Research Summary
The report provides an analysis of the profitability of top crypto bots operating on the Ethereum blockchain and Ethereum roll-ups. It highlights the earnings of Maestro, Unibot, and Banana Gun, their revenue sources, and the impact of token launches on their market shares. The report also discusses the shift towards sustainability among top bots and the significant reliance on tax revenue.
Key Takeaways
Profitability of Top Crypto Bots
- Maestro’s Dominance: Since its launch in July 2022, Maestro has been the most profitable crypto bot, accumulating 13.2K Ethereum (ETH). It channels all its revenue back into the project as it has no token.
- Unibot’s Performance: Unibot ranks second, earning 9.0K ETH. It introduced its own token (UNIBOT), enabling revenue sharing with token holders. 79.9% of Unibot’s earnings come from tax revenue accrued through the trading volume of UNIBOT.
- Banana Gun’s Earnings: Banana Gun is the third most profitable bot, with 1.9K ETH in earnings. It recently launched a token, enabling revenue-sharing with its holders. Its revenue stream is evenly distributed between bot revenue and tax revenue.
Market Share and Revenue Sources
- Market Share: Maestro, Unibot, and Banana Gun account for 82.7% of the revenue earned among the top 10 bots. However, Maestro’s market share decreased to 30.1% in September 2023, attributed to not launching a token.
- Revenue Sources: In September 2023, Unibot and Banana Gun earned 1.6K ETH and 1.4K ETH respectively, with a significant portion of their earnings coming from tax revenue. 7 out of the top 10 bots rely significantly on tax revenue, accounting for over 75% of their revenue mix.
Shift Towards Sustainability
- Sustainability Shift: The top bots (excluding Maestro) have shown a shift towards sustainability, with the bot-to-tax revenue ratio shifting from 20/80 to 26/74. This indicates a trend towards a more balanced revenue mix.
Actionable Insights
- Investigate the Potential of Token Launch: The report suggests that launching a token can significantly impact a bot’s market share and revenue mix. This could be a potential strategy for crypto bots looking to increase their profitability and market share.
- Explore Tax Revenue Opportunities: Given the significant reliance on tax revenue among top bots, there may be opportunities to optimize tax revenue strategies. This could involve exploring different tax structures or increasing trading volume.
- Consider Sustainability Shifts: The shift towards sustainability among top bots indicates a trend towards a more balanced revenue mix. Crypto bots may want to consider this trend when developing their revenue strategies.
