Real Yield is the hottest narrative in DeFi right now.
#RealYield Part 2: Five projects which I think have great potential, featuring a couple of hidden gems.
🧵: Don't fall for this common trap. 👇
#RealYield Part 2: Five projects which I think have great potential, featuring a couple of hidden gems.
🧵: Don't fall for this common trap. 👇
1/ This thread is intended to add to Part 1, which includes the full explanation of Real Yield.
2/ $DPX
@dopex_io is a decentralised options exchange on Arbitrum.
Options are a category of derivatives that give the holder the right, but not the obligation to buy or sell the underlying asset.
Dopex facilitates the decentralised trading of crypto-specific options.
@dopex_io is a decentralised options exchange on Arbitrum.
Options are a category of derivatives that give the holder the right, but not the obligation to buy or sell the underlying asset.
Dopex facilitates the decentralised trading of crypto-specific options.
3/ The global derivatives market is estimated to be as high as 1 quadrillion dollars.
This is a huge space which offers immense scope for growth for any crypto project that captures even a small %.
This is a huge space which offers immense scope for growth for any crypto project that captures even a small %.
4/ Atlantics are a Dopex innovation which maintain fixed options expiration dates, but allow users to access collateral.
This liquidity which would otherwise be tied up in options, can now be used to invest in productive assets.
This liquidity which would otherwise be tied up in options, can now be used to invest in productive assets.
5/ This facilities straddle options, which allow users to bet on asset volatility.
This is a unique offering which gives Dopex a competitive advantage over other exchanges.
This is a unique offering which gives Dopex a competitive advantage over other exchanges.
6/ Users are starting to catch on, with TVL more than doubling in a month.
But at $37m, this figure is still relatively low.
$DPX also still has a sub-100m market cap, which is reasonable considering the huge potential of the derivatives sector. It definitely has room to grow.
But at $37m, this figure is still relatively low.
$DPX also still has a sub-100m market cap, which is reasonable considering the huge potential of the derivatives sector. It definitely has room to grow.
7/ $RBN
@ribbonfinance is one of the oldest and most established Real Yield projects.
It uses its "Theta Vaults" to generate yield via options, futures and fixed income strategies.
@ribbonfinance is one of the oldest and most established Real Yield projects.
It uses its "Theta Vaults" to generate yield via options, futures and fixed income strategies.
8/ Ribbon is another project which focuses on the rapidly growing derivatives sector.
And as a result, has seen a monumental rise in monthly active users.
And as a result, has seen a monumental rise in monthly active users.
9/ It generates $5.95m in annualised revenue, despite the recent drop off. Regarding its valuation, things are still relatively sound.
P/S Ratio: 65.54x
P/E Ratio: 229.96x
But, the inverse correlation between MAU and income is slightly concerning.
P/S Ratio: 65.54x
P/E Ratio: 229.96x
But, the inverse correlation between MAU and income is slightly concerning.
10/ $BTRFLY
@redactedcartel is a unique DeFi project, which first launched using the rebase model.
It focuses on acquiring governance tokens like $veCRV, $vlCVX, and $FXS in order to direct emissions to its own Curve pools (thus generating yield for $BTRFLY holders).
@redactedcartel is a unique DeFi project, which first launched using the rebase model.
It focuses on acquiring governance tokens like $veCRV, $vlCVX, and $FXS in order to direct emissions to its own Curve pools (thus generating yield for $BTRFLY holders).
11/ But it had one big issue: The Olympus DAO rebase model which they originally utilised has proven to be unsustainable due to its mass dilution.
The team (who are very switched on and innovative) came up with a solution: V2.
The team (who are very switched on and innovative) came up with a solution: V2.
12/ This is Redacted Cartel's biggest announcement since launch, which completely revamps the tokenomics.
They're pivoting from a dilutive model to #RealYield.
These changes were summarised in the latest snapshot:
They're pivoting from a dilutive model to #RealYield.
These changes were summarised in the latest snapshot:
13/ Revenue from "Hidden Hand" and "Pirex" will be shared with $rlBTRFLY Holders (locked tokens).
This incentivises users to lock $BTRFLY, thus reducing the circulating supply.
This incentivises users to lock $BTRFLY, thus reducing the circulating supply.
14/ V2 is now live: Enabling users to lock $BTRFLY and earn $ETH.
15/ $BIFI
@beefyfinance is a decentralised, multi-yield optimiser.
It allows users to earn compound interest on their tokens via staking in a number of vaults across various L1 chains.
@beefyfinance is a decentralised, multi-yield optimiser.
It allows users to earn compound interest on their tokens via staking in a number of vaults across various L1 chains.
16/ A benefit of the $BIFI token is that its fully diluted, meaning there's less supply side price suppression.
$BIFI tokens are revenue shares in Beefy Finance, in which holders:
• Earn profits generated by Beefy Finance when staked
• Hold governance voting rights
$BIFI tokens are revenue shares in Beefy Finance, in which holders:
• Earn profits generated by Beefy Finance when staked
• Hold governance voting rights
17/ Simple, no bullsh*t tokenomics with solid value accrual and a clear use case. There's a lot to like about Beefy.
18/ $KUJI
@TeamKujira originally launched on Terra, and were a victim of the $LUNA $UST collapse.
But astonishingly, they have made a commendable recovery, launching their own chain on Cosmos.
@TeamKujira originally launched on Terra, and were a victim of the $LUNA $UST collapse.
But astonishingly, they have made a commendable recovery, launching their own chain on Cosmos.
19/ Kujira has 3 products:
Orca: A public marketplace for liquidated collateral (get discounts on your favourite assets).
Fin: A decentralised on-chain order book token exchange (no LPs, no impermanent loss).
Blue: Governance dashboard to manage your $KUJI tokens.
Orca: A public marketplace for liquidated collateral (get discounts on your favourite assets).
Fin: A decentralised on-chain order book token exchange (no LPs, no impermanent loss).
Blue: Governance dashboard to manage your $KUJI tokens.
20/ It's a great product, which they're boosting with an accelerator program to incentivise new development.
21/ Additionally, a new over-collateralised stablecoin named $USK has launched, helping "focus on payments and commerce and launch [a] high-quality Kujira wallet."
22/ $KUJI isn't currently listed on any major exchanges, which is one of the major factors holding back the token price.
I expect this to change over the coming months, which could result in positive price performance for the $KUJI token as more people have access to trade it.
I expect this to change over the coming months, which could result in positive price performance for the $KUJI token as more people have access to trade it.
23/ Real Yield is the future of DeFi, as it incentivises sustainable products.
In the long run, this is better for projects, users, the reputation of the space, whilst providing monetary benefit along the way.
In the long run, this is better for projects, users, the reputation of the space, whilst providing monetary benefit along the way.
24/ If you enjoyed this thread, I'll be issuing more in depth content on my newsletter soon.
Sign up if you aren't already (it's free).
getrevue.co
Sign up if you aren't already (it's free).
getrevue.co
25/ If you've found this thread helpful:
Follow me @milesdeutscher for more content like this.
Like/Retweet the first tweet below if you can. 💙
Follow me @milesdeutscher for more content like this.
Like/Retweet the first tweet below if you can. 💙
Loading suggestions...