ARP's Crypto Digest

ARP’s Crypto Digest

General Digital Asset Market View:

While the week started with a massive inflow of nearly $200M lead by Blackrock, the rest of the week saw significant outflows totaling $480M.

On Tuesday, ARKB had its worst outflow (-$102M) since the ETF began trading, and was followed by another day of -$59.3M outflow, marking the largest two-day exit for ARKB. Additionally, BlackRock's IBIT had its second-ever outflow on Thursday of -$13.5M.

Overall, IBIT flows were mostly stagnant this week, while significant outflows were seen from FBTC, BITB, ARKB, and GBTC.

More Crypto:

Since 2015, the Ethereum Foundation has deposited $2.80 billion in $ETH over time, including $100 million during the 2021 $ETH peak, with the most recent $100 million deposit to Kraken. Additionally, Kraken and bitmex is most used exchange by Ethereum Foundation.

Note: This is purely an on-chain post and does not represent any bias!

The graph captures both internal and external spend of the Ethereum Foundation. For example, “L1 R&D” includes grants to external client teams, and it also includes internal EF researchers. In 2023, the internal spend was about 38% and external spend was about 62%.

Base has hit a major milestone, and growth is taking off compared to other L2s with more active users and more transactions than competitors.

Two drivers of growth on Base:

• Basenames — 200k Basenames created in less than one week

• Aave surpasses $100M TVL on Base, indicating heavy usage — the Aave team also unveiled the Endless Summer program rewarding Aave users on Base.

What Happened This Week:

• Trader Joe revealed its roadmap, which includes launching an orderbook exchange, a DEX aggregator, and more.

• Telegram CEO was arrested in France a few days ago. He was eventually released but must remain in France.

• Donald Trump started a Telegram Channel for his upcoming DeFi project.

• MakerDAO rebranded to Sky and introduced its new SKY token. MKR holders will be able to upgrade their MKR to SKY and get 24,000 SKY per MKR.

What to Look Out For:

• Russia unveiled plans to launch 2 State-linked crypto exchanges. In addition, Russia will also release a new stablecoin that will be linked with the Chinese yuan.

• Polygon is building Agglayer, a technology that aims to solve the cross-L2 interoperability problem.

• Solana’s Firedancer Upgrade is expected to go live in Q4, and it will enable the network to process up to 1M transactions per second.

• Uniswap will soon release Uniswap V4, which will introduce Hooks, that enable the creation of fully customized AMM pools.

What we enjoyed reading and listening to:

• Breakdown of Vitaliks stance on DeFi — Link

• Coinbase’s first AI to AI crypto transaction — Link

• What We’re Reading: The Books Redefining Marketing and Innovation — Link

• Non-exhaustive list of the use of crypto in AI applications — Link

• Sugar High, by Arther Hayes — Link

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