This Week in Blockfolio Signal — Ontology, Elrond, Aave, Avalanche, Injective
Every week we comb through hundreds of Blockfolio Signals to bring you the most significant team updates with brief analyses to help you understand the latest developments in blockchain.
But first, in macro crypto news this week:
Coinbase Files for IPO That Could Be Worth $28B 💰
DeVere CEO Says Bitcoin Will Rise 50% and ‘possibly double’ in 2021
Guggenheim to Invest in Bitcoin as CIO Gives BTC a $400,000 Target
One River Hedge Fund Buys $600M Bitcoin
Ruffer Investments Allocates 2.5% of Their $27B Portfolio to BTC
MicroStrategy Announces it Raised $650M to Buy More Bitcoin
Total ETH Staked in Ethereum 2.0 Surpasses $1 Billion
US Treasury May Introduce New Crypto Wallet Regulations
Top Blockfolio Signals of the past week:
Ontology Signs MOU with Litentry for Decentralized ID
Elrond Chosen by Stacktical to Deploy Decentralized SLAs
Aave Protocol Governance V2 Activated
Avalanche Introduces Initial Litigation Offerings (ILOs)
Injective Launches Yield Farming Derivative and Partners with Matic
Ontology Signs MOU with Litentry for Decentralized ID and Credit Ratings
“An MOU has been signed with Litentry to add not just DeID and ddFx support to Litentry’s identity aggregation and computation system, but OScore will be included as well! A huge step forward in the continued development we have with the Polkadot network!”
— Christina Liu, Overseas Community Manager
Summary
In a bid to further the shared goal of bringing about greater data privacy and transparency, Ontology has signed a Memorandum of Understanding (MOU) with Litentry, a blockchain identity management layer based on the Polkadot network.
They will collaborate to integrate Ontology’s decentralized identity solution, DeID, and DDXF, Ontology’s decentralized data exchange, and collaboration framework, into Litentry’s identity aggregation and computation system.
Ontology will make its DeID solution, as well as its OScore, the company’s proprietary decentralized credit-rating system, available to Litentry for the integration with its DID aggregation technology to generate new use cases.
Ontology and Litentry are aiming to onboard 10,000 users to the DeID and OScore solutions, enriching aggregated Identities and targeting potential customers based in Europe, the USA, Latin America, and South-East Asia.
Significance
This partnership has the potential to bring about greater fairness, privacy, and transparency when it comes to personal user data. Breaking the dependence on the centralized legacy financial system and credit rating agencies will better empower people and increase transactional efficiencies.
Price at the time of Blockfolio Signal: $0.53. View ONT on Blockfolio.
Elrond Chosen by Stacktical To Deploy Decentralized Service Level Agreements
“Service level agreements (SLAs) are contracts that define the terms and conditions for a provider to deliver services to its customers. Stacktical will use Elrond technology to deploy DSLA — a risk management protocol that helps service providers and customers to automatically settle deviations from service level agreements using smart contracts.
Today’s unexpected Google outage will likely cause tens of millions of dollars in losses to businesses worldwide. Automatically settling SLA breaches will increase the quality of online services and help avoid such situations. We’re happy to support this through our collaboration with Stacktical.”
— Beniamin Mincu, Founder & CEO
Summary
Service level agreements (SLAs) are contracts that define the terms and conditions for a provider to deliver services to its customers. They are widely used in the Software as a Service industry.
DSLA is a risk management protocol that helps service providers and customers to automatically settle deviations from service level agreements using smart contracts.
The first product built on this protocol is tailored for Staking Providers serving Proof of Stake blockchain networks. It enables their delegators to be reimbursed for Validators performing outside of the agreed metrics.
This collaboration will focus on adding Elrond Network validators information in the DSLA Ethereum-based smart contracts. In the long term, Stacktical will leverage Elrond’s high throughput and inexpensive smart contracts execution platform to deploy a decentralized SLA.
Significance
The collaboration will bring additional adoption for the Elrond smart contract platform and provide an immediately useful tool for Staking Providers looking to increase the quality of their services. It is a testament to Elrond that they were selected for their platform’s high throughput and inexpensive smart contract execution capabilities.
Price at the time of Blockfolio Signal: $24. View EGLD on Blockfolio.
Aave Protocol Governance V2 Activated
“After last week’s governance vote, Aave Protocol v2 Governance is officially live!”
— Isabel Kivlighan, Digital Marketing Manager
Summary
The Aave Protocol V2 launched just over a week ago and has grown rapidly. Last week, there was a governance vote on AIP-4, a proposal to activate Aave V2 governance, which was activated on Dec 17.
With V1 governance, only the Aave Genesis Team could submit Aave Improvement Proposals (AIPs). Now any Aave community actor that meets the requirements can create an AIP to add a new token to the protocol, update risk parameters, add a new liquidity market, etc.
Aave holders can now delegate proposal creation power to another actor and both AAVE and stkAAVE holders have voting rights, so staking will not be a hurdle for participating in the governance.
Significance
This important step towards decentralization means that community members can also create AIPs and vote, and delegate both powers to actors of their choice, making the Aave ecosystem a liquid democracy with many avenues for people to participate.
Price at the time of Blockfolio Signal: $84.63. View AAVE on Blockfolio.
Avalanche Introduces Initial Litigation Offering and Adds Cross-Chain Atomic Swaps
“Introducing the Initial Litigation Offering (ILO): Bringing the $10B asset class of litigation financing to Avalanche and retail investors for the first time with Republic & Roche Cyrulnik Freedman LLP. Read More
Cross-chain atomic swaps are officially on Avalanche thanks to Jelly Swap! To celebrate the launch, Jelly Swap is running a trading competition for AVAX.” Read More
— Jay Kurahashi-Sofue, VP of Marketing
Summary
Avalanche, Roche Cyrulnik Freedman LLP, and Republic Advisory Services are bringing the $10B asset class of litigation financing to the Avalanche blockchain through the creation of a first of its kind token, the Initial Litigation Offering (“ILO”), a blockchain-enabled product.
Litigation funding provides individuals who otherwise lack the necessary resources the funds needed to litigate or arbitrate a civil claim. ILOs tokenize an economic right in such claims. Each token indirectly represents a legal claim to a portion of the potential financial recovery.
The first “ILO” seeks to raise from retail investors to support Apothio LLC v. Kern County, State of California in the unlawful destruction of 500 acres of hemp crops worth approximately $1B.
Avalanche also announced that Jelly Swap, a new decentralized exchange (DEX), launched on their platform. Jelly Swap enables cross-chain swaps and token trading across Avalanche, Bitcoin, Ethereum, Harmony, and Binance Smart Chain. The platform enables instant trading of tokens supported on these blockchains by using atomic swaps technology.
Significance
ILOs are a breakthrough for both individuals lacking the resources to seek remediation, and for retail investors who are often locked out of the most highly-performant asset classes. They are fundamentally unique from any other investments, and the creation of the ILO marks the first time blockchain technology will be used to democratize financial products in this way. The launch of a DEX on Avalanche will help with liquidity and decentralized trading of the token, improving user privacy in the process.
Price at the time of Blockfolio Signal: $3.22. View AVAX on Blockfolio.
Injective Launches Yield Farming Derivative and Partners with Matic for Layer-2 Trading
“Injective Launches the World’s First Yield Farming Derivative
We are thrilled to launch the world’s first yield farming derivative. Now anyone can earn chain agnostic yield across popular layer-1 protocols such as Ethereum, BSC, and Polkadot with zero gas fees and a simple trading interface. Early access users of Solstice V2 will be able to take part in this starting later today. Injective Partners with Matic to Expand Layer-2 Derivatives Trading Globally
We are thrilled to announce a strategic partnership with Matic to expand layer-2 derivatives trading globally. This collaboration will focus on four distinct verticals that aid in heightening DeFi adoption globally.
“I’ve been a passionate supporter of Injective for quite some time. We are excited to see new Matic derivatives on Injective’s platform. As two pioneers in the layer-2 blockchain sector, I am certain that our teams can bring forward the burgeoning field of DeFi,” said Sandeep Nailwal, Matic COO.”
— Eric Chen, Co-Founder
Summary
With this new yield farming derivative from Injective, anyone can earn chain agnostic yield with zero gas fees and a simple trading interface.
The first yield farming derivative on Solstice V2 will be based on a specific Yearn Finance Vault. The derivative will track the performance of $1,000 USDT on Yearn Finance’s USDT3pool giving investors access to the same yield as a farmer on the USDT3pool without actually deploying money or having to directly interface with the protocol itself.
Injective also announced a strategic partnership with Matic to expand layer-2 derivatives trading globally. This collaboration will focus on four distinct verticals that aid in heightening DeFi adoption globally.
Significance
This is a huge step toward Injective’s goal to entirely democratize the financial sector. It allows anyone to be able to benefit from the innovations in the yield farming industry regardless of their experience level or financial status.
Price at the time of Blockfolio Signal: $3.20. View INJ on Blockfolio.
Quote of the Week:
“Bitcoin is a bank in cyberspace, run by incorruptible software, offering a global, affordable, simple, & secure savings account to billions of people that don’t have the option or desire to run their own hedge fund.”
— Michael Saylor
Thanks for joining us and we look forward to bringing you our top Blockfolio Signals again next week.
Jason Hamlin
Ecosystem Insights & Development @ Blockfolio
Blockfolio Signal is a first-of-its-kind communications platform built exclusively for token teams to connect and engage with their communities. Over 400 token team CEOs and team leaders actively use the platform to provide relevant project updates directly to Blockfolio’s 5 million+ users. Learn more at www.blockfolio.com/signal.
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