Welcome to Finance Redefined, your weekly dose of essential decentralized finance (DeFi) information – a newsletter put together to bring you the most important developments from the past week.
A trader managed to exploit the brief opening of the Multichain cross-chain bridge, which had been frozen since its exploitation in July 2023, allowing him to convert $280,000 in Fantom (FTM) tokens into different assets worth $1.9 million .
In other news, Solana token (SOL) is up 80% in a month, and Avalanche is shutting down its Etherscan-powered blockchain exploration tool amid a fee controversy. A new bridge token from LayerZero has drawn criticism from nine protocols across the Ethereum ecosystem, claiming it limits the freedom of token issuers.
The top 100 DeFi tokens continue their bullish momentum from the past week, with most tokens posting positive returns on the weekly charts.
A trader takes advantage of the opening of Multichain to convert $280,000 into $1.9 million; The community suspects an inside job.
One wallet address converted nearly 1.9 million FTM worth between $280,000 and $1.9 million within hours of exploiting the momentary opening of the long-frozen Multichain bridge, sparking speculation about insider workings between the crypto community.
The Multichain bridge, frozen since its exploitation in July 2023, was briefly opened and closed again on November 1. The trader took advantage of the opportunity to make millions of dollars in profits.
Solana gains 80% in one month when Firedancer is activated on testnet
SOL has posted gains of nearly 81% in 30 days and has rallied more than 30% in the past week amid the testnet launch of the long-awaited blockchain scaling solution, Firedancer.
SOL hit over $41 on Nov. 2, hitting highs it hasn’t seen since August 2022, data from Cointelegraph Markets Pro shows. Long considered an “Ethereum killer,” SOL has vastly outperformed its rival, Ether (ETH), which posted gains of less than 11% in the last month.
Avalanche blockchain explorer to shut down as Etherscan fees spark controversy
SnowTrace, a popular blockchain exploration tool for Avalanche, will shut down its website, powered by Etherscan’s Explorer-as-a-Service (EaaS) toolset, on November 30. The SnowTrace team clarified that only their Etherscan-powered explorer will be shut down. below.
According According to the October 30 announcement, Snowtrace users must save their backup information, such as private name tags and contact verification details, by November 30. While the team did not explicitly state the reason for the browser’s shutdown, some have pointed to Etherscan’s service fees for its EaaS toolset. Mikko Ohtama, co-founder of Trading Strategy, says that an annual EaaS subscription can cost between $1 million and $2 million per year.
Nine protocols criticize LayerZero’s wstETH token, claiming it is “proprietary”
A new bridge token from the LayerZero cross-chain protocol is drawing criticism from nine protocols across the Ethereum ecosystem. A joint statement from Connext, Chainsafe, Sygma, LiFi, Socket, Hashi, Across, Celer and Router on October 27 called the token standard “a vendor-locked proprietary standard,” claiming it limits the freedom of token issuers. tokens.
The protocols stated in their joint statement that the new LayerZero token is “a proprietary representation of wstETH for Avalanche, BNB Chain, and Scroll without support from the Lido DAO.” [decentralized autonomous organization]”, which is created by “vendor-specific systems […] fundamentally property of the bridges that implement them.” As a result, it creates “systemic risks to projects that can be difficult to quantify,” they said. The protocols advocated using the xERC-20 token standard to bind stETH instead of using the new LayerZero token.
DeFi Market Overview
Data from Cointelegraph Markets Pro and TradingView shows that the top 100 DeFi tokens by market capitalization had a bullish week, with most tokens trading in green on the weekly charts. The total value locked in DeFi protocols jumped to $49.46 billion.
Thanks for reading our roundup of this week’s most impactful DeFi developments. Join us next Friday for more stories, insights, and education about this dynamically advancing space.