Theo FDV Projection
Theo is currently an RWA protocol using U.S. Treasury Bills (T-Bills) as its revenue source.
While it plans to handle various RWA assets beyond government bonds, we've projected its FDV based on T-Bills for comparison with other projects at this stage.
[Comparison Based on Investment Funds]
The T-Bill RWA projects include Ondo, Usual, and the recently listed OpenEden.
Expectations for the RWA sector are high.
While Ondo had a high FDV at its TGE,
it has continued to rise, currently reaching $8B. Consequently, Usual and OpenEden also formed very high initial FDVs.
Therefore, the average FDV at TGE for these three projects is calculated as $2.5B.
Even excluding OpenEden due to recent frenzy, it still calculates to $1B.
[Comparison by TVL]
By TVL, it feels a bit more subdued.
Based on TGE, it calculates to approximately $330M.
Theo's Variation
Theo's current TVL is $117M.
Theo's full-scale staking began this August after converting to T-Bills. Since it uses a points-per-dollar system rather than an epoch-based one,
points inflation is also expected to be low.
From this perspective, even if only 5% of $330M is airdropped,
it amounts to $16.5M, yielding roughly a 14% ROI.
The APR will likely vary depending on deposit duration and strategy (Yield Farming, Lending leverage).
Even considering just the 14% APR, it shows quite decent YF/Leverage efficiency alongside the base rate.
I'll cover this in more detail in a future post.
Theo FDV Estimate
Theo is currently an RWA protocol that uses T-Bills, which are U.S. Treasury bonds, as its source of income. Of course, it is said that various RWA assets will be handled in addition to government bonds, but for now, I have estimated the FDV based on T-Bills compared to other projects.
[Investment Amount Comparison]
Currently, the T-Bill RWA projects include Ondo, Usual, and the recently listed OpenEden.
Expectations for the RWA sector are high, and particularly, Ondo had a high FDV at the time of TGE, which has continued to rise, reaching $8B now. This has led to Usual and OpenEden also forming very high initial FDVs.
Therefore, the average FDV for these three projects is calculated to be $2.5B at TGE. Even excluding OpenEden due to the recent frenzy, it is calculated to be $1B.
[TVL Comparison]
In terms of TVL, it feels a bit calmer. Based on TGE, it is calculated to be about $330M.
[Changes in the Situation]
Theo's current TVL is $117M. The transition to T-Bills and the full-scale staking began this August, and since it is a point system per dollar rather than an Epoch system, point inflation is also expected to be low.
From this perspective, even if only 5% of $330M is airdropped, it results in $16.5M, which yields about 14% ROI.
The APR will likely vary depending on the staking duration and strategy (YT, windmill, etc.).
Even looking at just the 14% APR, it shows quite a decent YT/windmill efficiency along with the base interest rate. I will summarize this in the next post.
A couple of disappointing points are:
1. The lack of separation between $1 pegged assets and interest-accumulating assets (Yield Bearing Assets), resulting in a low internal interest rate.
2. Not adopting a strategy to secure liquidity and boost TVL through Pendle by differentiating points for DEX LP and Pendle YT/LP.
That's about it.
Theo Pagu's Code
2.85K
3
The content on this page is provided by third parties. Unless otherwise stated, OKX is not the author of the cited article(s) and does not claim any copyright in the materials. The content is provided for informational purposes only and does not represent the views of OKX. It is not intended to be an endorsement of any kind and should not be considered investment advice or a solicitation to buy or sell digital assets. To the extent generative AI is utilized to provide summaries or other information, such AI generated content may be inaccurate or inconsistent. Please read the linked article for more details and information. OKX is not responsible for content hosted on third party sites. Digital asset holdings, including stablecoins and NFTs, involve a high degree of risk and can fluctuate greatly. You should carefully consider whether trading or holding digital assets is suitable for you in light of your financial condition.