20373
alexander

@wagmialexander #20373

velodrome / aerodrome
668 Follower 52 Following
My biggest take away from Token2049 for me is that it is starting to sink in that the MetaDEX model has won.

It offers the single best answer to the DEX trilema, aligning the incentives of traders, LPs, and holders, and the results speak for themselves.

A short thread. 🧵
Aerodrome is now delivering...
* 5x the volume of UniV3 on @base
* 1.9x WETH/USDC volume of UniV3 on Mainnet
* 1.25x the ETH volume of Coinbase Exchange
* 14x the DEX revenue of Curve

A DEX revolution is underway. Read all about it below:

https://bit.ly/3WDgEaU
/Base
There is a paradigm shift happening in the DEX and Defi landscape that is not well understood.

Without a dime in VC funding, MetaDEXs are flipping the incumbents by combining the best of their models into a streamlined design.

This series will explore why and how.
While CT is busy lamenting how "bearish" everything is, the ETH DeFi landscape is being flipped on its head.

@base is establishing itself the premiere place to trade the core pairs on Ethereum and @AerodromeFi has supplanted UniV3 as the primary volume driver.
Aerodrome volumes have gone parabolic today, servicing 3x the trading activity of UniV3 on @base.

Slipstream fees are close to hitting 2x the previous all time high and will be permissionlessly distributed as voting incentives to $veAERO voters next epoch. 🛫
I actually don't think folks realize that on volume terms, @aerodrome is now the second largest DEX on Ethereum.

And in revenue terms, it is the single most productive DEX in all of DeFi (and it isn't even close).
/Base
Any experienced Web3 savvy project managers looking for a gig?
Not sure how I missed this, but @aerodrome seems to have flipped Curve's volumes and is now featuring a better volume to TVL ratio than Uniswap and Pancake.

Still billions in un-utilized TVL sitting on L1s we need to onboard to @base. Job’s not done. 🫡
Welcome to all of the new $veAERO lockers.

Each week, 100% of protocol fees and incentives are distributed to $veAERO voters as rewards.

Flight School and SuperFest deliver each new locker a boost in $veAERO and $OP.

🛫
Aerodrome on @base is now doing more volume on the $WETH / $USDC pair than Uniswap is doing on both Ethereum Mainnet and Arbitrum COMBINED.

There is over $58b in DeFi TVL on Ethereum and Abtrirum. Just $1.4b on Base (so far).

We're entering a whole new paradigm, folks.
This is becoming ridiculous.

Think about all the DEXs who promised they’d take the crown from Uniswap: Curve, Balancer, Sushi, Maverick.

Think about the millions raised and liquid tokens allocated to teams to do it.

And here we are.
/Base
If you are still in the process of Retro Funding voting (or updating your vote), be sure to check out @ZoomerAnon’s voting rationale.

https://gov.optimism.io/t/retro-funding-4-voting-rationale-thread/8396/8
Despite months of warning that this would happen, it seems the "Open Source" label for RetroFunding is mislabeling projects. If you applied for RetroFunding, you'll want to check this list here: https://docs.google.com/spreadsheets/d/1f6zQCCR2OmaM7bsjVU22YcVP4J_JmLaEKLc-YIDjCkw/htmlview#gid=88938804
At the same time @Optimism is debating what kind of impact should be rewarded, @cobie is laying out eloquently how value capture has been privatized.

You cannot reduce conversations around how to reward a project's openness to code usage right alone.
Retro Funding is at an inflection point and the decisions we make will set the incentives moving forward.

Under consideration is the enabling of voters to exclude projects that permission the reuse of so much as a single line of contract code.

A reductive view of openness. 👇
In RPGF3, 5% of the rewards went to the top 20% of projects by demand for OP blockspace, undercutting that impact = profit.

Retro Funding has been overhauled, but a sudden change may lead us back to the same outcomes.

Join the discussion.

https://gov.optimism.io/t/retro-funding-4-voting-experience/8138/2
To be clear, the implication here is that Retro Funding should go to DackieSwap, an OS Pancakeswap fork with 1.3M in TVL, and not Aerodrome with its ~$700M in TVL.

The incentive becomes, don't try to build the next Aerodrome. Instead, copy paste as much as you can.
Velodrome's Superchain expansion begins next week.

Beginning its evolution into the liquidity and incentivization layer of the @Optimism Superchain.

Four Superchains have already committed over $2M in incentives to bootstrap it, with more coming #soon.
Slipstream volumes are going exponential on @velodrome with just one aggregator online.

Velodrome is now taking 35% of Uniswap’s volume (and rising) on Optimism and on 4/22 Slipstream arrives on @aerodrome to do the same.

The DEX landscape is being disrupted.
A new record high (again) $6.6M in weekly voting rewards across @velodrome and @aerodrome.

When we flipped Balancer, Curve, and Pancake it was called a fluke. Now we're on the path to flip Uniswap's volume, with the fee switch on and set to 100%.

Reconsider your priors.
Slipstream is kicking into high gear now, with APRs high enough that the UI is displaying warnings.

Check it out out:
velodrome.finance/liquidity?filt…
Velodrome will be deploying to @build_on_bob, bringing $veVELO voters a chance to support a native Bitcoin ecosystem built on the Superchain.

Just another stop our ride across the Superchain. 🚴‍♀️
I'm old enough to remember when @aerodrome was sure to fail because it missed the "first mover advantage."
One aspect of Velodrome’s shift to the Superchain is its evolution from a liquidity marketplace for protocols to one for layers.

Every Superchain needs liquidity and Velodrome will be the easiest place to incentivize access to it.

Mode is just the start. Tune in next week.