news

bitcoin

1 X bitcoin bitcoin =

Monday

26 July 2021

Success in DEX? Fast-growing crypto exchanges may hurt DeFi investors

Success in DEX? Fast-growing crypto exchanges may hurt DeFi investors


smart summary beta

For example, DEX ShibaSwap, which has been able to capitalize on the budding popularity of the style of Dogecoin (DOGE) with native token Shiba Inu (SHIB), was recently able to accrue a total value locked (TVL) of more than $1 billion within a day of its launch.

That said, an increasing number of users in recent months have become concerned simply with the incentive side of things, withdrawing their assets soon after their rewards have been issued.

Providing his insights on the contentious topic of artificial TVL inflation, Ross Middleton, co-founder and chief financial officer for DeversiFi, a layer-two decentralized finance (DeFi) trading platform, told Cointelegraph that low-cost DEXs do possess the ability to artificially inflate their volumes since there is very little economic cost to trading, stating:.

That said, he did concede that since ShibaSwap has been able to forge a solid brand name for itself — with its backing community rumored to be 300,000 strong — people may actually be bullish on the project, albeit temporarily

However, the lack of liquidity draining from Uniswap suggests to Middleton that ShibaSwap may not have been able to win the hearts and minds of Ethereans just yet

Goto Full Article

bitcoin bitcoin price

$38497.00

24h

Live Average

bitcoin

News Article Sentiment

negative

Score (-0.1)

Image

BTC gains 15% in 3 hours amid tight squeeze
published: 1 hour ago
A sharp squeeze has seen Bitcoin quickly rally to test $40,000 for the first time in roughly six weeks, reclaiming its 50-day moving average in the process.

sentiment (-0.1) Negative

Article Metadata

author

site

cointelegraph.com

categories

Market data feeds provided by cryptocompare.com
bitsmart 2021