The report discusses the impact of Solidly DEX on DeFi, despite its short lifespan due to defective code. Solidly aimed to address several issues in DeFi protocols, including cold start problems, short-lived incentive programs, governance dilution, and a lack of value accrual. After Solidly’s fall, several teams, including VelodromeFi and ThenaFi, improved upon Solidly’s model and created key liquidity infrastructure on non-ETH networks. VelodromeFi has become the leading DEX on Optimism, generating $14M in fees and bribes to date. ThenaFi, incubated by Binance, is showing promise in building a strong DeFi ecosystem on Binance Smart Chain.
- Consider the potential of VelodromeFi: As the leading DEX on Optimism, it has generated $14M in fees and bribes, indicating a successful model.
- Monitor ThenaFi’s progress: As a young DEX incubated by Binance, it shows promise in building a strong DeFi ecosystem on Binance Smart Chain.
- Understand the impact of Solidly DEX: Despite its short lifespan, its model has influenced several successful forks on non-ETH networks.