DeFi "Winners": Congrats, You Only Lost *Most* of Your Money!
The "Winners" Circle of Losers So, FalconX is telling us that *some* DeFi tokens are doing relatively okay after the October 10th crash. Two out of twenty-three are actually *up* for the year? That's your victory parade? The whole sector is down 37% this quarter. It's like saying you won a marathon because you crawled across the finish line while everyone else died of dehydration. They're pushing this narrative that investors are flocking to "safer names with buybacks" like HYPE and CAKE. Oh, because buybacks magically make a Ponzi scheme sustainable? Please. All it means is they're using new money to pay off old investors, and offcourse that only works until it doesn't. What happens when the buybacks stop? And then there's MORPHO and SYRUP outperforming their "lending peers" because they weren't completely annihilated by the Stream finance collapse. Congratulations, you only lost *most* of your money! That's the new gold standard, apparently. I'm supposed to be impressed by this?DeFi's "Cheaper" Now? More Like "Faster Fire Sale"
Multiples and Mayhem Here's where it gets even more hilarious. Apparently, some decentralized exchanges (DEXes) are getting "cheaper" because their prices are collapsing faster than their activity. That’s like saying a burning building is a great real estate deal because the price is dropping by the hour. CRV, RUNE, and CAKE are supposedly posting "greater 30-day fees" now than before the crash. Okay, but how much lower is the *actual* volume? Are they just squeezing blood from a stone while the whole damn industry is bleeding out? And of course, the lending sector is getting "more expensive" because prices haven't dropped as much as fees. KMNO's market cap is only down 13% while fees are down 34%! That's a *good* thing? That just means people are clinging to these things like a life raft on the Titanic, even as the water rises around them. Wait a minute... This whole "investors crowding into lending names" thing... isn't that exactly what you *don't* want to see? Everyone piling into the same supposedly "safe" asset, right before it implodes? History doesn't repeat but it rhymes, or something like that. Speaking of implosions, I'm still waiting for someone to explain why these crashes keep happening in the first place. Is it just "market volatility," or is there something fundamentally rotten about this whole DeFi ecosystem? Are people *really* using these platforms for legitimate purposes, or is it just a bunch of degens chasing yield and hoping to get out before the music stops?DeFi's "Future": More Like a Casino With Extra Steps
The "Future" of Finance? The FalconX report suggests investors think perps will "continue to lead" on the DEX front. "Perps on anything," they say, pointing to HYPE. So, the future of finance is... gambling on the price of anything and everything with insane leverage? That's progress? And on the lending side, they're talking about "fintech integrations" and "high-yield savings accounts." AAVE and MORPHO are supposedly leading the charge. Great. More ways for TradFi to get their grimy hands on DeFi and turn it into just another rigged game for the rich. Honestly, I'm starting to think the whole point of crypto was to escape the clutches of Wall Street, and now we're just building them a brand new playground. It's all well and good to talk about "potential opportunities from dislocations," but let's not pretend this isn't a dumpster fire. The whole DeFi sector is built on hype and speculation, and when the hype fades, all that's left is a bunch of overleveraged gamblers holding the bag. And I'm sitting here, supposed to believe that *this* is the future? Please. Maybe I'm Just Too Jaded? Or maybe I'm just too cynical. Maybe there really is something revolutionary about this whole DeFi thing, and I'm just too old and out of touch to see it. Maybe these "safe havens" really are safe, and I'm just too paranoid to trust anything that isn't backed by the full faith and credit of the U.S. government. Nah. Let's be real, though—probably not. It's All Just a Sideshow
