their #Ethereum ETF alongside @PurposeInvest‘s. I THINK both will begin trading on … wait for it … 4/20 — Amazing @elonmusk https://t.co/SNFY4jNpUa pic.twitter.com/4ZUSCJEVQ5
— James Seyffart (@JSeyff) April 16, 2021
The Canadian stock market has already demonstrated a significant appetite for exposure to crypto assets. Previous exchange-traded Ethereum products led to market halts on the first day of listing, and Purpose’s Bitcoin ETF cracked $100 million in its first day of trading.
NYSE celebrates historic ‘first trades’ with NFT series
By The Numbers: The Rate Bitcoin Must Climb To Reach $100K By July
USDT, USDC, and BUSD represent 93% of stablecoin market cap
Bitcoin’s time has come: TIME magazine to hold BTC on balance sheet
Whole Earth Coin (WEC) Set for IEO to Inject New Life Into Aging Infrastructure
German digital stock exchange will list physical Litecoin ETP
Tron, Tezos, Synthetix Price Analysis: 12 April
NYSE Joins NFT Mania With Special First Trade Collection
Binance launches zero-commission tradable stock tokens
WAX introduces first Topps baseball cards on the blockchain
Crypto has arrived.
Bitcoin Prepares For its Next Move: Where is the 100 SMA, the Key BTC Level?
Boson Protocol concludes $25.8M public sale, token listed on exchanges
Moonstake integrates with Sylo to bring their staking protocol to the Sylo Smart Wallet
dHEDGE launches tokenized index tracking its top 10-ranked traders
Binance offers Tesla stock token, could Coinbase (COIN) follow?
How COPA’s lawsuit against Craig Wright could benefit Bitcoin
Dogecoin (DOGE) and Maker (MKR) soar as the altcoin market cap tops $1T
Kraken Daily Market Report for April 12 2021
CoinSmart Appoints Joe Tosti as Chief Compliance Officer
Blockchain1 week ago
Decentralized oracle solution Umbrella Network adds Huobi as validator node
Blockchain1 week ago
Tesla’s landlord accepts crypto; will Elon Musk pay rent in Bitcoin?
Blockchain1 week ago
XRP Price Analysis: 08 April
Blockchain1 week ago
Uhive social network enables users to mint their profiles into NFTs
Blockchain1 week ago
$48B Asset Manager Millennium Management Dabbles With Bitcoin
Blockchain1 week ago
Why JP Morgan’s CEO calls Bitcoin regulation a “serious issue”
Blockchain1 week ago
Bitcoin Miners Hit Jackpot as Hash Rate Peaks Again
Blockchain1 week ago
Binance Smart Chain Daily Transactions 200% More Than Ethereum’s