DeFi 101 — guide of projects, their metrics and basic information whether they’re worth your time, or not

Summary of recent DeFi Projects — July

A basic list of already listed and upcoming projects with a token model

The idea is to remind you what’s out there, not to create set of rules, which one is good, bad, bullish or bearish. Simple facts and numbers will defend or harm the narrative projects are trying to build in front of you to get your attention. Let split it into parts and talk through.

Name | Current Price| Day 1/Current Marketcap* | Circulating / Total Supply | Diluted valuation

*- If project isn’t listed then we use data provided by the company

My personal criteria are:
If that’s a short term flip: marketcap as low as possible (obviously), tech stack that is currently “trending”, transparent token distribution so no VC/Group of investors will dump upon my freshly bought bags.

If that’s a hold: same as above, however:

  • technology has to be utilized in near future in a way that will allow token to get sort of deflationary economics upgrade (fee burn token model, dPOS, improved locks)
  • it cannot be overvalued at start (only to be in distribution downtrend for few next weeks/months), hence the reason why I’m giving you diluted marketcap variable
  • if marketcap is higher than usual: it needs to be backed by either wise token economics / strong exchanges as partners (to rise up value overall) / proven demand for services offered by the project — the more of those ingredients are there, the better

My personal pick

  • StaFi FIS
  • Meta MTA
  • xDAI STAKE

in such a case of “yet to be listed” projects, it would be StaFi FIS,since it covers most of requirements listed above, and an extra of being the first DeFi on Polkadot, which is 2nd project that has the most active nodes on Polka (Kusama has 398 Nodes active, StaFi has 269 Nodes which are incentivized on testnet)

From listed projects, I’d go after Meta MTA because of “FOMO” around it that’s happening, including low inflation. Another would be xDai STAKE due to offered value vs actual current diluted marketcap which is more than decent, when you’ll include the way how team communicates transparency about token economics model.

Projects yet to be listed:

Stafi FIS

StaFi $FIS
Projected marketcap: $600K
https://www.stafi.io/

First DeFi on Polkadot network

Listed projects:

Swingby SWINGBY

Swingby $SWINGBY
Current price:$0.18
Marketcap: $5.2M

Circulating/Total supply:30,243,001 SWINGBY (3.02%) / 1,000,000,000 Diluted valuation: $180M
Exchanges: Bitmax

A pink duck LMAO

Unit Protocol $COL
Current price: $0.0003
Marketcap: $6M
https://unit.xyz/

Circulating/Total supply: 20,000,000,000 COL (10%) / 200,000,000,000
Diluted valuation: $60M
Exchanges: Uniswap

xDAI STAKE

xDAI $STAKE
Current price: $3.51
Marketcap: $7.5M
https://www.xdaichain.com/

Circulating/Total supply: 2,199,092 STAKE (25,7%) / 8,537,500
Diluted valuation: $29M
Exchanges: Bitmax, Poloniex

Orion Protocol ORN

Orion Protocol $ORN
Current price: $3.15
Marketcap: $10.8M
https://www.orionprotocol.io/

Circulating/Total supply: 3,810,000 ORN (3,81%) / 100,000,000
Diluted valuation: $315M
Exchanges: Bitmax, KuCoin

Balancer BAL

Balancer $BAL
Current price: $11.08
Marketcap: $72M
https://balancer.finance/

Circulating/Total supply: 6,640,745 BAL (18,4%) / 36,015,000
Exchanges: FTX, OKEx, Binance is expected to list BAL in upcoming weeks

Meta MTA

Meta $MTA
Current price: $4.53
Marketcap: $15.7M
http://mstable.org/

Circulating/Total supply: 3,422,051 MTA (3.42%) / 100,000,000
Diluted valuation: $458M
Exchanges: Uniswap, Poloniex, FTX is expected to list MTA in upcoming weeks
Important Investor: FTX

Diluted valuation, as you can see, it’s a bit tricky metric, so what you need to take into consideration here is:

  • is this really fair value for the given amount of use cases, technology stack that works, and ideas yet to be realized?
  • are there any valuable partners to back up such high valuation? Perhaps some exchanges with client base big enough to bring enough buying power and attention?

Those are only few bulletpoints of which you could choose from if you are about to ask yourself whether the project is under/over valued. Let’s just say, if a Uniswap listing has more than $150M valuation, then something is wrong. If a project with 3% of supply unlocked has valuation of $200M, then it’s also screwed up somehow and wont sustain for long without proper management, strong backers and partners, exchanges. It’s a whole zero-sum kind of game going on here.

Listed “big” projects:

I refer to those as big since they are on market for more than 90 days, got listed on major exchanges, went through accumulation (flat, or vertical), got into sustainable uptrend or at growing demand that drives price upwards instead of series of liquidity events.

Those projects are here to help you estimate what’s the “decent” (If we can call it as such) value of the diluted marketcap on its own, so when you will see freshly listed project with diluted marketcap higher than X, you’ll be able to compare whether it’s fair or not.

Thorchain $RUNE

Thorchain $RUNE
Current Price: $0.617
Marketcap: $108M
https://thorchain.org/

Circulating/Total supply: 175,552,528 RUNE (35,1%) / 500,000,000
Diluted valuation: $305M
Exchanges: Binance, Bitmax, FTX, OKEx is expected to list RUNE in upcoming weeks

Synthetix $SNX
Current Price: $3.6
Marketcap: $396M
https://www.synthetix.io/
Circulating/Total supply: 110,124,872 SNX (56,4%) / 194,959,121
Diluted valuation: $702M
Exchanges:Binance, Poloniex, KuCoin, Gateio,

Catalyst on it’s own — yearn

It’s at least worth the mention to see how Andre Cronje’s experiment is doing, and by far, it looks least impressive how applying to basic rules — without having major exchanges nor VCs that will make the token into neverending dumping and control fest (over trading bots). Pure demand and working use cases with limited supply, for VC Execs out there, learn, learn how to execute good product which can spark the speculative catalyst on its own.

yearn.finance $YFI

yearn.finance $YFI
Current Price: $3,350.6
Marketcap: $90.7M
https://yearn.finance/
Circulating/Total supply: 27,205 (90,6%) / 30,000
Diluted valuation: $100.5M
Exchanges: Uniswap, Poloniex, FTX

--

--

https://twitter.com/KRMA_0

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store