👩🌾 Farm up to ~232% APY with Vector Finance!
Also, read about Biden’s first executive order on cryptocurrencies & more DeFi updates!
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🦀 DeFi TVL crabs — On Mar. 14th, 2022, the total value locked (TVL) in Ethereum DeFi projects was $74.23B according to DeFi Pulse, almost identical to the value we saw a week ago.
😳 Driving crypto news this week — Zigzag Dex's zkSync <> Polygon Bridge is live, Biden signed first executive order on cryptocurrencies
ZigZag Exchange-Polygon bridge is live for sending ETH on zksync or WETH on Polygon at no fee (aside from ~$0.10 for gas) and will remain that way for the near future. The goal is to make it easy for people to bridge in and out of our DEX rather than earn money on fees.
In a first-of-its-kind executive order dated March 9, 2022, US President Joe Biden urged government agencies to coordinate their efforts in creating cryptocurrency rules. The order will define six “key priorities” for the administration: protecting U.S. interests, promoting “responsible innovation,” preventing illicit uses, safeguarding global financial stability, financial inclusion, and U.S. leadership.
💸 This week’s best-performing assets — Since Monday, March 7th, we’ve seen notable week-over-week price rises from these DeFi tokens:
📈 THORChain (RUNE) +49.0%
📈 Wanchain (WAN) +23.0%
📈 Kyber Network Crystal (KNC) +20.00%
👛 The $DPI pulse — The DeFi Pulse Index ($DPI) is presently trading at $145.63, increased by 2.89% since Monday, March 7th.
🌾 Farm up to ~232% APY with Vector Finance!
Vector Finance is a Platypus Finance yield optimizer that operates on the Avalanche network.
If you’re unfamiliar with Avalanche, it is a layer-one solution with a predominant focus on scalability and minimizing transaction speeds. They recently announced a $290 million to incentivize this further.
Vector offers users an opportunity to stake their PTP (Platypus' native token) and to earn a greater yield than those present on the Platypus website. It is able to do this by offering their governance token VTX as an additional incentive, similar to Convex and Curve’s relationship.
As depicted above, there are a range of opportunities for those that are interested in stablecoin farming. Additionally, those who want Platypus Finance exposure may be interested in converting and staking their PTP to earn extra yield with it.
How to enter Vector’s xPTP-PTP LP Vault
Before getting started in staking on Vector Finance, note that Avalanche requires its native AVAX token to pay for gas instead of ETH.
You can bridge AVAX and other tokens like USDC to Avalanche via the Avalanche Network Bridge. Upon a successful bridging of a value over $75, you will be airdropped 0.1 AVAX for gas fees.
You will also need AVAX added to your browser wallet (MetaMask could be a feasible option), so you can use Chainlist to add “Avalanche C-Chain'' if you haven’t already.
After you’ve bridged funds over and have your wallet ready to go, you could consider the following yield farming strategy:
Use Trader Joe to acquire your desired amount of PTP. You will have to connect your wallet and connect to Avalanche first
Next, head over to the Vector Finance staking page, click on the PTP pool under “Covert your PTP”
Input your desired amount of PTP to be converted. Keep in mind that the ratio of PTP/xPTP may not be 1.
The process of converting PTP to xPTP on the Vector website is irreversible, however trading may be facilitated on secondary markets such as Trader Joe if liquidity is sufficient.
Press “APPROVE” and confirm the permission grant in your wallet
Next, press “CONVERT” and confirm the transaction in your wallet
Now, head over to the Trader Joe Pool section, type “xPTP-PTP” in the search bar, click on it
Submit the amounts you wish to provide liquidity for, now press approve for both PTP and xPTP before confirming their use in your wallet.
Now, press “Supply” and confirm the transaction in your wallet, you should automatically receive JLP tokens in your wallet
Return to the Vector Finance staking page, head over to “Stake Liquidity” and select the xPTP-PTP pool
Input your desired amount of xPTP-PTP JLP tokens that you wish to stake.
Press “APPROVE” and confirm the permission grant in your wallet
Next, press “DEPOSIT” and confirm the transaction in your wallet
Rewards should now automatically start accruing in the form of VTX tokens and can be claimed at any time using the “CLAIM” button.
You can unstake using the “WITHDRAW” tab underneath the selected pool and your rewards will be instantly collected before the unstaking process. You will then be able to unwind your position via the Trader Joe pool section.
Vector Finance has been audited. However, this L1 DeFi staking opportunity entails market risks, impermanent loss risks, smart contract risks, and more. Treat this yield farm as experimental, and never deposit more money than you can afford to lose.
Thank you to our sponsor Tally, the first DeFi wallet owned by a DAO.
Try Tally Swaps before the DAO launches!
Nexus Mutual Joins 30+ DAOs
TLDR: Nexus Mutual will make the largest DAO treasury deposit on Bancor's DAO Treasury Management Solution, joining dozens of other DAOs that have recently staked treasury funds on Bancor;
Ethereum gas fees dwindled to lowest levels since August 2021
TLDR: The average gas price on Ethereum dropped from 218 Gwei on 10 January 2022 to 40.82 on 9 March 2022, leading to a decline in total value locked (TVL) and native asset token price of top 10 DeFi projects;
Avalanche announces $290 million incentive program
TLDR: The Avalanche Multiverse program intends to foster the growth of subnets on the network by using four million AVAX tokens (worth roughly $290 million at current rates);
Polychain invests $6.85 million in ‘Curate-to-Earn' project
TLDR: KurateDAO has raised $6.85 million in a seed round headed by Polychain Capital to "curate the world's information" through "crypto-economic games."
🚜 Earn 32% with WBTC-m.USDT on Beefy Finance
Put the strongest slice of your crypto portfolio to work with Netswap + Beefy Finance!
Netswap’s WBTC-m.USDT pool is an amazing opportunity to get some stability within your portfolio during these challenging market conditions. Netswap is solidifying itself as a top DeFi protocol within one of Ethereum's most beloved layer 2 solutions: Metis. Through these pools, liquidity providers will be investing equal amounts of BTC and USDT.
Beefy Finance, a Decentralized, Multi-Chain Yield Optimizer, is offering an extra boost to your WBTC-m.USDT LP tokens should you choose to stake with them.
Interested in trying this opportunity? You could:
Setup Metis on your Metamask;
Provide liquidity to the WBTC-m.USDT pool on Netswap;
Stake your LP on Beefy Finance
Beefy Finance has been audited, but there are no ultimate guarantees in DeFi. Always do your own research, and never invest more money into any project than you can afford to lose.
Uniswap: Should we deploy Uniswap V3 on Celo?
PancakeSwap: Proposal for Adjustments to Farm Rewards
Decentraland: Vote on this proposal on the Decentraland DAO
In the physical world, crypto fraudsters prey on naive purchasers by reading the contracts. Just like these scammers, DeFi users also need to be proactive. So, here is the blockchain analytics tool to help you protect yourself!
Breadcrumbs is a blockchain analytics platform that is available in four versions: Free, Individual, Business, and Compliance. It provides a suite of tools for tracing and monitoring crypto transactions. You may use the Investigation tool to look up, visualize, and investigate crypto addresses. The Monitoring tool is a simple plug-and-play platform for transaction monitoring and compliance.
What are the top 5 DeFi trends to watch in 2022?
Over the last year, the DeFi ecosystem has seen tremendous growth. In some ways, it's more critical than crypto space itself. Here are the top 5 trends to watch in this space:
The rise of derivative products and decentralized insurance: At its peak in 2021, TVL had more than doubled to a total value of $112.07 billion. However, because of the inherent volatility of crypto assets, obtaining stable fixed income is practically difficult until a tranche loan method is developed. The rise of DeFi Insurance is directly tied to the growth of DeFi and DeFi derivative products.
Monetization of blockchain gaming: There are almost 2 billion gamers on the planet who spend more than $159 billion per year. That figure is estimated to be around $256 billion by 2025. With increasing individuals devoting hours to this form of entertainment, both players and developers are looking for new ways to profit from it.
DEX’s and AMM’s Fuel DeFi Growth: The primary way DEXs have improved their efficiency is by employing automated market makers (AMMs) that provide liquidity on DEXs. Curve Finance is the highest AMM by TVL (essentially, the amount staked in liquidity pools).
Scalability issues solved through cross-chain platforms: The rising transaction fees are issues linked with the DeFi ecosystem's rapid growth. Many crypto projects are beginning to offer the cross-chain capability to overcome this problem. The Polkadot network, for example, enables cross-blockchain transfers of tokens, data, and other assets. As a result, users can even develop their own blockchains.
Governance tokens: These tokens are critical for spreading control of blockchain projects among their user groups. In the decentralized realm of blockchain, projects are constantly exploring new methods to give their users more power and responsibility. Balancer, for example, developed its own governance token (BAL) for liquidity providers. The coin's owners can vote on platform proposals and trade the token with others.
A focus on enhanced efficiency is one feature that connects several of the developments in the DeFi land. Be it Ethereum, MakerDAO, Synthetix, or Nexus Mutual, in any case, this will be a fascinating area to observe. -Guneet Kaur
All info in this newsletter is purely educational and should only be used as research. DeFi Pulse is not offering investment advice, endorsement of any project or approach, or promising any outcome. This post is prepared using public information (which does not account for specific goals or financial situations) and links provided to third-party sites are for informational purposes. Such sites are not under the control of DeFi Pulse, so DeFi Pulse or the author are not responsible for the accuracy of the content on such third-party sites. Be careful and keep up the honest work!