đź‘» AAVE launches GHO (finally…almost)

Jul 6, 2023 | Newsletter

GM Legends,

As I sit here writing this the market makers are letting Bitcoin teleport back through $31,400 whilst Ethereum looks like it’s ready for a sneak attack back to $2,100.

Solana clips $20 again as the dino defi coins, COMP, LTC, XEC and AAVE all continue to make us question… “wen dino defi 1.0 season 2?!”

Today we look at the dino powerhouse AAVE as speculation has it that the release of the GHO stablecoin is closer than we all think.

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Need to know.
If you’ve only got 2 minutes.

The big story.
👻 Aave’s GHO stablecoin… wen?! Soon!

DeFi insights.
🖼 Tokens launching with GMX V2 released 
📅 Surge launches on Arbitrum
🫠 GM degen podcast:

In the news.
🐮 Larry Fink “Bitcoin Could Revolutionise Finance”
🐻 1inch “tests Fusion features” by dumping 11,000 ETH
👨🏻‍💼 What the FED?! SEC Gensler rap video

Plus Twitter reads from @DegenSpartan, @hxrobtc and @zerototom!

🔥 The big story.
To make you think.

👻 Aave’s GHO stablecoin… wen?! Soon!

With summer on the horizon and the Hampton holidayers en route home, Rekts post got me thinking…

Rektdiomedes

There’s been a recent sentiment shift towards the resurrection of these old-school dinosaur DeFi coins which are making a compelling argument for a “Dino Defi 1.0 v2 Summer.”

Whilst COMP, MKR, XEC and LTC have all made portfolios look pretty plump this week… AAVE has been of particular interest with its continued cross-chain deployments and most notably with the long-awaited launch of GHO stablecoin (we hope) being right around the corner.

$AAVE & $GHO TLDR

Aave is a decentralised crypto lending platform that lets users borrow and lend crypto on Ethereum, Arbitrum, Optimism, Polygon, Avalanche and Metis.

GHO is a fully backed multi-collateralised stablecoin native to Aave and like most decentralised stablecoins, GHO can be minted as a loan against assets deposited into Aave V3.

GHO will be in direct competition with MakerDAO’s DAI and, despite their technological differences, Curve’s crvUSD.

Simple.

$GHO, sooner than we think

Last month we saw this ARFC pop up in the Aave Governance forums (full proposal).

Once this ARFC proposal has been accepted it’ll move onto the AIP stage where the DAO begins the voting process to launch the GHO stablecoin to finally ignite the battle of the stablecoins we have all been waiting for, GHO vs crvUSD.

Technically speaking, nothing is holding the official launch of GHO back as highlighted by Marc Zeller. So for now we will keep an eye out for the GHO AIP to be launched.

WEN WEN WEN?!

It looks close, anon.

Quietly, in a bear market, without a penny of liquidity mining or ponzinomics.

Aave V3 Ethereum market reached 2B$ market size.

Revenue is also up only due to increasing stablecoin borrows & LST/ETH loops

GHO distribution to safety module passed TEMP CHECK snapshot vote. http

— Marc Zeller 👻 💜 🦇🔊 (@lemiscate)
Jul 2, 2023

The way the chart pumped on June 25, speculators might say that insiders or whales know something about something.

With ETH CC right around the corner and with, Aave & Lens Founder Stani Kulechov, Director of Developer Relations, Nader Debit and Marc Zellar from Aave-Chain Initiatives speaking… it seems almost too well-timed.

Why should we care?

But why should we care about another stablecoin being added to a market where liquidity is already pretty slim?

Firstly, Aave token holders will smile as the price pumped 43%+ over the last 2 weeks.

AAVE 1D | Tradining View

Secondly, this could be a much-needed breath of fresh air defi needs. Aave is the powerhouse of the borrowing and lending space and the addition of a native stablecoin will add additional functionality and opportunities for users. Staked Aave (stkAAVE) holders will also receive a discount on borrowing.

Here’s why Aave Protocol is a hidden gem on borrowing costs, as the yield on collateral reduces the overall net borrow rates. Excited to see how GHO will extend this opportunity

— Stani.lens (🌿,👻) (@StaniKulechov)
Jul 4, 2023

Thirdly, Aave April grants are bullish for GHO.

Meet our April Grantees 👻

We’re thrilled to welcome 7️⃣ innovative projects to the Aave Grants fam.

Want to learn more? Keep reading for a spotlight on each team and how they’re contributing to @AaveAave & @GHO@GHOAavein us… 🧵⬇️ http

— AaveGrants.lens (@AaveGrants)
Jun 15, 2023

With GHO first being launched on Ethereum’s mainnet I wouldn’t be surprised if we see a flood of proposals submitted to the Aave DAO to launch it on each chain that supports Aave V3.

Thus, potentially creating an “Aave V3 Ecosystem DeFi summer.”

And in every good DeFi summer season there will be another profitable ponzi because we all love a good ponzi… nodes, rebases or maybe an ingenious protocol developed, controlled and governed by a collective of AI-generated brains.

On a side note…

Whats the max RWAs % composition that a stablecoin should be backed by?

— Stani.lens (🌿,👻) (@StaniKulechov)
Jul 3, 2023

Are real-world assets (RWAs) coming to GHO? Bull for institute and tradfi? Or just another speculative FAD for crypto Twitter to pump their bags?

One question that needs to be asked and then addressed is “What is the stance of the SEC and FED on decentralised stablecoins?” as CBDCs are being tested crossed the globe.

Our take.

Let’s zoom out for just one moment.

We are 9 months away from the Bitcoin halving and we’re seeing the powerhouses of crypto, and tradfi, preparing themselves for it.

Blackrocks wants a spot BTC ETF, Aave & Curves decentralised stablecoins, Optimisms superchain and Cardano’s… Carda-shians?!

This feels like the “warm up” before the innovative ponzis come to town piggybacking off the Bitcoin halving to spur on another proper DeFi bullrun… good ponzi that.

As for the battle of the stables, GHO vs DAI vs crvUSD is about to kick off but will Aave learn from Curve’s first-mover advantage?

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👀 DeFi insights.
Project updates, governance reports and industry secrets.

The World of DeFi

  • AEVO – Referrals program rollout. (Twitter)

  • GMX – Tanoeth Tweets which tokens will be launched on V2. (Twitter)

  • HXRO Network – Release video teaser featuring aDapps being released this summer. (Twitter)

  • Luminex – Introduce BRC69, a new standard for creating Recursive Ordinals. (Twitter)

  • Mozaic Finance – Public sale sold out in less than 24 hours. (Twitter)

  • Orange Finance – Announces partnership with Camelot DEX. (Twitter)

  • Panoptic – Gated signup list is officially open. (Twitter)

  • Pendle Finance – After the recent Binance listing, Pendle goes live on BSC. (Twitter)

  • Sparta DEX – Official airdrop thread for the $SPARTA token announced. (Twitter)

  • Surge – A permissionless lending protocol launched yesterday on Arbitrum. (Twitter)

  • Swell Network – Chief Swell Researcher breaks down the current Pearl figures. (Twitter)

  • Vesta Finance – V2 proposal has been confirmed. (Twitter)

  • Yearn Finance – yETH bootstrapping announced. (Twitter)

  • Zero Liquid – Announced partnership with unshETH. (Twitter)

Governance Updates

  • Aave – Community votes to convert 1,600 ETH to equal amounts of wstETH and rETH. (Aave Forums)

🫠 GM degen.
The latest GM degen podcast.

Today Grant sat down with the Savvy Defi team, the 0% Interest, ZERO Liquidation, Self Repaying Loans protocol on Arbitrum and Trader Joe.

We ask WHY Arbitrum & Joe ?! WEN airdrop?! and WHAT’s to come?!

Spotify | YouTube | Twitter

🗞 In the news.
The important bits.

  • 1inch dumps 11,000 ETH to “test Fusion transaction features.” CEO Kunz said “trade was executed with a better average rate compared to just a market swap.” (The Block)

  • Binance suspends MultiChain assets including Polkastarter (POLS), Alchemy Pay (ACH), Beefy.Finance (BIFI), Harvest Finance (FARM) and others. (The Block)

  • BlackRock “Bitcoin Could Revolutionise Finance” says CEO Larry Fink in an interview with Fox Business on Wednesday. (Coindesk)

  • Blur founder strikes back as the “pitchforks” come out during the lowest point in NFT winter. (Twitter)

  • Circle looks to Japan to launch a Japanese stablecoin. (Coindesk)

  • Valkyrie refiles for Spot BTC ETF naming Coinbase as Surveillance Partner. (Coindesk)

👨🏻‍💼 What the FED?!

FED meeting minutes revealed yesterday that there were disagreements amongst members who want rates to go higher whilst inflation remains a problem with possibly 2 more rate hikes to come.

In the meantime…

So the SEC’s protecting me…?
Set Cz free please let him be!

— lil bubble (@TheCryptoBubble)
Jul 3, 2023

🐥 Twitter reads.
In case you missed it.

@DegenSpartan, would you trust this man that isn’t as bald as Brian and CZ?

i have 2 problems with larry twink

i have circled them for you to assist in peer review

— 찌 G 跻 じ MBA, CFA, FRM, CFP, NGMI, HFSP, HENTAI 🛡️ (@DegenSpartan)
Jul 6, 2023

@hxrobtc, dropping some alpha on what’s coming on the HXRO network.

The tokens being launched in coming weeks by a few of the @HxroNetwork powered dapps are going to introduce some of the most well designed, revolutionary token economics the @solana defi ecosystem has ever seen.

These designs have already proven out on evm chains and other than… twitter.com/i/web/status/1…

— Gunny Hxro (✖️,✖️) 🦍🍭🧊🛡️ (@hxrobtc)
Jul 5, 2023

@zerototom’s Bitcoin and Ethereum comparison.

🟧despite $BTC increasing in price by 13.8% over the prior 30 days the percentage of all circulating $BTC which has not moved for ≥6 months has increased by +0.243% to 78.677% during this period.

⬜️despite $ETH increasing in price by 2.3% over the prior 30 days the percentage… twitter.com/i/web/status/1…

— ZeroToTom (@zerototom)
Jul 5, 2023

And on that note, thanks for reading, catcha apes in the next edition!

blocmates team 🫡

🤝 A final word.

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