The "Dead Capital" Divergence Stop worshipping Total Value Locked (TVL). It is a vanity metric. The only metric that matters for ecosystem health is Capital Velocity (Volume/TVL). I analysed the top 20 chains and a dangerous gap is forming. 🧵

A dangerous gap is forming between "Storage Chains" (where money goes to die) and "Engine Chains" (where money goes to work).

Here is the Capital Efficiency Tier List (7-Day Data): Tier S: The Money Printer (Velocity > 30.0) 🟢 Hyperliquid L1 $HYPE •⁠ Metric: 34.99 Ratio ($1.86B TVL vs. Massive Volume) •⁠ Context: An anomaly. 35x turnover is effectively unheard of. •⁠ My Honest Read: This isn't a blockchain; it's a high-frequency financial engine. Seriously.

Tier A: The Marketplaces (Velocity > 4.0) 🟡 Solana, Arbitrum, Sui ( $SOL, $ARB, $SUI) •⁠ Metric: ~4.0 - 4.6 Ratio •⁠ Context: High turnover relative to size. Users are actively trading, not just staking. •⁠ My Honest Read: Vibrant ecosystems. Tokens here have ACTUAL utility demand.

Tier B: The Bank Vaults (Velocity < 1.0) 🟠 Ethereum, Tron ( $ETH, $TRX) •⁠ Metric: 0.64 (ETH) | 0.75 (TRON) •⁠ Context: ETH holds the most capital ($69B), but it moves slowly. •⁠ My Honest Read: Safe collateral, boring returns. The "bonds" of crypto is what I'd say.

☠️ Tier C: The Ghost Towns (Velocity < 0.1) Bitcoin, Plasma, Ink •⁠ Metric: 0.04 - 0.08 Ratio •⁠ Context: Massive TVL ($6.6B on $BTC) but zero activity. •⁠ My Honest Read: "Zombie Capital." Impressive on a leaderboard, but generates zero fees.

My final take: We are seeing a regime shift. Last cycle, we chased TVL because "liquidity captures value." This cycle, Velocity captures value. If a chain has $1B TVL but a 5.0 ratio, it is undervalued. Rotate your attention from the parking lots to the marketplaces. Fast.