Research Summary
The report covers a range of topics including Pendle Finance’s growth, South Korea’s National Pension Service’s investment in Coinbase, PancakeSwap’s gaming marketplace, BlackRock’s Ether ETF filing, the Philippines’ tokenized bonds, Polygon’s gas fee surge, Bitcoin Ordinals NFT’s funding round, Tether’s Bitcoin mining investment, Aave’s rebranding to Avara, and various asset performances and trading volumes.
Key Takeaways
Investments and Developments in the Crypto Space
- Pendle Finance’s Expansion: Spartan Capital has made an additional investment in Pendle Finance, a DeFi protocol that tokenizes and trades future yields from staked and real-world assets. This investment supports Pendle’s growth and expansion into new areas like real-world asset derivatives.
- South Korea’s NPS Invests in Coinbase: South Korea’s National Pension Service (NPS) has purchased $20 million worth of Coinbase shares, marking its first investment in a digital asset-related company. However, the NPS policy states it will never invest directly in crypto assets.
- PancakeSwap’s Gaming Marketplace: PancakeSwap has launched a gaming marketplace, allowing developers to integrate CAKE, its native token, and publish their games for players. With PancakeSwap’s multi-chain presence and 1.9 million monthly user base, developers can ensure broad reach for their games.
- BlackRock’s Ether ETF: BlackRock has officially filed for a spot Ether ETF with the SEC.
- Philippines’ Tokenized Bonds: The Philippines government will be offering $179 million of 1-year tokenized treasury bonds, with the interest rate to be determined on November 20, 2023, through book building. The bonds will be due in November 2024 with a minimum denomination of $180,000.
Significant Movements and Changes
- Polygon’s Gas Fee Surge: Polygon’s gas fee has skyrocketed to as high as 4000 gwei as the number of transactions on the network peaked to its highest since 2021 at 6.1 million transactions. This inflow is likely due to Polygon’s inscription event of PRC-20 POLs.
- Bitcoin Ordinals NFT’s Funding: Bitcoin Ordinals NFT ‘Taproot Wizards’ has raised $7.5 million in a round led by Standard Crypto. Co-founder of Standard Crypto, Alok Vasudev, has said that this investment has similar potential to the one Yuga Labs made in Bored Ape Yacht Club.
- Tether’s Bitcoin Mining Investment: Tether plans to invest $500 million over the next six months to build out its own Bitcoin mining facilities in three countries.
- Aave’s Rebranding: Aave companies will be renamed to ‘Avara’ as it acquires a crypto wallet called “Family”. The Aave protocol and Aave Labs names will remain unchanged but exist under Avara.
Actionable Insights
- Investigate the Potential of DeFi Protocols: The additional investment in Pendle Finance by Spartan Capital indicates the growing potential of DeFi protocols that offer innovative solutions like tokenizing and trading future yields from both blockchain and traditional assets.
- Explore Gaming Marketplaces: The launch of PancakeSwap’s gaming marketplace suggests a growing trend of integrating crypto tokens into gaming platforms. Developers and investors may want to explore these platforms for potential opportunities.
- Monitor Ether ETF Developments: BlackRock’s filing for a spot Ether ETF with the SEC could be a significant development in the crypto space, potentially leading to increased institutional interest in Ether.
- Consider the Impact of Tokenized Bonds: The Philippines’ offering of tokenized treasury bonds indicates a growing trend of governments exploring blockchain technology for financial instruments. This could have significant implications for the bond market.
