Detailed view of September

During September, we provided 12 alerts and 3 recommendations for DCA (Dollar-Cost Averaging).

DCA (Dollar-Cost Averaging)

In September, we decided to provide a DCA strategy for 3 tokens.

These are:

• Synthetix and its token, SNX
• Frax Finance and its token, FXS
• Lido Finance and its token, LDO

Synthetix

We issued a purchase alert on September 12, 2023, when the price was 2.10 USD. Following that date, the price peaked at 2.24 USD on September 16, then hit a low of 1.95 USD on September 25.

The DCA of SNX tokens took place on the Optimism blockchain. This protocol experienced significant fee growth on the Optimism blockchain, and the overall Optimism ecosystem is rapidly expanding.

One of the key elements in this ecosystem is the stablecoin sUSD, which is decentralized, transparent, and liquid. This stablecoin is over-collateralized, meaning the value of the collateral backing it exceeds the value of the stablecoin itself, thereby ensuring its liquidity. The decentralization and transparency of this stablecoin are guaranteed by a smart contract that accepts SNX tokens and, in exchange, issues sUSD tokens. No one else can create new tokens.

SNX is the cornerstone of the Synthetix protocol and serves as collateral for creating other tokens, called Synths. Within the Synthetix ecosystem, there are applications like Kwenta, Lyra, Thales, and Polynomial that contribute to its growth.

In September, the protocol generated fees amounting to 1.1 million USD, and the total value locked in Synthetix reached 436 million USD by September 7, 2023, marking a 20.44% increase since the beginning of the month. Since then, the TVL has settled at 402 million USD, placing it 29th among DeFi dApps. This still represents a month-over-month growth of 11%.

Frax Finance

We issued a buy alert on September 20, 2023, when the price was 5.18 USD. Following that date, the price reached a high of 6.07 USD on September 29 and a low of 5.35 USD on September 25.

The DCA of FXS tokens took place on the Arbitrum blockchain, primarily due to the low fees associated with this blockchain. Frax Finance is a significant player in the DeFi sector, ranking 17th in terms of TVL.

Frax has established a comprehensive revenue system that encompasses several key areas. These areas include liquid staking for ETH, for which you receive frxETH that you can continue to use. Other benefits include stablecoins such as FRAX and FPI, stablecoin staking (referred to as sFRAX), lending through FraxLend, AMM/TWAMML FraxSwap, and a cross-chain bridge named FraxFerry. Additionally, an L2 solution called FraxChain is in the works. The launch of FraxChain is anticipated to significantly boost Frax's market capitalization.

What sets Frax Finance apart is their interconnected ecosystem, within which the success of one product directly supports the success of another. It's also worth noting that over half of all circulating FXS tokens are currently staked. In the future, there's also the possibility of adding frxETH for restaking on the EigenLayer.

Lido Finance

We issued a buy alert on September 22, 2023, when the price was 1.47 USD. Following that date, the price peaked at 1.73 USD on September 30 and dipped to a low of 1.46 USD on September 28, 2023.

The DCA of LDO tokens took place on the Arbitrum blockchain, primarily due to the low fees associated with this blockchain. Lido Finance is a significant player in the cryptocurrency world, currently ranking first in TVL, with a value exceeding 14 billion USD.

Lido offers solutions in the realm of liquid staking and is working on developing various products, including its own layer for further LST utilization. Their services operate on several blockchains, including Ethereum, Optimism, Arbitrum, Polygon, and Solana. An interesting fact is that 89% of the total LDO supply is already in circulation. Lido boasts strong partnerships in the DeFi space, attesting to their credibility and significance in the community.

Security is paramount for Lido, as evidenced by a series of audits that can be found on their GitHub. Additionally, the LDO token has a robust tokenomics that supports its long-term value and stability. Given these factors, Lido has emerged as one of the leading players in the DeFi space, offering decentralized staking of digital assets while providing users with flexibility and rewards.

Farming

We have categorized our featured farms based on their risk level from 1 to 10. You can learn about what this means by visiting the "Guide" section on our website.

RISK 2

For this month, only one farm was placed here. A Risk 2 recommendation indicates a safe project for longer allocation.

SNX staking

From September 12, 2023 to September 30, 2023
Deposit: DCA 74,7 SNX (163,6 USD)
Reward: 0.91 SNX
Dollar value: 1.99 USD
Strategy: We are long-term bullish on SNX, so we're not selling our rewards and are accumulating instead.

RISK 3

There are 2 projects for this month. A Risk 3 recommendation indicates a safe project for longer allocation.

Curve FInance (Base blockchain)

• ‍3Cpool‍

From September 5, 2023 to September 30, 2023
Deposit: 10,000 USD
Reward: 129.5 CRV approx.
Dollar value: 58.22 USD

• Tricrypto ‍

From September 5, 2023 to September 30, 2023
Deposit: 5,000 USD
Reward: 30.4 CRV + 73.1 CRVusd
Dollar value: 85.45 USD

• CbETH/wETH‍

From September 5, 2023 to September 30, 2023
Deposit: 5,000 USD
Reward: 2.1 CRV + 29.1 CRVusd
Dollar value: 29.45 USD

Strategy: Long-term accumulation of the CRV token. So, all the rewards we received in usdCRV have been exchanged for CRV.

Lybra Finance

• eUSD mint

From September 18, 2023 to September 30, 2023
Deposit: 5,000 USD
Reward: 12.1 eUSD
Dollar value: 13.15 USD

• eUSD/3CRV‍

From September 18, 2023 to September 30, 2023
Deposit: 10,000 USD
Reward: 43.3 esLBR
Dollar value: 39.45 USD

Strategy: All rewards were swapped for USDC.

RISK 4

There are 5 projects placed here for this month. A Risk 4 recommendation indicates a safe project for longer allocation.

Aerodrome finance  

• wUSDR/USDbC‍

From September 5, 2023 to September 30, 2023
Deposit: 10,000 USD
Reward: 4,825 AERO
Dollar value: 212.33 USD

• MAI/USDbC‍

From September 5, 2023 to September 30, 2023
Deposit: 10,000 USD
Reward: 3,018 AERO
Dollar value: 132.8 USD

• USD+ / USDbC‍

From September 5, 2023 to September 30, 2023
Deposit: 10,000 USD
Reward: 2 160 AERO
Dollar value: 95.07 USD

• DAI+ / USD+‍

From September 5, 2023 to September 30, 2023
Deposit: 10,000 USD
Reward: 1,358 AERO
Dollar value: 59.79 USD

• cbETH/wETH‍

From September 5, 2023 to September 30, 2023
Deposit: 5,000 USD
Reward: 523 AERO
Dollar value: 23.01 USD

Strategy: All rewards were swapped for USDC.

Across

• ETH pool

From September 6, 2023 to September 30, 2023
Deposit: 5,000 USD
Reward: 991.1 ACX
Dollar value: 50.3 USD

• USDC pool

From September 6, 2023 to September 30, 2023
Deposit: 10,000 USD
Reward: 1710.15 ACX
Dollar value: 86.79 USD

• USDT pool

From September 6, 2023 to September 30, 2023
Deposit: 10,000 USD
Reward: 1644.1 ACX
Dollar value: 83.44 USD

• DAI pool

From September 18, 2023 to September 30, 2023
Deposit: 10,000 USD
Reward: 1619.5 ACX
Dollar value: 82.19 USD

Strategy: All rewards were swapped for USDC.

SOIL

• We are on the waiting list for this project

Strategy: All rewards will be sold for USDC. Depending on the development of the protocol, we may re-evaluate this strategy over time.

Vaultka

• USDC.E

From September 28, 2023 to September 30, 2023
Deposit: 10,000 USD
Reward: 7.1 s-WATER
Dollar value: 7.27 USD

Strategy: We are accumulating rewards back into the pool until at least September 30, due to the airdrop rewards.

Lyra Finance

• ETH vault

From September 28, 2023 to September 30, 2023
Deposit: 5,000 USD
Reward: 3.2 OP
Dollar value: 4.18 USD

• BTC vault

From September 28, 2023 to September 30, 2023
Deposit: 5,000 USD
Reward: 2.9 OP
Dollar value: 3.78 USD

• ARB vault

From September 18, 2023 to September 30, 2023
Deposit: 5,000 USD
Reward: 2.04 OP
Dollar value: 2.63 USD

• OP vault

From September 18, 2023 to September 30, 2023
Deposit: 5,000 USD
Reward: 1.1 OP
Dollar value: 1.46 USD

Strategy: Accumulation of OP due to a long-term DCA strategy for this coin.

RISK 5

For this month we have placed 1 project here. A Risk 5 recommendation indicates a safe project for longer allocation.

KyberSwap ‍

• wstETH/ETH

From September 13, 2023 to September 30, 2023
Deposit: 5,000 USD
Reward: 0.0054 wstETH + 71.7 KNC
Dollar value: wstETH - 10.59 USD + KNC - 45.9 USD

• wstETH/axl.wstETH

From September 13, 2023 to September 30, 2023
Deposit: 5,000 USD
Reward: 0.00113 wstETH + 74.7 KNC
Dollar value: wstETH  - 2.09 USD + KNC - 47.8 USD

Strategy: KNC tokens are being sold for axl.wstETH/ETH according to the pool and then re-deposited back into the pool. This is to maximize rewards in ETH as much as possible.

The most profitable farm of the month is the wUSDR/USDbC farm from Aerodrome Finance, where we spent the longest time, 25 days, deposited 10,000 USD and earned 4,825 AERO, valued at 212.33 USD.

The most intriguing project for September is Vaultka. This project is just getting started and is set to launch. By providing liquidity to the pool, we have secured the opportunity for a future airdrop, which is expected in the coming months.

Why these protocols?

Curve

Curve Finance is a decentralized exchange (DEX) that specializes in the trading of stablecoins and tokens of similar value.

We have selected pools on this platform for the following reasons:

• Ecosystem Reach - Curve operates on 12 blockchains
• No Impermanent Loss - Curve allows traders to create pools with assets without IL
• veCRV - veCRV represents locked CRV tokens, enabling holders to earn rewards and participate in governance. It plays a pivotal role in the Curve ecosystem
• Tokenomics - The CRV token incentivizes liquidity providers and allows users to participate in the protocol's governance
• Accountability - Curve Finance underwent an attack in August 2023, with over 62 million USD compromised. Curve recovered 79% of these funds, and the remaining funds were reimbursed to users following an assessment

Aerodrome

Aerodrome was officially launched on August 28, 2023, on the BASE blockchain. However, this project isn't entirely unfamiliar in the crypto world. In fact, Aerodrome is a fork of Velodrome, which has been successfully operating on the Optimism blockchain for quite some time. Throughout its existence, which spans over a year, Velodrome has boasted rapid growth and earned a strong base of loyal users. Additionally, it's backed by an experienced development team, the same team behind the new Aerodrome project. This provides reassurance that Aerodrome isn't just another newcomer in the DEX scene, and this solid foundation, combined with a seasoned team, have secured its meteoric rise on the BASE platform. With such backing and support, it's clear that Aerodrome has all the makings to become a dominant player among DEXs on the BASE blockchain. Its position suggests that competitors will find it challenging to surpass it, and it's unlikely that anyone will easily dethrone it from its leading position.

We have selected pools on this platform for the following reasons:

• Central Node on the Base Blockchain - Projects launched on Aerodrome are continually expanding, with the latest additions including Vela exchange, Fren Alpha, Raft, Krav Trade, and Club Rare
• Attractive Liquidity Incentives - In September, an ecosystem expansion support program called Flight School was launched, offering rewards in veAERO
• Locked Voting Governance Model - Decisions about emission distribution in future epochs are made by locking AERO, for which you receive veAERO in exchange
• User-Friendly Interface - Aerodrome is a fork of Velodrome and has adopted its UI/UX, ensuring everything is in the same place as it is on Velodrome

Across

Across introduces a new way to bridge the gap between various blockchain solutions, especially in the realm of L2 and rollups. As an inter-chain bridge, its security is a paramount feature, and this is ensured by the optimistic oracle UMA. This oracle is designed to provide reliable and transparent information for all transactions passing through the bridge.

We have selected pools on this platform for the following reasons:

• Strong Development Team - Developers at Across are highly active and continuously improving the protocol
• MetaMask Bridge - Integration of Across with the MetaMask wallet
• High-Performance Pools - Thanks to ACX incentives, Across maintains high APYs
• Cross-Chain - The bridge is becoming increasingly utilized, leading to higher collected fees and the use of deposited liquidity

KyberSwap

KyberSwap is a DEX aggregator and liquidity protocol that offers cryptocurrency traders rates through liquidity aggregation. It's the primary protocol in Kyber Network's liquidity hub and provides advanced features to support users in the DeFi ecosystem.

We have selected pools on this platform for the following reasons:

• Future Growth - KyberSwap is poised for future growth due to new collaborations
• KyberAI - An intelligent assistant in the DeFi space (currently under development)
• Cross-Chain Swap: Thanks to the partnership with Alexar bridge, it's possible to perform swaps between chains (e.g., BNB on BNB Smart Chain for ETH on Arbitrum)
• Partnerships - The latest collaborations include Lido Finance, Alexar Network, and Squid Router
• New Farms - wstETH and axl.wstETH
• Upcoming Collaborations - Currently in planning with Pendle Finance

Lybra Finance

Lybra Finance is an innovative decentralized financial protocol focusing on creating stablecoins and offering users lucrative opportunities in the DeFi ecosystem. One of Lybra Finance's main products is eUSD, a stablecoin backed by LST.

We have selected pools on this platform for the following reasons:

• Layer Zero Partner: With peUSD, thanks to this collaboration, you can move between blockchains on which Lybra Finance is active without the need for third-party bridges
• V2 Lybra - This upgrade has brought tokenomics adjustments, omnichain peUSD, collateral adjustments for eUSD, the launch of DAO and Governance, and revisions to the protocol's revenue collection and fees
• eUSD - A yield of 8% APY for holders just for keeping it in their wallet

SOIL

SOIL represents the new generation in DeFi. It is a fully regulated protocol that focuses on providing secure yields based on stablecoins, which are backed by Real-World Assets (RWAs). These assets can include real estate, bonds, stocks, and other traditional investment instruments, ensuring stability and trust in the protocol.

Currently, this protocol is only accepting new investors through a waiting list, on which we are registered and awaiting permission to join.

We have selected pools on this platform for the following reasons:

• Experienced Team - The team boasts seasoned professionals in leadership positions
• Yield - Yields of up to 14% APR, with up to 8% in USDC and up to 6% in SOIL tokens
• RWA - Investing in traditional finance through cryptocurrencies
• Regulatory Compliance - Since the Soil protocol intersects with traditional finance, it has addressed regulatory ambiguities concerning the crypto world
• Partnerships - Notable names in the crypto world such as Polygon, Blockchain Venture Hub, Fractal, Hacken, Seedify, and Market Across are among its partners

Vaultka

Vaultka is a DeFi protocol with a clear market position as a catalyst for the Decentralized Perpetual Exchange (Perp DEX) on Arbitrum. This protocol is also in its early stages and has launched its first round, called Sip-TO-Earn. This program offers a unique opportunity for all users to earn esVKA tokens for their active participation.

We have selected pools on this platform for the following reasons:

• Future Perpetual Dex - Arbitrum, as an L2 for Ethereum, is performing well, and perpetual DEXs have a promising future
• Airdrop - By participating in the launch and providing liquidity, you will be rewarded with esVKA
• Single Staking - For USDC, there are single staking pools with an APR of 8%, and for DAI, it's 1.37%

Lyra Finance

Lyra Finance is a platform that allows users to deposit their stablecoins and earn returns on them. This enables you to earn trading fees and rewards for your deposits.

We have selected pools on this platform for the following reasons:

• Rewards - Paid out in OP coin
• Synthetix Ecosystem - Lyra and Synthetix are integrating with the Optimism chain
• Integration with Multiple dApps - Other dApps integrating with Lyra include GMX, Kwenta, Brahma, dHedge, TOros, and DeDelend
• Lyra V2 - A new version will soon be deployed, bringing portfolio margins, capital efficient spreads, collateralization of multiple assets, partial liquidations that minimize losses, and an improved user interface (gasless transactions, fast execution)

What We Achieved in September

In September, we achieved significant success, especially in the wUSDR/USDbC pool. In just 25 days, we earned a reward of 4,825 AERO. We continuously sold these tokens for USDC, resulting in a profit of 212.33 USDC for the month. We will continue in this pool as the APR remains at an attractive level.

In addition, we achieved another success in increasing our OP holdings. OP is the coin of the Optimism blockchain, which we have been buying long-term. The vaults on Lyra have been of great help in this regard, helping us to increase our OP supply by 9.24 coins in just three days at the end of the month. We are eagerly waiting to see how the situation will evolve when Lyra transitions to V2, and whether it will also transfer these vaults.

Regarding future airdrops, we discovered Vaultka at the end of the month and joined their pool with the possibility of receiving a future airdrop. In the coming months, we will evaluate how this step benefited us and its impact on our investment strategy.

We Are Always Looking for New Opportunities

Our team of analysts is constantly working on discovering and investigating new farms. By the end of the month, we had introduced three new farms to the community which are not included in this report as we have only been investing there for a short time. We will keep you informed about their development in our upcoming reports.

The Path Ahead

When we delve deeper into the history of cryptocurrencies, we can see that the month of October typically shows a positive trend. In 2020, we witnessed a significant growth in the Market Capitalization (MC) of cryptocurrencies, from 326 million to 444 million, representing a 33% increase. In 2021, this trend continued at an even stronger pace, with the MC jumping from 1.8 billion to 2.7 billion, a staggering 50% increase. Although 2022 wasn't as robust as the previous years, within just two months, we observed an influx of new capital, with the MC rising from 934 million to 1.056 billion - still a respectable 13% increase.

Considering this historical data, it's highly likely that we'll see positive growth again in October. Assuming a 13% increase, similar to last year, we could expect the MC to rise from 1.044 billion to 1.18 billion, signifying an influx of approximately 136 million into cryptocurrencies during October.

Given this anticipated growth, our focus in the upcoming month will be on stable farms. In a period characterized by slow growth and uncertainty, these farms can offer a sort of "safe haven" for asset placement. Additionally, we'll be concentrating on tried-and-trusted protocols to minimize potential risks. With a higher influx of capital, it's more likely that liquidity will more readily flow into established protocols rather than smaller and lesser-known projects.

In the coming months, we also plan to expand our long-term investment portfolios. In the current phase through which the cryptocurrency market is going, we can see an ideal opportunity to increase the token value of our portfolio from a long-term perspective, and at much more favorable prices.