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Good Morning.

We either live in a simulation or it’s incredibly poetic that two once-in-a-few-decades events happened when half of the crypto industry population is flying to Dubai. Stay safe y’all!

In Today's Email:

• What Matters: Tether’s tokenization platform 💵 

• Case Study: Yield Trading on Sandglass ⌛️ 

• Governance & Features: Drfit DAO & Airdrop 🪂 

You read and share. We listen and improve. Send us feedback at [email protected].

TOGETHER WITH

Lightlink

LightLink is a novel Ethereum L2 blockchain that lets dApps and enterprises offer their users instant and gasless transactions. 

You don't even need to hold any tokens in your MetaMask wallet to make a transaction.

With a $6.2 million seed funding, a partnership with Animoca Brands, 125,000 daily transactions on Mainnet, plus Celestia underneath, they are quickly gaining momentum.

LightLink has increased its community airdrop allocation to 6% by trimming the allocations for its team and advisors.

LightLink is set to launch its native token $LL, through a Liquidity Bootstrapping Pool (LBP) on Fjord Foundry aiming for a fair and equitable distribution of tokens.

Fjord Foundry is known as the best platform to launch tokens. In Q1’24, projects launching on Fjord collectively raised over $131M, raising over $35M more than all the other top 15 leaders combined.

• $LL LBP is scheduled from April 18 to April 23, and will feature 50,000,000 tokens, with an initial price and end weights to be announced. 

• The liquidity pool will start with weights of 99% LL and 1% ETH, designed to decrease progressively. Unlike traditional token sale mechanisms, LBPs adjust the token's price based on real-time demand, preventing market manipulation by whales and bots. 

• Post-sale, the LL tokens will be available for use on the Ethereum network and can be bridged to the LightLink network.

Learn more about $LL’s LBP and sign up for updates on LightLink's official website.

WHAT MATTERS

Tether to Launch Multi-Chain Tokenization Platform

State of play: Paolo Ardoino, Tether's CEO, announced that Tether is close to launching a white-label, multi-chain tokenization platform.

• The platform would allow tokenizing bonds, stocks, funds, or reward points.

• Ardoino also emphasized that the solution would be fully non-custodial, multi-chain, multi-asset type, and super customizable.

• Ardoino emphasized the platform's flexibility, noting its features designed to streamline the tokenization of various assets, from bonds to coffee shop rewards.

Ardoino hinted at a connection between the tokenizing platform and Bitfinex Securities, which recently participated in a pioneering digital securities operation.

• Bitfinex is involved in the tokenization of debt for the construction of a new Hampton by Hilton hotel complex in El Salvador.

Why it matters: Once launched, the platform could facilitate smaller and medium-sized enterprises' entry into the tokenization space.

For builders and investors: Besides bonds and stocks RWA tokenization will transform the investment landscape by creating liquidity for traditionally illiquid assets.

• By dividing these assets into digital tokens, tokenization allows fractional interests to be bought and sold, simplifying transactions that would otherwise be capital-intensive and complex.

CASE STUDY

Sandglass: Pendle on Solana

State of play: Sandglass, a platform designed for yield trading on Solana, offers a unique approach to tokenizing assets. It particularly focuses on the separation of principal and yield components.

• Sandglass is a platform designed for trading yield on any token, offering a unique opportunity to earn additional yield on top of existing yield-bearing tokens.

• This model aims to simplify trading and liquidity provision by utilizing a pool system, where users can passively participate.

• The platform's AMM facilitates trading between principal tokens (PT), yield tokens (YT), and yield-bearing tokens (YBT).

• The platform utilizes PT to eliminate uncertainty regarding yield, YT to enable betting on yield independent of price, and LPs to facilitate trades between them.

• Sandglass also addresses impermanent loss by dynamically adjusting its pricing model based on realized yields, thus mitigating risks for liquidity providers.

• Users can employ various strategies, such as Fixed APY and Long Yield APY, to capitalize on yield predictions and generate profits.

• @durdenwannabe from Lifinity and Sandglass stated that Sandglass “took a first principles approach and modified Pendle's design with a number of key changes.”

Sandglass has successfully passed Sec3’s automated security audit with zero issues and plans to undergo a formal audit in June.

• The app will soon launch with an mSOL vault, expanding to include more vaults in the future.

• During the beta phase, trading will be open to all, while LP deposits will be closed initially.

• Sandglass aims to optimize liquidity provision before opening up for LP

Take a peek at our referral reward at the bottom of this issue. Share this newsletter and receive our list of 500 crypto VC individuals 👇

INSIGHTS

Bitcoin Ecosystem Potential

According to Franklin Templeton's report, while the market for fungible tokens on Bitcoin is still small compared to Ethereum and Solana, a new protocol called Runes could increase Bitcoin's fungible token market cap.

• Runes is anticipated to have a similar impact on Bitcoin's fungible token market as the launch of Ordinals had on Bitcoin's NFT market.

• Ethereum has $378B in market cap and $499B in fungible token market cap. While Solana has $65B in market cap and $37B in fungible token market cap.

• This shows that Bitcoin's fungible token market cap could potentially reach $600B (half of the Bitcoin market cap of $1.27T) or even bigger than its market cap similar to the Ethereum case.

Ansem noted that the forthcoming potential for Runes on Bitcoin to experience a significant surge, possibly reaching 100x growth, is a noteworthy observation.

• A pertinent aspect to consider in evaluating this potential is the comparison of Solana’s meme coins trading volumes against the current volume of Unisat.

• The introduction of native altcoins for “Bitcoiners” could create a wealth effect.

• The provenance of Bitcoin’s altcoins is anticipated to hold considerable significance.

FEATURES & GOVERNANCE UPDATE

Drift DAO and $100M Airdrop

Solana's DEX protocol, Drift, plans to release its token and distribute 100M $DRIFT to users in the upcoming weeks.

• The total supply of DRIFT tokens is 1B.

• 10% or 100M tokens will be distributed through an airdrop to 180,000 of its users based on their platform activity.

• Drift conducted "multiple" snapshots and performed a "comprehensive activity analysis" over the past three years.

Drift also plans to transition to a multi-branch DAO structure, including a Realms DAO for protocol development, a Security Council for overseeing upgrades, and a Futarchy DAO for funding technical grants.

• Drift DAO Foundation will coordinate decisions and initiatives between token holders and the DAO.

Other notable feature updates:

• Nomic launched stBTC on testnet.

• Layer N launched public testnet phase 1.

• Immutable introduced Immutable Nexus.

• Fantom launched canonical stablecoin USDC.e.

• EigenLayer launched EigenDA on Ethereum mainnet.

• UniswapX goes live on the Uniswap web app interface.

• Suilend launched out of beta and is now open to anyone.

• PancakeSwap & Stryke to introduce CLAMM options trading.

• Gains Network boosted the burn rate to 15% on Arbitrum for DAI trades.

QUICK BITES

• Top OKX executives exit the crypto exchange.

• GBTC outflows overpower other spot Bitcoin ETFs.

• PayPal removes buyer and seller protections for NFTs.

• Former New York Fed officer joins Binance US board.

• Michael Saylor dumps a quarter billion worth of MSTR.

• Bored Apes' floor price is down more than 90% from ATH.

• Korean Won surpasses the USD as the most-traded currency.

• Sen. Sherrod Brown is open to advancing stablecoin legislation.

• Anza released a network update to address Solana congestion issues.

NOTEWORTHY READS & MEME

• Matti’s read on beyond layers.

• Coinmetrics’ read on Bitcoin 4th halving.

• Our Network’s read on the Bitcoin halving.

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Disclaimer: All the information presented in this publication and its affiliates is strictly for educational purposes only. It should not be construed or taken as financial, legal, investment, or any other form of advice.