The Optimist #58
Discover DEFI on the Superchain => 🔵Base, 🟣Ink, 💿Soneium, 🔴OP Mainnet & more.
Thank you fellow readers to continue reading my research about Defi on the Optimism Superchain.
If you missed the previous newsletter, it’s just one click away from you HERE.
————— This Week Menu —————
🦸♂️ Weekly news on the Superchain
📈 Superchain Stats
🔵 Avantis - Zero Fee Perps
Avantis just launched the first perp dex where you pay fees only if you win. Join the END GAME before Avantis TGE planned after May.
🧠 Smart Money tracking with Nansen
🏈 Post of the Week
🦸♂️ Weekly News on the Superchain
🔵 After reaching stage 1, Ethereum Pectra upgrade is live on the Base
🟡Mode trading Agents competition season 5 is live
💲Superseed gov token $SUPR is now live, with liquidity available on Velodrome
💲 New website to bookmark related to Yield Bearing Stablecoin, provided by Stablewatch
🚔Polynomial revealed its 2025 roadmap moving from Perp only to Full Derivative solutions (Options, Vaults, Prediction Market)
👀 During its last event, World announced a stack of updates & news such as Morpho mini APP. Superchain.eco got you covered & summarized it all for you
🔐 OPENCOVER is now directly integraged into Vfat defi app
🌊 New partnership signed up between Ozean chain & stablecoin project Falcon, integrating its new stable USDf
Superchain Stats - 7D TVL growth Leaderboard
Huge growth for Worldcoin, mainly coming from Morpho mini app.
Source: https://defillama.com/chains/Superchain?minTvl=1000000&maxTvl=
🔵 Avantis - Zero Fee Perps
This article might be one of the most exciting i’ve written about Perp Dex since I started covering GMX, Synthetix, Kwenta back in 2022. I must say that I totally missed Hyperliquid, cause it’s not in the ecosystem I follow, aka Optimism Superchain, but Avantis has been on my radar since day 1, May 2023.
So in this article, I’ll break down Avantis decentralized Perp exchange:
Presentation
Zero Fee Perpetuals
XP points, END GAME event & TGE
1. Presentation
Avantis is a perp dex built on Base and backed by Base Eco. Fund & Pantera:
Avantis launched one year ago, in May 2024, and brought to the perp game 2 extremely useful features:
1- Tranche for liquidity provider: Senior (less risk/less reward) & Junior (more risk/more reward)
2- Loss protection: Get 20% back if you trade against market sentiment
The perp dex competition is hard, especially with protocols like Hyperliquid doing Avantis 1 year volume in… 1 day!
But things that i like on Avantis are:
1st: it’s on Base, and i’m b(i)ased
2nd: You can trade up to x250
3rd: You can trade CRYPTO / FOREX / COMMODITIES
Avantis also offers interesting features for traders:
Dual oracle use: Chainlink & Pyth price fees
Zero slippage
Guaranteed Stop Loss & Take Profit → I tested it, and really loved it to exit the trade at the exact price I set.
Liquidity Provider: Great farm so far!
As Avantis is a decentralized exchange, it needs liquidity providers to fuel the exchange. 60% goes to liquidity providers (35% to Senior, 65% to Junior). 40% goes to the treasury. And as opposed to GMX, Hyperliquid, the liquidity vault is based in $USDC, with a 1 year average yield of 17% which is really great.
To earn the maximum yield, you need to max-lock your deposit up to 6 months. And during down trend market, earning yield on stable is always a great opportunity.
If you want to deposit some $USDC, you can use my ref. link below (no obligation ofc): https://www.avantisfi.com/referral?code=Redacteed
But now let me introduce you a killing feature: Pay 0$ of fee when opening a trade. Pay fees only if you win 👇.
2. Zero Fee Perpetuals
First of all, you need to understand that leverage trading is not FREE. You may find, depending of the protocols, several type of fees:
Opening / Closing fees: his is self-explainable
Borrowing fee (for AMM DEX): Cost of borrow when leverage trading. Fixed or variable
Funding rate (for orderbook DEX): Cost to balance skew (i.e Long & Short Open Interest)
By launching Zero Fee Perpetuals, Avantis’s intent is to be THE cheapest trading place in DEFI. This is not new, actually, Avantis took example from Rollbit PNL fee feature:
While this makes sense as this makes the UX trully insane, one obvious question is how Avantis can be sustainable if it doesn’t earn protocol fees, and reward liquidity providers?
Answer is stupidly easy: No fee taken if you loose, but pay a fraction from the profits on winning trade. And this fraction is variable based on your ROI:
In addition, ZFP is only available on 3 assets (BTC, SOL, ETH) with leverage from x25 up to x250, but you can still trade all other assets with normal fees.
Here below is a comparison between Avantis ZFP and its main competitors:
And i can tell you that launching a 1m$ notional volume trade on BTC at 0$ cost is just so exciting!
But here's what's next: 🔥🔥🔥
Offer ZFP for all assets (including RWAs - i.e imagine trading Gold with 100x+ leverage but zero fees upfront)
Higher leverage (think 500x-1000x 👀)
3. XP points, END GAME event & TGE
Avantis launched a point program where you can earn XP when Trading and/or providing liquidity.
Season 1: 11/06/24 → 11/12/24
Season 2: 12/12/24 → 30/05/25 (on-going)
There won’t be anymore way to earn XP points after 31/05 which will lead to Avantis TGE:
On April 29th, Avantis launched its last event within the Season 2 campaign: “END GAME”:
This might be the best timing to position yourself for future AVANTIS Airdrop. If you’re interested, you can try it now:
To be honest, there is great adrenaline to trade with high leverage & paying no fees! But, remember, trading is very risky and consider you might loose everything. Trade with cautious!
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🏈 Post of the Week:
Disclaimer: Nothing in this content is financial advice. I may have some positions on the presented projects, however these articles are written in a non biais way so that you can make you own opinion out of it.
Do your own research before investing, and remember that Crypto is extremely volatile and risky. Be ready to loose everything you invest in.