Author: OurNetwork

Compiled by: TechFlow

Yield

Convex Finance | Stake DAO | Pendle

Convex Finance

MarcoV | Website | Dashboard

Convex Finance's veCRV market share exceeds 45%

  • Convex Finance is a yield optimization platform designed specifically for Curve Finance users. Curve Finance is one of the largest decentralized exchanges (DEX) in the DeFi space. Users can obtain protocol fees, participate in voting decisions, and increase trading pool rewards by locking CRV (Curve's native token). In July of this year, the number of CRV locked in Convex Finance increased significantly, but this number has stabilized in recent months and is currently around 416 million. Despite the limited growth in the total amount of locked CRV, Convex's market share of locked CRV is increasing. This is because the number of locked CRV in the overall market has decreased, which has increased Convex's share to 45.6%, close to the high of 48.9% in August 2022.

Dune - @marcov

  • Similar to locking CRV, Convex's native token CVX can also be locked to obtain higher rewards. However, the number of locked CVX has decreased recently because some users have switched to staking CVX. Unlike locking, staking CVX has lower rewards but allows users to cancel the stake at any time, so it is more flexible. This change has led to an increase in the number of CRV corresponding to each unit of locked CVX, reaching a high of 9.8. Recently, the number of locked CVX seems to have risen again, and the current value is 9.18.

Dune - @Marcov

  • Judging from the total locked value (TVL) of Convex Finance, despite a sharp drop from the high of $20 billion in 2022, the protocol currently maintains a locked value of $1.16 billion on multiple blockchains. According to statistics from DeFi data analysis platform DefiLlama, Convex is still one of the top DeFi protocols in the Ethereum ecosystem.

Dune - @Marcov

Stake DAO

Hubert | Website | Dashboard

Stake DAO accounts for 20% of Curve's upstake weight, providing the best returns for liquidity providers (LPs)

  • In the competition among revenue aggregators surrounding the Curve platform, each platform is striving to accumulate more veCRV boosting weight. Recently, Stake DAO launched an important feature that allows veCRV holders to delegate their boost weight to Stake DAO in exchange for a share of the revenue. This move attracted Curve founder Michael Egorov, who delegated 50 million veCRV to the Stake DAO to boost its market share to over 20%. This change significantly improves the competitiveness of the Stake DAO platform in the veCRV promotion market, while also enhancing its ability to provide users with high returns.

Etherscan

  • To adapt to the new market conditions, Stake DAO subsequently updated its OnlyBoost feature. With this update, the OnlyBoost pool was able to combine the boost weights from Stake DAO, Convex, and Egorov, covering 70% of the boost supply in the market. This allows the Stake DAO platform to provide Curve liquidity providers (LPs) with returns that are, on average, 20%-40% higher than other platforms.

Stake DAO

  • With this update, the OnlyBoost feature successfully achieves the best annualized yield (APY) in the Curve pool. This is achieved through a smart contract that flexibly allocates deposits between Stake DAO and Michael Egorov’s boost weight, or Convex, based on the most efficient way.

DeFiLlama

  • Trading Spotlight: To more intuitively demonstrate how OnlyBoost provides the best returns for Curve pools, here is a recent “rebalancing” transaction example. A user wanted to optimize his alETH/pxETH liquidity position and maximized his returns by adjusting the deposit allocation on the Convex and Stake DAO platforms.

Pendle

Delleon McGlone | Website | Dashboard

The implied annualized yield (APY) has dropped to 12% from 36% earlier in 2024

  • Pendle is a protocol focused on yield trading, with the core function of tokenizing future yields and allowing users to trade them. Currently, Pendle's total locked value (TVL) is close to $4 billion, ranking first in the yield protocol ranking of DeFiLlama, a DeFi data analysis platform. However, Pendle's yield on Ethereum is highly volatile, with the average implied annualized yield (APY) ranging from 4% to 36% in the past year. In the past 12 days, the yield has dropped by 13% and is currently around 12%.

Dune - @datadealer

  • Pendle’s monthly active users on Ethereum peaked at 8,300 earlier this year, but user numbers have since trended downward.

Dune - @datadealer