We’re excited to unveil DeFi Ticker, a monthly collection of quick takes surrounding signals from DeFi at large. These takes are meant to cover niche updates, with larger stories meriting their own article. This page will updated gradually over the course of the month, with recent new items featured at the top of the page.
To have your news featured in DeFi Ticker, please reach out or tag us – @Defirate – on Twitter.
Let’s Go!
Dai Crosses 100M in Circulating Supply
Today, the total circulating Dai crossed 100,000,000. After launching Multi-Collateral Dai nearly two months ago, the adoption of MakerDAO’s new trustless stablecoin has steadily increased.
????????????????????#MuchCoolerDai @MakerDAO pic.twitter.com/pVdwNw2xy0
— ??Mariano Conti | conti.eth (@nanexcool) January 22, 2020
Dai now represents 78% of the total ~127M DAI + SAI supply. After releasing the governance poll earlier this week on stability fee adjustments, SAI users will have an arbitrage opportunity to not only capitalize on the introduction of the DSR but also access a lower stability fee by migrating over to DAI.
Looking forward, we’ll continue to keep a close eye on how the introduction of new collateral types (i.e. BAT) will affect the value of collateralized assets. As it stands today, BAT only accounts for ~1.63% of circulating DAI.
For more information on the transition towards Dai, feel free to refer to this overview.
Kyber Network Reaches $500M On-Chain Trading Volume
Added: January 22nd, 2020
Kyber Network officially reached over $500 million USD in total on-chain trading volume across 600,000 trades since its launch back in 2018.
2020 is starting on an exciting note! Kyber recently crossed USD $500million and 600,000 fully on-chain trades since launch??
Read about how our upcoming Katalyst Upgrade will further enhance our protocol and liquidity for #DeFi ???? https://t.co/8dox9Uvj7Z pic.twitter.com/n9cVyD7fHH
— Kyber Network (@KyberNetwork) January 21, 2020
The milestone comes before the upcoming Katalyst upgrade in early 2020. Katalyst is a major protocol improvement to help drive adoption to the ecosystem along with streamlining participation incentives and reward mechanisms.
As one of DeFi’s leading liquidity protocols, Kyber Network has an exciting roadmap lined up for 2020. If historical growth is a good indicator, expect to see volume increases and hopefully, some interesting price action with KNC given the pending token rework.
MakerDAO DSR, Stability Fee, and Debt Ceiling Adjustments
Added: January 20th, 2020
The MakerDAO Foundation released a few new governance polls into the voting system. The poll features adjustments to the Dai Savings Rate (DSR), the Dai Stability Fee, the debt ceiling, and the Sai stability fee.
??Lower the Sai Debt Ceiling to 45 million Sai
??Raise the Dai ETH Debt Ceiling to 125 million Dai
-?Sai Stability Fee within a range of: 5%-13%https://t.co/g9vSgxm089
Additional info here: https://t.co/ItmbuGvUyt#VoteOrDAI
— Maker (@MakerDAO) January 20, 2020
The new governance proposals from MakerDAO reflect the on-going transition from Single Collateral Dai (SAI) to Multi-Collateral Dai (DAI). The lowering of the Sai Debt Ceiling along with the increase in stability for Sai holders drive an incentive for existing SAI holders to transition over to DAI and accrue a lower stability fee on their debt.
In addition, MKR holders will be able to signal their support for the Dai Stability fee within a range of 2% and 10%, giving MKR holders the option to signal an increase or decrease from the current 6% fee.
Executive votes for the new governance polls will go live on Friday, January 24th
Synthetix.Exchange Crosses $1B in Volume
Added: January 17th, 2020
- Synthetix, a platform to create synthetic assets on Ethereum, crossed $1B in volume on it’s native exchange, Synethetix.Exchange.
#Synthetix exchange just crossed 1 Billion in trading volume since the beginning! #SNX pic.twitter.com/qiOEJGxuB1
— SynthAman (@SNXified) January 17, 2020
This milestone can be attributed to a number of new Synths which have been created in recent weeks including a DeFi Basket and inverse Synths, allowing traders to effectively short more obscure cryptocurrencies like XRP, LTC and LINK.
Synthetix assets (sETH, SNX, sUSD, etc.) is said to account for over 50% of liquidity on Uniswap, indicating that demand for Synthetix Exchange trading and Synth creation via Mintr is gradually rising.
Been a while since I looked at this, but I just realised SNX related pools (sETH, SNX, sUSD) now account for over 50% of total @UniswapExchange liquidity. Will be interesting to see if it increases further once ERC20:ERC20 pairs launch ??
— kain.eth (@kaiynne) January 3, 2020
Real-time stats surrounding Synthetix and the greater ecosystem can be found here.
In the coming weeks, we expect to see Sythetix introduce Ether as a collateral option to further increase it’s potential reach.
ETH Collateral launches Jan 30 on SNX@RyanSAdams ?? https://t.co/lHsyh9B9y7
— Vance Spencer (@iam__vance) January 16, 2020
For more information on Synthetix, please visit this overview.
Dai TVL Crosses $50M
Added: January 16th, 2020
According to DeFi Pulse, more than $50M worth of Dai is now locked with DeFi at large.
DAI locked in DeFi just hit 50 million ??
That's ~56% of the current circulating DAI supply locked in various applications built on #Ethereum and, as you can see, it doesn't seem to want to slow down ?? pic.twitter.com/RFO8NVYvgO
— Anthony Sassano | sassal.eth (@sassal0x) January 17, 2020
This milestone goes to show that the transition from Sai to Dai has now taken full form, with virtually all major DeFi projects successfully integrating and encouraging Dai usage.
The vast majority of Dai is being locked via Maker (~57%) thanks to the introduction of the Dai Savings Rate – allowing users to earn an annualized return for storing Dai via Oasis Save.
For more information on Multi-Collateral Dai, please visit this resource.
DSR Changes From 4% to 6%
Added: January 8th, 2020
Following a successful executive vote the Dai Savings Rate was changed from it’s original rate of 4% to a new rate of 6%.
Many have come to view the DSR as DeFi’s Risk-Free Rate, meaning this change is likely to impact Supply and Borrow rates on other lending platforms like Compound and Aave.
This change also increases the Stability Fee from 4% to 6%, indicating the borrowers will incur slightly higher debts when creating Dai through Oasis Borrow.
The DSR is theorized to have changed in order to further incentivize usage of the DSR and for secondary exchanges to have more motivation to incorporate Multi-Collateral Dai into their front-end.
To celebrate the Dai Savings Rate integration into @OKEx, Maker will be hosting an AMA with their Head of #OKexPool, @AlinaYao4ever, on our telegram on Sunday, 7pm (PT).
Submit your questions below for Alina, and if yours is chosen, receive 20 Dai!
— Maker (@MakerDAO) December 19, 2019
For more information on the DSR and why it matters, please visit this resource.
Cooper is focused on building compelling blockchain products. He currently works as the managing director at Fitzner Blockchain Consulting and is a contributor to DAOs like MetaCartel and Moloch. He is an active member of the Ethereum community and has a strong interest in for-profit businesses such as The Block Crypto and Messari.
