Ethereum Miner Revenue Triples Thanks To DeFi, Bitcoin’s Falls

KEY POINTS

  • Ethereum was more profitable to mine than Bitcoin in September 2020
  • Mining revenues soared because of the excitement over decentralized finance
  • As DeFi excitement wanes, observers are watching closely the launch of Ethereum 2.0

During the month of September, revenue from mining Ethereum has eclipsed that of Bitcoin’s thanks to the excitement surrounding decentralized finance (DeFi).

According to the data from analytics firm Glassnode, miners in the Ethereum network collected 450,089 ETH worth $168.7 million. This is a 39% increase from the previous month’s total of $113 million, Cointelegraph reported.

In contrast, miners in the Bitcoin network netted only $26 million in September, which is a decrease from the $39 million they earned the previous month. This effectively makes mining Ethereum more profitable than mining Bitcoin.

The increase in miner revenue came from the community’s excitement over decentralized finance (DeFi).

Several DeFi protocols and tokens made headlines last month. YFI, the governance token of Yearn.finance reached its all-time high of $43,678 on Sept. 12. That’s twice the all-time high of Bitcoin in 2017. Other noteworthy DeFi tokens that made headlines last month include UNI, the token of automated market maker UniSwap, and Sushi, the token of on-chain protocol SushiSwap.

Uniswap made headlines for dropping at least 400 UNI to anyone who used the Uniswap protocol prior to September 1. At one point, each UNI was worth $8, which meant anyone who received 400 UNI immediately had $3,200 in one day. 

DeFi without a doubt has renewed the demand for Ethereum. As more users want to get a piece of the DeFi tokens, the price of each transaction fee has ballooned. Cointelegraph noted that at one point, a standard transaction on Ethereum hit at least $15 on average. The publication said this is good in the short-term, as the

defi SOLUTIONS Names Tom Allanson CEO

Seasoned financial services executive joins growing fintech company

defi SOLUTIONS, which partners with captives, banks, credit unions, and finance companies to help lenders transform their operations, today announced the appointment of Tom Allanson as CEO. He will succeed Bret Leech, who is stepping down as CEO and leaving the company.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20201009005412/en/

Tom Allanson, defi CEO (Photo: Business Wire)

Tom has more than 25 years of executive leadership experience in fintech and lending and has consistently demonstrated an ability to build, grow, and enable high-performing teams and businesses. In addition to his most recent role as head of Enterprise Payment Solutions at Fiserv, Tom has served as CEO of PerfectForms Inc.; president of digital, international, and commercial at H&R Block; and CEO and co-founder of TaxNet Inc, which was ultimately acquired by H&R Block. Tom’s unique background of technology management, entrepreneurial and enterprise success will be valuable as defi SOLUTIONS builds upon its market leading product suite.

“I am excited and honored to lead this exceptional company,” Tom said. “This is an exciting time for defi SOLUTIONS as we have the opportunity to accelerate our growth within the lending industry by providing innovative solutions to meet the complex needs of our clients and their customers. I look forward to working with this talented team as we further innovate, extend our investment in the Cloud, and strengthen and expand our services, solution offering, and capabilities.”

“It has been a privilege to lead the talented defi SOLUTIONS team for the past four and a half years,” said Bret Leech. “I am incredibly proud of what our team has accomplished in bringing best-in-class, integrated technologies and services to lenders. Over this period, we have built a business that has grown considerably and is well

Galaxy Digital Makes A Bet On DeFi

ParaFi Capital, the DeFi-focused asset management firm led by Ben Forman, announced a strategic investment from Galaxy Digital Holdings Ltd. (TSX: GLXY), in which the firms would join forces to seek co-investment opportunities to drive further adoption of decentralized finance.

Publicly traded Galaxy Digital, led by blockchain investment veteran Mike Novogratz, is a leading financial services and investment management company, current boasts over $400 million in assets under management. With this transaction, Galaxy Digital has become a minority shareholder in the firm, joining other ParaFi investors including Bain Capital Ventures and Henry Kravis, Co-CEO and Co-Founder of KKR. As of August 31, 2020, ParaFi had assets under management of over $100 million.

ParaFi was founded by Ben Forman, previously an executive at private equity firms KKR and TPG. ParaFi began investing in DeFi in 2018, deploying capital behind leading protocols such as Compound (lending and interest accrual), Aave (asset borrowing), Uniswap (automated liquidity provision), and Synthetix (synthetic asset trading). 

I had an opportunity to sit down with Mike Novogratz and Ben Forman to ask a few questions about the new partnership below.

Thank you for joining us today. Congratulations on the new partnership. Mike, what drives your ethos and your unshakeable belief in this industry?

MN: Crypto, blockchain, bitcoin and DeFi are having a moment. I had this expression, “the herd is coming.” Galaxy was a couple years early. After COVID, we’ve seem a massive acceleration in digitization of everything and innovation of the crypto space. There’s bit

HedgeTrade Introduces Steaks Finance – A Fair Launch DeFi Token with Lasting Power

SINGAPORE, Sept. 28, 2020 /PRNewswire/ – Active crypto prediction marketplace HedgeTrade launches decentralized exchange and DeFi token for liquidity providers and yield farming earning opportunities.

Steaks Finance by HedgeTrade (CNW Group/HedgeTrade)
Steaks Finance by HedgeTrade (CNW Group/HedgeTrade)

HedgeTrade is pleased to announce a closed-loop DeFi initiative to add new ways to earn tokens in conjunction with its leading crypto social trading platform. 

“Steaks Finance is the realization of everything about DeFi done right — no pre-mine, no investors, and no advisory tokens. Like other DeFi platforms, Steaks is designed to exist in perpetuity on its own, but by integrating with HedgeTrade, we create a closed-loop ecosystem and create a practical application for STEAK tokens,” David Waslen, CEO & Co-Founder of HedgeTrade and Steaks Finance said. “By layering in DeFi models, we will be creating a community-driven ecosystem where you can farm, stake, use, trade, govern, and earn STEAK and HEDG tokens.”

Steaks Finance addresses the need for proper long-term use cases for DeFi tokens — allowing users to do more than provide liquidity and earn a portion of the swap trading fees. With Steaks, users can yield farm STEAK tokens and will eventually yield HedgeTrade commissions as well as vote on how the protocol evolves. Combining these models will make this an unprecedented all-in-one ecosystem.

“With Steaks, HedgeTrade is answering the gaps left by other DeFi initiatives — allowing you to earn beyond farming and trading fees which is by integrating with an already viable platform that allows you to earn both STEAK and HEDG tokens in multiple ways,” Waslen said.

Steaks will distribute future fees from various HedgeTrade business lines into the Steaks platform. For example, commissions generated on HedgeTrade will be distributed to STEAK holders via the Steaks “SteakBar” pool. In that way, the STEAK yield farming will not end, even