TOKEN METRICS WATCHLIST

We scored many projects this week. Here are a few you should know about:

Zetachain
Aleo
Suiswap
Set Protocol
Bitfinity

Please remember that some of these projects must still be subjected to our code review process. Still, we want to call them out here for preliminarily catching our eye based on our fundamental analysis process.

Zetachain – 70.83%

Sector – Interoperability
Status – Active

ZetaChain represents a Layer-1 blockchain and developer platform constructed on the foundation of Cosmos SDK and Tendermint Consensus. Its overarching goal is establishing connectivity among diverse Layer-1 (L1) and Layer-2 (L2) chains, fostering a dynamic and multi-chain cryptocurrency ecosystem. Functioning as a gateway, ZetaChain interlinks Ethereum, Bitcoin, and various other chains. Notably, ZetaChain distinguishes itself by supporting smart contracts that operate seamlessly across different chains, facilitating innovative app development paradigms.

ZetaChain’s versatility extends to being entirely chain-agnostic, connecting all blockchains and layers, ranging from Ethereum mainnet and L2s to OP Stack chains like Base, Cosmos chains, and beyond. An exceptional feature is its compatibility with non-smart contract chains such as Bitcoin and Dogecoin, endowing these chains with smart contract capabilities that were hitherto unattainable. This blockchain stands out as the unparalleled solution for achieving fully interoperable smart contracts and chain-agnostic dApps.

How does it work?

The network’s nodes systematically monitor external chain events, such as payment transactions, attaining consensus on these occurrences and subsequently endorsing them across any interconnected chain.

Within this network, omnichain smart contracts serve as a central mechanism, extracting and interpreting events from external chains and orchestrating their processing and dissemination to these chains. These smart contracts establish a singular source of truth, diligently managing the state of assets and data consistently across all interconnected chains.

Furthermore, the network employs a chain-agnostic message-passing system within its smart contracts. This sophisticated functionality allows existing smart contracts to effortlessly transmit data and value across diverse chains and layers through a straightforward function call. This approach enhances interoperability, streamlining the exchange of information seamlessly between different chains and layers within the network.

Investors

Token

ZetaChain’s token, ZETA, serves dual roles—covering gas fees for smart contracts and securing the PoS ZetaChain blockchain through bonding and staking. ZETA is pivotal for cross-chain functions, allowing users to move seamlessly between chains using a one-way peg mechanism. This native value transfer with ZETA enhances security by eliminating multiple representations of the same asset. Users can pay ZETA for cross-chain services and gas on the destination chain, making it a versatile asset within the ZetaChain ecosystem.

Aleo -64.50%

Sector – Layer 1
Status – Active

Aleo operates as a Layer 1 blockchain, allowing developers to design private and innovative applications without low-level cryptography complexities. The platform strongly emphasizes user privacy without compromising the overall user experience, marking a transformative shift in the landscape of Web3 applications.

A fundamental element of Aleo’s architecture is snarkVM, which abstracts computationally intensive tasks off-chain, requiring only proofs of computation on-chain. This approach significantly enhances scalability, enabling developers to create compute-intensive decentralized applications efficiently. The Aleo SDK encompasses a range of libraries and tools designed to facilitate the development of Zero-Knowledge applications. Notable functionalities include Aleo Wasm, a Rust crate for compiling Aleo code into WebAssembly, and the Aleo Python SDK, providing tools for creating ZK apps, among other capabilities.

Furthermore, Aleo offers tools covering essential functionalities such as account management, program execution, credit transfers, program state management, and network communication. These tools cater to diverse requirements within the Aleo ecosystem. Within the Aleo network, participants, including validators, stakers, and provers, assume distinct roles crucial to the network’s operation and security. Validators validate transactions and contribute to consensus, earning fees and rewards. Stakers lock up Aleo Credits to support consensus, while provers utilize specialized hardware to generate proofs and solve puzzles, earning Aleo Credit rewards. This collaborative ecosystem ensures the robust functioning and security of the Aleo network.

Investors

Token

Aleo Credits serves as a mechanism that empowers users and developers to secure verification and data services within the decentralized network, compensates service providers, and contributes to the overall Aleo ecosystem.

Access Granting: Aleo Credits function to access block space and computational resources on the network. Users utilize Credits to submit transactions and facilitate processing, establishing a user-driven economy within the decentralized environment.
Creative Incentives: Provers and validators receive rewards in Aleo Credits from the protocol to recognize their efforts in securing the network. This incentive system fosters a resilient and robust decentralized network, encouraging active participation in the network’s security measures.
Staking Enablement: Aleo Credits can be staked alongside validators to contribute to block production and actively enhance network security. Stakers, in turn, receive a pro-rata share of network rewards, aligning incentives for stakeholders to engage actively in the network’s stability and growth.
Governance Participation: This involves voting on proposed upgrades and changes to the protocol, ensuring a democratic and community-driven evolution of the Aleo network.

Suiswap- 62.50%

Sector – DeFi
Status – Active
FDV – $44M

Suiswap aspires to establish an integrated trading and exchanging infrastructure throughout the SUI ecosystem, providing a comprehensive platform to address diverse user requirements. With a commitment to empowering other platform protocols operating on the SUI blockchain, Suiswap is the preferred solution for token trading within the SUI community. The ongoing development trajectory of Suiswap is geared towards expanding platform offerings and consistently enhancing the overall user experience. Leveraging the inherent speed and security features of the SUI blockchain, Suiswap’s principal objective is to deliver a decentralized, swift, and secure token trading platform tailored to the SUI blockchain.

Ecosystem

Suiswap comprises several key components to create a versatile and efficient decentralized trading platform. Firstly, it offers traditional liquidity pools akin to Uniswap, allowing users to engage seamlessly in decentralized token exchange. Liquidity providers (LPs) can contribute assets to these pools and earn a share of the trading fees generated on the platform. Additionally, Suiswap introduces stablecoin liquidity pools, mirroring Curve’s USDC/USDT pools, which provide lower slippage and tighter spreads for stablecoin trading, catering to traders and LPs. Suiswap incorporates a Central Limit Order Book (CLOB) trading platform to cater to more sophisticated traders, enabling users to place limit orders for greater control over their trades and potentially better prices than automated market makers (AMMs). A crucial element is the decentralized aggregator, which combines liquidity from order books and liquidity pools, enhancing overall liquidity and reducing slippage for traders. Furthermore, Suiswap incentivizes liquidity providers through liquidity farming, where users earn SSWP tokens as a reward to attract more users and enhance overall liquidity. Lastly, staking SSWP tokens enables users to participate in yield farming, gaining a share of the platform’s revenue and providing additional incentives to foster the growth of the Suiswap ecosystem.

Token

The $SSWP token is the native currency within the Suiswap platform, designed to fortify the protocol, platform, and governance mechanisms. The primary objective of the SSWP token is to empower community members by offering revenue rights. Community members can acquire platform revenue from trading fees and other channels by holding and staking $SSWP tokens on the platform. To distribute platform management rights among community members, the Suiswap platform encourages token holders to stake their tokens. Members contribute valuable insights through staking and influence the platform’s future development trajectory.

The total supply of $SSWP tokens is capped at 10 billion, ensuring that the circulating tokens will never surpass this limit. The Suiswap platform has implemented an automatic buyback mechanism using a portion of its revenue to acquire $SSWP tokens from the market, subsequently permanently removing them. Consequently, the number of $SSWP tokens in circulation will gradually decrease, contributing to the platform’s long-term sustainability and value preservation.

Where can you buy the token?

You can buy $SSWP from exchanges like OKX, MEXC , and Gate.io

Set Protocol- 62.50%

Sector – DeFi
Status – Active
TVL – $95M

Set Protocol is a leading web3 asset management platform, offering comprehensive financial infrastructure tools accessible to a broad user base. Its primary focus lies in facilitating the creation of “Structured Products,” which are personalized collections of fully collateralized crypto-assets represented as on-chain ERC20 tokens. These Set Tokens actively interact with prominent Decentralized Finance (DeFi) protocols, aligning with the manager’s specific strategy. This unique feature enables investors to replicate identical strategies by effortlessly minting or acquiring the Set.

The underlying smart contract suite of Set Protocol is designed to facilitate seamless external integrations with various entities, including exchanges, lending platforms, automated market makers, and asset protocols. The platform also supports more advanced strategies, such as yield farming, perpetual swaps, and margin trading, providing users with a comprehensive suite of options for their investment activities.

Benefits of Set

TokenSets simplifies portfolio creation on its website through a three-step process. Once established, users can easily manage portfolios with options like rebalancing and selling. The platform streamlines the user experience, requiring minimal selections.
TokenSets enables hands-free trading by autonomously executing strategies set by users. Traders gain exposure to sophisticated strategies, specifying investment amounts effortlessly.
The platform allows users to invest ETH or ERC-20 tokens into Set Tokens, representing a share in a managed basket of assets. The value of a Set is dynamically calculated based on underlying asset values, providing diversified exposure.
Similar to digital assets, Sets offer a streamlined way to access diversified portfolios without needing active management. Like ETFs, Sets simplify broad asset class exposure through a single token.

Bitfinity- 60.42%

Sector – Bitcoin L2
Status – Active

Bitfinity Network represents a cutting-edge Layer Two (L2) solution tailored for the Internet Computer, acting as a vital conduit for Bitcoin and various on-chain assets. Prioritizing rapid transaction processing with a capability exceeding 1000 transactions per second (TPS), Bitfinity empowers the implementation of smart contracts applicable to Bitcoin, Ordinals, and BRC-20 tokens, all coded in Solidity. Employing an innovative threshold cryptographic mechanism known as Chain-Key, Bitfinity establishes a secure and decentralized bridge with the Bitcoin blockchain.

Bitfinity EVM, a cornerstone of the Internet Computer (IC) platform, achieves a 1:1 equivalence with the Ethereum protocol while maintaining a limited on-chain block history, efficiently managed by archive nodes. The integration of REVM, supported by Bitfinity Labs’ significant contributions, enhances the project’s technological capabilities.
Additional features include support for Ethereum opcodes with modifications, introducing extra precompiles, and altered opcodes for seamless alignment with the Internet Computer ecosystem. Operating at over 100 times the throughput of the Ethereum Mainnet, Bitfinity EVM addresses scalability challenges and facilitates swift transactions for twinned or wrapped Bitcoin assets.
Transaction fees, denominated in BITFINITY (BFT) tokens, leverage the Internet Computer’s low-cost capabilities, resulting in often negligible transaction costs. DAO-directed mechanisms further channel fees back to projects on Bitfinity, fostering a community-driven ecosystem.
The Neuro Bridge feature simplifies token bridging, supporting chain-key versions of Bitcoin, BRC-20 tokens, IC tokens, with plans for future integration with other ecosystems. Bitfinity’s versatile bridging mechanism enhances asset interoperability across diverse blockchain environments, making it a comprehensive solution for the decentralized landscape.