DeFi platforms see profits amid FTX collapse and CEX exodus

Per week after the fallout from the FTX and Alameda chaos, some on-chain information factors are attention-grabbing to watch. Though file quantities of Bitcoin (BTC) and Ether (ETH) are leaving the exchanges, not all decentralized applications (DApps) and protocols have proven development, primarily on account of reliance on FTX and Alameda. 

DeFi earnings spotlight optimistic income for some protocols

In line with Token Terminal’s earnings leaderboard, within the final seven days, three protocols had income above $1 million. Ethereum led the on-chain earnings with over $8.5 million complete, an indication of strong post-Merge fundamentals.

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OpenSea was a distant second place to Ethereum, incomes $1.5 million, whereas 9 protocols and DeFi platforms earned greater than $100,000.

Earnings leaderboard. Supply: Token Terminal

Decentralized perpetual exchanges see elevated buying and selling quantity

Mixed with the migration away from centralized exchanges (CEXs), the volatile crypto market has customers buying and selling in file numbers.

In line with information from Token Terminal, the every day buying and selling quantity of perpetual exchanges reached $5 billion, which is the very best every day buying and selling quantity because the LUNA and TerraUSD (UST) meltdown in May 2022.

Perpetual trade quantity. Supply: Token Terminal

Whereas buying and selling quantity elevated, the whole worth locked in DeFi lags

Solely seven protocols noticed a web improve of their total value locked (TVL) over a seven-day interval. Beneficial properties Community, a perpetual trade on Polygon, noticed the biggest seven-day improve at 17.3%

TVL sorted descending from 7-day. Supply: Token Terminal

One interchain operability protocol, Ren, witnessed a TVL drop of fifty% within the final week. As reported by Cointelegraph, Ren partnered closely with Alameda, receiving quarterly funding and maintaining its treasury straight on FTX. The protocol itself benefited from Alameda’s locked liquidity in an try to enhance interoperability.

Ren TVL. Supply: Token Terminal

Information additionally exhibits that blockchain revenues are rising amid a continuing price of every day lively customers. Main blockchains noticed a rise of over 300% in every day income when in comparison with earlier weeks.

On the identical time, every day lively customers remained regular at 1 million. The dichotomy between these information factors means that transactions are occurring at a extra frequent tempo amongst present customers.

Blockchain income and every day lively customers. Supply: Token Terminal

Associated: FTX collapse followed by an uptick in stablecoin inflows and DEX activity

Blockchain revenues don’t essentially equal earnings

Whereas blockchains noticed a rise in income,s which is probably going primarily on account of token emissions, solely Ethereum noticed optimistic earnings. Proof-of-stake (PoS) blockchains like Polygon, BNB Good Chain and Optimism all recorded damaging earnings. When PoS blockchains have damaging earnings, holders of the tokens are hit with inflationary losses.

Blockchain earnings. Supply: Token Terminal

On-chain information continues to exhibit robust factors with elevated exercise on decentralized perpetual buying and selling platforms and optimistic income for DeFi protocols. Despite the fact that CEX outflows have been historic, every day lively DeFi customers didn’t improve, however the truth that they remained constant is notable. The identical information additionally highlighted lagging blockchain earnings (apart from Ethereum) and a lower in TVL.