àgìThrough this article, we have a deeper understanding of how agreements work and the value they generate. Next, let's talk about the role of agreement income in project analysis. Generally, agreement income can be genesis 1 bitcoin atm near meused for asset evaluation, in a comparable analysis to assist investors in judging which projects are undervalued or overvalued. It mainly adopts three indicators: market-to-sales ratio P/S (market value to income ratio), price-to-earnings ratio P/E (market value to earnings ratio), etc. Although these indicators are not the absolute best judgment criteria, they are very helpful in comparing NFT projects of the same type.
àgìFirst of all, let's take a look at what is the agreement income? What is the difference with income?polkadot.js guiàgìLet me talk about the definition of revenue. Revenue measures the return of all participants, that is, the total cost paid to the contract supplier. For example, the fees paid to liquidity providers in AMM, the transaction fees of decentralized exchanges, and the amount of interest on the lending platform in DeFi. Revenue is obtained by charging a rate to the total flow of the agreement. Simply put, revenue refers to the total fees paid by end users of blockchain or decentralized applications. These revenues will eventually be distributed to token holders, liquidity holders and protocol libraries.
àgìGMV (Gross merchandise volume) refers to the total flow of the agreement, which represents the transaction volume of the blockchain or the transaction volume and borrowing volume of decentralized applications. For decentralized exchanges, GMV is the total transaction volume, and for lending agreements, GMV is the total borrowing volume.àgìThe fee rate is the fee charged to GMV, which can be the transaction fee of the blockchain, the transaction fee of Dapp, or the interest rate of the loan.àgìIncome calculation formula:àgìGMV * Take Rate = RevenueàgìTotal transaction volume * rate = project revenue (total fees paid)
àgìThe total revenue is distributed between the agreement and its Token holders and supplier participants (miners/validators, liquidity providers, lenders, etc.). For early-stage projects, 100% of the revenue is usually distributed directly to supplier participants. In the long run, the revenue sharing model will be more diversified, and the agreement and its owners can also get a share of the total revenue.àgìAgreement revenue represents the cash flow of the agreement. The agreement collects costs from users and is calculated as a percentage of total revenue.àgìAdopt dynamic interest rate model: improve the sensitivity and accuracy of interest rate pricing
àgìThis model is similar to the "dynamic interest rate model" designed by Delphi Digital for the Mars Protocol, the lending agreement of the Terra ecology. On the one hand, it improves the sensitivity and accuracy of interest rate pricing, and at the same time, it can obtain higher interest income for depositors and the agreement itself.àgìThe simulation of the mutual influence between the capital utilization rate and the borrowing rate in the Euler agreement, source: euler blogàgìTo put it simply, the interest rate model is adjusted on the basis of mainstream lending agreements such as Aave. By adjusting the fund utilization formula, the interest rate can be more sensitively adapted to the real capital supply and demand situation of the market in real time, instead of the existing mainstream interest rate. The linear method of the model increases the interest rate. This can prevent the occurrence of a loan agreement that can only watch users use low-cost loans on their own platforms and then deposit them on other platforms to obtain high mining revenues for arbitrage. This will cause borrowers to have no incentive to provide loans, and lenders are unwilling The condition of repaying the loan as soon as possible eventually led to the exhaustion of the liquidity of the loan agreement. The dynamic interest rate model is dedicated to solving such problems.àgìFor details of the Euler interest rate dynamic model, please refer to "Introducing Euler" in the reference material.
A large number of improvements in the liquidation mechanism: optimization of the liquidation threshold, anti-MEV, internal multi-collateral pool1. Combine mortgage rate and borrowing rate to customize the threshold of asset liquidation
Like mainstream lending agreements, Euler requires users to ensure over-collateralization, that is, the value of assets is greater than the value of liabilities. When the value of liabilities exceeds a certain ratio of the collateral, it will allow the liquidator to liquidate the mortgagor's assets and repay the debt. But in the calculation of debt value, Euler also introduced the concept of borrowing factor. The liquidation threshold of each borrower is tailored to the specific risk profile associated with the assets they borrow and use as collateral. In other words, when the value of the borrower's risk-adjusted liabilities exceeds the value of the collateral, it may be liquidated. Specifically, compared to the original lending mechanism, Euler's mechanism also adds a multi-dimensional risk assessment of liabilities, which further improves the safety margin of liquidation.At present, the main liquidation incentive model adopted by mainstream lending agreements such as Compound is: the liquidator can purchase the mortgagor's assets with a fixed percentage discount. Under this mechanism, all liquidators face the same liquidation opportunity, and their potential profit percentages are the same, so they can only compete for liquidation opportunities by increasing Gas, where the high MEV value (Gas cost) becomes the liquidator’s The additional cost also increases the risk of the system. On the other hand, for mortgagors, the fixed asset discount auction rate also allows them to lose the opportunity to lose a lower liquidation penalty.In response to this problem, Euler’s plan is to use Dutch auctions in liquidation, which can ease the joint bid of liquidators and may also obtain lower asset liquidation losses for mortgagors. At the same time, Euler also provides a discount acceleration mechanism for the collateral provider, so that he is eligible to conduct self-liquidation before the liquidator conducts the Dutch auction and reduce the mortgagor's loss. The above two measures are to restrict miners from grabbing excessive MEV fees in the liquidation, so as to improve the overall security of the system in the liquidation storm.In order to further reduce the transaction cost of liquidators in liquidation, Euler also borrowed the stable pool model pioneered by the Liquity protocol and expanded it into a multi-collateral stable pool form, allowing lenders to provide liquidity to the stable pool of each loan market. Support liquidation.
Liquidity providers in the stable pool earn liquidation collateral rewards by depositing eToken (a deposit certificate of the Euler protocol, similar to Compound's cToken). When the liquidation is in progress, the liquidator directly uses the liquidity from the stable pool to repay the debts of the borrower, and will proportionally reward the liquidation collateral obtained to the stable pool, that is, the lender can eventually replace it during the liquidation period. The currency is passively converted into liquidation mortgage assets.For example: Euler provides a stable pool for the USDT that lends assets. The lender who is willing to participate in the stable pool can deposit their own USDT deposit certificate eUSDT into the stable pool as the counterparty of the liquidator, so that the liquidator is auctioning After obtaining the mortgaged assets, the mortgaged assets are replaced with the deposit users of the stable pool at a discounted price (after deducting their own income), which is equivalent to that the users of the stable pool purchase the collateral at a discounted price.Compared with Liquity which only supports the LUSD stable pool, Euler's multi-token stable pool contains specific types of tokens that have not been disclosed, but it is believed that it will still be based on stable currencies or mainstream currencies.The advantage of adopting this mechanism is that the agreement believes that when the borrower reaches the liquidation threshold, the liquidator can use the internal liquidity source to immediately liquidate, without the need to exchange assets from a third-party trading platform, which greatly eases the liquidator When the market fluctuates sharply, the internal clearing price is inconsistent with the external platform price, and the high transaction slippage causes the liquidator to lose or fail.
In addition, Euler does not intend to use an external oracle, but uses the time-weighted average price (TWAP) of assets on Uni V3 and WETH to measure the ratio of assets to liabilities.In the information that Euler has released, it has not disclosed the total amount of its governance token Euler, the distribution method, and the unlocking time. But it has made a preliminary outline of the functions and scenarios of its tokens. Euler will follow Compound's governance paradigm, and its governance functions include the ability to determine the level of assets, important parameters of the agreement, and the framework of governance itself. In addition, Euler also has a Vault mechanism, which can ensure the security of the agreement through staking.
Since the product has not yet been launched, the risk parameters of project assets and other information have not yet been disclosed. In terms of contracts, Euler has officially disclosed three contract security partners, including Certora, Halborn, Solidified, and ZK Labs (the two jointly issued reports), and they have obtained two contract audit reports. Since Euler has introduced more innovative mechanisms, the amount of native code is also large. The issue of contract security is the top priority, and the team still attaches great importance to it.other
Euler is committed to becoming a Uniswap in the lending field, providing lending liquidity and composability for more long-tail assets, and has a strong investor background. The agreement has introduced many innovative mechanisms to address the shortcomings of the current lending agreement, but since the agreement has not yet been launched, the practical effects of these innovations remain to be seen. The project is still not onlineBeta Finance is a decentralized permissionless lending platform incubated by Alpha Finance. Its feature is that users can spontaneously establish currency asset pools, focus on the long-tail asset market, and focus on scenarios where assets are short-selling.Beta Finance received a strategic investment in July this year. Investors include Spartan Group, ParaFi Capital, Multicoin Capital, DeFiance Capital and Delphi Digital. Generally speaking, the investors have a pretty good background.Last week, I became a consultant for Sushi.com. In the past year, we have gone through a crazy journey, from launching the income farm to migrating more than one billion US dollars from Uniswap to Sushiswap in "Vampire Attack".When Chef Nomi decided to cash in on the road, he was experimenting with human greed. Many community members not only believed in the initial value from the first day of the project, but also decided to continue to invest in construction desperately. They fell into the abyss and then stood up again.We now have more than 20 core contributors, able to integrate all UI into one, and launch another two protocols Kashi and Miso, which are deployed on more than 10 EVM compatible chains (Polygon, Arbitrum, Fantom, Harmony, xDai, Avalanche, Moonriver and many more). We are trying a new NFT project (http://shoyunft.com/88). Trident has opened the source code a few days ago. I feel confident that the current team can pursue and develop this without me. project.
I will change from day-to-day operations to a consultant role to help cultivate the next generation of teams built on Sushi, support from the side, and help the wider DeFi ecosystem, no matter where they are deployed, it doesn’t matter. I still believe in the Ethereum community, especially after Layer 2 goes live. The most exciting experiments all appeared in Ethereum first. Of course, such exciting attempts are being made elsewhere.I have been working hard to make Sushi a leaderless organization. My role is a contributor. I don't want anyone to recommend any member to the throne and become the so-called "leader" of Sushi. I will encourage decentralization as much as possible. Some things are crucial, such as on-chain governance, recommendation programs for various products (Kashi and Trident!), oSushi guides emissions in a transparent manner, and so on.
The liquidity providers of Sushi and ETH, as well as the holders of xSushi, have the best team in the DeFi world to serve them and should be fully utilized.I want to stay in the vault multi-signature group, but if the community does not want this, I will also withdraw after the snapshot vote.
I hope the community will not forget:All double reward programs
New agreementSushi is not Maki, and Maki is not Sushi eitherMOVR liquid mining project, community members will be responsible for how to operate the funds (0.25% of the supply! Nearly 10 million US dollars at current prices)Support Avalanche Rush Incentives – Polygon – xDai – Celo (our LP's transaction volume exceeds 75 million US dollars)
All funds that join the community believe in this vision of DeFiAmazing items were first launched on Sushi, and will likely continue to be launched here!
Expand this team from 1-2 people to 24 peopleKeep Sushi's fun, open, "Degen", and radically different!
The future of France has never been so bright!On a personal level, I put Sushi before physical and mental health, relationships, family and friends. In the next month or two, I will slow down. It must be interesting to build on top of Sushi. Unfortunately, I will not post spam on Twitter. Maybe I will de-anonymize it a bit? Write an in-depth book...Who doesn't want a Hollywood-produced Sushi/DeFi version of "Social Network"? Ha ha. I might divide my BAYC ape into several parts for fun, and then airdrop it to everyone in this community.
After all... We are 0xMaki in some ways, and we have no intention of leaving this space. I have joined the community for a long time, and I am ready to come back when the community needs it. I am a lifetime asset of you.The "two giants" in the game fieldIn the field of "playing and earning" games, the two most famous projects are Axie Infinity and YGG.Axie Infinity created an unprecedented type of game that is "play while earning", just like "Candy Legend" created the dominance of free games in 2012.
At this stage, Axie Infinity already has more than 1.5 million daily active players, mainly in the Philippines, Indonesia, Brazil, Venezuela, India and Vietnam. For thousands of users, playing Axie Infinity has become their source of livelihood, and sometimes the revenue provided by this game far exceeds their income from working locally. Although most players are not native users in the crypto industry, through viral word-of-mouth marketing, many people have learned about the Axie Infinity game. The explosive growth, global influence, and extensive revenue generation achieved by the Axie Infinity game is indeed impressive. The reason for this achievement is mainly because they created a new game model of "play while earning". In terms of gameplay, Axie Infinity is similar to Pokémon. Players need to breed and breed Axies, a cartoon character that looks like a salamander, and then participate in the battle. The difference is that instead of winning points, the winner gets the game’s native token-Smooth Love Potion (SLP), which can be immediately transferred to another crypto asset or used as collateral, or Cashed as legal tender. Axies and the digital land of games can be bought and sold between individuals as NFTs, and they even launched a governance token (AXS) that allows holders to determine the future of the game.Another project is Yield Guild Games (YFF), which is a "guild" aimed at the new "play while earning" economy. This union is managed by a decentralized autonomous organization (DAO) for those who want to professionally play Axie Infinity and Other people who "play and earn" games provide "scholarship" incentives to share part of their income. Therefore, this decentralized autonomous organization holds NFTs from various Metaverse games, making its governance token YGG an index of game earning economy. Although the project is still in its infancy, there are already more than 4,500 "scholars" with weekly transactions exceeding US$1 million.
In recent months, some other "play while earning" mode games have become more and more popular, such as CryptoBlades, Zed Run, Cometh, REVV, etc. In fact, in the "play while earning" mode games have obtained orders. After the jaw-dropping success, this game revolution is very meaningful for big-name game developers. This trend cannot be ignored, and the futureThe future may see some mature game industry participants begin to incorporate these ideas into their games and bring this game model to a wider audience.Gaming is an industry that covers the world: There are currently more than 2.7 billion gamers in the world, mainly in Asia, Europe and Latin America. In addition, games are firmly integrated into the daily lives of many people: 60% of Americans play video games in some form every day, and video game streaming has 1.2 billion viewers every year. For example, Fortnite is a popular product of Epic Games. Last year, there were more than 350 million live players per month and generated 5.1 billion U.S. dollars in revenue, which shows that even a single game can achieve great success. Some analysts predict that the value of the gaming industry will exceed US$300 billion in the next few years.
However, despite the promising development trajectory of the game field, there are still three major shackles:Shackle one, traditional game players don't really "own" anything. Players mainly buy clothing, weapons, props, etc. on in-game items, but even so, last year's consumption in this area still exceeded US$50 billion. However, in addition to improving player performance and game fun, these game items cannot be used for any other purpose, nor can they be sold, lent or mortgaged for any game items purchased by themselves. These purchase transactions are not real investments.