Recent Trends in the DeFi Market: The Return of Stablecoin Season and Accelerated Superchain Layouts

Recently, the Decentralized Finance market has shown an active trend, with stablecoin projects and Layer 2 ecosystems becoming the focus of attention.

A new round of competition has arrived in the stablecoin sector

The USDtb stablecoin launched by Ethena has attracted market attention. The project has partnered with Usual to expand its influence by exchanging TVL and incentive measures. WLFI has also joined the collaboration, integrating sUSDe into its lending market.

Unlike the previous stablecoin battle, this round of competition shows a clear trend of collaboration. Usual has adopted a multi-party game stablecoin mining mechanism, which is similar to the Pool1-3 model from the DeFi Summer period, but has made innovations in the concepts of physical assets, the finesse of the game model, and liquidity exit.

As another highly regarded stablecoin project, Resolv's TVL has increased by nearly 400% in the past two weeks. The protocol introduces the RLP mechanism as a risk buffer layer, providing differentiated options for users with different risk preferences.

The established project Frax is also actively adjusting its strategy, collaborating with Symbiotic to launch the veFRAX multi-yield structure, while considering using an ETF product from a well-known asset management company as collateral for Frax USD.

Layer 2 ecosystem continues to expand

The Ink network developed by a certain exchange has officially launched and joined the super chain camp. Dinero has subsequently launched the first LST product on Ink. Velodrome plans to integrate into Ink by 2025 and has locked a large amount of veVELO tokens. This series of actions indicates that compliant exchanges developing their own Layer 2 networks may become a trend in the coming years.

Traditional Decentralized Finance Projects Seek Innovation

The established DeFi project Convex has teamed up with Yearn to launch the decentralized stable protocol Resupply, which uses yield-generating stablecoins from the lending market as collateral for its reUSD stablecoin and offers built-in leverage features.

GammaSwap is about to complete the development of Yield Token and enter the audit phase. The project aims to hedge impermanent loss by achieving a yield curve similar to options through the lending and restructuring of LP tokens.

Other Important Developments

• Ethena proposes to collaborate with Derive, positioning it as an on-chain hedging and underlying trading venue.
• A certain public chain project is undergoing a management restructuring, and the new CEO has stated that there will be a greater emphasis on Decentralized Finance development.
• Babypie incentivizes mBTC-BTC liquidity pairs across multiple chains and DEXs.
• Fluid expands to certain L2 networks, aiming to capture larger transaction volumes.
• A certain public chain foundation has launched an AI-related program, and multiple projects within the ecosystem have also made new progress.

The DeFi market as a whole is showing a trend of innovation and collaboration, with various projects actively exploring new growth points and value creation models.