hey thanks for commenting again! I did not delete your comment. I banned you initially but unbanned now but the comment somehow got removed by substack.
I banned initially because you were saying things like 'WBTC is not used because it's centralized , how can you not know that and still write articles' - which is not the vibe I want to have for those reading the articles.
it is a fair point though on wbtc being centralized. However, isnt USDT also issued by a centralized organization - but we don't see the same effects on USDT. Prefer it to be a fruitful discussion rather than throwing hate :D
ahh I found the comment! pasting it here for transparency
'WETH is just wrapped ETH, an ERC-20 token version of native ETH. WBTC on the other hand, is a custodial token held by a centralized entity. So obviously holding WBTC is much MUCH riskier, and therefore shouldn't be as popular. How can you write articles like this while not understanding these basics? '
1. WETH is just ETH (WETH directly unwraps to ETH). There is a lot more ETH than USDT. ($69bn USDT vs $383bn ETH at the time of writing this.)
2. WBTC and WETH are the same/similar asset class. Both are not stablecoins. I think it's unsurprising that the centralized and therefore riskier to hold asset (WBTC) is less popular than ETH.
3. We're talking about Ethereum. Of course ETH is popular on Ethereum.
4. Balance of a pool is going to depend largely on which asset swaps are more popular. For example during times that ETH is rising it would expected that USDT is being traded for ETH and therefore there would be less USDT in the pool than ETH. When ETH is falling, the opposite would be expected.
Great analysis. How will your conclusion be impacted the LP rewards that will kick in soon?
thanks! Oh I didn't know there's gonna be additional LP rewards. Mind sharing that link here? :D
My bad. I thought the LP rewards hadn't kicked in yet
Did you delete my comment? Maybe don't post public articles if you're that fragile.
hey thanks for commenting again! I did not delete your comment. I banned you initially but unbanned now but the comment somehow got removed by substack.
I banned initially because you were saying things like 'WBTC is not used because it's centralized , how can you not know that and still write articles' - which is not the vibe I want to have for those reading the articles.
it is a fair point though on wbtc being centralized. However, isnt USDT also issued by a centralized organization - but we don't see the same effects on USDT. Prefer it to be a fruitful discussion rather than throwing hate :D
ahh I found the comment! pasting it here for transparency
'WETH is just wrapped ETH, an ERC-20 token version of native ETH. WBTC on the other hand, is a custodial token held by a centralized entity. So obviously holding WBTC is much MUCH riskier, and therefore shouldn't be as popular. How can you write articles like this while not understanding these basics? '
1. WETH is just ETH (WETH directly unwraps to ETH). There is a lot more ETH than USDT. ($69bn USDT vs $383bn ETH at the time of writing this.)
2. WBTC and WETH are the same/similar asset class. Both are not stablecoins. I think it's unsurprising that the centralized and therefore riskier to hold asset (WBTC) is less popular than ETH.
3. We're talking about Ethereum. Of course ETH is popular on Ethereum.
4. Balance of a pool is going to depend largely on which asset swaps are more popular. For example during times that ETH is rising it would expected that USDT is being traded for ETH and therefore there would be less USDT in the pool than ETH. When ETH is falling, the opposite would be expected.
Thanks for elaborating! Yup agree with all your points there. In the article, I was simply sharing what I observed based on the on chain data