An overview of what is happening in the crypto markets, summarised daily by Crypto Finance AG Senior Trader Patrick Heusser in the market commentary.
Our last market commentary was about NexusMutual (insurance). It is a hot topic, and their token (NXM) has been on the move. Before we continue with a new topic today, I would like to mention a new development that is directly related to the NXM price, which corrected back down to $48. We saw it there before its steep increase to $69.
In short, SAFE token farming resulted in "fake" coverage buying, which triggered the "gearing factor" mechanisms that put pressure on the price of NXM tokens. This is explained very well in this short Twitter thread.
But now, let's move on to the next DeFi topic:
Portfolio aggregators and investment platforms
There are two that I think are worth looking at:
I have mentioned zapper in a previous Market Commentary. It is an app you can use to manage your DeFi portfolio. After using it for a few weeks, I realised that it has some really cool features, but also some shortcomings.
What I do like is that I can invest directly in certain strategies with just a few clicks. If you click on "Invest", you will see a selection of strategies/vaults to which you can add liquidity. You can also see your current investments at the top of this page.
They added a new feature called "pipping". Pool pipes seamlessly rebalance liquidity between pools. See here.
How does it work?
Let’s assume you’re providing liquidity in the sETH pool on Uniswap, earning trading fees + SNX rewards. You notice that Synthetix just started distributing SNX rewards to Curve sUSD liquidity providers, too. To move some of your liquidity from the Uniswap sETH Pool to Curve’s sUSD Pool, you would need to complete at least four onchain transactions:
- Remove liquidity from the sETH pool on Uniswap
- Use some ETH to buy DAI
- Use sETH to buy USDC
- Add DAI + USDC on Curve
All I can say to this is: "Happy Pipping"!
One drawback is that zapper.fi leans favourably towards yearn.finance. Many assets and tokens of other platforms and/or strategies are missing.
In terms of DeBank, I really like their portfolio overview. It has a well thought out UI with "most" of your assets and strategies displayed with useful key figures. You have extensive lists of yield farming projects, but also a comprehensive overview of the different projects in the DeFi space. They also try to provide a "ranking" page (by Total Value Locked).
What is missing, though, is the possibility to invest in strategies with "one click". Plus, there are still a few tokens missing (e.g. GST2: the GAS token).