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Getting in early on new ecosystems is like finding a hidden treasure – it could mean a serious payoff. Case in point: back in 2020, when most were all about DeFi on Ethereum, those who had their eyes on alternative layer 1 solutions like BNB Chain or Solana made bank. They scooped up the best opportunities before everyone else even knew where to look.
Fast forward to 2021, when everyone else was rushing towards alternative layer 1 platforms, the real trendsetters were already dipping into layer 2 solutions like Arbitrum and Optimism. Staying one step ahead, they hit gold while others were still busy mining silver.
Sure, not all of your ventures will be a home run, but when you hit the bullseye… boy oh boy.
That’s why today, we’re diving into Mantle, a thrilling new layer 2 solution, and Polygon’s ZkEVM! 👇
TLDR 📃
- BitDAO is making serious waves, folks! By unveiling Mantle, a cutting-edge Layer 2 solution backed by a whopping $3.9 billion treasury, they’re putting a refreshing spin on the game. Plus, they’re rebranding their existing BIT token to MNT.
- Polygon’s zkEVM is making a comeback by slashing gas fees by a cool 20% and stirring up excitement with hints of a potential airdrop for early adopters.
- Base, the Layer 2 darling backed by Coinbase, is all set for its mainnet launch. Meanwhile, Matter Labs is powering up zkSync’s gaming plans, with Activision Blizzard exec Michael Lee on board.
- StarkEx-based network hosting the inaugural forex swap using Australia’s trial CBDC.
Disclaimer: Not financial or investment advice. Any capital-related decisions you make are your responsibility and yours only.
Seizing the Mantle 🟢
Did you know that BitDAO is now leading the DAO pack, even outperforming the Ethereum Foundation in terms of treasury valuation? They’re sitting on a colossal treasury of $3.9 billion – quite the war chest, isn’t it?
Born out of the popular crypto exchange Bybit, BitDAO has been steadily feeding its treasury from a major cut of Bybit’s own revenues, hence its size.
Not resting on their laurels, BitDAO has unveiled the Mantle network, an innovative layer 2 solution. With such deep pockets, they’re wisely investing in building their very own tech ecosystem. It’s just like Binance building BNB Chain back in the day.
You might be scratching your head, asking, “Isn’t Mantle just another layer 2 solution, like Arbitrum or Optimism?” Well, it’s more unique than you might think. Let us tell you why.
How is Mantle different? 🧩
Did you catch the news about Mantle? It’s flipping the script for Ethereum’s Layer 2 solutions. Picture a football team where every player – data, performance, security – has a specific role to play. Traditional solutions play a rigid game, sticking to fixed positions.
But what if we could switch things up? What if we could swap players around based on the game’s flow? That’s exactly what Mantle does, turning it into a modular solution.
To give you a taste of this strategy, consider Mantle’s “data availability layer”, akin to a goalkeeper. They’ve partnered with EigenLayer’s EigenDA, a specialist keeper ensuring that data, like the ball, is always in safe hands.
This strategy, with each player focusing on their specialty, is set to level up Mantle’s game. It enhances overall team performance, lowers costs, and boosts efficiency. Sounds like a winning game plan, don’t you think?
Will there be a token? 🪙
Now that you’re all clued up on how Mantle stands out from the Layer 2 crowd, you might be curious about its token situation. Here’s the deal: Mantle, being a brainchild of BitDAO, will use BitDAO’s existing token. But wait, there’s a twist. The token, known as BIT, is getting a new look and a new name – MNT. So, MNT is set to be the lifeblood of the Mantle Network. So technically, there already is a token.
1/ 🚨 @BitDAO_Official and #Mantle have introduced a new discussion, highlighting several pivotal changes in branding & structure that will shape the future of Mantle and Mantle Network.
All community members are invited to share their early feedback 👇https://t.co/kt8Bg5wBmD
— Mantle (@0xMantle) May 5, 2023
Right now, Mantle is in the testnet phase, gearing up for a mainnet launch by late July. And they’re wooing developers with a whopping $200M grant program. Expect a flurry of projects running on this L2 soon! Which we’ll of course update you on.
So, that token, how’s it looking?
Something is brewing on BIT’s weekly timeframe…
We can see that the asset is just above its $0.4750 support level. The deal is pretty straightforward here – BIT holding $0.4750 as support gives it a green light to a lot of upside, specifically to $0.7650.
In the coming months, we expect BIT to perform relatively well, steadily rising toward our target of $0.7650. However, losing $0.4750 as support will end the bulls – our only deal breaker.
Polygon’s zkEVM and why it deserves your attention 🪂
Let’s talk about Polygon’s zkEVM, another fresh face in the Layer 2 arena this year. Sure, we gave it a tough time in a previous piece, but we have to be fair and say that they’ve been cooking something exquisite recently.
Though its $15.7M in total value locked (TVL) might look small, and the steep gas fees might have curbed adoption, there’s a silver lining. The Polygon team has let slip their plans to slash gas fees by a sweet 20% in the coming weeks.
In the next few weeks, optimizations to Polygon zkEVM are expected to reduce fees by ~20%. This is without any compression.
But there are many ways users can optimize for fees today. Follow the thread for tips and tools on:
– On-chain transactions
– Bridging transactions— Polygon (Labs) (@0xPolygonLabs) May 22, 2023
This could give zkEVM a competitive edge, ramp up its popularity and turn the below chart into “up only” mode.
Right now, zkEVM seems to be in the shadow of its bigger sibling, zkSync Era. The fact that Polygon has its token, MATIC, while zkSync users are buzzing about a possible airdrop, might be a factor. But wait, the Polygon founder has dropped hints about an airdrop for early network users.
High gas fees and a lack of incentives were our main gripes with Polygon’s zkEVM. But with these issues being tackled head-on, it might be high time to give zkEVM a second look; starting with its token: MATIC – does it look any better?
MATIC doesn’t look too good yet, but there’s something you should know…
Despite MATIC having some downside left in the tank (to $0.76), we believe that’s where buyers will step in and take the lead again.
Unfortunately, though, MATIC’s price is stuck inside a range between $1.30 and $0.76. There’s no telling how long it will take to break one of the two levels, but know this – it’s bound to happen at some point. Be prepared.
Cryptonary’s take 🧠
In crypto, being first can be like discovering hidden treasure. Sure, not every find sparkles, but when you hit the jackpot, it’s all worth it.
Take Mantle, backed by ByBit’s BitDAO, the DAO with the biggest war chest. It’s giving us a “BNB in its early days” vibe. Sure there’s more competition, making it harder to grow, but its unique design could seriously challenge giants like Arbitrum or Optimism.
Polygon, on the other hand, is surprising us by cutting gas fees for its zkEVM and hinting at a possible airdrop. We’re all for that extra money, so we’re definitely playing around with Polygon’s zkEVM.
In the crypto quest, knowledge is your map, and staying ahead is your compass. So keep exploring, and who knows what you might discover?
Other news 📰
- Base’s Mainnet Countdown: Coinbase-backed Layer 2 solution Base is on the brink of its mainnet launch, hinging on the success of its testnet run, security audits, and the Optimism’s Bedrock upgrade.
- Gaming Move by Matter Labs: Matter Labs has snagged Activision Blizzard exec Michael Lee to boost zkSync’s gaming plans. His experience with gaming powerhouses like Call of Duty and Overwatch is set to turbocharge zkSync’s growth efforts.
- StarkEx’s First Forex Swap: A StarkEx-based network has broken new ground, hosting the first forex swap using Australia’s trial CBDC. The transaction used CANVAS Connect, a Layer 2 ZK-Rollup scalability solution that’s backed by Starkware’s StarkEx and used by DeFi bigshots like dYdX and Sorare.
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