DeFi & L1L2 Weekly - 🛑 Friend.tech is abandoned by its developer; EigenLayer reveals details of the 2nd EIGEN stakedrop
Friend.tech is abandoned by its development team. EigenLayer reveals details of the second EIGEN stakedrop. Synthetix launches a new app chain for on-chain governance.
Weekly DeFi Index
The market capitalisation and volume indices were positive at +4.16% and +14.20%, respectively, while the volatility index dropped by -22.89%.
SushiSwap (SUSHI) is set to introduce a meme coin launchpad called Dojo on 17 September. In partnership with Goat Trading, Dojo implements anti-dumping measures using Sushi V3, allowing users to sell tokens without slippage while setting a higher initial market cap of US$15,000 to deter predatory trading.
Aave (AAVE) launched a dedicated V3 deployment for EtherFi, enabling users to stake Ether in a decentralised manner while earning rewards. This integration aims to enhance the staking experience by providing lower fees and improved liquidity.
The Trump family is collaborating with AAVE on a new DeFi project to leverage AAVE's expertise in the DeFi space to create innovative financial solutions. Details about the project are limited, but the involvement of the Trump family indicates a significant interest in the cryptocurrency and blockchain space.
Chart of the Week
The development team behind Friend.tech abandoned the control of the project by transferring ownership of its smart contracts to the Ethereum burn address, which effectively locks the platform in its current state. Following this announcement, the FRIEND token plummeted by 26.4%, reaching an all-time low.
The platform, which gained popularity for allowing users to trade tokens for access to influencers, saw its daily activity and revenues drop dramatically. Despite previous attempts to revive interest through updates and airdrops, the platform’s trading activity never fully recovered, leading to the team's decision to relinquish control over the platform.
News Highlights
Fantom, which rebranded to Sonic Labs, launched its testnet recently. This new initiative aims to enhance scalability and performance, improving the user experience in decentralised applications. The testnet will allow developers to experiment with features and functionalities before the official launch, marking a significant step in Fantom's commitment to innovation in the blockchain space.
Synthetix launched a new app chain called SNAXchain using Optimism’s infrastructure. SNAXchain will serve as an on-chain governance platform for Synthetix deployments on Ethereum and Layer-2 scaling chains. Future functionality for SNAXchain includes staking for SNX, cross-chain liquidity, and powering a custom-built perpetuals product.
EigenLayer is set to distribute 86 million EIGEN tokens as part of its ‘season 2 stakedrop’. This allocation represents about 5% of the total supply, with 70 million tokens designated for stakers and node operators, while ecosystem partners and the community will receive 10 million and 6 million tokens respectively. The distribution is scheduled to begin on 17 September.
ARPA Network, one of the EigenLayer actively validated services (AVS), plans to issue restaking rewards in its native ARPA token. This allows stakers to earn rewards while securing multiple networks at the same time.
Kujira, a Cosmos-based DeFi network, merged with three ecosystem partners to form the ‘Rujira Alliance’. The alliance aims to build a new application layer for THORChain's cross-chain liquidity protocol. The merge will not affect the functionality of Kujira's native KUJI token or its blockchain network. Kujira faced liquidity issues in August this year, causing its KUJI token to plummet by 70%.
The United States Commodity Futures Trading Commission (CFTC) charged Uniswap Labs with illegally offering leveraged cryptocurrency trading to US retail investors. Uniswap Labs agreed to settle the charges by paying a $175,000 civil penalty and ceasing violations of the Commodity Exchange Act.
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Research and Insights Team
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