Rollbit, Unibot, New Crypto Projects, On-Chain Sleuthing
The Castle Chronicle: Volume 29
👀 What’s to Come in Volume 29
🔑 Key News: Headlines, Exploits, Continued Adoption, DeFi Updates, New Projects & more from CJ
🔥 Hot Narratives: GambleFi, Casino’s, Bots, Degeneracy by unexployed
📈 Macro Outlook: Simplified Round-up and Implications of Macro, BTC, ETH, and Options Markets from Hansolar
📉 HTF Price Action Scenarios from Vlad
⚔️ A Call to Arms
Think you have what it takes to enter the Castle and contribute to funding and advising projects across the space?
🔑 Key News
Japan blockchain startup seeks to build an Asian digital payment network.
Justin Sun withdraws 200 million USDT from JustLend and deposits it into Huobi. See his wallet activity on Arkham here.
Stephen Chow working with OKX on Web3+AI project.
Worldcoin Nairobi warehouse raided.
Kucoin implements KYC requirements for its users.
Paxos partners with Paypal for PYUSD.
Blockchain.com obtains major payment institution license in Singapore.
Sino Global files $67M claim against FTX-Alameda.
Goldfinch $5M loan defaulted to Kenyan motorbike company.
Cypher Protocol exploited for ~$1M.
PayPal USD has ability to freeze and wipe assets.
Etherscan announces Blockscan Chat Mobile App.
Linea Bank reacts to allegations of them being part of Whitehole Finance, a project that rugged.
LSDFi project unshETH announces $3.3M raise.
Samczsun and whitehat friends launch SEAL 911 for security emergencies.
SushiSwap partners with Steer Protocol to launch smart pools.
Jones DAO closing Metavaults v1 on August 11th.
Gains Network’ gTrade v6.4 live.
Nexus Mutual provides cover to UK Shopkeepers.
Ouro Research launches lifetime access pass.
Lexer Markets (live)
Basin Finance Public IDO (fucked up public sale)
Perpboost (live on Base)
Yieldbot (launched yesterday on ETH)
Mode Network (L2)
Echo Swap (Solidly fork on zkSync)
Silky Finance (DEX/launchpad on zkSync)
Perpboost (derivatives on Base)
Bark Bridge (bridge project for Shibarium)
X Wizard (gambleFi project on Ethereum)
Water (DEX aggregator on Base)
Persona (decentralized identity)
🔥 Hot Narratives
Decentralized Casino’s are trending
Yesterday, Rollbit announced the overhaul of its tokenomics. The biggest eyecatcher was the integration of buybacks of the token.
A portion of the revenue generated on Rollbit will be used to buy and burn RLB on a daily basis.
According to Rollbit’s homepage, the platform is doing $570mln in annual revenue and it is estimated that it will be doing >$200k in daily buybacks. For reference see this great tweet by CryptoCondom highlighting the revenue streams of Rollbit.
The tokenomics overhaul has led to a huge price surge for the $RLB token and subsequently, other casino-related projects are surging too.
Both $DMT and $WINR are very low marketcaps compared to $RLB, but both have also seen significant upside since the announcement.
It is quite common in crypto to look for strong beta plays when one specific niche or project is outperforming the market. And a very viable strategy.
Floor is now 0.3e on Blur.
$UNIBOT: Potential betaplays
Another project that has been on the rise lately has been $UNIBOT. The devs integrated a more secure way of storing the private keys and have been teasing Unibot X, a V2 version of the original Telegram bot available on a web version as well.
The bot market segment within crypto is a bit larger than for casino projects. There are a ton, a ton of beta plays one can choose from, but it is important to find beta plays that have been shipping and are being used.
There is a great dashboard made by whale_hunter covering the biggest projects on the market. And for a total overview, Coingecko has a specific category for trading bots here.
We want to remind you of all the shit that is included there, so DYOR.
In conclusion, these narratives again reflect really well the current degenerate state of crypto. Infrastructure and DeFi is down in the gutter, while gambleFi, memecoins, and tools improving the experience for those are thriving and dominating the market.
Yes, it is a good time to gamble. It always is in crypto. But it is also a good time to touch some grass, because the level of schizo, rug pulls, and PvP makes it very hard to outperform.
⛓ On-Chain Sleuthing
GNS uses $ARB Airdrop for Buybacks
Our team noticed that Gains Network has been using 300k USD of its $ARB allocations from the DAOs airdrop to do some buyback on their token in June. (This is the first protocol to do so with the airdrop)
Human wins against bot on Blur
A ton of whales are farming points on Blur for the second airdrop round. They do this through various activities, such as market-making between Blur and OpenSea, but also by placing bids and asks.
People do this manually or have a bot dedicated to this.
Well, recently one of those bots was tricked into accepting high bids on Azuki floors. You can find the bots’ address here.
The bot belongs to ThinkingETH and in total, he lost over 800 ETH due to this trick.
The bot was programmed to copy-trade an NFT trader, who was also farming Blur points. When he noticed that someone was copying him, he decided to use a different wallet to buy Azuki floors with specific traits. Then he used his main wallet (that was being copied) to place 50 ETH bids on those trait-specific Azuki’s. The bot, naturally, copied those bids, but as the main wallet removed his bids, the other address quickly dumped the bought Azuki’s on the bot.
Whale donating to Ethereum charity
Another crazy event this week was related to a whale that sent 2500 ETH, or $4.6mln, to the burn address. Yes, he burned it all.
Turns out, this whale is a fellow blueberry and holds over $1.8mln $GMX.
More dramatically though, this address and related addresses, have been registering pretty grim ENS names, like
Is this a depressed billionaire or someone super schizo? Who knows. We are sending good vibes to this guy ❤️
Smart Money favorite farms
Smart Money has been interacting with $ORAI recently.
SwapBased on BASE has become popular among smart farmers. https://swapbased.finance/
Green Planet on BSC has caught the attention of smart farmers. https://app.planet.finance/
Base Swap on BASE is favored by smart farmers as well. https://baseswap.fi/
Velodrome V2, Tarot and Extra Finance are still popular on Optimism.
Raft / Aura strategy is still being used by the smart farmers.
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💹 Macro Outlook
Thurs: CPI F 3.3% P 3%
Fri: PPI F 0.2% P 0.1%
Sun: Ark Invest Spot ETF decision
BTC, ETH and Macro
We continue to stay within the 29k-31k range for almost 2 months now. As Ark’s spot etf decision by the 13th nears, markets are starting to get jumpy.
Implied volatilities have been at all-time lows since the inception of options markets, but we see a jump in the one-week and monthly tenors. The longer tenors(3m and 6m) also seem to be getting slightly more bullish, which could be signaling a bottom for the never-ending downtrend. ETH however still seems lagging despite historically having a higher beta than BTC.
Also seeing massive taker buy-sell ratio spikes on multiple exchanges; Bitmex, Bybit, Huobi, and Deribit. These were also relatively clean indicators for strong pumps earlier this year in January.
CPI inflation numbers are the numbers to watch for this week. The numbers have been on a downward trend for the past few months and Truflation numbers to point to a 2.3% inflation rate for August. However, there are some factors that could lead to a surprise.
The base effect: CPI tracks prices over the year and had been relatively muted over the summer only to have started rising again in August.
Oil prices reached near 2023 highs after a lull in June and July.
📈 HTF Price Action Scenarios
A very boring week in terms of price action. Volatility is at all-time lows with price slowly bleeding towards the daily swing low.
Something to note is that the daily swing low has been liquidated and absorbed, which goes hand in hand with re-accumulation playing out. I am still waiting for money to come in on the long side and join some momentum on the LTFs. At no point would I be shorting this market.
Re-accumulation playing out
Daily swing low liquidated and absorbed
Looking to follow new momentum to the upside
Similarly to last week, I wouldn’t be surprised to see some more downside before the run-up. That being said, I’m looking for reasons to go long.
Trade responsibly and I’ll see y’all next week.
Courtesy of Vlad - trend-based trader and MentFX student
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