(03-Jul-20) This Week in Crypto:
DeFi products took up most of the headlines with ~$1.5bn locked up in stable coins and liquidity pools - +70% vs. May 2020 (Dune Analytics).
Compound Finance has proven itself as one of the largest DeFi projects in the space, offering crazy supply/borrow spreads for depositing your crypto (~20% APY at one point for supplying DAI). These crazy rates have normalised to ~4% which proves that as lending platforms build deeper liquidity pools, they will not need to offer such impressive returns. Some have made calculators to game the system: Predictions Exchange - Compound
• Worryingly, there is currently 108m DAI on chain but 344m DAI wrapped up in Compound (people are re-lending their borrowed DAI)!
23-year-old Alex Masmej raised $20,000 in Ethereum by tokenising himself. During his “control my life” experiment, Alex challenges token holders to vote for his life choices, such as whether to take a run or eat only vegetables. According to Alex, “personalized tokens will be vast in the coming years, and it will be common for video streams, music artists, and social media influencers to raise funds.”
I hope you liked the quick update. This will be a weekly thing - next week I’ll include a section covering the top conversations in Crypto and where to find them!