👉 I started shouting after 2 Suis broke through the resistance level, and after chatting with a couple of insiders, I knew something big was going to happen.
Now it has been confirmed, Sui has changed the bank. This time, Zhuang is a real old OG in the Bay Area, and the way these people play money is completely different. What ecology, technology, and community are all nonsense in their eyes, and the core is one sentence: whoever has money is the uncle, and I just need to throw money at it
Unbelief? Then I'll prove it to you
Let's dive in
🧵
🔺What is Sui's biggest problem?
Insufficient depth of liquidity. The slippage of large transactions is as high as 0.25%, which severely restricts institutional entry. And Momentum is here to solve this problem, which is why Qatari royal capital, Coinbase Ventures, and Circle are all rushing to invest.
Remember, in the capital market, where the money goes, there will be a story. It is no accident that money is now flowing to Sui and Momentum. For those who are still struggling with ecological development, it is recommended to take a look at the example of Aerodrome on the Base chain - the same ve(3,3) model, which occupies 60% of the market share.
🔺 Liquidity = everything
I noticed the amazing effect of the ve(3,3) model on other chains at the beginning of 2023. When the Base network was launched, Aerodrome, with its ve(3,3) mechanism, quickly occupied nearly 60% of the market share
This is no accident. This is the perfect application of game theory in the crypto world
The result? In just five weeks after its launch, TVL has surpassed $39 million and has a trading volume of over $870 million
Imagine the NBA's system of draft picks and pay caps. This system ensures the competitive balance of the alliance and prevents over-concentration of resources.
ve(3,3) creates a similar balancing mechanism in DeFi, but it's not just balancing, it's an exponential increase in efficiency.
🔺 Core Mechanics:
- $MMT staking generates $veMMT, which can be locked for up to 4 years
- $veMMT holders vote weekly on the distribution of liquidity rewards
- The project team can "bribe" to attract votes
- All transaction fees are distributed to voters
For the project side: The liquidity that used to require 10 million tokens to maintain can now be achieved with only 1 million tokens at the cost of "bribery". 10x improvement in capital efficiency
For veMMT holders: Earn both trading fees and bribery rewards, creating rising yields
For the protocol: the higher the trading volume, the greater the value of veMMT, and the stronger the demand for lock-up, forming a positive feedback loop
Therefore, these old money are more shrewd than anyone else, and they invested in Momentum because they saw Sui's biggest shortcoming, and this project can just make up for it. Just as Solana needed Serum back then, Sui needs Momentum now
Money can make grinding ghosts
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