Token Terminal

What's the addressable market for "Security as a Service" on Ethereum? A framework through the lens of EigenLayer 👇 1. Ethereum is growing as "network of networks" — similar to the internet itself. 2. Within this structure, you have applications that plug into Ethereum's consensus/settlement (e.g. Aave) that do not require active validation beyond passive reliance on Ethereum's consensus mechanism. 3. You also have applications that require active participation and validation by blockchain validators. For example, data availability solutions, data oracles, apps that require offchain computation. *This is EigenLayer's addressable market. 4. These projects don't want to bootstrap their own validators. That's really hard and complex. They'd rather focus on building great products. 5. So, EigenLayer has created a marketplace where these projects can use ETH as economic security for their Actively Validated Services. In doing so, they "rent security" from ETH holders via EigenLayer. 6. Right now the supply of ETH looking to provide services is about 10x the demand from Actively Validated Services. 7. But what is the GDP of Ethereum's future Actively Validated Services? 8. What % of the market can EigenLayer capture? 9. How much can they charge? What's their take rate? And how much goes to ETH holders? 10. Finally, how does value accrue back to the EIGEN token? (right now the protocol returns value to ETH) At the end of the day, a bet on EigenLayer is a bet on Ethereum and the modular tech stack. ---- If you're interested, I created a dashboard on Token Terminal breaking it all down for investors. See the first reply below if you'd like to access it 👇

Amidst all of the prevailing market volatility, Aave has experienced tremendous growth and continues to attract real usage. Since November, net deposits have grown by 60% and the protocol now manages over $35B in assets, by far the most of any lending protocol. Perhaps more importantly, however, utilization rates have grown in tandem with user deposits. Overall, active loans have increased by 63% and Aave currently handles over $14B in total loans. To put this into perspective, this is more than the entire combined TVL of the next two largest competitors. Moreover, daily fees recently reached $4.8M, their highest level since August, and Aave has now generated over $70M in total monthly fees, the fourth most of any application in the space. Meanwhile the underlying AAVE token has increased by 94% and has tracked the general shape of these net deposits, utilization rates, and fees. h/t Token Terminal

BREAKING: USDT on Ethereum overtook USDT on TRON. The USDT supply on Ethereum grew by ~$20 billion in the last month.

"If it works, EigenLayer will absorb the majority of ETH in existence" - Olaf Carlson-Wee Is it working? Today EigenLayer controls 14.6% of staked ETH and over 4% of ETH's circulating supply. But that's the *supply side.* - What is EigenLayer's addressable market on the *demand side?* - How much demand is out there today? - Who's the top competition? - What are the risks? And what are some key questions investors should contemplate as it pertains to EigenLayer? ---- My latest dashboard on Token Terminal covers EigenLayer and the "Security as a Service" business model within the Ethereum ecosystem. If you'd like to check it out, see the first comment below 👇

ICYMI: Users on Base (Coinbase's L2) have deposited $4 billion into applications on Base. That figure was ~$300 million at the beginning of the year. A good proxy for ecosystem growth. 🫡📊

Protocols with the most daily active users: 🥇 Solana 🥈 Base 🥉 TRON 4⃣ Uniswap 5⃣ Ronin An active user is defined as a (i) unique address that (ii) engages in a revenue-generating transaction (iii) during the relevant time period.

🔺⛓️ Stablecoin-Transport-Layer-Fit Agora's weekly AUSD transfer volume on Avalanche reached an all-time high this week: $410.7 million.

crypto has reached escape velocity 🧑🚀🌕 people... ▪️ value cryptoassets ▪️ hold cryptoassets ▪️ trade cryptoassets ▪️ borrow cryptoassets ▪️ use crypto applications ▪️ transact with stablecoins ▪️ earn by building in crypto ▪️ can use crypto networks for ~free a thread 🧵⬇️

Based charts from Token Terminal 🔵📊

Meet us at the Emergence conference in Prague! 👋 Sebastian Motelay is on the ground & eager to meet with teams that look to integrate with Token Terminal. Let's go! 🫡📈