⚡April Airdrops Firing Up
Plus Base inflows surge, finding alpha on social media, and more
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📈Trends and Narratives
April Airdrops Firing Up
Despite the recent muted price action of the crypto market, the month of April has started off strong with several major airdrops, and more are scheduled this month.
Ethena’s ENA token launched April 2nd at a $9B fully diluted valuation. From there, it’s marched upwards and has now doubled.
Wormhole’s W token launched April 6th, and after reaching nearly a $15B valuation, it’s down to a $10B FDV.
Tensor, the largest NFT marketplace on Solana, launched their token just this morning and currently have an FDV of over $2 Billion.
While these airdrops performed very differently, they are still brand new and will take time to develop. These protocols are massive, and they’re only the start of Airdrop April.
Eigenlayer, LayerZero and zkSync are massive protocols expected to drop soon. Eigenlayer alone has $12.5B in TVL, and could be the biggest protocol launch ever.
Among these, Solana protocols, modular layers, DEXs and L2s will be launching tokens as well:
What happens to the broader market after significant airdrops? Will the protocols airdropping capture the value, or will the underlying chain? If airdrop recipients sell their drops, what will they buy?
Will there be a ‘wealth effect’ on-chain? Here’s how the JTO airdrop may have contributed to Solana’s wild run:
Don’t forget FriendTech will be launching their 100% community-owned airdrop soon as well. This could have a similar wealth effect for the Base ecosystem as Jito did for Solana.
How to Capitalize
Continue farming airdrops with high growth potential. Base, Solana, Blast, and Mode in particular still have many opportunities.
If you’ve been using tokenless protocols so far, be sure to keep up to date on airdrop news, so that you don’t miss any claimable tokens.
I discussed my strategy for airdrops moving forward in my Pro Newsletter, you can read more here!
🔢On-Chain Analysis
Base Deposits Jump as Volume Slows
Base, Coinbase’s Layer 2, continued to accumulate deposits this week, even as activity slowed down from last week. TVL in Base DeFi hit a new all-time high of $1.458B.
New money also entered the chain, with total assets on Base reaching over $4B this week.
Activity generally moves in cycles, especially when memes are involved, so watch for Base to continue attracting new users. Growing liquidity on chain and resulting price increases usually attracts more activity eventually.
🚜Farm of the Week
W-JITOSOL on Kamino
Kamino is a popular Solana protocol with a solid team that prepares pools of brand new tokens quickly. The protocol has over $1B in TVL.
How it Works
If you received the W airdrop, or are planning to buy the token, you can currently earn around 230% by providing liquidity into this pair. You don’t need to supply both tokens, the protocol will split the position at the correct ratio for you.
You’ll also earn Kamino points for the KMNO airdrop coming soon.
Risks
Here are the farm’s APY details on DefiLlama - the pool is only a few days old, so expect a wide range of APYs, but there’s nearly $7M TVL in the pool and I expect the pool to continue to earn considerable fees.
🛠️Tool Spotlight
Find Alpha on Social Media with AlphaScan
Social media can one of the most powerful ways to learn about new cryptos when used correctly and one of the worst when used incorrectly.
AlphaScan helps you to use Twitter and Telegram more systematically for crypto. It identifies:
Influencer activity by token
Which influencers talked about a token early (before the price pumped)
The historical track record of different influencers
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📅Key Events This Week
Macro Events
📊 US CPI Data - April 10th
📊 FOMC Member Bowman speaks - April 10th
📊 FOMC meeting minutes - April 10th
📊 FOMC Member Williams speaks - April 11th
📊 US CPI Data - April 11th
Token Unlocks
🔓 GMT (5.61%) - April 7th
🔓 HFT (3.55%) - April 7th
🔓 ENS (3.03%) - April 8th
🔓 WOO (0.71%) - April 10th
🔓 APT (6.24%) - April 12th
Launches & Updates
Note that these launches are mostly unvetted by the Dynamo DeFi team and this isn’t an endorsement of any of them.
🚀 Minswap Stableswap launch - April 8th (Source)
🚀 UFO Super Galactic closed beta launch - April 8th (Source)
🚀 WMT early staking snapshot- April 9th (Source)
🚀 Unizen mobile app launch - April 8th (Source)
That’s all for this week. For more frequent content, follow me on Twitter and YouTube.
Until next time,
Patrick Scott
Dynamo DeFi
I joined because the spreadsheet you provided i a separate article is simply valuable! I am completely new to this, and I don't have followers to use my code to get anywhere on top of the leaderboard. But I do have some money to stake/swap. It will be great if you share which ones I should focus on farming for ppl like me?
Great insights!