The new crown epidemic that has lasted since the beginning of 2020 has brought huge impacts on the global service industry, catering industry, and tourism industry. At the same time, the global financial market has also been impacted to varying degrees.
Hundreds of millions of people around the world have to stay at home for isolation, and mobile phones have become the only way for people to communicate with the outside world. The Internet digital economy represented by online shopping, online games, and online courses is also improving. Some experts say that China and the world are moving towards a digital economy new journey. As more people begin to adapt to the digital form of life consumption, the world will move towards the development of the digital economy at a faster speed.
Blockchain and encrypted digital currency, as the most cutting-edge products of the digital economy, naturally show an upward trend. The encrypted digital economy has received unprecedented attention, which has brought more vitality to the digital asset market.
With the continuous enrichment of business models in the encrypted digital market, traditional spot transactions, contract transactions, and centralized trading platforms are no longer suitable for the current development situation. Therefore, the ecological development of decentralized smart contract exchanges is particularly important. The dYdX project ecology, as a trading platform dedicated to derivatives transactions, conforms to the current development trend of the encrypted digital economy. dYdX will become popular all over the world in 2021.
Regarding dYdX, this is a set of protocols that allow any financial product to issue and trade ERC20 tokens, anyone can extend the protocol, no special permissions and other smart contracts are required. dYdXexchange is a decentralized smart contract exchange, an efficient and fair financial market that is not controlled by any centralized organization.
At the same time, dYdX, as a decentralized derivatives exchange, is different from the common automatic market maker model (AMM). dYdX adopts the order book model and supports spot trading, margin trading and contract trading. By using off-chain order books and on-chain settlements, the dYdX protocol aims to create efficient, fair and trustless financial markets that are not controlled by any centralized authority. The advantages of dYdX are also very obvious. Compared with centralized exchanges, dYdX users do not have to worry about the platform embezzling user assets privately, running away, etc., and can avoid many potential investment risks.
dYdX transactions do not require KYC, only an Ethereum wallet is needed, and the transaction can be started after connecting, eliminating the cumbersome authentication steps. In terms of the ecological development of the dYdX project, in February 2021 dYdX and StarkWare launched a cross margin perpetual contract platform in the ETHLayer2 blockchain system based on Starkware's StarkEx scalability engine and dYdX's Perpetuals smart contract, which significantly improved the non-custodial The size of the transaction.
According to the official data of dYdX, the average daily trading volume of dYdX has exceeded 2 billion US dollars for several consecutive days, and the open interest is also close to 1 billion US dollars. The growth rate of dYdX's overall transaction scale shocked the industry.
The reason why dYdX is so popular is that in addition to its project ecology itself adapting to the current trend of encrypted digital economy, RockTree Capital also played an important role. The dYdX project first started abroad. China is one of the largest and most liquid blockchain markets in the global encrypted digital economy. dYdX has not yet set foot in it, and only 400 users participated in mid-2020.
Later, after Stonewood Capital participated in dYdX's B round of financing worth US$10 million, it reached a strategic cooperation with dYdX to assist it in integrating resources and establishing partnerships, which accelerated the development of dYdX in the Chinese market. Through the strategic promotion of Stonewood Capital in the Chinese market, by September 2021, nearly 50% of dYdX's global trading volume will come from China. Stonewood Capital has contributed a lot to the establishment of dYdX's global market ecology.
RockTree Capital is a global international merchant bank and fund, mainly engaged in cross-border transactions in China and North America, involved in cross-border transaction business and strategic international expansion, including blockchain project investment and financing, technology project incubation and financial Financial comprehensive business including strategic investment.
Rockwood Capital is highly sensitive to cutting-edge technologies, emerging industries and trends of the times, and focuses on investing in companies with breakthrough ideas and innovative technologies in the industry. Stonewood Capital's team is located in Beijing, Shanghai, New York, and Toronto, and has gathered experts in digital marketing, legal compliance, and finance. It has completed more than 120 public token offerings in various fields in 18 countries, and Hundreds of private placement securities offerings.
Stonewood Capital links top projects with an international ecosystem of leading investment partners, funds, exchanges and service providers to promote their rapid development. Provide projects with relevant cooperation in business, culture, law and economy between international regions, and promote the vigorous development of many blockchain projects invested by Shimuzi in multiple regions at the same time.
In addition to dYdX, Stonewood Capital has strategically invested in several other emerging decentralized finance and blockchain projects, including PlasmaPay, TheGraph, Hathor, NEXUSMUTUAL, Casper, PocketNetworks, and DecentralPark DeFi funds. These projects have all begun to accelerate development after the strategic investment of Stonewood Capital, such as the project Casper. After the strategic investment of Stonewood Capital in Casper, the project over-completed private equity subscriptions of 14 million US dollars.
The Casper project mainly provides Ethereum 3.0 functions for enterprises. As a co-founding investor, Stonewood Capital has been supporting the development of CasperLabs in Asia for the past two years, introducing many important investors and partners, and laying a solid foundation for the development of Casper in the Chinese market. established a solid foundation. Another project, PlasmaPay, said: "As a decentralized financial service platform, the rapid global development of us is inseparable from Stonewood Capital as an investor and local growth partner. The value of Stonewood Capital has far exceeded investment and financing value".
Stonewood Capital's strategic investment in these projects is due to its very long-term investment vision, and most of the projects have been involved in the Web3.0 ecology. The Web3.0 ecology is the only ecological scenario that breaks through the bottleneck of the current Internet digital economy development and promotes the transformation of blockchain technology, and its development status is of great importance to the entire digital economy.
Recently, Stonewood Capital continued to strategically invest in the web3.0 ecological project PocketNetwork, which is a distributed API infrastructure built for Web3 applications, providing a trustless API layer that can easily access any blockchain. The project aims to build a complete distributed network of blockchain nodes. Through the trustless protocol provided by PocketAPI, developers can seamlessly access these nodes, and combine encryption economic incentives to create a DAO ecosystem. PocketNetwork aggregates supply and demand and reduces costs through a distributed network, creating a powerful open source infrastructure layer.
The distributed API infrastructure based on PocketNetwork can provide developers with a trustless API protocol and relay network basic applications, and integrate the token incentive model to create a sustainable ecosystem.
Developers can seamlessly access these nodes and greatly reduce the cost of building applications. Stonewood Capital said that the entry point of the PocketNetwork project is excellent. The current Web3 application market is huge, but the technical threshold for developers to provide decentralized infrastructure is very high, and at the same time, there are very few institutions in the market that provide services for this , The entire Web3 ecosystem needs projects like PocketNetwork to provide infrastructure for all developers and promote the overall Web3 ecosystem development.
The PocketNetwork project is entering a huge and very dynamic emerging market. This is a difficult but great task, and more projects like PocketNetwork need to forge ahead and forge ahead. The Web3 ecology will not stop because of the non-participation of a certain organization. In the future, the development of the Web3 ecology will play a role in promoting the development of the Internet economy and the technological transformation of the blockchain, and the value of time and assets will gradually be reflected.