Try Quests to earn cryptoSushiswap - Qualified Pools
Total Value Locked (TVL)
> Тotal value locked represents the number of assets that are currently being staked in a specific protocol.
What Is Total Value Locked (TVL)?
If you have been using DeFi tracking sites, the chances are high that you have run into total value locked (TVL) as a reference point. To put it simply, total value locked represents the number of assets that are currently being staked in a specific protocol: this value is not meant to represent the number of outstanding loans, but rather the total amount of underlying supply that is being secured by a specific application by DeFi completely.
Total value locked is a metric that is used to measure the overall health of the DeFi and yielding market. You can track total value locked on many services.
There are three main factors that are taken into consideration when calculating and looking at decentralized financial service's market cap TVL ratio: calculating the supply, the maximum supply as well as the current price.
In order to get the current market cap, you need to multiply the circulating supply by the current price. In order to get to the TVL ratio, you would need to take that market cap number and divide it by the TVL of the service.
From a theoretical standpoint, the higher the TVL ratio is, the lower the value of an asset needs to be; however, this is not always the case when we look at reality. One of the easiest ways to implement the TVL ratio is to help determine if a DeFi asset is undervalued or overvalued, and this can be done by looking at the ratio. If it is under 1, it is undervalued in most cases.
SushiSwap Liquidity Pools
> SushiSwap pools allow liquidity providers to add their tokens to liquidity pools. When they do so they will receive SLP tokens (Sushiswap Liquidity Provider tokens) for example if a user deposited $SUSHI and $ETH into a pool they would receive SUSHI-ETH SLP tokens. These tokens represent a proportional share of the pooled assets, allowing a user to reclaim their funds at any point.
According to this link, currently the total TVL on SushiSwap on the Ethereum mainnet is $451.23m.
Uniswap Liquidity Pools
Each Uniswap liquidity pool is a trading venue for a pair of ERC20 tokens. When a pool contract is created, its balances of each token are 0; in order for the pool to begin facilitating trades, someone must seed it with an initial deposit of each token. This first liquidity provider is the one who sets the initial price of the pool. They are incentivized to deposit an equal value of both tokens into the pool. To see why, consider the case where the first liquidity provider deposits tokens at a ratio different from the current market rate. This immediately creates a profitable arbitrage opportunity, which is likely to be taken by an external party.
According to this link, currently the total TVL on Uniswap on the Ethereum mainnet is $4.9b.
Description of Work
> In this bounty we want to review Qualified DEX Liquidity Pools on Uniswap and Sushiswap on Ethereum mainnet.
Definition of Qualified DEX Liquidity Pools: Qualified Pools have at least $100,000 worth of total value locked (TVL)
Work steps:
- We first calculate the TVL for Uniswap and Sushiswap on Ethereum mainnet
- We get the list of all Liquidity Pools on Uniswap and Sushiswap
- We get the list of all Qualified Pools on Uniswap and Sushiswap
- We check what percentage of Qualified== TVL does each DEX (Uniswap and Sushiswap) have?
- We check what volume does each of these Qualified Pools have over the last 100,000 blocks?
- We check what is the breakdown of major coin volume across these Qualified Pools (ETH, WBTC, USDC, USDT, etc.)?
Note
To address this question, we use the ethereum.core and ethereum schemas, and by using the dim_dex_liquidity_pools table in the ethereum.core schema, we obtain the list of all pools related to Uniswap and Sushiswap platform(token0, token1, pool_address) and then using the table erc20_balances available in the ethereum schema, we obtain the token balance of each of the pools
Important note:
Conclusion of part 1 / 2 / 3
- The total number of Uniswap pools whose balance per token is below **500000000$ (**whose tokens are not scam)== is 57967, of which 1786 are Qualified Pools, which is about 3.08% of the total number of pools.
- The total number of Sushiswap pools whose balance per token is below **500000000$ (**whose tokens are not scam)== is 2074, of which 237 are Qualified Pools, which is about 11.42% of the total number of pools.
- Sushiswap has almost 3.5 times more total pools than Uniswap Qualified Pools
To do this:
- We first obtain
max(block_number) - 100000in the fact_blocks table in the ethereum.core schema - Then we get the list of Qualified Pools for each Dex (Uniswap and Sushiswap)
- Finally, using the ez_dex_swaps table, we obtain the volume of each of the Qualified Pools for each of the Dex (Uniswap and Sushiswap), provided that:
block_number >= max(block_number) - 100000
Conclusion of part 4
In the charts above, you can see the volume of each of the Qualified Pools for Uniswap and Sushiswap in the last 100,000 blocks. According to the results, it is clear that:
- Top 5 Qualified Pools for Uniswap in order:
- USDC-WETH LP
- WETH-USDT LP
- FXS-FRAX LP
- SHIB-WETH LP
- DAI-WETH LP
- Top 5 Qualified Pools for Uniswap in order:
- USDC-WETH SLP
- WETH-USDT SLP
- LDO-WETH SLP
- SYN-WETH SLP
- ILV-WETH SLP
According to the top Qualified Pools for each Dex, it is clear that in the last 100,000 blocks, pools related to StableCoins had the largest volume.
According to the results obtained from Uniswap major coin volume across these qualified pools and according to the above photo taken from this link, we checked the volume of coins USDC, WETH, DAI, USDT, WBTC, sETH2, agEUR, FRAX, USDM, SWYF for Qualified Pools on Uniswap, ==USDC, WETH, DAI, USDT, FRAX, agEUR, sETH2 and WBTC== respectively have the largest volumes
According to the results obtained from Sushiswap major coin volume across these qualified pools and according to the above photo taken from this link, we checked the volume of coins USDC, WETH, DAI, USDT, WBTC, LDO, OHM, SUSHI, TOKE, BIT and ILY for Qualified Pools on Sushiswap, ==WETH, ILY, USDC, OHM, DAI, USDT, WBTC, SUSHI, TOKE, BIT and LDO== respectively have the largest volumes