Total Volume + Fees
This week we saw the market experiencing a particularly impactful week and LP fees are seeing all time highs. While some altcoins have seen surges, the real appreciation has occurred in BTC & ETH. With a bottomless pit of money being pumped into bitcoin (ETFs) and an ETH ETF rumors picking up steam, sky is the limit.
WETH/BTC pools are among the top pools this week on most L2s
With more than 8,900 trades and nearly ~ $35000 in LP fees
With 8,650 trades over the past week, generating a total of $1,542,360 in LP fees
The total Volume on Uniswap for L2s has reached $200billion.
And the Base swappers on Uniswap have grown more than 600% in the past year from ~19700 to now ~142000, and the TVL reflects the same sort of growth.
(BASE) Degen on Farcaster just partnered with Aerodome, the AMM built on Base, to enhance liquidity for the Degen/WETH pool on Base.
Pandora pair(s) maintains its reigns achieving a daily DEX volume twice that of BAYC NFTs
Ordiswap LPing ($ORDS)
Surprisingly we are seeing ordinals once again making waves with ordiswap (an AMM based on btc) gaining 8000% in volume.
There are now meme coins activity in the ordinal space and the AMM is quickly becoming a strong contender in the ordinals space making LPs respectable fees reaching nearly $10k in the last 24hrs from a volume of $40k.
Here is an in depth guide on how to add liquidity in the ordinal space on Ordiswap, which is the "full-stack DeFi infra for Bitcoin L1".
Below, we've prepared a guide on how to use our fully-functioning Stage 1 AMM build, including how to Swap, Bridge, Add & Remove Liquidity & Create Pools on Ordiswap
Dive in
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Uniswap Fee Sharing
Atis E offered insights on the Uniswap fee switch, emphasizing its significance in the transition from v3 to v4, predicting that the latter will outshine and replace v3 due to architectural improvements and because v4 is expected to offer gas optimizations, LP-friendly innovations, and a reintegration of v2's broader liquidity positions.
Additionally, they delved into the debate around Uniswap potentially adopting a dedicated appchain or rollup, competition from other intent based Swapping models in comparison to Uniswap.
The proposed fee switch, designed to allocate protocol fees to UNI stakers and sparking worries over LP withdrawals and liquidity dips has been well-received by most DAO participants, with orgs like a16z backing the proposal. @atiselsts_eth argued that LPs are resilient against Defi protocol changes and that a modest 10-20% fee will result in fewer LPs but higher profits for them, thus Uniswap will stand more or less unfazed.
Uniswap is also releasing more features on their app aswell.
Uniswap recently announced Limit orders on their front-end.
They also introduced ENS domain names for the users of their mobile wallet.
There is always something novel coming out from the Uniswap Labs team, which keeps the interest in $UNI high by association.
And the UNI/WETH pool in the past 7 days did $161,854,115 in Volume, 3,589 trades, $493,686 in fees.
Another $UNI pair like UNI/USDC is also doing really well
Given the proposal for the fee goes through without a hitch, $UNI could be one the biggest asset this bull-run. With many more upgrades anticipated from the Uniswap teams, a Long ETH/UNI or even a stable UNI pair is a worthwhile strategy to consider.
Meme-Coins are soaring
Since the BTC is roughly at its ATH point, altcoins have started following in its steps. And likewise, the pools on Uniswap for these are also quite profitable for the total value locked in them. Currently SHIB/WETH is roughly 4% Fees/TVL for the 0.3% pool, in the last 7 days.
WETH/PORK is at a stunning Fee/TVL for both 0.3% and 1% fee tiers, making $26,622 in fees in the 0.3% tier and $395,951 in fees in the 1% tier on ETH L1in the last 7 days.
As the graph shows people are still bullish on PORK and meme-coins in general, since most of the meme-coins including SHIB,DOGE,PEPE are all up recently.
And we can see many retail LPs hedging a long strategy for PORK
Chainlink (LINK) pairs have also been doing well.
The LINK/USDT pool having a healthy volume and of $5.57M and fees of $16.72k. The LINK/USDT pool is currently the 5th best Fee/TVL ratio at 12.4%
Another newcomer in the LP leaderboards has been WETH/DZHV or DizzyHavoc (0x3419875b4d3bca7f3fdda2db7a476a79fd31b4fe) and did $53 Million in the last 7 days and doing half a million in LP fees. DZHV allows you to deploy multiple tokens on on multiple EVMs in a gas efficient manner, including mainnet ETH.
One LP in this pool has made over half of their taken LP position in less than 5 days
However the pool doesn't have many retail LPs. And the token is riding the 'new tek' wave that PANDORA has ridden the past few days.
Top Pools Of The Week
High-Risk
--ETHEREUM--
WLD/ETH & SAVM/ETH in the exotic pairs category for the ones feeling adventurous.
WLD has been consistently one of the most traded tokens on mainnet. Consequently WLD pairs for LPing have been popular.
SAVM was one of the most surprising token to emerge out of this bull run and has been one of the best pools for LPs looking for high stakes bets. Its popularity has waned from its ATH though.
Low-Risk
--ARBITRUM--
ETH/USDC 0.3 % pool
ETH/USDC generated nearly half a million in fees for LPs in the last 7 days for the unbridged one and nearly a quarter of a million for the bridged version.
LINK/USDC 0.3 % pool
Safe
--ETHEREUM--
WBTC/USDT & ETH/USDT for the safe paddlers
It is anticipated that the values of both BTC and ETH will continue to rise in the upcoming weeks and months. Entering into stable ETH/BTC pairs with a mid-to-long-term strategy appears to be a promising opportunity at this moment.
We hope that this PoolFish issue has given you a trove of insights, potentially guiding you towards your next investment destination for the week. See you on the next wave, next week! 🐠🐠🐟🐟