With the TGE approaching, can SynFutures catch the tailwind of the Base ecosystem?

By: blockbeats|2024/12/05 03:45:01
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Original Title: "TGE Incoming, Exploring SynFutures Market Potential"
Original Author: Wilson Lee, Biteye

01Base Ecosystem Thriving, SynFutures Riding the Growth Wave

Solana is undoubtedly the leader and biggest beneficiary of the current "meme" craze, with its strong wealth effect attracting a large number of loyal users and driving massive ecosystem expansion, as well as sparking industry-wide mimicry — the trend of "pump meme, build ecosystem."

Amid Solana's "meme" frenzy, Pump.fun is undoubtedly one of the biggest winners. Since its launch a few months ago, the platform has accumulated nearly $270 million in revenue.

Simultaneously, the influx of hot money and the growth of active users have greatly propelled the growth of the Solana DeFi ecosystem. Spot DEX platforms like Raydium and Jupiter, as well as Perp trading platforms like Drift, have leveraged this momentum to achieve both business growth and price appreciation.

With the TGE approaching, can SynFutures catch the tailwind of the Base ecosystem?

Pump.fun Cumulative Fee Revenue — November 29 data, Source: https://dune.com/evelyn233/pump-data

However, as Pump.fun shut down its live streaming feature in late November due to a series of controversies, Solana's short-term hype has subsided.

Meanwhile, leveraging the AI Agent narrative entry point, Base has smoothly taken over Solana's hot money and traffic under the guise of a "meme season."

The skyrocketing popularity of meme issuance projects like Clanker and Virtuals on Base also seems to foreshadow Base nurturing an opportunity on par with Pump.fun.

Under the market consensus that Base does not issue coins, we have reason to believe that Base's DeFi products will capture greater market value during the "Base Season."

As the fastest-growing Perp trading platform in the Base ecosystem, SynFutures has become the de facto leader in the Base derivative market since its launch on Base in July.

In the third quarter of 2024, SynFutures captured over half of the market share in the Base Derivatives market.

With the launch of the Perp Launch mechanism and the TGE on the horizon, SynFutures will further leverage Base's momentum to continue expanding its market share, achieving dual growth in business and market value.

02Perp Launchpad Empowering Value Capture

SynFutures' current achievements are attributed to its excellent product innovation capabilities, outstanding operational capabilities, and profound strategic vision.

As early as March, the team set its sights on Blast and launched Base in July, perfectly capturing the market's rhythm and sustaining the momentum of its growth engine.

At the same time, SynFutures, with its innovative Oyster AMM (oAMM) mechanism, successfully addressed the trade-off between capital efficiency in Perp products and permissionless trading to support any asset.

Amid the great opportunity of the Base frenzy, SynFutures once again innovated its product, introducing the Perp Launchpad feature, making people look forward to SynFutures' performance in this Base Season.

Note: For more information about SynFutures, please refer to Biteye's previous article: "3 Months to the Top, 50% Market Share, Who Is Leading the DeFi New Trend?"

What Is Perp Launchpad

Perp Launchpad is the perpetual contract issuance platform launched by SynFutures. Similar to spot issuance, anyone can quickly deploy liquidity on a DEX and launch a token.

SynFutures' Perp Launchpad brings this flexibility to the Perp track, allowing users to create perpetual contract markets for any crypto asset in a permissionless manner.

Perp Launchpad has certain requirements for assets that want to issue Perps:

· Asset type limited to ERC-20 tokens on Base only

· Spot issuance date cannot be earlier than June 30, 2024

· Minimum 24-hour trading volume must not be less than $1 million

· Has active social media or offline community activities

· Has a price oracle

In the future, the SynFutures team plans to gradually expand the Perp issuance feature to other blockchains.

Although the Perp Launchpad has been launched for a short time, in SynFutures' contract market, we have already seen the listing of several new small-cap tokens (especially meme tokens).

Users can directly engage in contract trading and provide liquidity, among other operations. As user habits are formed and the market further expands, the Perp Launchpad will demonstrate enormous potential.

Source: https://oyster.synfutures.com/#/launchpad/base

Strategic Significance of Perp Launchpad

The launch of the Perp Launchpad holds profound strategic significance, not only crucial for the development of SynFutures itself but also likely to have a far-reaching impact on the entire derivatives space.

Firstly, for on-chain degens, the Perp Launchpad provides more trading opportunities and gameplay for small-cap tokens, especially meme coins.

Many small-cap tokens that have not been able to launch derivative markets on mainstream platforms can quickly launch derivative markets with the support of Perp Launchpad, providing more leverage trading opportunities, enhancing market liquidity and activity, and promoting price discovery.

In the meme-heavy, PVP-filled market, if shorting tools can be introduced, the overall market playability will be significantly enhanced.

Secondly, the Perp Launchpad provides investors with more diversified sources of income and risk management tools.

The SynFutures LP liquidity mining mechanism allows investors to earn high annualized returns by providing liquidity. With the launch of more varieties of meme perps, LP options will significantly increase, and investors' earning potential will also increase accordingly.

For SynFutures, the Perp Launchpad is not only a key growth engine but also has enormous potential to capture the Base meme bull market as an expression of its further market share and brand influence expansion.

Lastly, the launch of the Perp Launchpad is significant not only for SynFutures and on-chain degens but also could lay the foundation for further development of the crypto derivatives market.

Through this decentralized, open innovation model, SynFutures aims to drive widespread adoption of perpetual contracts, becoming an industry-leading platform and contributing to the mainstreaming of the crypto industry.

A more inclusive derivative trading method will accelerate the maturity of the crypto market and provide investors with more diverse income and risk management tools.

03 Market Performance and Value Potential

On November 25, SynFutures announced the establishment of a foundation and the launch of the $F token, stating that a TGE and airdrop will take place soon. Under impressive data, SynFutures' market value potential has become the focus of market attention.

Market Performance

Looking back on the development of the decentralized derivatives track in recent years, new projects are rising, old projects are fading, and although there has been good progress, their market share compared to centralized exchanges is still insignificant, less than 5%.

On the one hand, this is related to the DeFi development encountering a phase bottleneck, and on the other hand, the derivatives track has higher requirements for speed, and the underlying public chain still has significant bottlenecks in this area, hindering the development and innovation of the track.

However, SynFutures generated over $200 billion in trading volume in 9 months, showing a very impressive performance. The highest daily trading volume reached $1.7 billion.

In the past 24 hours, the platform's trading volume ranks 2nd overall, second only to Hyperliquid.

According to DefiLlama data, Q2 and Q3 on-chain perpetual contract trading volume was $1.1857 trillion, with the top 3 accounting for over 45% of the volume, namely Hyperliquid (16.94%), dYdX V3 & V4 (14.37%), and SynFutures (14.11%).

Value Potential

We assess SynFutures' market potential by looking at how it captures Solana value in the Solana DeFi context, combined with the market performance of Aerodrome, Base's native DEX.

Firstly, SynFutures has firmly established itself as a top player in Base's ecosystem. Since launching on Base on July 1st, SynFutures saw its trading volume surge past $1 billion within 10 days, approaching a total trading volume of nearly $40 billion, with a daily average trading volume of $240 million.

The trading volume in the past 24 hours accounted for 68% of the Base network volume, surpassing the 2nd spot by 4 times.

Compared to projects in a similar ecosystem position, SynFutures demonstrates significant market potential. According to DefiLlama data, as of the end of November, Solana and Base had TVLs of approximately $9.2 billion and $3.6 billion, with daily trade volumes of around $3.6 billion and $2 billion, respectively.

Source: https://defillama.com/chains

Looking at the data from the major DEXs on Solana and Base since November, the FDV of the following projects aligns closely with their operational metrics. It can be observed that derivative trading volumes contribute to a higher market value compared to spot markets.

Since November, SynFutures' derivative trading volume on Base has approached Jupiter. Therefore, based on the data and market capitalization of similar projects in the same ecosystem position, SynFutures' value potential should not be underestimated.

Data Source: DefiLlama, Coingecko

SynFutures has garnered strong support from numerous top industry institutions in its growth journey, having raised a total of $37.4 million in three funding rounds. Leading investors include Dragonfly, Standard Crypto, Polychain, and Pantera Capital, showcasing high market recognition of the project.

The business of SynFutures has shown strong growth momentum. In addition to its existing dominance on Perp, the SynFutures team has also hinted at the possible launch of spot aggregation trading functionality on Base. Riding the wave of the Base ecosystem, SynFutures is poised to demonstrate tremendous market potential.

04 Summary and Outlook

SynFutures' success is not only attributed to its outstanding product innovation and market acumen, but also to its keen following of industry trends, especially its rapid rise within the Base ecosystem.

In conclusion, SynFutures' market performance post TGE is highly anticipated. Leveraging the Perp Launchpad, potential spot aggregation feature, and the potential of the Base ecosystem, SynFutures is expected to lead the breakout of the Perp track and become the benchmark in the derivatives track!

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