{"id":270879,"date":"2021-06-10T08:07:13","date_gmt":"2021-06-10T05:07:13","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/pomp-sparks-debate-has-bitcoin-defi-project-sovryn-really-overtaken-uniswap-v3-by-tvl\/"},"modified":"2021-06-10T08:07:13","modified_gmt":"2021-06-10T05:07:13","slug":"pomp-sparks-debate-has-bitcoin-defi-project-sovryn-really-overtaken-uniswap-v3-by-tvl","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/pomp-sparks-debate-has-bitcoin-defi-project-sovryn-really-overtaken-uniswap-v3-by-tvl\/","title":{"rendered":"# Pomp sparks debate: Has Bitcoin DeFi project Sovryn really overtaken Uniswap v3 by TVL?"},"content":{"rendered":"<p>&#8220;<strong># Pomp sparks debate: Has Bitcoin DeFi project Sovryn really overtaken Uniswap v3 by TVL?  <\/strong>&#8221;<br \/>\n<img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjEtMDYvOGE0YmMwOWYtZWZlZS00ODM5LThiODItYjVlNzVhMGQ5YjYxLmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-5a136f3a>Sovryn, a BTC money market protocol built on Bitcoin-based smart contract platform RSK, recently <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>eared to be shooting up through the decentralized finance rankings.<\/p>\n<p>On June 9, Bitcoin commentator, Anthony Pompliano, shared data to his one million followers from decentralized finance data aggregator, DeFi Llama, indicating the protocol had amassed a total value locked (TVL) of $1.95 billion \u2014 ranking it 14th for the sector and beating out DeFi darling Uniswap v3.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Sovryn has a higher TVL than Uniswap V3. <\/p>\n<p>I keep telling everyone that DeFi infrastructure on Bitcoin is the most mispriced opportunity in the market.<\/p>\n<p>Proceed as you wish  <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/YZpcSrXW9D\">https:\/\/t.co\/YZpcSrXW9D<\/a><\/p>\n<p>\u2014 Pomp  (@APompliano) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/APompliano\/status\/1402704745647816704?ref_src=twsrc%5Etfw\">June 9, 2021<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>Pomp and many of his followers are aggrieved that Ethereum focused platforms such as DeFi Pulse do not list Bitcoin DeFi projects like Sovryn and Stacks, with the influencer stating:<\/p>\n<blockquote><p>\u201cOne would be in top 15 of TVL list and the other would be top 25. Why are they not included?\u201d<\/p><\/blockquote>\n<p>Pomp\u2019s post about Sovryn has garnered criticism from Ethereum ecosystem proponents who refuted the idea that Sovryn had amassed a ten-figure TVL. \u201cChainLinkGod\u201d suggesting staked governance tokens may have contributed to an exaggerated TVL estimate.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">How is the market price of staked <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/search?q=%24SOV&amp;src=ctag&amp;ref_src=twsrc%5Etfw\">$SOV<\/a> determined? I can&#8217;t find any info on the token price<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/t.co\/T5ILAtYUiz\">https:\/\/t.co\/T5ILAtYUiz<\/a><\/p>\n<p>\u2014 ChainLinkGod.eth 2.0 (@ChainLinkGod) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/ChainLinkGod\/status\/1402721397361635328?ref_src=twsrc%5Etfw\">June 9, 2021<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Since Pomp\u2019s original post, DeFi Llama has adjusted its data for Sovryn, now listing the project as having a TVL of just $52 million. The updated data now matches the TVL provided by Sovryn\u2019s own <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/wiki.sovryn.app\/en\/metrics\/amm-tvl-avg\">wiki<\/a>.<\/p>\n<p>In a June 10 statement, DeFi Llama confirmed that its previous estimate Sovryn\u2019s TVL was nearly $2 billion had indeed resulted from including the capitalization of staked assets. The data aggregator added that it will soon issue an update to its website allowing users to choose whether or not staked assets are included in TVL data.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Regarding the recent controversy on Sovryn:<br \/>1. We&#8217;ve removed staking from their TVL<br \/>2. We&#8217;ll issue an update to the site that allows anyone to choose whether they want staking to be included or excluded on TVL<br \/>3. We&#8217;ll re-add sovryn staking after the update<\/p>\n<p>\u2014 DefiLlama.com (@DefiLlama) <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/twitter.com\/DefiLlama\/status\/1402762264361549826?ref_src=twsrc%5Etfw\">June 9, 2021<\/a><\/p><\/blockquote>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Since decentralized finance exploded in popularity during 2020, TVL has emerged as the dominant metric by which a protocol\u2019s success is measured.\u00a0<\/p>\n<p>However, many analysts have argued that TVL is reductionistic and should not be treated as the sole measure of a DeFi project\u2019s progress. <\/p>\n<p>Speaking to Cointelegraph, CoinGecko co-founder Bobby Ong stated that much like how market capitalization has become the primary measure of a token or coin\u2019s success, TVL has risen in popularity due to its simplicity, emphasizing the convenience of establishing \u201cone number to compare against all DeFi protocols.\u201d<\/p>\n<p>\u201cIt\u2019s not the perfect measure [&#8230;], but it is the most straightforward measure for people to understand and use as a benchmark,\u201d he added.<\/p>\n<p>Ong believes that total trading volume should be the primary metric that decentralized exchanges (DEXes) are measured by, noting that volume \u201cdrives protocol revenue.\u201d For the same reason, he argued that borrowing volume should be the principal measure of money market protocols.<\/p>\n<p>Ong also recommended that analysts place a greater emphasis on combining TVL with other key metrics to illustrate the capital efficiency of liquidity locked in a given protocol:<\/p>\n<blockquote><p>\u201cFor a DEX, looking at Trading Volume \/ TVL will give a measure of how efficiently the liquidity is utilized to drive fees for the protocol and LPs.\u201d\u00a0<\/p><\/blockquote>\n<p>Ong also argued that dividing a project\u2019s TVL by its market cap or fully diluted valuation (FDV) is useful for comparing DeFi protocols operating in the same segment.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"defi_newsletter\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/pomp-sparks-debate-has-bitcoin-defi-project-sovryn-really-overtaken-uniswap-v3-by-tvl\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Pomp sparks debate: Has Bitcoin DeFi project Sovryn really overtaken Uniswap v3 by TVL? &#8221; Sovryn, a BTC money market protocol built on Bitcoin-based smart contract platform RSK, recently appeared to be shooting up through the decentralized finance rankings. On June 9, Bitcoin commentator, Anthony Pompliano, shared data to his one million followers from&#8230;<\/p>\n","protected":false},"author":1,"featured_media":270880,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjEtMDYvOGE0YmMwOWYtZWZlZS00ODM5LThiODItYjVlNzVhMGQ5YjYxLmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74867,74862,74868],"class_list":["post-270879","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-altcoin","tag-bitcoin","tag-defi"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/270879","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=270879"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/270879\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/270880"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=270879"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=270879"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=270879"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}