"DeFi" TAG

Examining the Relationship Between Ethereum Usage and the Value of Ether
  • research
Despite stablecoins and decentralized finance (DeFi) continuing to drive demand for gas consumption on Ethereum, and the smart contract network seeing higher usage than ever before, the price of Ether has remained largely range-bound in recent months both versus USD and BTC, raising important questions concerning the relationship between the network and its native asset...
Examining Base Layer Security and Token Value
  • research
In an earlier dispatch, we referenced Chris Burniske and Placeholder’s work on quantifying smart contract demand via the aggregate amount of fees paid to validators or miners. While illuminating in its own right, it led our research team to consider the long-term resilience of such a fee market on Ethereum and how this relates to a...
2019 Review: DeFi
  • research
As previously discussed by Smith + Crown, the significant majority of growth in the DeFi space is attributable to lending protocols, most notably Compound, as well as stablecoin projects such as MakerDAO that effectively function as a margin lending protocol for ETH holders. Particularly towards the end of the year, increased asset issuance from Synthetix...
Measuring Ethereum DeFi Growth
  • research
One of the major industry developments in the past year is the emergence of ‘Decentralized Finance’, or DeFi, applications that seek to offer alternatives to various traditional financial and banking services, such as lending, through a disintermediated, open protocol. The vast majority of DeFi projects are built on Ethereum smart contracts and use ETH, primarily...