Bitcoin is getting trashed, just as it was trending up last week.
Why is this happening??
Well it all comes down to what I hate most in this space….centralization…especially
centralized actors pretending to be proponents of decentralization and becoming your own
bank.
So what happened & what can be done about it??
Well find out in about ten minutes because it’s time for Chico Crypto!!
Yup, BTC was trending up….looking to test 25k resistance last week…but then all the
sudden right back down to the 23k range…
What caused this dip to begin??
Was it just a resistance rejection and a cascade of leverage liquidations??
Well not a resistance rejection due to natural market operations…but yes it was a cascade
of leverage liquidations….caused by none other than the biggest centralized actor in
the space…BINANCE!!
As we can see from this FX street article…Binance “accidentally” closed all derivative positions
of “wholesale investors”...aka they liquidated the derivative positions of all binance traders
in Australia…
Here is the letter they sent to the investors.
Binance, in January, supposedly did an investigation into the onboarding process of their derivative
platform, identifying investors who were incorrectly identified as wholesale customers.
This user was one “incorrectly” identified so they immediately liquidated and closed
all their positions and from the second letter sent to investors, if they want access to
their positions and derivative accounts..they need to provide KYC and AML
AKA a swath of leverage positions got liquidated by the centralized Binance exchange crushing
the Bitcoin price…
Now here is the truth of it all…Binance allowed any Australian to trade derivatives
as they had relaxed KYC/AML for the longest time….but this caught up with them
Binance is in hot water across the globe, and Australian regulators were hot on their
trail…so they decided to just close it all, Fuck every australian investor, every australian
customer of theirs to cover their own asses…you need proof??
As we can see from the FX street article, their derivative closing spree happened February
23rd…just 2 days after this, February 25th it was announced the Australian Securities
and Investment Commission was investigating binance over their classification of retail
clients and wholesale clients according to a statement from a spokesperson of the commission.
And remember folks, it’s not just Aussie regulators…US regulators are hot on their
trail…per the article from the Wall St Journal about them eluding authorities via text…posted
just 3 days ago…
Do not trade on centralized exchanges my friends…not your keys, not your coins, not your positions….so
today I’m going to dive into the decentralized products and exchanges I believe will end
up replacing Binance in the near future…
Since we were talking about derivatives….we need to talk about the #1 decentralized derivative
platform out there…GMX!!
And guess who covered GMX, and their decentralized perpetual exchange all the way back in September
of 2021??
We did predicting it was going to do well, and eventually outrank Perpetual who was rank
122 back then…let’s watch the video from September now…
Back then GMX wasn’t even on Coingecko, but it was only around $8 dollars so probably
around rank #1000 or even further….as we can see today, GMX is rank #79 on Coingecko
Yup GMX is killing it today…need more proof?
Going to cryptofees.info, we can see over the past 7 days, GMX is accumulating exchange
fees comparable to the entire Binance Smart Chain…aka Binance’s centralized blockchain,
they masquerade as being decentralized…shoot there are even days, like last month in February
where GMX is #1 on cryptofees…even out doing Ethereum on occasions.
Now some of you may say…GMX has seen it’s time in the SUN, the price skyrocketed even
through the bear market…well, GMX is about to go bananas here soon with the launch of
a certain something.
If we go to the main GMX trading page, we can see four assets can be derivative traded
on GMX on the arbitrum layer…of course Ethereum, but also BTC, Chainlink, and Uniswap…and
if we switch to the Avalanche layer….only 1 more assets, AVAX.
With only 5 assets to be traded, GMX is dominating…
Just imagine when every crypto asset and beyond can be traded on GMX…and that is coming
with the launch of GMX synthetics, expected this quarter!!
Just over a month and half ago, after months of development….the first merge into the
main branch on github happened!!
And if we dive into the GMX discord, developer updates are happening on synthetics…March
3rd “Added the subgraph and interface for the synthetics trade history this week and
then just a couple days ago, March 6th “Will be working on the synthetics interface to
claim funding fees this week.”
Interface…aka front end is being worked on…the back-end is ready…they are just
putting on the finishing touches!!
Synthetics are coming soon…and this will be the upgrade which puts GMX in a position
to compete with Binance and its suite of leverage options…but in a decentralized manner!
Binance’s leverage options is a major draw to their exchange, but there is another feature
which brings a swath of people…their yield “farming” products or what they call Binance
EARN….what decentralized crypto project could eventually compete on a high level with
their yield seeking solutions??
Well before we get into that it’s time for a sponsored segment of this video brought
to you by Stablz and like always the details of our arrangement can be found in the description…
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Stablz is a mechanism that doesn’t compete with your favorite farms, they build right
on top of them… users can earn real yield by converting token emissions from yield farming
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To put it simply, Stablz farm farms.
Stability in uncertainty means agility in adaptation…
Stablz is a game-changer in the space introducing the Evosystem – an ecosystem evolution…
a dynamic eco-diverse protocol designed for sustainable evolution in an ever-changing
defi ecosystem…
Stablz was created by its founders when they asked themselves…
How can we create a sustainable and ever evolving protocol, something that can be stable in
all markets, bear or bull… they recognized and set out to solve a few problems that plague
the defi space such as: Farming isn’t always guaranteed to be profitable, even on stable
pairs… so they created a stable ecosystem that can adapt to an ever changing fast paced
defi landscape.
They also recognized APY yields aren’t real unless the underlying reward token values
remain consistent over time… sure, yields in a bull run always go up, but what if you
don’t lock in those gains… or how do you remain profitable when earning yield in a
bear…
well, Stablz solved this issue by converting rewards into stable assets and out of volatile
rewards tokens… which then leads to the other problem that farming is resource heavy
and requires constant monitoring to be efficient and to properly secure yields…
Stablz solved this issue also thru their automated harvesting and their simple intuitive UI that
automates the profit taking for you, providing maximum convenience, and assuring peace of
mind.
The STABLZ Platform also allows for SAS staking thru their dapp, offering even more ways to
accrue rewards.
The Stablz dapp offers Staking, Yield Farming, Liquidity Mining, Automated Harvesting, Real
Yield, Stablecoin Rewards, Referral Rewards, Community Governance, and more, all in one
place and was built with the long-term in mind, designed to adapt in all market conditions.
This is only the beginning for Stablz as they have plans for future expansion including
incorporating non-stable Asset Pools such as ETH and high APY farms, Referral System
and Rewards, $OS Staking and USDT Rewards, Liquidity Mining, Revenue Rewards, Community
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Expanded Marketing and More
Stablz fills a huge need in the defi space bringing back high yield farming opportunities
to passive investors, allowing them to leverage their assets in safe farms and securing gains
along the way thru automated harvesting and the conversion to stable coins.
Stablz is in its early stages but has captured the attention of many notable defi traders
and influencers…
it’s time to pay attention and its time to get back in the action of farming rewards,
but in a more stable and profitable way… make sure to visit the stablz website, follow
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So who could be the Yield underdog who I believe will RALLY far into this next bull run?
Well this is Pendle Finance way down at rank number 649 on Coingecko, which means a lot
of room to groww…
Why Pendle??
Well Pendle is a way to buy assets at a discount, by speculating on future prices and yield
of those assets…it lets traders control their yield once they understand the mechanics
of the dapp!!
Per example, just a couple days ago @gabavineb on Twitter tweeted “In terms of how I grew
from 5000 to 5528 GLP (GMX’s liquidity token) in just 5 days, I will explain slowly in subsequent
threads (but you can trace on Arbiscan if you really want to).
Now, I will just explain my current position, which is mostly (82%) providing liquidity
by zapping in.
And then his thread dives into exactly how he did this…earning APY and a yield that
dominates anything else in the crypto industry, including any of Binance’s earn products.
And guess what?
A majority of GLP holders on GMX don’t even know about Pendle…going to the GMX dashboard,
we can see there is over 503 million dollars worth of GLP out there…checking out the
TVL of Pendle on DeFi Llama?
Just 30 million dollars…and we can see the growth lately…exploding over the past 3
months.
But there is more to Pendle on why I think it will explode…last month I posted a video
on the Big Narratives which will drive this Bull Run…
Let’s listen to what narrative I picked because Ethereum withdrawals from the beacon
chain are coming in April…
Liquid Staking Derivatives are going to rocket because of Ethereum’s Shanghai upgrade…and
Pendle put out a thread on how to use their protocol to earn BIG yield with the LSD tokens
and this Ethereum upgrade…
Pendle checks those boxes for me…Cheers I’ll see you next time!