hexonaut

Deep diving on DeFi accounting. Tracking "real" demand of a stablecoin is not trivial.

Looking at total liabilities is probably the worst method, but to get a real number, you must track idle supply across all protocols.

There is interesting nuance in protocols like Pendle where USDS is out of circulation and has no market effect.

Beware headline TVL numbers, they do not paint the whole picture, and this will be increasingly gameable/complex to analyze.

Spark Liquidity Layer passes 4 billion in assets deployed.

It looks like the US is destined for persistent inflation and possibly losing its status as the world's reserve currency.

I don't think this is a good outcome, and hopefully things like stablecoin adoption+AI can soften the fall.

First 1.6m automatically allocated to the @aave USDC market on @base.

DeFi rates are moving above tbill yield, so @sparkdotfi will enforce consistent rates on all Aave markets.

USD liquidity fragmentation will no longer be an issue on Ethereum/L2s.

Spark is the top new market on @pendle_fi and growing rapidly.

Welcome all newcomers and long-time friends!

Very excited for some big announcements in the coming weeks. LFGT

Spark passes 3b in deployed assets while earning you the best risk-adj yield possible.

Combining yield across all major sources:

• Tbills / RWAs
• Onchain crypto lending
• BTC OTC lending
• Coinbase BTC lending
• Cash & Carry

Set it and forget it with Spark Savings.

An interesting quirk of being a stablecoin issuer is that you have no opportunity cost for protocol-issued idle assets.

You can see this with the difference between USDC and USDS/DAI markets. All 3 of these markets return roughly the same for the Spark Liquidity Layer.

The USDC market uses the Deposit APY (4.96%), but the SLL uses the Borrow APY for USDS/DAI (4.92%/5.09%).

If you want an integration with the SLL, you will naturally get a cheaper rate using USDS!

Blockchains bring many benefits including complete transparency of balance sheets.

As a depositor into Spark Savings, you can see exactly where your money is sitting in real-time. No surprises.

This is how we fix the banking system and bring the world onchain.

So glad to be retiring the approve/execute flow.

Spark App already bundles groups of actions and batches them for smart wallets.

Ethereum is the place to DeFi.