Author | The Wild Dog
Proofreading | Fatty
Audit | Mingxi
Second trial | Qin Xin
Produced | Benz Finance
With less than 4 hours left, 2020 will be over.
Accustomed to the ups and downs of market shocks, it seems that it is no longer easy to sigh with emotion.
Everyone in the currency circle who has been struggling in 2020, next year, I hope all the good luck will continue.
BTC ushered in its own record high, which is a year of faith flowering.
Running away, thunderstorms, pin insertion, theft... next year, these may still happen.
The course of history, the wheels are rolling.
In 2020, you have succeeded in smashing the market.
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1. The B of three thousand and eight is the same, and the ₿ of twenty-eight thousand is one in ten thousand
The end of 2020 is clearly not the end of the Bitcoin market. Bitcoin, which continues to create record highs, continues to lead the rise of digital currencies. Who would have thought that after this year's "3.12" plunge, the big pie that fell to 3800 would still bear everything by itself after all, and successfully staged a drama of "Luohong is not a ruthless thing" in the year.
Believers in Bitcoin will say, "Believe it exists, and existence is reasonable."
A family member who works in futures asked me, "What is the logic behind Bitcoin's rise?"
The previous landlord questioned, "Isn't that a lie?"
Only the history of the past tells us that "we must look at the essence through phenomena" and "practice is the only criterion for testing truth."
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(Picture: 2020 "Bitcoin" Weibo trending statistics and mapping: Benpao Finance)
Guo Ziying wrote in "The Ideal Country", "There are strange problems in every corner of the world, and our own country is the same. However, please don't lose sight of the sun because you are used to walking at night. Just the right shadow , to make the sun shine brighter. Just like in life, half of happiness comes from negative experiences.”
The just-right "slump" makes the "surge" more brilliant, and the "ideal country" of Bitcoin's $100,000 seems to be getting closer.
From 28000 to 380000, is it essentially a "and (huò) zero game"?
Maybe you have heard of it—a zero-sum game, which means that there are winners and losers in a game, the winner’s profit comes from the loser’s loss, and the total profit of all participants in the game is equal to zero. Judging from the 18 Bitcoin Weibo hot searches, we have been measuring the standard by profit and loss.
Since the creation of Bitcoin in 2009, the price of Bitcoin has ranged from $0.0001 to $10000, and Bitcoin has achieved "and zero" again and again in value exchange.
But not all losses can be measured in numbers.
Under the prosperity of the Bitcoin market, the ups and downs and ups and downs of the numbers we care about are nothing more than the alternation of red and green, so that we ignore the real red.
On June 18, 2020, a family of three in Dalian Xinghai Bay fell into the sea, a tragedy caused by the liquidation of Bitcoin.
As bystanders, we cannot simply stand on the side of objectivity and rationality to judge the right or wrong of this matter. To be clear, choose the right way instead of putting your life as a bet.
"And zero game", in this game, choose the former to survive, and choose the latter to perish.
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(Picture: Statistical source of liquidation data on the entire network in the last 30 days: Contract Emperor)
Among the liquidation statistics in the past 30 days, the total amount of liquidation on December 7 was the lowest, with a total amount of more than 36.7724 million US dollars, and the total amount of liquidation on December 17 was the highest, with a total amount of more than 835 million US dollars.
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2 Ethereum, the main character of the year missed
2020 is the year of Ethereum.
(If there is no skyrocketing BTC)
The price of ETH has soared from $130.77 on January 1, 2020. As of 13:00 on December 31, 2020, the price of ETH was $742, an increase of 467.4%.
The third halving of Bitcoin has aroused great attention from the entire network, but it has not been able to wait for the corresponding "halving market". Instead, a wave of DeFi has swept the entire industry. Although the DeFi craze slowly subsided with the whistle at the end of the first half, there are still NFTs to keep it warm, and with the successful upgrade of Ethereum 2.0, another wave of rising prices is ushered in.
Behind this wave of rising prices, after all, it is still inseparable from supply and demand.
After the launch of Ethereum 2.0, the currency-holding interest-generating mechanism allows a large number of users who hold ETH to choose to pledge their tokens in the smart contract of Ethereum 2.0 to obtain more attractive annualized returns, resulting in a decrease in the total amount of currency circulating in the market, and the market The demand for ETH increases and the price rises.
In 2018, the first year of the blockchain, we say that blockchain projects without substantial technology are hooligans.
In 2019, the first year of blockchain applications, we say that digital currencies without application scenarios are all air coins.
In 2020, the first year of the DeFi ecosystem, we will focus more on the value of digital currency in a more subdivided financial field. The blockchain technology application main position of decentralized finance is further expanded.
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(Picture: Data source of DeFi lockup amount: coingecko)
The popularity of DeFi is more based on the liquidity mining model.
The development process of the nascent model will inevitably be accompanied by certain chaos, and the process of DeFi ordering out of chaos is obviously much faster than expected.
The annualized rate is 20,000%, the locked position is 460 million US dollars, and it crashes within 36 hours.
The "sweet potato digging craze" triggered by YAM came in a hurry and disappeared, leaving only a sentence of "I'm sorry, I failed".
The era needs recorders and creators. The blockchain industry we are in needs, and speed is the most important thing; Development is a process of standing on the shoulders of giants, which requires evangelists and will also be accompanied by victims.
Starting from 0 and 1, indulging in the ups and downs of numbers, forgetting ".div(BASE)" (the missing code that caused YAM to crash), and finally returning from 1 to 0.
I would like to dedicate this picture to all farmers in 2020, and DeFi will eventually harvest and mature.
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(Picture: DeFi data source: QKL123)
The essence of finance is to make a profit.
In the field of digital currency, exchanges have always been at the top of the pyramid, which is most directly in line with the essence of profit. Is there a big difference between decentralization and centralization?
We hear too much about the advantages of decentralization. In the era of demons dancing wildly in 2018, "decentralization" is the standard promotional copy. In 2020, after all, we will return to the discussion of DEX and CEX.
To repeat the key point, the essence of finance is to make a profit.
Centralized exchanges provide increasingly rich and diversified investment products for users to choose from. Decentralized exchanges rely on liquidity rewards to provide investment options for users through automatic market-making mechanisms. Both can be profitable.
What is profit, in layman's terms, is to make money into one's own pocket. Dismantling "profit" is to make money + get it in your own pocket.
As mentioned above, making money, based on the price of digital currency, earns the appreciation value of the currency itself, and the value itself comes from supply and demand. The ecological development of the blockchain system is one of the key factors affecting supply and demand. In 2020, the Bitcoin pie hit a new high, and the market of Ethereum also showed an upward trend this year. Except that XRP encountered the SEC crisis, EOS lost its third position, and the mainstream currency market was generally good at the end of the year.
Another important factor is the movement of giant whales. Whether it is DEX or CEX, the operation of large amounts of funds will directly affect the price of tokens in hand. At this time, the advantages of CEX will be reflected, and the diversified investment products will provide more room for operation.
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(Picture: Top 10 DEX data source: coingecko)
Disassemble the second point of profit and get it into your own pocket.
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3. Harvest Faith
and choose to drop it
As of December 27, 2020, Paedao Finance has been deeply involved in the blockchain industry for three full years. Now, ahead of the arrival of 2021, Pao Finance has started its fourth year in the blockchain industry. We choose to be the recorder of the industry because this promising road will eventually reach a distant place.
In 2020, the total number of blockchain companies in my country will reach 1,329.
In 2020, there will be 194 blockchain landing projects in my country.
In 2020, 30 million red envelopes will be released for the digital renminbi pilot.
In 2020, there will be more than 38 blockchain industrial parks in my country.
In 2020, a total of 22 provinces will include blockchain in the 2020 government work report.
In 2020, the blockchain service network BSN will complete the deployment of 128 global nodes.
……
In 2020, the SEC sued XRP.
In 2020, Mt.Gox liquidation compensation has not yet been completed.
In 2020, Libra will transform into Diem, which means "day".
In 2020, the much-anticipated Filecoin was launched, and the plunge triggered a strike by miners.
In 2020, the wealth of Ketuan Zhan on the Hurun Report has shrunk by 19 billion yuan.
In 2020, OKEx suspended coin withdrawals, and founder Xu Mingxing cooperated with the investigation by the public security organs.
In 2020, ETC once again encountered a large-scale 51% attack.
……
In 2020, we will say goodbye.
In 2021, my country's blockchain industry will reap more technological innovation achievements, and the domestic blockchain landing scene will also usher in a new round of outbreaks.
1. Based on the development foundation of distributed financial DeFi in 2020, physical enterprises will usher in new reform and empowerment, and the digital assetization of enterprises will maximize the economic effect of physical enterprises.
2. With the deployment of relevant policies in 2020, blockchain industrial parks around the world will become one of the important footholds for the development of the industry in 2021, and the construction of related infrastructure will gradually be completed. At the same time, the demand for talents in the blockchain industry will be even greater and more urgent.
3. There are still many uncertainties and uncontrollable factors in the supervision of the blockchain field, and relevant laws and policies need to be improved. Combating virtual currency crimes is still the main direction of domestic supervision.
In 2021, with the deployment and improvement of Ethereum 2.0, DeFi will officially start the second half, and the ecological development of Ethereum will become the main direction that dominates blockchain technology in 2021. In addition, centralized exchanges will continue to occupy the main traffic, and the issue of asset security is still a key issue that needs to be resolved.
