>Compound
>AAVE
>Synthetix
>Maker
>???
All three have solid adoption. Way better than most, but why should I buy their tokens? Which one has the better value prop? Tried this thread yesterday but no responses. You may suggest one not on the list too, but stick to ones that have at least some adoption.
Please include why you think the >token< will gain value, not just why the system is good. No "token will blow up because of twitter/fomo/memes" and no lazy clone tokens.
Other urls found in this thread:
Yfi
Harvest
Pickle
Hedge funds on a smart contract. Harvest and pickle especially have an outsized price/earnings ratio. Extremely undervalued for the kind of earnings they generate for their stockholders (i.e. token holders)
chainlink
the token's value is a reflection of the definitive truth being communicated between data providers, chainlink nodes, and blockchains
Can you please give a one sentence value prop for each. As I understand it yfi does literally nothing at the moment, it's just governance.
We all hold LINK already. This thread is about DeFi systems, LINK is more just infrastructure and everything had been said and everyone that will buy have bought.
If you want DEFI exposure you might to look at the defi pulse index
defipulse.com
you can buy it on uniswap
I'm looking for value propositions. Prices in this market don't reflect fundamentals since it's so hype driven. Investing in an index in a market like this is just begging to underperform long term as memes die off.
Governance is literally the greatest value proposition, it is the mother of value propositions: it’s so early and the governance tokens for aave, uni and comp can vote for example for redistributing platform fees (already happening) or any fucking thing under the sun
Defi tokens are all used only for governance, they are totally useless.
All DeFi platforms can work without the tokens. If you look for a long term value and not speculative one, you better invest in a token that actually powers a platform like LINK or ATOM.
To make a governance proposition, you have to stake tokens that can be slashed to avoid proposition spamming. Therefore, once the "business model" of the platform will be well defined, governance proposition will no longer be created and the token will become not valuable anymore
Voting to redistribute fees will make people move to another platform unless there is a moat. UNI has a liquidity moat, but people have jumped to other DEXs before (idex and delta used to be the main ones). I don't buy governance being as valuable as you say, UNLESS there is something that will keep the users there indefinitely. You say we're early, this also means the situation changes fast. Many of the big platforms today will be abandoned.
Is this the case for all of the ones mentioned in the OP? I think maker at least gets some fees, and DAI is so established now I can see it staying the standard stablecoin for the forseeable future. No idea about how the price relates to fees collected though.
check INJ which will be used for governance in injective dex as well as for liquidity mining
What's their liquidity bait? How will they displace UNI?
No, they dont.
derivatives are holy grail of traditional finance and it's coming to crypto too that's what makes inj sexy
also uni doesn't provide derivatives yet
Vox
Looks pretty interesting from the site. How does it compare to SNX? I understand it's L2. Will it be able to track literally anything from, say sp500?
Put some effort in the shill m8. Even just a few sentences and why the token has value.
Harvest and pickle entitles you to 30% of the profits they make from their depositors.
In exchange for the 30% take, depositors get their principal deployed to the best yield farm at any given time, auto-compounded (saving gas), and as an extra incentive, get sprayed with FARM and Pickle.
Think of them as a high dividend stock. Right now harvest distributes about 28M of profits to FARM holders via their profit share pool. Same deal with Pickle but they earn about half that.
Why would anyone use this over a similar project/fork that only takes the bare minimum in fees to cover gas for pooled transactions, long term? I understand farming protocol tokens is a meme right now but I don't foresee it staying like that
Kill yourself brown pajeet shill
Be save and buy Defi++ from PieDAO or DPI.
Make your own thread for shilling your shitcoin instead of spamming.
Because, the FARM and Pickle emissions are worth more than the take (this because the market value of those tokens price in future earnings and appreciation) so even in pure ape APYs, you're better off staking your UNI LPs in Harvest or Pickle rather than directly on UNI.
Farm is also unique in that the way they do the profit share is by using the 30% take to market buy FARM tokens and distribute it to the profit share pool. Meaning, all else being equal - FARM will progressively to go up in value as long as there is TVL to earn the yields.
You dumb fuck you dont buy their token. You earn them by staking.
You earn very little from staking on their platforms. You stake because you get utility out of it, not to farm them.
If you really feel like you must farm them then you're better off staking at a higher apy yield farm and using the yields to market buy those tokens.
Lemme see if I get this correctly, it doesn't seem sustainable to me.
>I put money in harvest
>this money brings in yield by putting it in various protocols, lets call this Y
>I get 70% of Y
>30% of Y is kept and redistributed uniformly to FARM holders using buybacks
>I also get some FARM for having my money in there
The value of FARM then should be based on the 30% Y that they take from users. This would disadvantage (compared to an identical system w minimal fees) new users since they hold little FARM, being new users?
kek, kys
defi = ponzi
it will get banned anyway. imagine govs letting finance games without kyc/aml
well yeah I agree about the farms, as I understand it they're pretty much ponzis. defi in general isn't a ponzi, giving someone a collateralized can in no way be construed as such.
BSV isn't going to happen faggot
why would you call these hedge funds? they're just yield farms
YFL, stinky linkies 3x rewards coming soon, mad money for LP
>protocol buys tokens from the pool
>gives them to stakers to sell back to the pool
>this creates price appreciation
yeah, no