Whale watching time 🐳 We analyzed 10 whale wallets, each with more than $10M. Their combined portfolio size is ~$450M. Here are the key insights we found + a spreadsheet that you can dive into...
- Most of these whales are farming stables
- Degen plays are less than 5% of the portfolio
- Curve Finance and Convex Finance constituted a significant % of the portfolios.
- Apex assets like $ETH & $wBTC made up a majority of their portfolio
- 2/10 whales were staking $GMX
- 0/10 whales own $OP.
- $FTM was also a very small portion (~0.18%) of total assets held by these wallets
- Most assets are being used to earn low-risk yields through staking or no-IL pools
- Virtually no shitcoin holdings
Asset Allocation by Chain
Ethereum is a clear winner here (no surprises), with Avalanche and Arbitrum following.
- Ethereum: 74%
- Avalanche: 13%
- Arbitrum: 8%
- Polygon: 1.48%
- Optimism: 0.93%
- BNB Chain: 0.36%
- MoonBeam: 0.82%
- Cronos: 0.18%
- 10 out of 10 have assets on Ethereum
- 6 out of 10 have assets on Arbitrum
- 4 out of 10 have assets on Avalanche
- 2 out of 10 have assets on BNB
- 3 out of 10 have assets on Polygon
- 3 out of 10 have assets on Optimism
As expected, Ethereum is the most dominant chain. Interestingly, only 0.36% of assets are on Binance Smart Chain, which is surprising given that BSC TVL is second to Ethereum.
- Stablecoins in the wallets
- Staked Stablecoins
- Farming only in Stablecoin pairs like Curve 4 Pool These are the holdings that they can redeem anytime they want.
~28% of their total holdings are composed of stablecoins (not surprising since it's a bear market
More than 50% of these are used in earning yields. Interesting Anomaly: 1 out of 10 wallets has ~0% in stables - (permabull?)
Farming without Impermanent Loss
If you are farming for some time you already know how severe IL can be. Currently, half of the Uniswap LPs are losing money due to IL.
Farming assets with derivatives is a great way to mitigate IL.
~20.7% of the $449 million portfolio is being farmed so. Example: $stETH - $ETH. $cvxCRV - CRV etc.
5 out of the 10 whale wallets are indeed farming assets against their derivatives to mitigate IL.
Curve Finance and Convex Finance
These two protocols are the most preferred among these whales for earning yields.
This is because they offer better / safer yields than others.
7 out of the 10 wallets used Curve and Convex in one way or another.
A total of 19.2% of $449 million is used in these two protocols:
- 3.8% in staking $CRV & $CVX and their derivatives
- 4.4% in providing liquidity in Stablecoin pools
- 11% in other forms
GMX is a Decentralized Perpetual Exchange on Arbitrum and Avalanche
You can earn sustainable yield from fees by staking their $GMX and $GLP tokens.
2 out of 10 wallets have invested in GMX and are staking to earn yield. One of these wallets belongs to @0xSifu, who has invested more than 40% of his wallet portfolio in GMX - high conviction?
Most of the wallets are holding common tokens like $ETH, $AVAX, $SNX, $wBTC, $CRV, $APE
Only 2 wallets are holding $FTM and the total amount is less than 1.5% of the total holdings.
One surprising observation was that not a single wallet was holding $OP
You can view the spreadsheet here
Sheet1 Whale ,Ethereum,BNB Chain,Polygon,Fantom,Avalanche,Arbitrum,Optimism,Cronos,Metis,Moonriver/Beam,Porfolio Size(million),Stablecoin(million),Farming without IL i.e ($ETH-$wETH),$CVX +$CRV Locked,Total Curve & Convex assets,Curve 4 Pool,Synapse Stable,Other Stable Pairs,Total Farming/Stakin...