The week of 30/01 in short – The news about Bitcoin and cryptocurrencies is constantly boiling. It can happen that crucial information gets lost in the daily information flow and that you miss important points. This format is there to remedy that. We return to thenews from the past week‘Crypto Weekly to keep you informed about the current situation of cryptocurrencies.
The unmissable of the week
For the return of the unmissable, we are pleased to come back to an article by lil. This one comes back with a full review of the year 2022 for the DeFi ecosystem.
The evolution of DeFi in 2022
First, there will be a decline in the total value locked across all DeFi protocols. Indeed, the TVL (Total Value Locked) went from $180 billion to just over $40 billionwithin 12 months.
Despite this observed decline, today’s level is significantly higher than before the start of the previous bull market. A sign of growth following market trends. Logically, the yield, in other words the interest received by users, who came to deposit their funds on the DeFi side, have also lost value.
And, we can see it through this graph which represents the average APY (percentage of interest accumulated over the year) rate, according to the TVL present in the ecosystem. We can see that the two are closely related. As the gains received by investors fall, the TVL also falls. How to explain this?
The main reason stems from the traditional financial markets which are, for multiple reasons (macroeconomic, financial, etc.), in steady decline for over a year. This has contributed to the fall in the price of cryptocurrencies as a whole. Logically, who says less cash in circulation with less value, says less interest to pay, and therefore fewer interested investors, therefore a fall in the TVL.
Do not hesitate to consult the article in its entirety for more details: Decentralized finance in 2022: between industrial disaster and optimism for the future.
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Crypto news in brief
▶ Sorare signs a partnership with the English Premier League. Obviously, this partnership will lead to the creation of exclusive NFT cards and marks a great publicity stunt for the French unicorn.
▶ FTX and Alameda could be behind the collapse of 3AC and Celsius. Thus, several wallets that have deteriorated the situation surrounding stETH could be associated with FTX.
▶ Elon Musk would consider setting up crypto payments on Twitter. At least, that’s what license applications for payment software suggest.
▶ Soon an MNBC in Saudi Arabia? Indeed, the Saudi Central Bank has indicated that it is continuing its digital currency experiments.
▶ Celsius: ponzi pyramid. This was revealed by documents suggesting that users’ stablecoins were used to buy CEL tokens.
▶ In 2022, $2.8 billion was stolen from the crypto ecosystem. Let’s see together how to find the right projects and eliminate the obvious scams.
The 5 metrics of the week
➤ $140 millionit’s here loss recorded by Tesla on its investments in BTC. However, this loss does not appear to have had a significant impact on the company’s finances.
➤ $38,000it’s about Bitcoin price currently practiced in Nigeria. Thus, faced with demand, the country reports a positive premium of 65% compared to the average price.
➤ 16 millionit’s the number of ETH deposited in staking on Ethereum. These can be removed after the Shanghai hard fork in March. This is currently being tested through a testnet called Zhejiang.
➤ 18,000it’s about number of UK ATMs to host GBPT stablecoin issued by PoundToken. A partnership with BitcoinPoint enables the deployment of the stablecoin to ATMs.
➤ 120.5 millionit’s the number of ETH currently in circulation. This figure indicates a local minimum since The Merge deployment. Indeed, the transition to Proof of Stake has allowed the Ethereum network to become deflationary.
Tweet of the week
Tweet of the week goes to our in-house investigator, Cryp0celot and their thread on the KB9 Metaclub NFT collection.
Have a nice week on the Journal du Coin! ?
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