🍣 SushiSwap Struggles to Overcome Lack of Management and Nixed Frog Nation Deal

Hello Defiers! Here’s what we’re covering today:

News

• SushiSwap Struggles to Overcome Lack of Management and Nixed Frog Nation Deal
• Axie Infinity Sidechain Token RON Slides 35% in Debut
• Permissionless Index Protocol Kuiper Goes Live Today

Research

• IntoTheBlock Exclusive Report: How DEXs Use Incentives and Tokenomics to Generate Revenue

Video

• Tutorial: Confused by money legos? Let's build some (for free!)

Links

• Jack Dorsey: Diem was a waste of time, Meta should’ve focused on BTC: CoinTelegraph
• ConsenSys Acquires MyCrypto to Strengthen MetaMask Partnership and Enhance Web3 Experiences: ConsenSys
• SEC Asks Bitwise to Address Concerns About Proposed Spot Bitcoin ETF: CoinDesk
• Devconnect: 18-25 April 2022 in Amsterdam: Ethereum Foundation
• Attention #LUNAtics Prop 186 to secure a 5-yr exclusive partnership with a major American professional sports franchise using the Terra Community Trust (TCT) is now LIVE: Terra
• Calling all art lovers - Art Blocks is hiring an Artistic Coordinator!: Art Blocks

Trending in The Defiant

• Anchor Protocol Burns Through Its Reserves As Deposits Pile Up
• OlympusDAO Created a Breakthrough DeFi Model – Now It’s Down93% and Called a ‘Ponzi’
• ‘Believe It!’ How a Manga-Loving Geek Exposed the Scam Targeting Naruto NFTs

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DeFi Drama

🍣 SushiSwap Struggles to Overcome Lack of Management and Nixed Frog Nation Deal

CONTROL SushiSwap doesn’t just need leadership, it also needs to sort out where all its keys are. It can be hard for organizations to priortize who controls what (like the many web-based tools it relies on) when times are good. But when times are bad it’s easy for the same organizations to lose control of essential services after staff suddenly leaves.

EXITS SushiSwap is going through this challenge right now in the wake of the exits of its top leaders and an apparently failed union with Frog Nation, the newly formed collective from Daniele Sestagalli and his allies.

POWER Case in point: one of the most important services for any decentralized autonomous organization (DAO) today is its Discord server. The SushiSwap community has lost admin access to its server, which means scammers can openly run social engineering campaigns against the less sophisticated SushiSwap users right out in the open. No one has the power to ban these people right now.

Org structure chart made by Boring Crypto, posted in Discord on Feb. 1, 2022.

👉READ THE FULL STORY IN THE DEFIANT.IO👈

GameFi Tokens

📉 Axie Infinity Sidechain Token RON Slides 35% in Debut

SIDECHAIN Sky Mavis, the company behind the play-to-earn game Axie Infinity, launched the RON governance token for its Ronin sidechain on Jan. 27.

REWARDS RON traded around $4 at launch and has since fallen 35% to $2.47 as liquidity providers on the Ronin chain’s Katana DEX continue to cash in their newly unlocked rewards.

RON’s slide. Source: CoinMarketCap

INITIATIVES According to the litepaper, the RON token has a total supply of one billion, of which 30% are allocated to Sky Mavis, 30% to community initiatives including liquidity mining, 25% for RON staking rewards and the remaining 15% to an ecosystem fund.

TVL Users were able to farm RON tokens by providing liquidity to the AXS-WETH and SLP-WETH pairs on Katana since it launched last November. Total Value Locked (TVL) on the decentralized exchange surpassed $1B within days of its launch.

👉READ THE FULL STORY IN THE DEFIANT.IO👈

DeFi Indexes

🧐 Permissionless Index Protocol Kuiper Goes Live Today

NEWS Kuiper, a permissionless protocol for creating indices has been released on Ethereum mainnet today in what the team behind it is calling a soft launch.

INDEX An index tracks a number of financial assets, and often has an associated financial product like a fund or token, that allows investors to gain exposure to that basket of assets. ETFs are such financial assets in traditional finance, and have grown into a $9 trillion industry. There have been a flurry of tokenized index projects launching in DeFi, but Concourse Open co-founder Scott Lewis argues there is more to be done.

BOOTSTRAPPED “There just is not a credibly neutral protocol for index tracking, and the ability to track an index is a major unlock for any financial system,” said Lewis, a member of the team that bootstrapped Kuiper, told The Defiant via Twitter DM. “We think that capability should exist as a public protocol.”

👉READ THE FULL STORY IN THE DEFIANT.IO👈

Research

⚙️ IntoTheBlock Exclusive Report: How DEXs Use Incentives and Tokenomics to Generate Revenue

Juan Pellicer of IntoTheBlock explains the mechanics at work inside DeFi exchanges.

VALUE Web3 is all about value transactions, and exchanges are in the best position to provide that utility and capture value. But where does that value go?

REVENUES The most basic need that DeFi users demand is an exchange of tokens. Charging a small fee for this exchange is one of the most direct ways to generate cash flow for a DeFi protocol. These protocols are decentralized exchanges, and nowadays some of them are generating hundreds of millions of dollars in daily trading volume and generating daily revenues that exceed $1M in certain cases. These are the three exchanges that produce the most revenue:

FEES Revenues come from the fees that traders pay for the exchange of tokens. So the fees accrued are proportional to the value traded on each decentralized exchange. These fees tend to vary from 0.30% to 0.01% depending on each protocol and pool in particular.

PARTIES Beyond comparing these figures, it is interesting to explore how these revenues flow differently on each protocol, since these can be distributed very differently among all the parties involved with the protocol: the liquidity providers, the DAO/team supporting the protocol, or holders of the protocol’s token. Incentivizing these parties correctly is critical in a successful decentralized exchange. And that process can turn a wavering exchange into a steady revenue machine.

Daily volume and fees of Sushiswap on Ethereum, via IntotheBlock indicator.

👉READ THE FULL STORY IN THE DEFIANT.IO👈

The Tube

📺 Tutorial: Confused by money legos? Let's build some (for free!)

Links

🔗 Jack Dorsey: Diem was a waste of time, Meta should’ve focused on BTC: CoinTelegraph

Twitter founder Jack Dorsey said that Meta’s failed cryptocurrency project Diem was “wasted effort and time,” and it should have focused its efforts on “making Bitcoin more accessible for everyone.”

🔗 ConsenSys Acquires MyCrypto to Strengthen MetaMask Partnership and Enhance Web3 Experiences: ConsenSys

Today, ConsenSys announced the acquisition of MyCrypto, a deep-rooted Ethereum interface, to team up with the market-leading Web3 wallet, MetaMask.

🔗 SEC Asks Bitwise to Address Concerns About Proposed Spot Bitcoin ETF: CoinDesk

The SEC has asked Bitwise to clarify how the investment firm will prevent share manipulation, fraud and other potential issues in its proposed spot bitcoin ETF, according to a notice to the company on Tuesday.

🔗 Devconnect: 18-25 April 2022 in Amsterdam: Ethereum Foundation

While we continue to closely monitor evolving COVID-measures in Amsterdam, things are progressing in the right direction, and we’re organizing quickly. With that, we wanted to share a lot more about what you’ll find in Amsterdam.

Terra (UST) 🌍 Powered by LUNA 🌕 @terra_money1/ 📣 Attention #LUNAtics 📣 Prop 186 to secure a 5-yr exclusive partnership with a major American professional sports franchise using the Terra Community Trust (TCT) is now LIVE. Vote here 🗳️👇 station.terra.money/proposal/186 View the proposal details here 👇 agora.terra.money/t/community-fu…

agora.terra.moneyCommunity Funding Proposal for {REDACTED} Sports PartnershipRequesting 40 Million UST to Fund a Terra Brand Partnership with the {REDACTED} Sports Franchise in One of the Four Major American Professional Sports Leagues Disclaimer – I am employed by Terraform Labs Pte. Ltd. (“TFL”) BACKGROUND CONTEXT The Terra Community Pool swelled in valuation throughout…2:56 AM ∙ Feb 2, 2022346Likes85Retweets

Art Blocks @artblocks_io📣📣📣Calling all art lovers - Art Blocks is hiring an Artistic Coordinator!📣📣📣 If the description below sounds interesting, we'd love to hear from you 👇 jobs.lever.co/ArtBlocks/c3a1…

Jeff Davis @jeffgdavisWe have a new opportunity to join the Creative team at @artblocks_io! Do you have experience working with contemporary artists, strong communication skills, and a knack for keeping things organized? We'd love to get to know you 👇 https://t.co/u0pClksuEE1:07 AM ∙ Feb 2, 202219Likes8Retweets

Trending in The Defiant

• Anchor Protocol Burns Through Its Reserves As Deposits Pile UpTerra’s DeFi protocol for savers is burning through its savings account.
• OlympusDAO Created a Breakthrough DeFi Model – Now It’s Down93% and Called a ‘Ponzi’OlympusDAO held so much promise when it exploded on the DeFi scene in 2021.
• ‘Believe It!’ How a Manga-Loving Geek Exposed the Scam Targeting Naruto NFTs“It’s almost like they joined a cult. The more I question, the more they think I’m hating. I just want to protect them.”

🧑‍💻 ✍️ Stories in The Defiant are written by Brady Dale, Owen Fernau, Samuel Haig, DeFiDad, and yyctrader, and edited by Edward Robinson, yyctrader, and Camila Russo. Videos are produced by Robin Schmidt, Alp Gasimov and Daniel Flynn. Podcast is led by Camila, edited by Alp.

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