🦄 Recap: DeFi Week of Jan. 9
Happy Weekend Defiers! Much like the markets this week, the news in DeFi was choppy and mixed. The NFT firehose remained at full blast — Brady Dale’s roundup of OpenSea challengers is a definitive take on state of play in the marketplace — and his expediti...
Happy Weekend Defiers! Much like the markets this week, the news in DeFi was choppy and mixed. The NFT firehose remained at full blast — Brady Dale’s roundup of OpenSea challengers is a definitive take on state of play in the marketplace — and his expedition into the world of Pudgy Penguins is an amazing tale of revolt and NFT community dynamics. Owen Fernau’s piece on Doodles took us inside one of the hottest new collections. And Gap, the clothing retailer, tapped blockchain maker Tezos to develop NFT hoodies.
In the airdrop department Owen also reported on the fiasco at Fees.wtf. And Sam Haig reported Vitalik’s views on cross-chain security issues, plus kept an eye on Ethereum’s burn rate, which hit a record this week. There was also some good cross pollination between TradFi and DeFi: Paradigm took a flyer on Citadel Securities, the mammoth market maker in stocks and bonds. In other market news, big-time DEX dYdX said it would fully decentralize this year.
Meantime, Robin Schmidt and his crew of cinephiles turned their gaze to Rare and its potential to challenge OpenSea, and produced a nice tutorial on Metis Andromeda network. We were also delighted to report on the formation of a DAO to support The Infinite Machine Movie & Collection. It will work closely with producers on the making of the film on the story of Ethereum. So cool.
👉 Since you’re a paid subscriber, you will be able to download a PDF compiling all our year-end content in a beautifully formatted report. These 97 pages deliver an in-depth overview of all the stories, people and developments that shaped 2021. If you want to start off the year prepared and knowledgeable about the latest in DeFi and web3, this is the way.
Click on this link and type password defiant2021 to access the report
Screenshot of the first 12 pages of The Defiant 2021 Year in Review
The open economy is taking over the old one. Subscribe to keep up with this revolution. Click here to pay with DAI (for $100/yr) or sub with fiat by clicking on the button below ($15/mo, $150/yr).
🙌 Together with:
- Step Finance is the portfolio management dashboard for Solana users to visualise, analyse, execute and aggregate transactions across all Solana contracts in one place. Get started now!
- ZerionZerion is Mission Control for Web3: an intuitive DeFi portfolio manager, multichain tracking & trading and the best place to show off your NFT collection
- Sorare Experience true football connection in The Global Fantasy Football Game! Trade & collect, play with football NFTs #OwnYourGame Learn More!
- Cryptex Finance (CTX) the fully decentralized creators of TCAP, The World’s First Total Crypto Market Cap Token.
DeFi Alpha Newsletter
Check out and subscribe to DeFi Alpha, a weekly newsletter by The Defiant and DeFi Dad, packed with tutorials and tips on how to earn yield in DeFi
The Tube
📺 SuperMassive NFT Show: Looks Rare, but is it really an OpenSea killer?
📺 Real Vision vs. The Defiant: THE FIRST GLIMPSE INSIDE THE METAVERSE – LIVE WITH UNREAL ENGINE
📺 First Look: Auto Staking & Flexible Vesting with Olympus V2 Bonds
📺 Tuesday Tutorial: Metis Andromeda Layer 2 is VERY fast and VERY cheap | Netswap Tutorial
📺 The Defiant Weekly: Everybody's wrong about Web3
📺 Quick Take: The Defiant Hits 100K, Pudgy Penguins Hit The Skids
Weekend Read
🏞 NFT Marketplaces Challenge OpenSea’s Grip with Multichains, Tokens and Party Bids
In this roundup, Brady Dale takes stock of the leading contenders to go after OpenSea’s dominance of the NFT market. They come in many flavors!
OpenSea is the giant of the NFT marketplace space. It’s the place everyone looks at if they want to buy or sell an NFT. In fact, OpenSea is so big, there’s a decent chance that any NFT service that’s also providing a window into NFTs is ultimately using OpenSea as well, via its free NFT API. All of this clout has driven it to a valuaton of $13.3B in its latest round of financing. Not bad selling a product anyone can steal by right-clicking.
Meanwhile, driven in part by the extraordinary boom in NFTs that came out of nowhere in early 2020, there’s been a rush of entrepreneurs chasing OpenSea’s lead and starting NFT companies. As it stands, all of their volume combined represents a very small portion of what sells over OpenSea every month, but things move fast in crypto.
OpenSea’s dominance is down to the fact that it basically invented the idea of an NFT market. As metaverse investor Andrew Steinwold said on Twitter, “These are the guys that were busy building & grinding since 2017 back when 99% of people in CRYPTO laughed at NFTs.” With all that success, competitors are obviously going to circle, but the internet tends to be a winner-take-all place. Most retail sales online go through Amazon. So much search goes through Google. Entrepreneurs have been trying to unseat the giants for years, with little success.
Women Rise, An NFT on Rarible
Deep Dive
🏛 Crypto Markets Throw Tantrum as Fed Prepares To Target Inflation
In which yyctrader delves into the connection between that TradFi bastion, the Fed, inflation, the economics of Covid-19, and crypto…
Inflation has become an urgent topic of discussion ever since the U.S. Federal Reserve released minutes of its December meeting, indicating that it’s willing to take a harder line on inflation, which hit a 39-year high in December.
Crypto markets were hit hard over the last two weeks, with Bitcoin briefly trading below $40,000 for the first time since September 2021. Markets have since recouped some losses after the US Consumer Price Index (CPI) data this week came out just above expectations.
But why is inflation suddenly in the spotlight? And why have crypto investors become ardent Fed-watchers? Aren’t we building a new financial system that’s supposed to be independent from TradFi? To answer those questions, we’ll need to look back at the last two decades.
At the depths of the financial crisis in 2008, there was clearly a need for unprecedented action to prevent a total collapse of the financial system. Global central banks worked in tandem to flood the system with liquidity and bailed out troubled banks using public funds.
US money supply.
Friday
News
- Defi Project Triggers Uproar by Charging .01 ETH Fee to Join AirdropPeople like free money, but free money with a fee might not garner the same enthusiasm.
- Gitcoin Revives Debate Over Quadratic Funding with New Dev ProtocolGitcoin, an Ethereum foundation-supported platform for public goods funding, has revealed it is working on a new offering designed to help protocols incentivize ecosystem development dubbed Aqueduct.
Links
- Near Raises $150M From Major Crypto Investment Firms: CoinDesk
- Tether Freezes $160M of USDT Stablecoin on Ethereum Blockchain: CoinDesk
- State of Ethereum | Q4 Report: Bankless
- We’re going to [redacted] to [redacted] for [redacted] and its gonna be [redacted]! Aave
- GM Ethereans… find here a video greeting from one of our 36 super talented artists: Infinite Machine Movie & Collection
Thursday
News
- Margin Trading Exchange dYdX to Fully Decentralize in 2022Margin trading protocol dYdX announced plans this week to fully decentralize by the end of 2022 as a part of its V4. It’s a major move for one of crypto’s most widely-used decentralized exchanges.
- EPNS Hits Ethereum Mainnet to Boost Links Between DeFi Projects and UsersThe Ethereum Push Notification Service (EPNS) has launched on the Ethereum mainnet, enabling decentralized protocols to directly communicate with their users on-chain.
- NFT Hoodies? Tezos Inks Deal with Apparel Retailer Gap in Latest Challenge to EthereumTezos is on a roll. In its latest deal with a traditional company, the blockchain provider is teaming up with clothing retailer Gap to launch a series of hoodie-themed NFTs from Jan. 13.
Links
- Coinbase announces acquisition of derivatives exchange FairX: The Block
- Solana could become the 'Visa of crypto': Bank of America: CoinTelegraph
- Solana Derivatives Platform Zeta Markets to Go Live on Solana Mainnet: Yahoo Finance
- Terra LUNA Ecosystem 2022: Terra
- @harmonyprotocol announces the integration with @cyberfi_tech: Harmony
Wednesday
News
- Doodles NFTs Soar in Value Thanks to Community Input and Astute ManagementIt’s a mysterious mix of factors that push an NFT project toward a double digit ETH floor price. Doodles is the latest NFT project to do so, crossing the mark on Jan. 8, according to a Dune Analytics dashboard. The project’s floor now sits at 11 ETH, over $35,000, as of Jan. 11.
- Ethereum Burn Rate Hits Record High as DeFi Market JumpsSevere volatility has driven Ethereum’s daily burn to an all-time high, with roughly 18,070 ETH, or $57.8M, destroyed in 24 hours on Jan. 11.
- DeFi Dynamo Paradigm Spreads its Bets with Investment in Citadel SecuritiesParadigm, the DeFi venture capital powerhouse that backed Uniswap and MakerDAO, has broadened its portfolio by taking part in a $1.5B investment in Citadel Securities, a global market maker estimated to handle 27% of U.S. securities volume.
- The Infinite Machine Movie NFT Holders Will Sit at The Producers’ Table Via a DAOThe Infinite Machine Collection, the NFT project funding the movie based on Camila Russo’s best-selling book on Ethereum, announced its plans for NFT holders to form a decentralized organization which will have a seat at the film’s producers’ table.
Links
- Crypto funds outperformed traditional hedge funds and digital asset benchmarks: The Block
- Moonbeam Network Completes Launch Process and is Now Live on Polkadot: Moonbeam
- State of research: increasing censorship resistance of transactions under proposer/builder separation (PBS): Ethereum.org
- The Mnuchin Files: New Documents Shed Light on Trump-Era Crypto Policy: CoinDesk
- Two new tools from Yearn illuminating the mysterious depths of the rabbit hole: Yearn Finance
Tuesday
News
- New OlympusDAO Fork Aims to Defy Protocol’s Reputation as a ‘Useless Asset’Forks of OlympusDAO have struggled to gain traction and attracted a lot of criticism. But that hasn’t stopped a new contender from coming down from the mountaintop with another proposition.
- LOOKSRARE Airdrops Token and Entices NFT Fans to Try Out New MarketplaceA new NFT marketplace has launched on Ethereum, and its revenues are open to anyone who is willing to put some skin in the game.
- Arbitrum Goes Down Citing Sequencer ProblemsArbitrum, a scaling solution designed to both quicken and reduce the costs of Ethereum transactions, went offline for roughly 10 hours on Jan. 9, according to an administrator in the project’s Discord.
- Vitalik Sounds Alarm on Security of Cross-chain BridgesVitalik Buterin, the co-founder and chief scientist of Ethereum, has sounded the alarm over the security of cross-chain bridges, warning of their vulnerability in the event of 51% attacks.
- AP Doubles Down on NFTs and Launches Marketplace for Iconic ImagesThe crypto market may be cratering but that hasn’t stopped the action in NFT land. With volumes surging, the Associated Press will launch an NFT marketplace to showcase its library of historic photographs, and it will do so on a system built by blockchain provider Xooa.
Links
- Single inactive volcano has 90% chance of powering El Salvador's Bitcoin City, according to president: CoinTelegraph
- The Associated Press is launching an NFT marketplace for photography: The Block
- Binance CEO Zhao Is Worth $96B Excluding Crypto Holdings: Report: CoinDesk
- ve(3,3): Curves, Initial distribution, Competition, & Building a protocol for protocols: Andre Cronje
- In collaboration with @Scopelift, today we’re releasing Seatbelt, a new test suite to strengthen DAO governance!
- Smokin’ apes in Austin!: Bored Apes Yacht Club
Monday
News
- Fire on the Iceberg: Pudgy Penguin Holders Eye Coup Amid Acquisition TalksIt’s getting hot inside the igloo. Pudgy Penguin owners are revolting against the team of four that created the cute penguin profile picture (PFP) NFTs, known collectively as 309Labs.
- ETH Burn Rate Surges Amid Market Chaos and Record NFT VolumeEthereum’s burn rate has seen a dramatic resurgence this week amid market volatility and renewed NFT volume, averaging 8.58 ETH every minute for the past seven days.
Year in Review Report
Links
- Today’s Arbitrum Sequencer Downtime: What Happened?: Offchain Labs
- Bitcoin Approaches Death Cross as Goldman Foresees 4 Fed Rate Hikes This Year: CoinDesk
- Bored Ape Yacht Club is a huge mainstream hit, but is Wall Street ready for NFTs?: CoinTelegraph
- Whether Ether is a security: Preston Byrne
- Latest Week in Ethereum News!: Ethereum Foundation
- We're vibing with our first community call of the year: Monday Jan 10 @ 4pm ET!: Aave
💜Community Love💜
Thanking all the amazing Defiers for the support and love this week (and always)!
DeFi Dad ⟠ defidad.eth ≡🦇🔈 @DeFi_Dad😃 It's wild to remember meeting @CamiRusso in spring 2019 as the "ex-Bloomberg reporter writing a book about Ethereum" jumpstarting an email newsletter. ✊ Today, thedefiant.io is one of the best resources for learning and keeping updated on DeFi and Web3.
4:43 AM ∙ Jan 14, 202247Likes4Retweets
NFTxDeFi | 👨🏼🌾 nftxdefi.eth 🚀 Ξ🦇🔊 @NFTxDeFiWhy are Doodles NFTs soaring in value? @OFernau explains this phenomenon. bit.ly/3qm0V1k via @DefiantNews #NFT #NFTs #Doodles #PFP
bit.lyDoodles NFTs Soar in Value Thanks to Community Input and Astute Management - The DefiantIt’s a mysterious mix of factors that push an NFT project toward a double digit ETH floor price.12:18 PM ∙ Jan 12, 202210Likes1Retweet
The Defiant @DefiantNews👨🎓It's Tutorial Tuesday! @MetisDAO is another Ethereum Layer-2 rollup platform that's been gaining traction lately. Today, @IamSuperMassive shows you how to bridge assets from #Ethereum to Metis and LP on @netswapofficial💱 Watch now👇 https://t.co/nZ3cOue2rm7:12 PM ∙ Jan 11, 2022174Likes54Retweets
11:38 PM ∙ Jan 11, 202213Likes4Retweets
11:39 PM ∙ Jan 11, 202229Likes7Retweets
Netswap @netswapofficialSuper useful tutorial by @DefiantNews for beginners on #Andromeda and #Netswap! Watch and learn how to bridge tokens, how to swap, add liquidity and farm. Hope you all enjoy the lightspeed&low-cost transaction and amazing farm rewards on netswap.io.
The Defiant @DefiantNews👨🎓It's Tutorial Tuesday! @MetisDAO is another Ethereum Layer-2 rollup platform that's been gaining traction lately. Today, @IamSuperMassive shows you how to bridge assets from #Ethereum to Metis and LP on @netswapofficial💱 Watch now👇 https://t.co/nZ3cOue2rm7:37 PM ∙ Jan 11, 202234Likes8Retweets
thedefiant.ioFire on the Iceberg: Pudgy Penguin Holders Eye Coup Amid Acquisition Talks - The DefiantIt’s getting hot inside the igloo. Pudgy Penguin owners are revolting against the team of four that created the cute penguin profile picture (PFP) NFTs.2:41 AM ∙ Jan 11, 202210Likes2Retweets
DeFiCon 🗽 BROOKLYN @DeFi_ConferenceNew Yorkers! 🗽 Did you know Colony is NYC’s DeFi co-working hub? Colony is run and founded by @CamiRusso, the founder of @DefiantNews, and Fragment.xyz. We’re excited to see everyone at Colony tomorrow! Join us a conversation with a few very exciting guests:
7:03 PM ∙ Jan 10, 2022175Likes49Retweets
WCOIN @WCOINetworkWTF is Web3? Great vid here via @YouTube @DefiantNews
youtu.beWTF is Web3?3rd of January 2022, we are back with a bang and doesn’t it feel like we’ve really turned a corner as we lurch into this new year of endless possibilities? N...9:52 PM ∙ Jan 9, 202210Likes1Retweet
Cristobal Pereira @cristpereirag🗣 Volvieron los #Recap #DeFi gracias a @DefiantNews Un resumen de las principales noticias del ecosistema traducido al español. Temas interesantes como Axie Infinity, Tokens DeFi, NFTs y más. 👉 defiantes.substack.com/p/-recap-defi-…
10:12 PM ∙ Jan 9, 202220Likes8Retweets
Cori.eth 🐝 @0xCorinaliterally me pushing The Infinite Machine book by @CamiRusso to my friends I’m sure some of you can relate 😆 @ETHMovie Impression by Jordan Firstman 9:49 PM ∙ Jan 13, 202214Likes2Retweets
Camila Russo @CamiRussoHappening now! https://t.co/Q0cDzQCNkL https://t.co/2Q7sZg7RXh6:54 PM ∙ Jan 13, 202235Likes9Retweets
8:37 AM ∙ Jan 12, 202222Likes2Retweets
🧑💻 ✍️ Stories in The Defiant are written by Brady Dale, Owen Fernau, Sanuel Haig, Bailey Reutzel, and yyctrader, and edited by Edward Robinson, yyctrader, Bailey Reutzel, and Camila Russo. Videos were produced by Robin Schmidt and Alp Gasimov. Podcast was led by Camila, edited by Alp.
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, while free signups get only part of the content.Click here to pay with DAI (for $100/yr) or sub with fiat by clicking on the button above ($15/mo, $150/yr.
Free newsletters
Good reporting. Delivered.
Choose your coverage: crypto and DeFi, the future of finance, or both.
Free. Unsubscribe anytime.
