Threading on the Edge

Only 42 projects have outperformed Bitcoin this year. Among the 15 top-performing projects, 11 are meme coins. Kudos to Arndxt for this research.

FED LOWERS INTEREST RATES BY 50BPS

Ethena website hacked, apparently

I just met some stablecoin project and I believe that stablecoins will be your only solution to expensive cross border fees. This will be largest market/use case of stablecoins as: - it takes less than 10 cents to send stablecoins vs 0.5% to 2.5% cost of sending money via a fintech or a bank - it takes less than 15 seconds for stablecoins to be received on the other side of the world vs. up to 7 days with banks and SWIFT https://x.com/arndxt_xo/status/1836439258187599942

We're pretty much at the bottom of the bottom already, exhaustion is all over, sentiment is weak. HODLers of $BTC rejoice because: - only 42 projects have outperformed $BTC this year. - 11 of the top 15 are meme coins. I have a strong feeling that things are about to shift, by late September, we’ll see momentum really start to build, and October is shaping up to be an incredible month for crypto. Instead, we’ll see new, promising ventures stepping up, especially with all the upcoming TGEs lined up for projects that genuinely add value. https://x.com/arndxt_xo/status/1836185378505863287

I wanted to make a point: Retail is still King. In fact liquidity challengs is the biggest headache for exchanges, and it seems to boil down to a classic chicken-and-egg scenario. Take Binance, for example. Its ability to attract a massive retail user base creates a magnetic effect. Retail traders bring in the professional players—day traders, high-frequency traders, proprietary hedge funds, institutional investors—who significantly amplify liquidity levels compared to what retail alone could provide. This increased liquidity, in turn, attracts even more retail traders, creating a positive feedback loop that solidifies Binance's dominant position. Conversely, other exchanges struggle because they can't replicate this initial attraction of retail users. They often resort to artificially incentivizing professional traders, but without substantial retail participation, they lack the organic momentum to appeal to market makers in a meaningful way. Market makers might trade against each other, but the profits are minimal compared to trading with retail flow. The absence of retail traders means professional liquidity providers see little opportunity, leading to a stagnant platform. This issue isn't confined to smaller platforms. Many Tier-2 exchanges and even some Tier-1 exchanges have a disproportionately smaller retail base compared to Binance or OKX. This disparity creates a vicious cycle: fewer traders lead to lower liquidity, which discourages new users from joining, further diminishing liquidity. DEXes face similar hurdles. Despite their innovative approaches, they are negligible compared to the comprehensive ecosystems of CEXs. The primary reason is user experience. Retail traders overwhelmingly prefer seamless, one-click experiences that don't require extensive education or effort. DeFi products, while groundbreaking, often demand a level of understanding and engagement that most retail users aren't willing to invest. Educational efforts on new products are slow and often ineffective, leaving CEXs with familiar, banking-like interfaces as the default choice for most people. All of this underscores a fundamental truth: retail liquidity is quintessential. It's the foundation upon which both exchanges and the projects listed on them are built. Without a strong retail presence, efforts to boost liquidity through professional traders or market makers are unlikely to succeed. Transparency is key to attracting and retaining retail users. Traders need to trust the platforms they use, and that trust is earned through clear communication, reliable services, and straightforward user experiences. Exchanges and projects must prioritize these aspects to break the cycle of low participation and low liquidity. In essence, solving the liquidity problem requires a shift in focus toward the retail user experience. By enhancing transparency and simplifying interactions, platforms can attract the crucial retail base that fuels liquidity. Without this foundation, even the most aggressive incentives for professional traders will fall short. It's time for exchanges and DeFi projects to recognize that retail participation isn't just a component of liquidity—it's the lifeblood that sustains the entire ecosystem https://x.com/arndxt_xo/status/1835999024740184146

Study USDT. Regardless of how bullish I am on stablecoin projects, USDT remains king USDT still heavily dominates the stablecoin supply, thanks to broad use case of: - payroll - yields - currency substitution - cross-border b2b payments - currency conversion optimization - remittances Probably, one of the successful factors for USDT. https://x.com/arndxt_xo/status/1835792790229492135

Created an ecosystem map for #Farcaster to help everyone better understand its ecosystem and the next steps in crypto social. I used the @RootDataLabs tool, which is very intuitive and easy to use, and makes information queries very convenient.

Recently, a16z invests heavily in tokenizing IP. And with this we are seeing more examples of tokenizations of IP and in the movie industry on @avax , the largest most institutional-trusted chain for tokenization and gaming. Pressman Film produced over 100 world-class motion pictures such as Wall Street, American Psycho, Badlands, and The Crow, RWA, IP, Tokenization will be a space that I am keeping tabs on as they are now tokenizing the fundraising for the development of 6 films on @avax https://x.com/arndxt_xo/status/1835721538018177148

📊 Average One-Week Performance After Token Listing: • 🟢 Bybit: +539% • 🟢 MEXC: +330% • 🟢 OKX: +174% • 🟢 KuCoin: +152% • 🟠 Gate: +86% • 🟠 Binance: +17% • 🔴 Coinbase: -1.87% Key Observations: • Bybit Leads the Pack: Tokens listed on Bybit have shown an average increase of +539% in their first week. This is a substantial gain compared to other exchanges. • Strong Showings by MEXC, OKX, and KuCoin: These exchanges also demonstrate impressive average gains, indicating robust trading activity and investor interest shortly after listing. • Moderate Gains on Gate and Binance: While still positive, the average gains here are more modest. Binance's +17% is particularly interesting given its stature in the crypto space. • Negative Average on Coinbase: Tokens listed on Coinbase have seen a slight average decrease of -1.87% in their first week, which could be due to various factors worth exploring. https://x.com/arndxt_xo/status/1835460118512853181