š ETH Burns and Price Surges After EIP-1559 Executes
Hello Defiers! Hereās what we are covering today, News ETH Burns and Price Surges After EIP-1559 Executes Gelato Releases Tool to Ease Pain of Liquidations Hedge Fund Giant Steven Cohen Dives into Crypto with $21M Funding Round in Messari Crypto vs. W...
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Hello Defiers! Hereās what we are covering today,
News
- ETH Burns and Price Surges After EIP-1559 Executes
- Gelato Releases Tool to Ease Pain of Liquidations
- Hedge Fund Giant Steven Cohen Dives into Crypto with $21M Funding Round in Messari
- Crypto vs. Wall Street NFTs Dropping From pplpleasr and Fortune Magazine
Video
Links
- ETH Burned
- Trader Top 9: Congress and SEC Take Aim at Crypto: Cove Markets
- Senator Who Wrote Controversial Crypto Tax Rule Proposes Modest Revision: CoinDesk
- Binance to restrict derivatives trading for Hong Kong users: CoinTelegraph
Podcast
šListen to the interview in this weekās podcast episode here:

š„ EIP-1559 Day 2: Hereās Primers on How the Upgrade Works
- What Will Change for Users and Developers After EIP-1559
- The Math Behind a Deflationary ETH After EIP-1559
- Hereās How EIP-1559 Changes the Economics of Ethereum
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- Aave, an open-source and non-custodial liquidity protocol where users can earn interest on deposits and borrow assets.
- The DeFi Pulse Index, by Index CoopĀ -Ā DPI is the easiest way to capture the upside of DeFi with the benefit of diversification. Buy DPIĀ todayĀ onĀ yourĀ favorite DEX.

Markets
š ETH Burns and a Price Surge After EIP-1559 Executes
TLDR The Ethereum market is on fire, at least proverbially speaking. Over the first eight hours since EIP-1559 was implemented, thus changing the transaction fee mechanism of Ethereum, 2,458 ETH, or $6.9M at ETHās current price of around $2.8K, had been burned.
GAS The proposal, which went into effect with the London hard fork at 8:34 am EST on Aug. 5, was a long-awaited change for making Ethereumās gas fees more predictable. It does this by implementing a base gas fee that gets permanently burned during each transaction.
UNISWAP Now ETH is being burned at a rate of 3.42 ETH per minute. DeFi is a big contributor to ETHās burn: Uniswap protocol founder Hayden AdamsĀ tweetedĀ that within the first two hours of EIP-1559ās launch, Uniswap burned 80 ETH and at this rate would burn 350K ETH, or around $1B per year.
šREAD THE FULL STORY IN THE DEFIANT.IOĀ š
Fundraising
š° Hedge Fund Giant Steven Cohen Dives into Crypto with $21M Funding Round in Messari
TLDR In the latest sign that Wall Street big shots love crypto, Point72 Ventures, the early-stage investment firm founded by hedge fund billionaire Steven Cohen, has led a $21M funding round in Messari, the crypto market intelligence provider. It is Point72ās first foray into crypto.
SO WHAT Founded in 2018,Ā MessariĀ compiles and analyzes metrics on the ups and downs of the cryptocurrency markets for the likes of Coinbase, Gemini, and Chainalysis. Itās one of many players racing to build out data dashboards and analytical tools to support the expansion of cryptocurrencies as an asset class.
UPGRADE Despite recent volatility, the $1.6T crypto market is expected to continue growing at a good clip as mainstream giants such as Fidelity Investments, Goldman Sachs, andĀ JPMorgan ChaseĀ push deeper into the space. The advent of Ethereumās upgrade this week,Ā EIP-1559, may also drive momentum in the months to come.
šREAD THE FULL STORY IN THE DEFIANT.IOĀ š
NFTs
š¼ Crypto vs. Wall Street NFTs Dropping From pplpleasr and Fortune Magazine
TLDR Artist pplpleasr, who has worked with big name DeFi protocols Uniswap, SushiSwap and Pickle Finance, has teamed up with Fortune Magazine for an NFT drop.
NEWS The NFTs, which go live on Aug. 6 at 12 pm EST, will be based on pplpleasrās cover art for Fortune Magazineās August/September issue, which focused on cryptocurrency and DeFi.
ART āThe higher level concept of the cover art is to compliment their tag line: crypto vs. wall street,ā pplpleasr said in aĀ behind-the-scenes video. āSo the art is meant to represent this concept of a portal or going down the rabbit hole of crypto and the metaverse.ā
šREAD THE FULL STORY IN THE DEFIANT.IOĀ š
Automation
š§ Gelato Releases Tool to Ease Pain of Liquidations
NEWS Liquidations are a pain for Defiers, but a new tool aims to prevent them automatically.
DEBT Decentralized bot network, Gelato Finance, released a user interface yesterday which will automatically pay down usersā debt on lending platform Aave if they are close to liquidation.
TOKENS The interface, called Cono Finance, does this by selling some of a userās highest value collateral, exchanging it for the debt tokens owed to Aave, and then repaying the lending platform. This brings a userās collateral-to-debt ratio down within a range specified by the user. This range is called the Wanted Health Factor.Ā And all this is built to lower the probability of liquidation.
šREAD THE FULL STORY IN THE DEFIANT.IOĀ š
Video
šŗ The Defiant Weekly: The Defiant Guide to Art Blocks
Links
š ETH Burned
The more Ethereum is used...The more ETH is burned.
š Trader Top 9: Congress and SEC Take Aim at Crypto: Cove Markets
Welcome back to another Trader Top 9! The regulatory pressure we've seen in recent weeks continues to increase. This time it was dangerous language in the giant bipartisan infrastructure bill as well as some big statements from SEC Chairman Gensler. Despite all this, we continued to see positive developments within the crypto community.
š Senator Who Wrote Controversial Crypto Tax Rule Proposes Modest Revision: CoinDesk
Senators Mark Warner (D-Va.) and Rob Portman (R-Ohio) submitted a competing amendment on Thursday to an earlier amendment to the Senate infrastructure billās cryptocurrency provision.
š Binance to restrict derivatives trading for Hong Kong users: CoinTelegraph
Stepping up efforts to minimize the inherent risks of trading cryptocurrency, major crypto exchange Binance has announced it would restrict access to derivatives products to Hong Kong users.
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š§āš» āļø Stories in this newsletter were written by Dan Kahan and YYC Trader, and edited by Bailey Reutzel and Camila Russo.Ā Videos were produced by Robin Schmidt and Alp Gasimov. Podcast was led by Camila, edited by Alp.
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