Research Summary
The report discusses the increasing relevance of cryptocurrency in U.S. politics, the emergence of new competitors in the restaking sector, and the growth of DeFi protocols. It also highlights the role of Inception, a restaking protocol, and Infinex, a UX layer for DeFi. The report concludes with the latest DeFi news and updates.
Key Takeaways
Cryptocurrency in U.S. Politics
- Trump’s Pro-Crypto Stance: Former U.S. President Donald Trump recently expressed his support for cryptocurrency, contrasting with the Biden administration’s anti-crypto policy. Trump’s campaign is reportedly working with Bitcoin Magazine CEO David Bailey to develop a crypto policy agenda.
- Increasing Voter Interest in Crypto: A recent survey revealed that over 20% of voters in swing states consider cryptocurrency a key issue in U.S. elections, indicating its growing political relevance.
Restaking Sector Developments
- New Competitor Symbiotic: Coindesk reported that Lido Co-Founders and Paradigm secretly funded a new restaking protocol, Symbiotic, which will allow users to restake ETH and other popular assets. This makes Symbiotic the third major competitor in the restaking sector after Eigenlayer and Karak.
- Inception’s Role in Restaking: Inception, an all-in-one restaking protocol, has merged with Genesis to create the first Restaking SuperdApp. Users can restake ETH or one of the 12 available LSTs on the platform and bridge inETH, Inception’s native liquid restaking token, across Linea, Mode, and Ethereum.
DeFi Protocol Developments
- Infinex’s Launch: Infinex, a UX Layer for DeFi built by the Synthetix founder, attracted $70M in TVL within three days of its launch. The platform aims to unify popular dApps under a single UX layer, simplifying the user experience.
- Solana Surpasses Ethereum L1: On May 12, Solana surpassed Ethereum L1 in Total Economic Value for the first time, despite having lower transaction fees. However, this data does not include the fees of Ethereum L2s, which have grown in popularity over the past two years.
Actionable Insights
- Monitor Political Developments: Given the increasing relevance of cryptocurrency in U.S. politics, stakeholders should closely monitor political developments and their potential impact on the crypto market.
- Explore Restaking Opportunities: With the emergence of new competitors in the restaking sector, investors may want to explore opportunities in restaking protocols like Symbiotic and Inception.
- Consider User Experience in DeFi: The success of Infinex highlights the importance of user experience in DeFi. Stakeholders should consider how to simplify and improve the user experience in their own DeFi projects.
- Assess the Potential of Solana: Solana’s recent achievement suggests it may be a strong contender in the DeFi space. Stakeholders should assess the potential of Solana and its implications for the broader DeFi market.
