Demex Daily #117: Pioneers User Ownership in Web3

What’s Interesting Today:, leveraging Web3 technology, has pioneered a novel approach by offering its users a stake in the company, transitioning them from mere participants to investors. This model aims to democratize digital investment, fostering a deeper community bond and advancing a user-centric business philosophy. Despite initial success, including becoming a top decentralized application with significant user engagement and trading volume, has encountered challenges, such as privacy concerns and a notable decline in revenue. The initiative, supported by stakeholders like Paradigm, signifies a shift towards more inclusive technology entrepreneurship, challenging traditional venture capital financing and emphasizing the importance of user participation in shaping the platform's future.

Frax Finance, a DeFi protocol, has outlined a bold strategy to increase its layer 2 blockchain assets to $100 billion by 2026, from a current TVL of $13.2 million. The plan involves launching 23 layer 3 protocols and introducing new assets like frxNEAR, frxTIA, and frxMETIS on the Fraxtal blockchain. Key proposals include reactivating a revenue-sharing mechanism for stakers of its native tokens, aiming to enhance Frax's balance sheet and liquidity for FXS and its paired assets. This move coincides with a broader surge in DeFi sector popularity, highlighted by a peak TVL of $100 billion, driven by factors such as Bitcoin rallies and the introduction of Bitcoin ETFs in the U.S. Despite recent declines, the sector's activity, including daily trading volumes, shows signs of robust growth and interest.