1.16 billion coins. Arbitrum airdropped 1.16 billion coins to its users. So, many of you will qualify. And we know many of you won’t but you can still make BIG GAINS.
Thats what I promised you in yesterday’s video and here I am with 4 coins that will explode with this massive ARB airdrop.
Two big active CryptoTwitter accounts, Drake on Digital and Duo9, seem to have different ideas about the tokenomics behind Arbitrum’s upcoming airdrop.
Just like @optimismFND distributed tokens to select protocols based on TVL and users I see the same happening with arbitrum. Here are some tokens that seem to be sleeping with MC to TVL ratio as well as some other ecosystem tokens 👇 pic.twitter.com/h9ehNjeUDi
— Drake on Digital (@drakeondigital) March 17, 2023
The disputed area is 42% for Arbitrum DAO Treasury. On the other hand, Duo9 sees these as coins Arbitrum will hold to fund and maintain liquidity in the newly forming Arbitrum DAO.
What do you think about #Arbitrum airdrop? #ARB
Were they greedy? 👇
✅ Billions of tokens
✅ 87% allocated to the team / DAO / friends
✅ 12% air-dropped to users
✅ 1% for building apps on Arbitrum 🤣
Rate it from 0 to 10 in the comments. pic.twitter.com/njBMDNAYj8
— Duo Nine ⚡ discord.gg/ycc (@DU09BTC) March 16, 2023
And normally we would agree. Drake has a different take, thinking that the 42% will go to early users on other Arbitrum protocols. And that we can take advantage of this. We will show ways to take advantage no matter which one is correct.
Coin 1: GMX
If the 42% DAO funds are shared, then there are some coins in a special position to benefit. And GMX has already benefiting from this. Its up 171% in last 1 year. Some promising projects on Arbitrum have very low market caps relative to their TVL. Drake’s theory is that Arbitrum will distribute based on TVL like Optimism did.
So, the first coin is one of our favorites on Arbitrum. GMX. GMX has already been acting as a proxy for Arbitrum. It’s one reason we like it so much. They are absolutely crushing TVL and doing so well that they added Avalanche as a 2nd chain. They are growing fast there too. Total $471 million in TVL.
7/ Potentially the most important factor contributing to the network’s early adoption is the growth of hybrid perpetual platforms.@GMX_IO has positioned itself as a leader in Arbitrum's DeFi space accounting for over 80% of all TVL. pic.twitter.com/59CUd46Fmx
— Messari (@MessariCrypto) March 23, 2023
That and like one other coin on our list, you can trade as conservatively or aggressively as you want in many different trading pairs. At its current $708 million market cap, there is no reason this can’t grow 20x or more from here as the market grows in a bull market.
Coin 2: RDNT
Radiant is a lending protocol doing great on Arbitrum. According to DeFillama, It’s #3 in TVL behind only GMX and Uniswap. And it’s only $30 million away from catching Uniswap to be #2.
So, Radiant isn’t only a lender or money market. They call themselves the omni-chain money market. And while starting and currently on Arbitrum, they have the ambitious goal of letting depositors use a major asset from any chain to be able to borrow any other major asset from another chain.
It’s a bold aim for sure. Yet starting on an L2 that’s fast and cheap is a good start toward that goal. After all, TVL doesn’t lie. Money goes where it is treated best. The $RDNT coin pays 92% if you lock it up on their platform and it’s real yield from platform fees for loans. That’s how fast it’s growing. It’s amazing.
At its current $91 million market cap, this could easily 50x or 100x if it becomes and stays the money market leade. So, if you like DeFi and you like the idea of being the bank cause you earn fees every time someone borrows. Then, Radiant is worth a look.
Coin 3: GNS
Gains is a DEX and Arbitrum bridge. It also works on Polygon making bridging easier and cheaper. The Gains Arbitrum bridge is something you cannot overlook. It looks to be the cheapest and fastest bridge to Arbitrum. Far cheaper than any Ethereum bridge. We like that.
Gains also allows trading perps like GMX. Perps are perpetual contracts that are flexible for both trading and hedging existing positions. This is why both retail traders and pros love them. So, staking on Gains pays out nicely too at 6.8% and 8.9% on Polygon or Arbitrum. And Gains is a real yield play too if you like that narrative as we do. In my case, I like sustainable yields.
Did you know the estimated APY in the Giddy app can fluctuate based on market conditions?
Thats why some days you'll see your stake in one pool nearly double in value, while another may not grow at all.
So what should you be doing to get the most out of the Giddy app?
🧵 (1/4) pic.twitter.com/WQJCSIoxdv
— Giddy (@giddydefi) March 16, 2023
And what I like about real yield from trading protocols like GNS or GMX is that the trading degens get the tools they want. That’s good for them. But for us, we make money whether they make money or not. I like that ALOT. At its $290 million market cap, GNS could 10x without even blinking. Maybe more.
For you fellow Polygon lovers, Gains is an easy entry through swapping and bridging into Arbitrum. And you can’t fight against convenience and ease of use. How do you bridge to Arbitrum? Do you have a favorite way to do that? Let us know in the comments below.
Coin 4: MAGIC
NFT lovers, I didn’t want to forget you. So I have $MAGIC, the native token for TreasureDAO on my list. With $MAGIC, you can use TreasureDAO to play many games as well as move funds and assets across games in its network.
Their own website says 95% of all gaming and NFT transactions on Arbitrum take place on TreasureDAO. Tales of Elleria is one such game. It’s a roleplaying game taking place in medieval times. To contrast that, for those interested in PvP or PvE, TreasureDAO offers Battlefly.
Congrats on a major milestone for @Arbitrum and @OffchainLabs!
We're thrilled to be among the first to build on Arbitrum, creating what IS effectively Arbitrum's gaming and NFT ecosystem with Treasure accounting for over 95% of related transactions.
This is an exciting time… https://t.co/l3CqoWRR4R pic.twitter.com/bP5RkxHLmp
— Treasure (@Treasure_DAO) March 16, 2023
Right now, there are 13 games available. And the cool thing is they are all in one place. You connect your wallet one time and you can go start playing. They have games for lots of different types of gamers. Not only roleplaying and PvP. And the Trove that TreasureDAO provides makes the funds and assets instantly transferable between games. It’s very cool and this is part of the future of gaming. And it’s here now.
At its $383 million market cap, there is no reason why this could not 10x and become a billion dollar project. Especially when gaming gets hot again. So, if you like NFTs on Ethereum Layer 2’s generally and on Arbitrum specifically, then $MAGIC is the token for you.
Play the Pump
But let’s say DUO9 is right and they keep that 42% just for the DAO. There are still ways to play the pump that will come to some Arbitrum ecosystem coins. Here are some of the most likely candidates:
- WINR & Arcadeum.
- Vela & Oreoswap.
So why these 5? First of all, they are all higher risk and smaller projects than GMX or GNS. But they cover 3 important narratives that could grow and pump as Airdrop Day gets closer and closer:
- Vesta has both the most lending afte Radiant and the first Arbitrum native stablecoin. That’s something every ecosystem needs.
- WINR and Arcadeum cover the gambling narrative. And this looks like a strong story on Arbitrum in particular. So, if you like gambling or you especially like being the house, then you may want to consider these coins. After all, the house always wins.
Lastly, Vela and Oreoswap cover another big narrative on Arbitrum. Currently, the biggest narrative thanks to GMX is DEXes. In the case of GMX it’s DEX plus derivatives trading but DEXes are a big deal over there thanks to low fees and fast trades. Vela and Oreoswap are both DEXes that follow along in this narrative.
With Oreoswap under $1 million and Vela at only $42 million these are risky low-cap ways to play the pump so please, please do your own research (DYOR). Some in this group could prove a profitable pump no matter if you qualify for the ARB airdrop or not.
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