On March 14, 2024, Binance announced the launch of the 47th phase of the new coin mining project Ether, Fi ($ETHFI). At that time, users can go to the Launchpad official website after 8:00 on March 14, 2024 (East Eighth District). BNB and FUSD are invested in the ETHFI mining pool and receive $ETHFI token mining rewards within 4 days. Combining the recent financial situation of Binance Launchpool, peer benchmarking and mining cost calculations, we initially estimate the opening price of $ETHFI to be 5-6U. Due to factors such as the release of chips by the team and early investors at the opening, the high price may not be sustainable. sex.

1. Project introduction

1) Basic introduction

Ether.Fi is a new infrastructure-based staking protocol on Ethereum. Ether.Fi allows participants to retain control of their keys while proxy staking. At the same time, depositing ETH assets to Ether.Fi will automatically participate in Eigenlayer re-staking. Eigenlayer uses the pledged ETH to support external systems (such as Rollips, oracles), establishing an economic security layer, which increases the number of ETH pledgers in the process. income.

2) Product detailed features

Ether.Fi provides Ethereum stakers with a variety of mixed income. Staking eth (minimum pledge 0.001 eth) will receive eETH (redemption takes 14 days, and can also be traded on dex), with no time and quota restrictions.

Income: income from staking ETH (annualized 3.86%) + eigenlayer points (affected by the amount of eth flowing into the protocol, you have to wait for a while after staking to start accumulating points) + Ether.Fi points

More DeFi matryoshka play methods that can expand profits:

eEth can continue to be pledged to Curve, Pendle and other projects to provide liquidity and earn income (for example, Pendle’s eEth Pool can obtain twice the Ether.Fi points in addition to EigenLayer points)

 

3) Re-staking ecology

Since Ethereum was transferred to POS, wETH (warpped ETH) issued by pledge protocols such as Lido has brought a risk-free rate of return derived from POS to the Ethereum ecosystem, causing the scale of Ethereum pledges to continue to rise. Because in view of the "centralization" trends and risks that may be brought about by the rapid development of liquidity staking protocols mainly Lido, two new mainstream solutions have emerged on the market to ensure the security of the blockchain network. And decentralization, one is based on DVT (distributed validator technology), and the other is Re-staking. The representative project of the Re-staking concept is EigenLayer. LRT (Liquid Restaked Tokens) is mainly a solution to increase yields by releasing liquidity and adding an additional layer of leverage.

The re-pledge field is widely sought after by funds, and the lock-up volume has also increased by leaps and bounds. Currently, the number one re-pledge protocol, Ether.Fi, has locked up nearly 3 billion U.S. dollars, ranking second in the re-pledge field in terms of lock-up volume. agreement.

2. Financing history

Ether.Fi completed a $5.3 million seed round of financing in February 2023

Investment institutions include North Island Ventures, Chapter One and Node Capital, leading the investment, with BitMex founder Arthur Hayes participating in the investment.

The latest financing was at the end of February this year, when ether.fi announced the completion of US$27 million in financing. This round of financing was led by Bullish and CoinFund, and this round of financing was supported by more than 95 investors.

3. Team information

Mike Silagadze: Currently CEO of Ether.Fi and Gadze Finance. Previously, he was the founder of Top Hat.

Rok Kopp: is the co-founder and chief growth officer of EtherFi. He was previously the chief revenue officer of Obsidian HR and the vice president of enterprise sales at Top Hat.

4. Token economy

The total supply of $ETHFI is 1 billion, and 11.52% of the tokens will be unlocked at the opening.

$ETHFI token release cycle

Token functions:

① Ether.Fi’s vault

② Key protocol upgrade

③ Agreement fees and distribution

 

4. Community situation

· Twitter: 53.8K; https://twitter.com/ether_fi

·       Telegram: 3K ; https://t.me/+C3fpSjmPqzA5NTVh

·        Discord: 3.7K; https://discord.com/invite/zqGzcuQWvD

5. Prediction of token launch performance

Binance Launchpool Historical Performance

From the figure below, we can see the performance of Binance’s newly launched tokens through Launchpool and Launchpad recently. We can see that the recent launch of Launchpool has a higher return rate and higher participation. The number of BNB participants in Launchpool this time is even higher. It exceeded 17.8 million coins.

Comparison of Launchpool project opening performance:

Funding comparison:

The opening circulation of $Ether.Fi tokens this time is 11.52%, corresponding to 115.2 million tokens. From a financial perspective, we believe that the performance of the past nine projects since the market rebounded is relatively indicative. According to the average opening transaction volume of the last nine Launchpool projects, it was 477 million U.S. dollars. The average increase in the market value of the recent projects at the opening of the market was 36.90x, corresponding to an average market value of US$352 million. If the $ETHFI token reaches this circulating market value at opening, the corresponding price will be approximately US$3.06.

Mining cost calculation:

If we consider Binance's BNB borrowing cost, we refer to the 5-day moving average of BNB price (calculated based on BNB being 580U at the time of writing this article). The mining cost of $ETHFI is approximately 5.76U.

6. Things to note

Ether.Fi Points:

According to the calculation of over-the-counter Ether.Fi points in Whales market, the current unit price of 1 point is $0.0028. At present, Ether.Fi points have reached 37.3 billion (the upper limit has not been announced yet), with a value of approximately US$104.4 million. The temporary points limit and redemption ratio are subject to announcement.

Token unlocking conditions:

Details of the unlocking and conditions for $ETHFi token listing have not been announced. It can be seen that a large proportion of the tokens listed are airdropped tokens. This part can be considered as selling pressure, and early investors and advisors have unlocked them. Therefore, it is difficult for $ETHFI to maintain a high price when it opens.

 

7. Quote

https://www.ether.fi/

Binance Research, https://www.binance.com/zh-CN/research/projects/etherfi

Nan Zhi, Odaily Planet Daily, https://www.binance.com/bg/square/post/5346306357314