GM Digest #99
Gm with Valuable Alphas / Insights — Make Sure to DYOR. All of This is Not Financial Advice. Ape at Your Own Peril
MYSO Looping on Mantle
• @MysoFinance is a peer-to-peer (p2p) lending protocol on Ethereum and Mantle that offers Zero-Liquidation Loans (ZLLs)
• Zero-liquidation loans operate by shifting the risk from the borrower to the lender. Lenders create loan offers and establish the collateral, fee, LTV ratio, and other terms. However, each loan also has a specified maturity date. If the borrower fails to repay the loan before the maturity date, they forfeit the collateral
• Naturally, whether the borrower repays the debt hinges on the price of the collateral at maturity. If the collateral's value is lower than the borrowed amount, the borrower will choose not to repay the loan, and vice versa. This concept is similar to Timeswap for those who are familiar with it. Another way to describe it is an in-the-money covered call position
• Another interesting feature of MYSO design is that it enables almost all tokens to be collateralized, which means yield-bearing, rebasing, and LP tokens as well (i.e. GLP, Balancer LP tokens, aTokens)
• Additionally, borrowers can use the one-click looping mechanism to gain leveraged exposure. The LTV of each loan determines how many times you can loop, but currently, you can get 15x leverage on $MNT by borrowing USDT against it
Layer N Introduces Nord
• @LayerN_Official is an Ethereum L2 specifically designed for financial applications. It offers a network of rollup instances with shared liquidity & communication
• Layer N has announced that the first exchange-optimized rollup 'Nord' will soon be going to testnet. Nord leverages a custom Rust VM and benefits from data availability provided by Eigen Layer. With its hyper-efficient orderbook execution environment, it is clocking in at 100k+ TPS with sub-millisecond latency
• The next two rollups on Layer N are 'N-EVM' which is a permissionless rollup utilizing the EVM, so projects can easily deploy from Ethereum, and NordX which is an institutional product for enterprise clients
Options Selling Live on Valorem
• @valoremxyz is an options trading platform on Arbitrum where you can trade options on any ERC20 token
• Valorem options are settled through physical means and are fully collateralized. Unlike other protocols that rely on black Scholes models and are susceptible to toxic order flow, Valorem takes a different approach. They also aim to be more efficient than Uniswap V3-based options protocols, which are further limited by the lack of Uni V3 deployment across EVM chains
• Their product is currently in closed Beta. To gain access, you'll need to join their Discord community and sign up. If you're granted access, you'll receive an Access Pass NFT, which will allow you to use the app. Additionally, holding one of these NFTs may provide additional benefits in the future, potentially even an airdrop if they decide to reward early users
Neo Develops Sidechain
• @Neo_Blockchain announced the development of a sidechain designed to support Ethereum-based decentralized applications (dapps) and ensure full interoperability with its N3 mainnet
• The sidechain will incorporate Neo’s Delegated Byzantine Fault Tolerance (dBFT) consensus mechanism and will use Neo’s native $GAS token for governance and utility functions
• This sidechain aims to be resilient against MEV attacks such as front-runs and sandwich attacks
PRISMA Locking and Lock Weight
• @PrismaFi’s $PRISMA uses a locking mechanism similar to Curve’s veToken model. Users can lock $PRISMA for up to 52 weeks to receive a “lock weight”. There can be multiple locks that can be extended, split and merged. There will be a weekly countdown and the $PRIMSA tokens can be withdrawn at 0 weeks
• Users can also “Freeze” their lock weight to extend all active locks to 52 weeks. Users who perform early withdrawals from locked positions will incur a penalty fee. This penalty fee starts at 100% and decreases as the weeks pass
Sommelier Super SOMM Vault
• @sommfinance Introduces Super SOMM Vault
• Super SOMM vault, which provides users the option to deposit their SOMM incentives into a separate vault focused on optimizing an ETH-SOMM LP position on Uniswap v3
• Sommelier is an innovative asset management protocol whose mission is to make DeFi more accessible, profitable, and efficient for everyone. Sommelier Vaults are intelligent vaults that can optimize portfolios, trade long-short, borrow-lend, and farm
Misc News
• @pendle_fi announced $sFRAX pool. Traders can now speculate on RWA yield
• @HookProtocol to deploy Hook Odyssey (Hook V2) as an @arbitrum Orbit chain
• @Panoptic_xyz signup for Beta Launch is still ongoing, 11,000 signups so far
• @Gemini sues Genesis over GBTC shares used as Earn collateral, now worth $1.6B
• @Moonveil_Studio — a web3 game studio raised $5.4m in seed round led by Gumi Cryptos Capital and Arcane Group
• @0xPolygonDevs announced that the POL Upgrade was initiated today on Ethereum
• @Root_Genesis $ROOT token is live on Balancer
• @ElixirProtocol teases something big happening on November 1
• @dYdX confirms that 100% of protocol fees, including the trading fees and DYDX gas fees will be paid to validators and stakers
• @zkLinkorg announced Pioneer Program → looking for dApp users, active community members, influencers, offering exclusive access, job opportunity, recognition, and token grant rewards
Defi Pulse Check
• BSC & SOL Ecosystems have gained over 22% & 19% in TVL (in the last 7d), reaching $3.9bn & $443m respectively — key drivers for BSC are growth in PancakeSwap & Venus TVL | Jito & Marinade Finance for SOL
• Arbitrum TVL increased by 9% during the last 7d with Solv Protocol being the main contributor of growth. Solv v3 is an on-chain fund with $30m TVL, providing DN strats, yield enhancement, RWAs, and structured products
• Base TVL barely moved (when almost every major eco increased its TVL). Friend Tech TVL has gone down more than 10% during the last 7d
• Scroll TVL has gone up 113% during the last 7d, now sitting at $14m. Major contributors are multi-chain DEXes such as KyberSwap, Syncswap, Izumi Fi, and two native DEXes Zebra & Skydrome (Solidly fork). KyberSwap holds the #1 spot with $4m TVL with Zebra at the #2 spot with $2.5m TVL
Upcoming IDOs to Watch For
*Reminder to Size Your Entry for Degen Plays and Take Your Principal Out (Take Profits) Whenever You Hit Your Target*