⚡Bring On-Chain Data to ChatGPT

Plus Telegram crypto bots, next gen Ethereum rollups, and more

The Dynamo DeFi newsletter covers the most interesting stats, trends, and tools in crypto each week.

In this issue:

🔢On-Chain Metrics

📈Trends & Narratives

🛠️Tool Spotlight

📅Key Events This Week

In case you missed my previous email, I created an e-book with an introduction to on-chain analysis that I’m giving away to email subscribers. You can find it at this link.

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🔢On-Chain Metrics

Ethereum Leads Total DeFi Recovery

Total DeFi TVL grew from $65.27B to $60.39B this week. This growth was driven by Ethereum, which grew by 8.87% week-over-week. Among top chains, only Avalanche and Mixin posted a higher % growth.

zkSync Era Shines Across Major Metrics

zkSync Era, an Ethereum Layer 2 Rollup released this year, continued to shine across major metrics. Today, it hit a new all-time high in both Total Value Locked and DEX Volume.

Many people have criticized this chain for being heavily used by airdrop farmers; however, in previous Ethereum Layer 2 airdrops (Arbitrum and Optimism), network activity actually increased following their airdrop.

Amount of Staked ETH Climbs

The raw total and percent of ETH that is staked continued to climb to new heights this week, nearly hitting 20%.

This dashboard by hildobby shows that the rapid ascent in the quantity of ETH deposited since April.

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📈Trends and Narratives

The Next Generation of Ethereum Rollups (Fraxchain and Mantle)

The success stories of Arbitrum and Optimism and upside of successfully scaling Ethereum have inspired other established players to launch their own Ethereum rollups. Mantle was developed by BitDAO, which has the largest treasury in crypto (excluding own tokens).

Another major DeFi project, Frax Finance, announced their own Ethereum Layer 2, Fraxchain last week. This thread by StableScarab goes through the details:

Telegram Crypto Bots Gain Traction

Telegram crypto-trading bots recently emerged as a trend seemingly out of nowhere. Maestro jumped to being a top protocol in terms of fees and Unibot had a tremendous price run-up. These bots typically allow users to easily track new DEX listings and whale wallets and then make purchases directly in Telegram.

I suspect that part of the success of these bots is that they solve some major issues with current crypto UI. This thread from francesco outlines the value proposition of these Telegram bots nicely:

On a related note, I’ve long pointed out how indispensable Telegram is to the crypto ecosystem. In the world of crypto, business is conducted on Telegram and new projects often launch their communities on Telegram. Bringing trading directly makes sense as a next-step.

Liquid Staking Fi Catalysts

As more liquidity flows into liquid staking, protocols that build on top of this financial primitive have benefited. The DeFi Investor compiled upcoming catalysts for this sector, dubbed “LSDFi”.

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🛠️Tool Spotlight

DefiLlama ChatGPT Plugin Uses AI for Crypto Research

This week I experimented with DefiLlama’s new ChatGPT plugin. This plugin, which requires ChatGPT Plus, allows you to pull DefiLlama data directly into ChatGPT. I’m already using this to help summarize and find key trends in on-chain data.

If you’re interested in installing and using this plug-in. Check out my guides here and here.

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📅Key Events This Week

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That’s all for this week. For more frequent content, follow me on Twitter and YouTube.

Until next time,

Patrick Scott

Dynamo DeFi