ON–214: DeFi Ecosystems 🌿

Coverage on Blast, Avalanche, Solana, Aptos, Sui & Mantle.

Mar 15, 2024

ON–214: DeFi Ecosystems 🌿

DeFi Ecosystems 🌿

① DeFi on Blast 💥

📈 Blast crosses $1B in Total Value Locked, Led by Lending, Decentralized Exchanges, and Yield Games

  • Blast, an L2 blockchain, launched its mainnet on Feb. 29. It currently stands at $1.06B DeFi TVL, which is 7.7x growth since release day. Blast’s ability to compete with established rollups (it is neck to neck with Optimism’s TVL and has reached 92% of Polygon’s) is attributed to its central premise: native yield for users on ETH and stablecoins. The latest TVL spike took place after Blast introduced a 3x yield increase for USDB to 15% on Mar. 11 (the standard yield is 4% for ETH and 5% for stablecoins).
Source: Flipside - @rezarwz
  • Lending claims 73% of TVL in Blast DeFi. Among lending protocols, Orbit and Pac Finance are leaders with $433 and $270M in respective TVL. In contrast, the largest number of unique user addresses (76k) is attributed to DEXs, with most transactions (744k) taking place on GameFi or GambleFi platforms.
Source: Flipside - @rezarwz
  • The Blast user base is highly engaged. In the lending and DEX sector, >42% addresses return on separate days, and GambleFi is not far behind with a >30% retention rate. The dominant gaming-based yield platform is YoloGames, amassing over 438k transactions from a single game among its offerings.
Source: Flipside - @rezarwz
  • 💦🔬 Tx-Level Alpha: A characteristic feature of Blast DeFi is the prominence of both the more “traditional” lending activity and GambleFi alongside it. Both allow users to partake in the chain’s native incentives: yield, returned gas revenues, and more, and despite the drastically different risk profiles, both are in demand. Some addresses logged single- & double-digit (manual or automated) ETH profits in GambleFi such as “Moon or Doom.” For example this address with >73 ETH gained on top of 4% Blast yield & incentives.

② DeFi on Avalanche 🔺

📈 Avalanche Reaches $1.8B in Total Value Locked (TVL) and $10B+ in Swap Volume in Q1

  • Avalanche TVL has 3x over the past 6 months to $1.8B, likely due to a 6x in AVAX price. Bulk of the TVL comes from lending (38%), while 27% is in Liquid Staking Derivatives (LSDs) and 15% in DEXs. DeltaPrime, a Leveraged Farming protocol on AVAX with $40M in TVL (2%), stands out as a protocol from a unique category. Over the past month, most protocols had an increase of at least 20% in TVL. Notably, the new liquid staking protocol GoGoPool had a TVL increase of >250% in the past week.
Source: Flipside - @cloudr3n & DeFiLlama
  • DeFi Activity on Avalanche has been increasing substantially since September 2023. Over the past 6 months, 440k users submitted 3.7M transactions generating over $10B in volume. In March alone, DEX daily volume exceeded $300M twice. Trader Joe is the major DEX on AVAX, capturing >70% of all volume with >60% of all users.
Source: Flipside - @cloudr3n
  • The LSD Market on AVAX reached 8M AVAX ($500M) on Mar. 14, 6x in USD since Oct 2023, largely due to AVAX's price appreciation. This is a significant portion (~27%) of AVAX's TVL. Benqi dominates with 95% market share while GoGoPool reached 400K AVAX, an 8x since it overtook YieldYak's yyAVAX in Jul 2023.
Source: Flipside - @cloudr3n
  • 💦🔬 Tx-Level Alpha: This is the largest sale of COQINU, the top memecoin on Avalanche. The sale was for 4081 AVAX, around $135K at the time of sale. The user made ~190x on the sale. While that sounds amazing, the user would have made $760k had they sold today. That’s a whopping 1,100x thanks to the bull market in memecoins.

③ DeFi on Solana 🏝️

📈 At nearly $30B, Solana’s Monthly DEX Volume is 10 Times Higher than a Year Ago

  • With $130B in swap volume since Jan 2023 across 420M swap transactions, the Solana DEX ecosystem has been thriving. Notably, Jupiter Exchange, facilitated swaps worth $80 billion, which accounted for 62% of the overall volume. The diversity in platforms like Orca, Raydium, Lifinity, Phoenix, and Meteora shows the vibrant competition and innovation. The engagement of 4M wallets, especially the notable range in swap volumes, highlights the broad appeal and utility of DeFi on Solana.
Source: Top Ledger
  • Since the beginning of 2023, the secondary marketplaces for NFTs on Solana have witnessed remarkable expansion, recording a trading volume that surpasses 36.3M SOL, which translates to an impressive $1.5B USD. The market has facilitated the purchase of around 15M NFTs by nearly 600k unique wallets.
Source: Top Ledger
  • Users have initiated 12.2M staking transactions through 410k wallets across all LST protocols on Solana since August 2021. There is 20M SOL currently staked across these protocols. In terms of SOL staked among LST protoocols, Jito leads with 44%, followed by Marinade Finance with 34%.
Source: Top Ledger
  • 💦🔬 Tx-Level Alpha: Solana's Token-2022 Program has facilitated over 10.4M transactions, creating 506k tokens, including 33.6k fungible ones. Token-2022, an upgrade from Solana's original token program, offers functionalities like minting and burning, and introduces advanced features like Transfer Fees and Interest Bearing Tokens. This transaction is an example of a new mint with interest accrual initializing for the Lumin token.

④ DeFi on Aptos 🌐

📈 Merkle's Crosses $4B in Total Trading Volume as Aptos DeFi Heats Up

Since the mainnet launch in 2022, Aptos' DeFi ecosystem has grown significantly.

There's a diverse selection of DEXes, from Merkle's perps to Pontem's concentrated liquidity, Cellana's ve(3,3) DEX, and Econia's on chain order book to Panora's aggregator which experienced a 30x increase in swap volume this past month. Merkle Trade's gamified trading platform has amassed over $4 billion in volume, due in part to its Runescape-like weaponry and armor.

Source: Flipside - @0xHaM-d
  • Amnis and Thala offer liquid staking solutions for Aptos and the cumulative TVL exceeds $150m. Both platforms offer a robust two-token model that facilitates easy and profitable staking. This model benefits the Aptos DeFi ecosystem through integrations across liquidity and lending protocols.
Source: Flipside - @freemartian & Flipside - @Masi
  • Aries Markets, Aptos' first money market, has over $80m in TVL and $70m in cumulative swap volume. With a strong team and deep ties across the ecosystem, Aries enhances asset utility and has cemented its role as a primary component of Aptos DeFi. They have big news and announcements on the way.
Source: Flipside - @0xHaM-d
  • 💦🔬 Tx-Level Alpha: On Mar. 5, Aptomingo #1065 sold for 97 APT on Topaz, setting a record for the highest Aptosmingo sale, according to Mercato. This transaction reflects the increasing interest in Aptos NFTs, potentially fueled by the new Shrimp community token. The gas fee was 0.000638 APT, which demonstrates Aptos' efficiency and the benefits of its Digital Asset (DA) Standard, which is built with Aptos Move and the Aptos object model, and effectively reduces gas costs on NFT transactions by 50%.

⑤ DeFi on Sui 💧

📈 SUI crosses $500M in Total Value Locked

  • Sui is an L1 blockchain developed by Mysten Labs, founded by former Meta executives. It uses the Move language, which provides a secure environment for custom assets and transaction logic. Sui's object-centric model allows for parallel transaction execution and scalability. With its scalable processing, secure smart contracts, and developer tools, Sui is well-suited for building decentralized applications. Sui TVL reached as high as $600M on February 15, 2024, and stands at $530M today.
Source: Artemis
  • Sui’s Top 5 DeFi protocols contribute 75% of this TVL. The two largest projects on Sui by TVL are lending protocols (Scallop at $112M and NAVI at $88M), and the three next largest are all decentralized exchanges (Cetus at $86M, Aftermath at $56M and Kriya at $55M).
Source: Suivision
  • Daily Sui DEX volumes are steadily growing and reached a high of $118M on a 7-day rolling basis on January 31, 2024. Today they stand at $87M, equivalent to $4,440 per daily active address.
Source: Artemis
  • 💦🔬 Tx-Level Alpha: User 0x53 is currently first on the Scallop leaderboard with $21M total value locked. In this transaction, the whale supplies just over 5M USDC into Scallop.

⑥ DeFi on Mantle 🕰️

📈 Mantle reaches $295m TVL, boasts 4th largest LST

  • Mantle is an EVM compatible optimistic rollup with a modular architecture leveraging Mantle DA, an EigenDA powered solution. Of note, in May 2023, BitDAO, the largest DAO by treasury size, merged with Mantle to form a unified brand with the intention of activating BitDAO’s treasury to fuel ecosystem growth. Mantle launched its mainnet in July 2023 and has since attracted ~$295m in TVL, per Artemis.
Source: Artemis
  • Mantle became the first L2 to launch its own liquid staking protocol in Dec 2023, using Mantle’s treasury to boost mETH (Mantle’s LST) yield. Since launch, over 524k mETH has been minted, representing ~$2.1b in TVL and ranking it the 4th largest LST behind Lido, Rocket Pool and Binance Staked ETH.
Source: Dune Analytics - @gooddata_badguy & DeFiLlama
  • Init Capital (Money Market), Ondo Finance (RWA), and Agni Protocol (DEX) are currently the largest protocols by TVL on Mantle with $65.5m, $56.6m, and $55.3m in TVL, respectively.
Source: DeFiLlama
  • 💦🔬 Tx-Level Alpha: Per MIP-28, Mantle began expanding treasury management strategies to generate returns and assist in financing product development and ecosystem growth. As part of this strategy, Mantle is currently holding over 89.3m sUSDe in its treasury, representing 28% of the total sUSDe supply, and ranking them as the largest sUSDe holder. This transaction shows one of Mantle’s sUSDe acquisitions.

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