This post is simply an update to outline the DeFi offerings on $STX that have changed since my original Crypto Review was written back in December.
Table of Contents
Protocol Health
DeFi updates
DExes
Stablecoins and Wrapped Bitcoin
(POL) Protocol Owned Liquidity
Other Projects
Bitcoin Domains
CityCoins
Conclusion
1. Protocol Health
Taking a brief peek at the STXstats website the protocol has been growing steadily since December.
Transactions per day continued to grow and some peaks emerged in January close to 20k tx a day. These peaks were likely a combination of inefficient code and large NFT project mints in January. Daily transactions seem to be holding relatively flat between 5k-11k a day.
Wallet addresses have been growing at a faster rate over time which is a good sign. One of the current impediments to growth and adoption is the current Hiro wallet. the desktop version of the wallet works well enough, but there is currently no mobile wallet available for android or iOS that is compatible with DeFi. This is some very easy low-hanging fruit and I’m surprised that the Stacks Foundation has made no move for mobile compatibility. Most DeFi built on $STX is only compatible with the Hiro wallet, and the Hiro wallet has no mobile functionality. Web 3.0 requires not only mobile functionality, but smooth mobile functionality. At risk of doxxing some of my security, the hot wallets I use for DeFi are mirrored on a mobile device that is sometimes on my person, because you need to be able to manage a position when you aren’t home. This is the only blockchain where I have to be on my crypto computer in order to manage my DeFi positions. That’s ridiculous. So I run extremely safe DeFi positions, and often go days and weeks at a time without engaging in DeFi on $STX. Mobile functionality for the Hiro wallet would likely bring significant network activity, and is an obvious move for the foundation to make.
Transaction fees mostly mirror the chart of daily transactions. Peaks mirror days with large NFT mints. Of note, quite a few of the DeFi dApps that have launched on STX have been working to bundle transactions and make their code more efficient. My average transaction costs have been falling steadily since March when I was paying 0.2-0.4 STX per transaction in DeFi, that has now dropped by 90% to around 0.03 STX per transaction. So the decrease in fees here is representing that improvement in code. STX uses a new coding language, so the developers on STX have been having to learn new methods of bundling code and making it more efficient. I’m not sure of how many daily transactions STX can handle in it’s current iteration before the mempool starts getting clogged with pending transactions, but I suspect it’s much higher than 20,000 in January that was causing significant traffic. (mempool is essentially the pool of all pending transaction for miners to choose from).
This is a rough representation of how many users are in DeFi. I would suspect that the tops of the recent peaks are a good representation of how many DeFi users are on STX. So probably 5,000. Again, the lack of mobile wallet App is likely impacting how many users are active daily, vs. weekly or less often, so it’s possible that this is an under-representation of active DeFi users.
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