Maker Foundation Dissolves to Give the Community Full Control Over the Protocol and DAO

Maker Foundation Dissolves to Give the Community Full Control Over the Protocol and DAO

Original decentralized finance (DeFi) project Maker has now completely decentralized MakerDAO making the community now responsible for the protocol.

It started as a DAO, then changed into a Foundation which was a temporary solution for the development of the popular lending protocol, an end to having a self-governed self-operating DAO, which it has now achieved.

This week, Rune Christensen, the CEO of Maker Foundation, announced that the DAO is now fully self-sufficient, and the Foundation will formally dissolve within the next few months.

Over the period of the last six years, its stablecoin DAI has grown to become a $5.25 billion market cap crypto-backed stablecoin.

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In Q2 of 2021, the supply of DAI grew 76%, producing $43 million in earnings, up 136% since 1Q21 and 21,500% year-over-year.

While DAI has a 5% market share of the stablecoin market, the lending protocol has $5.45 billion in outstanding debt compared to $6.62 billion on Compound and $6.89 billion on Aave.

“MakerDAO continues to provide one of the best demonstrations of profitable growth in DeFi,” noted Ryan Watkins of Messari, adding the project also has a powerful business model having zero infrastructure costs with users paying gas, zero cost of capital with MakerDAO minting DAI, and extremely high margin with very low headcount requirements while having global reach without the hurdle of regional financial regulations.

Currently, the project has over $8 billion in assets locked in smart contracts of the Maker Protocol.

In terms of total value locked (TVL), the protocol has $5.85 billion comprising 2.43 million ETH, nearly 17k BTC, and 61.36 million DAI.

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Author: AnTy

1.5B New DAI Minted in The Past Month, Maker Now Earning $400k per day in Revenue

1.5 Billion New DAI Minted in The Past Month, Maker Now Earning $400k per day in Revenue

Stablecoins have been ruling the crypto world since last year.

The total stablecoin supply is ready to hit $90 billion, up from $28 billion at the beginning of this year and $5.87 billion in January 2020.

Tether (USDT) remains the dominant stablecoin at over $56 billion market cap, followed by USDC at $16 billion, BUSD at $8 billion, and DAI at about $4.7 billion.

DAI is a fully collateralized stablecoin native to Maker’s decentralized autonomous organization (DAO), whose supply has gone vertical this year, adding almost 4.5 billion to its supply after starting the year around a $1.1 billion market cap.

The surge in DAI supply first started in July 2020, around the time the DeFi mania took flight when it was just at $130 million. Now, in less than a fortnight, DAI has minted $1 billion.

Interestingly, Maker is earning 4% APY on every dollar of DAI in circulation right now.

Maker, the original DeFi protocol itself, is one of the most profitable decentralized finance projects whose revenue is increasing on a constant basis.

At the beginning of the year, Maker was earning just over $52k per day, and by the end of the same month, it had hit the $100k mark, which after constant increments is now earning almost $463k in revenue daily.

Maker (MKR) has been earning $400k in revenue per day since April 28th.

This has the monthly revenue of Maker hitting $10.45 million in April, up from $2.55 million in January, an increase of 310% YTD. Already, so far in May, the project has generated $3.55 million in revenue.

Popular DEX Uniswap (UNI) is leading with its $113 million revenue, followed by Compound (COMP) by $46 million last month. Both Sushiswap (SUSHI) and Aave (AAVE) also made it to the top DeFi earners list with $35 million and $24 million respectively.

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Author: AnTy

MakerDAO Reports $12.57 Million in Net Income for April

MakerDAO Reports $12.57 Million in Net Income for April

Original decentralized finance (DeFi) protocol, MakerDAO has released the financial report for April 2021.

Yet again, the protocol recorded growing income for the month. Maker DAO broke past the $12 million this time, up 44% from the previous month’s $8.7 million. These insane numbers show that the stablecoin minter has come a long way over the past year, as in April 2020, its net income was less than $51k.

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Maker has three business lines — 1: Lending where DAI is lent against strong collateral, i.e., non-dollar backed stablecoins. 2: Trading, which involves exchanges of DAI with other dollar-backed stablecoins. 3: Liquidation, which involves liquidating loan collateral before losing money.

MakerDAO’s latest income resulted from increasing interest income due to loan demand accounting for $10.3 million, up 27% from the previous month, of all the net income. The average yield during the month was 5.15%, about the same as March.

Project’s trading business saw a deep decline, down 61% due to slowing demand on the USDC PSM and lower fees (0.04% vs. 0.10%) on PSM outflow. Liquidations provided it with $2.2 million, which was mainly because of one big ETH-B vault.

When it comes to stablecoin on-chain volume, DAI recorded 63% MoM growth, increasing its market share from 4% last year to 11% now.

MakerDAO is also currently dominating the Ethereum DeFi scene with $11.52 billion in total value locked (TVL), as per DeFi Pulse. In response to all the growth amidst the bull market, the MKR price is hitting new all-time highs; today’s new one was at $5,644.

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“Thanks to a good business performance and some MKR burning, we have generated $10 for each token this month. The market decided that the price that was too cheap it seems,” said Sébastien Derivaux, head of real-world finance at MakerDAO.

MakerDAO also made its very first real-world asset-backed loan with real estate project New Silver, currently at $588k and growing.

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Author: AnTy

Hindenburg Research Shorts Chinese Bitcoin Mining Maker; Ebang Continues its Fundraising Spree

Hindenburg Research Shorts Chinese Bitcoin Mining Maker; Ebang Continues its Fundraising Spree

The short-seller argues Ebang makes “extraordinary claims” to be a market leader, which is “backed by no evidence,” resulting in EBON shares dumping.

Short-seller Hindenburg Research is shorting Chinese Bitcoin mining machine producer Ebang International Holdings. This sent the shares of the company (EBON) down 20% to $5.53. EBON shares have lost 63% of their value since the mid-March high.

Ebang made its debut on Nasdaq in June last year, and during this period, it has made three fundraising rounds, one in November and two in February this year alone, raking in $170 million in the last two.

According to Hindenburg, Ebang “claims” to be a leading bitcoin miner maker, but their research “indicates no evidence backs this extraordinary claim.” It further goes on to the point that ever since releasing its final miner in May 2019, its sales have been dwindling to near-zero, “delivering only 6,000 total miners in 1H20.”

The ongoing bull run has fueled a surge in fundraising in the crypto sector, which raised $2.6 billion in just three months, more than the amount raised in the entire last year.

Hindenburg has also been short on another Chinese blockchain company and took short positions in electric vehicle companies, including Nikola Corp, Lordstown Motors, insurer Clover Health, and Kandi Technologies Group Inc in the past year.

According to the firm, its research revealed that instead of using the capital proceeds to develop its business, Ebang has been moving the cash out of the company through “a series of opaque deals with insiders and questionable counterparties.”

Interestingly, this week, Ebang also announced the closing of its previously announced best-efforts follow-on public offering for the sale of 14 million units at a purchase price of US$6.10 per unit, for aggregate gross proceeds of approximately US$85.4 million.

The company intends to use its net proceeds to expand its crypto mining business and for the establishment and operation of the mining farms, crypto exchange, and general corporate purposes.

As we reported, Ebang announced the launch of its cryptocurrency exchange just this week, which Dong Hu, Chairman, and CEO of the company, said, “will not only expand the revenue sources from our cryptocurrency business but also optimize the development of our blockchain industry chain.”

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Author: AnTy

Bitcoin Mining Chip Maker, Ebang Launches a New Cryptocurrency Exchange, Ebonex

Bitcoin Mining Chip Maker, Ebang Launches a New Cryptocurrency Exchange, Ebonex

Bitcoin mining ASIC chip maker, Ebang International, is expanding its business operations by launching a cryptocurrency exchange.

Canada stock exchange-listed firm, Ebang is expanding its crypto mining operations to the secondary market with the launch of a new cryptocurrency exchange, Ebonex. The exchange will register “qualified investors,” allowing them to deposit, trade, and withdraw from their accounts starting today.

The hardware mining giant launched an invitation-only beta testing phase for Ebonex earlier this year following a successful $100 million IPO in 2020. Dong Hu, Chairman and CEO of the firm, stated the exchange was a “result of the continuing investment in research and development.”

“In recent years, we have made a considerable investment in R&D talent recruiting, as well as product innovation and iteration.”

“The launch of our cryptocurrency exchange business will not only expand the revenue sources from our cryptocurrency business but also optimize the development of our blockchain industry chain.”

The company has not been short of R&D endeavors to improve their business operations – or development of chips. Ebang announced in August 2020; they will shift their focus to AI-powered mining chips in 2024 as a bid to be ‘part of building the future chips.’

The new exchange will start with several top crypto assets available, including Bitcoin (BTC), Ethereum (ETH), Polkadot (DOT), Litecoin (LTC), and Chainlink (LINK). However, the report did not disclose which residents and countries will be eligible to participate in trading services on the exchange.

No comment was received from the exchange as of writing.

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Author: Lujan Odera

“Dark Horse”: BNT Burn Is Around the Corner As A Swiss Bank Embraces Bancor

Bancor, the automated market maker, accounting for 5% of the decentralized exchange (DEX) volume, saw its TVL (total value locked) doubling to $1.66 billion and breaking into the top 10.

Maker is at the top spot with more than $7 billion in TVL, followed by Compound and Aave at $6.7 billion and $5.17 billion, respectively, as per DeFi Pulse.

The DeFi project is now planning to have phase two of Vortex out by introducing a flat protocol fee that uses swap fees to buy and burn vBNT. Each vBNT represents a BNT token locked in the protocol forever, which will create upward pressure on price. 5% of swap fees will be used for this.

The token BNT is currently trading around $7.82, up more than 500% YTD.

The full Vortex roll-out is expected to be done in the next two weeks.

On Thursday, Bancor’s Twitter account posted another development, a Swiss private bank Maerki Baumann with over $9 billion in assets under management, is now accepting BNT along with other cryptocurrencies including BTC, LTC, ETH, BCH, XRP, and USDT.  And just recently listed a poll on their Twitter asking which crypto should be next, with options of Polkadot (DOT), Uniswap (UNI), Cardano (ADA), or Stellar Lumens (XLM). The bank offers both trading and custody services.

“The ability to participate in DeFi through a bank may be closer than we think,” read the tweet.

Give The Market Leaders A “Run For Their Money”

According to Deribit’s latest market research, Bancor is a “dark horse” which, despite Uniswap’s success and rise of similar competitors, continues to iterate on its original product.

“With the Bancor v2.1 release in Oct 2020, the combination of single-sided liquidity provision and IL insurance seemed to be the USP needed to make a breakthrough in the fiercely contested DEX arena,” it said.

Bancor’s new model is facilitated by a new elastic BNT supply mechanism d, which brings BNT burn into the picture. Elastic BNT supply also creates the possibility of protocol IL insurance.

Through its origin pools, shadow token stablecoin pools, Layer 2 scaling, cross-chain expansion along with UI overhauls and additional improvements in on-chain governance (gasless voting), Bancor can give the market leaders Uniswap & Sushiswap “a good run for their money.”

This research on Deribit came from members of DeFi investment fund DeFiance Capital, which took a position in BNT. They will be used to provide liquidity and earn yield from swap fees and liquidity mining.

“Extremely excited to support Bancor as one of the most interesting and innovative AMM liquidity protocols in this space,” said Arthur of DeFianceCapital.

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Author: AnTy

IGT Gets Regulatory Approval to Use Bitcoin & Crypto’s at Slot Machines

The world’s largest slot machines’ maker, International Game Technology Plc, is looking at offering cryptocurrency as a payment option on its casino games like Wheel of Fortune and Megabucks.

It has been only last year that the Nevada Gaming Commission made it easier for casinos to introduce cashless systems and now IGT has gained regulatory approval for using cashless wallets on slot machines.

The company received a patent this week for the means to transfer crypto between a player’s account on the gaming-establishment and an external crypto account, reported Bloomberg.

This would allow players to move BTC and other crypto assets into their digital wallets on a slot machine through their phones. Company spokesman Phil O’Shaughnessy said,

“IGT secured this patent to bolster its industry-leading patent portfolio in anticipation of any possible future direction in regulated gaming involving cryptocurrency.”

Going the crypto route certainly makes sense especially to attract the younger gamblers. According to IGT, a third of guests at Caesars Palace in Las Vegas are between the ages of 21 and 40.

Now that Bitcoin, Ethereum, and other altcoins prices have started rallying like crazy, everyone wants a taste of cryptocurrencies.

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Author: AnTy

Serum Blockchain Launches New Automated Market Maker, To Challenge Ethereum’s High Fees

Project Serum announces its own automatic market maker (AMM), the Serum Swap, based on the Solana blockchain. This is a direct challenge to the Ethereum blockchain, which has witnessed a lag in transactions and high gas fees as the DeFi application growth exploded in the past few months.

The new Serum Swap AMM will work similarly to other decentralized AMMs in that you can join a liquidity pool and trade cryptocurrencies on the platform seamlessly.

Serum is a platform launched by Sam Bankman-Fried, CEO of FTX Exchange as a competitor to Ethereum – providing a faster and cheaper platform to complete your decentralized finance, DeFi, trades. While Ethereum promises up to 15 transactions per second, the Solana-based Serum Swap “takes about 1 second” to settle a trade or pool addition/removal, and the gas fees at a low of roughly $0.00002 per trade.

At launch, SBF Almeda, as Sam is known on Twitter, announced the Serum Swap platform would offer users over 1 million SRM tokens, native to Serum, to incentivize saving and trading on the AMM. Liquidity providers and traders on the platform will receive these airdropped SRM tokens as additional rewards for their kick-starting actions until November 25 – representing a 600% APY.

Serum continues its fight in the DeFi space with the Swap launch following the recent addition of Circle’s USDC stablecoin – a widely used asset in the ecosystem – and the launch of the Solana-Ethereum bridge, named “Wormhole.” The bridge aims at offering DApps on Ethereum, a direct channel to a scalable and low fee transaction platform.

The platform charges a taker’s fee of 0.3% payable in SRM – 0.25% goes to the liquidity providers (LPs), 0.04% goes to an SRM buy/burn depending on profits and losses made 0.01% goes to the GUI hoster.

While Ethereum’s Uniswap remains the largest swap and AMM in DeFi, with over $2.87 billion in locked value (TVL), a jam and fee raise experienced in the last bullish run could see several investors switch to cheaper and faster platforms.

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Author: Lujan Odera

Cream Finance Announces AMM, creamY, with Several Innovations that ‘Make it Stand Out’

Cream Finance has introduced an automated market maker (AMM) which focuses on low slippage and fees of stablecoins.

Combining Curve’s very low cost and very high-efficiency feature and Balancer’s updatable for addition or removal of an asset from the pool — unlike Uniswap or Curve pool, which are immutable — creamY has created a “dynamically updateable AMM which consolidates liquidity.”

Besides being dynamic and capital-efficient, this AMM allows users to hold or transact with yielding and provide liquidity using one token.

According to yEarn Finance’s Andre Cronje, who partook in the discussion of the project, the design of creamY. it “can alleviate a lot of the current liquidity pain-points.”

Coming up with innovations such as consolidated liquidity, a mixture of a shared order book, a governed liquidity pool, and allowing single-sided liquidity is what makes it “stand out,” said Cronje.

Right from the launch, It will support exchanges for stablecoins, BTC, and ETH.

It will be supporting cryUSD including USDT, USDC, TUSD, BUSD, yCRV, yyCRV, yUSDT, yUSDC, yTUSD, cUSDT, cUSDC, crUSDT, crUSDC, and crBUSD; cryBTC covering wBTC/renBTC/tBTC/crRENBTC/cWBTC/ycrvRenWSBTC, and cryETH inclusive of WETH/yETH/crETH/cETH.

Although the code of the protocol has been reviewed by several developers and is currently in the final stages of it, like all the DeFi projects, it hasn’t been through production testing yet.

According to the official announcement, creamY will launch with “strong incentive rewards” in CREAM tokens form, which will be escrowed until the end of the LP period.

For now, the CREAM token of the lending protocol with a TVL of $241 million, is trading at $118, up 2.63% since Sunday in line with the broad market.

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Author: AnTy

Epic Games Sues Apple for Preventing Fortnight from Using Bitcoin as Alternative Payment Option

Epic Games, the maker of Fortnite has filed a lawsuit against Apple after the company removed the popular video game from their app stores after it implemented its own in-app payments.

According to the lawsuit, Apple’s anti-competitive conduct eliminates alternative payment options like Bitcoin to be used in the game.

Epic Games wants to use alternative payment processing tools beyond Apple’s In-App purchase to spur innovation and provide its users with lower prices and better service. The document reads:

“These innovations could include, for example, alternative means to pay for in-app purchases of in-app content—which Apple does not offer—such as billing to the customer’s cellular carrier, using Bitcoin or other cryptocurrencies, offering rewards points to customers, or providing more than one in-app payment processor.”

Besides the antitrust lawsuit that sought to establish Apple’s App store as a monopoly, Epic also aired a protest video on YouTube calling on gaming fans to support its fight against Apple.

Apple confirmed in a statement to The Verge that they removed the game from their app because it violated the App store guidelines regarding in-app payments. The company also said that they would work with Epic to “resolve these violations” but has no intention to create a “special arrangement” for the company.

Epic also implemented its own payment system in the Android version of Fortnite, leading Google to remove the game from the Play Store as well. However, Android users can still download the game from Epic’s own app launcher as the “open Android ecosystem lets developers distribute apps through multiple app stores.”

As for the iOS users, those who have already downloaded Fortnite can still access the game, but new downloads are disabled. Users meanwhile can still use Epic’s in-app payment system.

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Author: AnTy