Weekly DeFi Report: Merge and Surge
In general, crypto assets continued its strong uptrend rally (7d: BTC +11.6%, ETH +31.7%) despite the market fear on Thursday caused by news of Tesla’s bitcoin selling. Total crypto market cap has grown up to $1.1T, with Bitcoin trading at $23k (50dma), and Ethereum at $1.6k.
In the last 7 days:
Outperformers in the Top 100: ETC (+76%), LDO (+74%), APE (+45%), ETH (+32%), RUNE (+30%)
Underperformers in the Top 100: EGLD (-3.3%), AR (-1.0%), XCN (-0.6%)
In the DeFi space, total TVL increased as token price surged this week, currently at $85B. For major blockchains’ TVL, Ethereum (+15%), Polygon (+13%), Avalanche (+11%) took the lead.
Tesla sold majority of bitcoin purchases
More in details: The electric-vehicle giant had 42,000 bitcoins and has offloaded 75% of its bitcoin holdings for $936M in the second quarter, implying that the average selling price was about $29,700. The company CEO, Elon Musk, said that Tesla sold its bitcoin to provide cash liquidity due to covid lockdown uncertainty in China, however Tesla will be open to boosting its bitcoin exposure in the future.
Lido expanding stETH to L2
What is it about: Lido is the largest liquid staking protocol, with $6.8B total value locked. It managed to expand its stETH token to Ethereum’s L2 networks, implying that Ethereum stakers could enjoy lower fees and amplify staking yields. The $LDO token price action has constructively driven up (LDO +74%) together with the surge for Ethereum Merge.
Polygon released zkEVM
What is happening: Polygon, the well-known Ethereum L2 solution, announced zkEVM. zkEVM refers to ‘zero-knowledge Ethereum Virtual Machine’. The team claimed that the zkEVM code would bring an ‘equal’ experience on EVM for users with less user friction and removal of any kind of modification or re-implementation of code. The public testnet of zkEVM is expected later this summer and mainnet launch planned for early 2023.
Big Money Raises
Anipen, a South Korea-based metaverse platform, raised $8.3m in Series C funding round, heading for IPO next year. The investment was led by Medici Investment, Ulmus Investment and Korea Development Bank. The funding will be used for Anipen’s metaverse service and partnership expansions.
Optic, an NFT authentication company, raised $11m in seed funding round, led by Kleiner Perkins and Pantera Capital. The major service that Optic provides is the AI engine for NFT content recognition to remove copycat NFTs effectively.