➤ Highlights of the past week:

◦ Memeland launched FREE $MEME farming event

◦ Uniswap founder burned 99% of $HAY tokens

◦ Rabby introduced Desktop wallet

◦ $LINK announced Chainlink Staking v0.2

◦ Maker's $MKR annual revenue hit a record high of $203M, $DAI supply reached a yearly ATH of $5.6B

◦ Bybit will launch a @0xPolygonLabs $POL Launchpool

◦ Uniswap added 0.15% fee in the interface

◦ lightning launched Taproot Assets for Bitcoin network

◦ circle launched beta version of Gas Station

◦ Celestia redistributed the unclaimed $TIA airdr0p

◦ Polkadot has selected 14 projects as part of the Relayers incubator

◦ Manta Network plans to abandon OP Stack in favor of Polygon

➤ Launches:

◦ Scroll official bridge is live

◦ zkLend is launched on Starknet

◦ ssv_network will launch a Governance 2.0

◦ ether_fi $eETH will be launched on November 6

◦ BNBCHAIN Greenfield mainnet is live

◦ ShellProtocol will launch a V3 protocol

◦ TrustWallet upgraded the wallet to V2 version

➤ Others:

◦ SEC drops charges against Ripple CEO

◦ Former Consensys employees sued the CEO

◦ FantomFDN employee's wallet was drained

◦ Tether_to freezes 32 addresses

➤ Major Ecosystems are the most risk-free investments with 5-15x potential.

Arbitrum $ARB is well-positioned to sustain its growth and deliver significant returns.

◢ Latest stuff you need to know:
➜ #Arbitrum STIP for ecosystem projects was a game-changer
➜ This program provided a benchmark for future similar programs due to high demand
➜ Discussions have ignited excitement for the upcoming Arbitrum season

◢ Highlights of the Short Term Incentive Program (STIP):
◦ The first round of the STIP has ended.
◦ 29 projects will receive grants totaling about 50 million $ARB tokens.
◦ GMX will receive 12 million $ARB to stimulate the development.
◦ MUX protocol and Camelot will receive 6 million and 3.09 million $ARB respectively.
◦ Remuneration for other projects varies from 186,000 to 3 million $ARB.

➜ GMX is the top grant recipient from STIP, receiving 12 million $ARB ($15 million). Camelot won the most votes, while Lido Finance missed out.

➜ Perps received 44% of the grants, making them the largest beneficiaries. DEXs got 15% of the grants, making them the second largest sector recipient.

➜ Out of nearly 100 projects submitted for funding, 29 were successful. Another 28 achieved the required votes but fell short of the $50 million $ARB cut-off.

◢ Other recent news:
✦ Week 2 of the Arbitrum Odyssey which started on 26th of Sep is reignited. Recently users had issues completeing tasks on Tofu.

✦ Round 2 of the Arbitrum Security Council: The voting weight for unused votes will decay linearly, starting in one hour.

✦ Coinbase Wallet users can trade on DEX on Arbitrum with zero Coinbase fees.

✦ The Arbitrum Foundation partnered with Fracton Ventures to grow the community in Japan.

✦ Since the beginning of October, 23 new projects have joined the Arbitrum ecosystem.

➤ Identifying catalysts for growth is crucial in generating substantial profits.

Ecosystem thriving does not happen overnight; it is a gradual process.

➜ Currently, $AVAX is actively creating catalysts for its ecosystem.

Here are 6 projects you shouldn't miss ↓

◢ Struct Finance ❰
Struct Finance offers structured financial products for yield generation.

➜ Their first product, Tranching mechanism, provides diversified investment opportunities through interest rate vaults.

Integration with GMX enables them to achieve an 8% Fixed Yield on $BTC.b.

◢ DeltaPrime ❰
DeltaPrime is a trustless borrowing platform on Avax and Arbitrum*.*

➜ Unique architecture allows the liquidation of funds through a dedicated smart contract, regardless of the protocol being used.

It operates as an escrow, where the borrower assumes liability, but the protocol ensures the protection of the funds.

◢ Hubble Exchange ❰
Hubble Exchange: Purpose-Built App-Chain for Perps.

➜ Chain uses #Avalanche's subnet-evm repo, managed by solidity smart contracts.

Hubble supports multiple order book types, creating shared liquidity and forming a validator economy.
It uses $USDC as a gas token.

◢ VNX Platform ❰
VNX uses RWAs through gold and fiat markets with Fiat Referencing Tokens.

➜ Core product: VNX Gold, lets users own digitized gold backed by physical gold.

VNX Gold token = 1 gram of gold, allowing ownership without drawbacks.
VNX also generates fiat referencing stablecoins VNX Euro $VEUR and VNX Swiss Franc $VCHF

◢ Movement Labs ❰
M1 is a community-first Layer 1, partners with Ava Labs to provide high TPS through Move.

It offers instant finality, day-zero access to liquidity, and modular customizations.

➜ Move focuses on scarcity and access control for secure asset management. Signers have top-level permission. The framework allows for expanding capabilities through an adapter layer.

◢ @nodekitorg ❰
NodeKit is a decentralized shared sequencer on a custom L1 blockchain.

➜ It improves cross-rollup interoperability and reduces downtime, censorship concerns, and performance issues.

Rollups can submit transactions for easier launch and seamless cross-rollup transactions.

➤ zkSync Alpha

With 4% L2 market share, zkSync aims to increase it to 20% with TVL $2-3 billion.

The $ZKS launch could be a significant catalyst the game for the entire chain.

Selling $ZKS after distribution might be a costly mistake.

Explore the reasons behind this ↓

➤ Financial resources
zkSync was one of the first projects to build the prototype for ZK-rollup in 2019.

Since then, it has attracted hundreds of millions of dollars in funding. The latest round was a $200 million Series C investment, led by Blockchain Capital*,* Dragonfly and a16z*.*

➞ All investment brings zkSync's total funding to $458 million.

✔︎ This funds is enough to create a high-quality product, as well as support projects built on the blockchain.

❯ But zkSync will also have a $ZKS token, the distribution of which to projects can change the course of their game.
Taking the same $ARB as an example, the distribution of tokens to builders benefited the ecosystem.

➤ Unique Chain Features
➜ Native Account Abstraction upgrades externally owned accounts to smart contract accounts, enabling new possibilities.
➜ ZK-rollup provides privacy and fast transaction processing.
➜ Security is ensured by leveraging Ethereum as the base layer.
➜ EVM compatibility allows for ZK-based smart contracts to be compatible with Ethereum's EVM.

◢ Another important component of the ecosystem that many people often forget about is zkSync Lite.

Initially, the founders reported that Lite was planned to be used as a chain for payments.

➜ However, with the increasing adoption of tokenization (Real-world assets), zkSync Lite technology can potentially be introduced into this structure.

✔︎ This gives the project the opportunity to generate additional income for its services.

➤ Chain Activity Analysis
Since the launch of Arbitrum $ARB, more L2 chains have been introduced. This distracts users from zkSync, creating healthy competition in the market.

Generally, all on-chain metrics maintain high levels. However, it's important to understand that many of these are farmers, similar to Arbitrum.

◢ Given the above information, I still believe that $ZKS launch can attract more users and builders to the chain, just like Arbitrum.

➜ Moreover, considering that a bull market might be imminent, there's a chance that the token launch might coincide with its beginning.

Therefore, selling all $ZKS may be a mistake as this could just be the start of a long journey.

✔︎ One should also pay attention to the entire ecosystem.

Focusing solely on narratives may blind you to great chance.

Fundamental projects have the potential to generate 10-15x gains with less risk.

While others were captivated by $ETH, $ARB, or $OP, Injective $INJ quietly expanded.

Prepare to be challenged by compelling data ↓

➤ Injective Protocol

Injective is a unique Layer1 protocol enabling the creation of highly advanced applications, spanning exchange, DeFi, derivatives, and Web3 realms.

❱ Built with the Cosmos SDK, this protocol executes transactions with extraordinary speed and instantaneous completion.

◢ $INJ is the native token, powering the Injective Protocol and nurturing a thriving ecosystem.

Support for Injective comes from prominent platforms like Binance*, and noteworthy investors such as* jump*,* PanteraCapital*, and* mcuban*.*

➤ Injective Token Burn Auction
This unique mechanism takes protocol fees and turns them into the collective value of the protocol.

➞ In its early days, the Token Burn Auction managed to auction off 60% of all fees collected from exchange dApps built on Injective.
Subsequently, the $INJ tokens used to pay for the auction were burned.

◢ This innovative approach transformed transaction fees into a community incentive.
The result? Increased user engagement and activity.

➤ New Mechanism INJ Burn 2.0

Upgrading to $INJ 2.0 opens new opportunities.
Any dApp on Injective can participate in token burn auctions. This extends the benefits of the burn mechanism to a wider range of protocols.

➞Various dApps can get involved in the burn auction. They independently decide on the contribution amount.

◢ This update holds vast potential for the Injective community:
➞ A broader range of use cases can be integrated into the buy-back-and-burn mechanism
➞ It opens up a new level of utility for the $INJ
➞ Higher dApp participation increases the possible reward of the auction
➞ It allows burning larger volumes of $INJ

➤ Token Price Analysis
Some believe that $INJ peaked in 2021 - I strongly disagree.

For a clearer example, compare Injective with $AAVE and $ATOM :

➞ $AAVE - in 2021 there was already a finished product that was rapidly growing and in demand. From current price to peak ~8x.

➞ $ATOM - a vast ecosystem with many projects, the token was able to reach $40. From current price to peak ~10x.

➞ Injective in 2021 was just emerging and the token price grew with the market. But the ecosystem just didn't have time to expand and a bear market ensued. From the current price to the peak is ~3x.

◢ Now, $INJ has an impressive infrastructure and DeFi and NFT sector is massively growing.
Even a 10x return in a bull market might not be ambitious enough for this token.

☄︎ I've provided a simple example to articulate this perspective, without delving into specifics.

Most importantly, Injective continues to expand significantly.

Array shifts are happening on the L2 landscape:

➞ Arbitrum $ARB is competing with Optimism $OP
➞ Base is about to overtake zkSync

zkSync mainly attracts the farmers, but what does Base have to offer?

Let's get this straight▼

➤TVL:
Base $544M
zkSync $432M

◢ TVL Base has reached $544M, representing ~5.22% of the L2 network share, while zkSync holds around 4.14% share.

◢ SocialFi has played a big role in Base's growth, and the investment from Paradigm has only fueled that interest.

➞ Notably, zkSync is gaining increasing attention from farmers.
About 6 months ago, the team stated that it would take a long time before the $ZKS token arrives.
It seems that users are now realizing that time is running out. I believe network activity will significantly increase as we approach winter.

➤ Daily Active Addresses:
Base: 65k
zkSync: 277k

❱ In terms activity on the chain, zkSync has been successful. The chart clearly shows that as the ecosystem expands, more addresses are joining.
This long-term trend is promising.

❱ However, it's worth noting that Base is currently experiencing intermittent spikes and a decrease in active addresses.
It will take some time to fully understand the situation. Despite this, things are generally going well for Base so far.

➤ Daily core developers

From a development perspective, both chains have their ups and downs, making them attractive.

➞ zkSync attracts builders with its massive scale.

➞ Base may have a slight advantage, given Сoinbase's support and recent funding of the first 6 projects.

➤ Daily Transactions
Base: 1.3M
zkSync: 1.1M
Data from 09/18

◢ When it comes to performance, Base outshines other chains, including L1, surpassing $ETH, $OP, and $ARB.

◢ zkSync also garners significant interest, with approximately 1 million daily transactions, not far behind Base.

The primary objective for Base is to sustain its advantages.
______________

Overall, this type of competition adds an intriguing element to the whole experience.

If we've always compared $ARB and $OP, perhaps in the future we'll be comparing zkSync with Base?

➤ Highlights of the past week:
◦ $BANANA was launched with an error in the contract. Afterwards there was a successful relaunch.

◦ LayerZero and zilliqa have partnered with Google Cloud

◦ MakerDAO increased its RWA assets by $200M

◦ MetaMask launched the Snaps function

◦ Ethereum Holesky test network was launched with failure

◦ PrismaFi launched Points System to reward early users. $50M TVL filled in ~2 hours

◦ SushiSwap expands to Aptos, also integrated Chainlink CCIP

◦ Paradigm will create a new crypto fund for null billion!

◦ #FT earnings reached null million on Friday, overtaking Ethereum and Tron

◦ Coinexcom has been drained ~$31m in ETH, TRON and Polygon chains

➤ Launches:
◦ MakerDAO will launch tokenized T-Bills

◦ BNBCHAIN opBNB is launched

◦ Enjin Blockchain is launched

◦ TON blockchain launched TON Space wallet

◦ Venus Protocol is deployed on Arbitrum

◦ Yearnfi launched $yETH

◦ Injective launched .inj domains with @spaceid.lens

➤ Raising funds:
◦ Animocabrands raised $20M for MocaverseNFT

◦ Pahdo Labs raised $15M from @a16z

◦ Seedify Fund raised $10M from LDA Capital

◦ Ageofdino raised $8M from Animocabrands

➤ If you're only waiting for $ZRO because of the free money, you've already missed out.

LayerZero has the potential to become the largest ecosystem in the entire space.

Omnichain holds the key to a significant catalyst, much bigger than just distributing $ZRO.

Stay ahead ↓

➤ Omnichain is the key.

➛Liquidity is scattered across chains, making the market inefficient.This fragmentation is due to the development of many L1 blockchains and L2 solutions recently.

◢ It's a big problem for users.
We have to use multiple bridges or CEX to transfer liquidity to a specific blockchain.

◢ Builders also struggle to attract users.
To overcome obstacles, projects often use unstable token emissions to attract users and secure funding from venture investors, leading to centralization.

➞ However, LayerZero technologies enable cross-chain interaction in just two clicks.

Previously, we had to check bridge capability and liquidity. Now, we can send USDC to 20+ blockchains in two clicks. Amazing!

◦ Projects using LayerZero technologies offer users a seamless experience in navigating different chains and facilitate access to capital for protocols.

➠ Undoubtedly, this is a revolution.

The LayerZero ecosystem is incredibly huge and its growth has the potential to positively influence both project token prices and blockchain tokens as a whole.