Don't sleep on @arbitrum Orbit Chains!
50+ Orbit L2/L3s are launching and @CamelotDEX has positioned itself to be the native DEX on nearly all of them.
Camelot is also packed with other catalysts:
- Incoming Liquid Wrappers
- Arb Incentives
- Gauge Voting
$GRAIL Deep Dive! π§΅
Arbitrum Orbit Chains -
The Orbit Chains narrative has been heavily drowned out the past few months due to shiny new L2s launching nonstop.
Here is a good thread from @0xpedro_eth on Orbit Chains.
x.com/0xpedro_eth/status/1791167090826576069
To oversimplify Orbit Chains...
1. Cheaper & Faster Transactions compared to L2s
2. Extremely Simple Deployment
3. Ability to Leverage Liquidity Across Chains
Fast & Cheap TXs are perfect for gaming protocols.
Shared liquidity reduces fragmentation and grows DeFi protocols.
@SirBootsOfIron rocked a knights helmet for his Brussels Presentation in case he got mugged
The Title - "Introducing the Orbital Liquidity Network"
Camelot is positioned to be the native DEX on every orbital chain.
x.com/CamelotDEX/status/1811046339901370737
Orbit Chains have already begun exploding.
15+ Orbit Chains are already live on mainnet, Camelot is the native DEX for 4 of those new chains.
There are 50+ Orbit Chains announced to be launching by the end of this year.
x.com/sgoldfed/status/1798716730635911650
Deployment of a new Orbit Chain only takes minutes.
Project can choose their gas token, deploy a rollup, and then integrate Camelot for network liquidity
Camelot solves the challenge of building a DEX and finding liquidity for these new chains.
x.com/conduitxyz/status/1768716335675248816
This comment still holds.
3 of the top 5 rollups by activity are Arbitrum Orbit Chains pushing 100+ TPS.
The increased speed and decreased TX cost make Orbit Chains primed for an explosion of new apps. So far, gaming has led the adoption charge.
x.com/allred_chase/status/1802712010724893073
Using @l2beat data, we can look back at the growth of TVL across L2s:
July 2022 - $4.2B
July 2023 - $12B
July 2024 - $38B
Similar to the explosive growth we've seen on L2s, I'd expect Orbit Chains to lead Arbitrums TVL & Transaction growth going forward.
Camelot is now live on 4 Orbit Chains including @XAI_GAMES, @SankoGameCorp, @RariChain and @reya_xyz.
$XAI FDV - $330M
$DMT FDV - $64M
x.com/CamelotDEX/status/1808906486854127662
Here is a quick thread highlighting @SankoGameCorp for those interested.
Key Points:
- $40M Bridged
- Legit Projects Built On Top ( sanko.tv / sanko.pet )
- 20+ Memecoins
- No VC Unlocks
Sanko is just one of many Gaming L3s.
x.com/CipheResearch/status/1807796574317347076
$DMT is the first Orbit Chain that $xGRAIL stakers are earning weekly rewards from the fee income.
Currently there is about $600k of Camelot liquidity on @SankoGameCorp doing $350k-$1.5M in volume per week.
Imagine 20+ chains fees rolling toward xGRAIL!
x.com/CamelotDEX/status/1798096662939742685
$xGRAIL stakers are earning $2.5k in weekly $DMT dividends already.
$DMT is only $60M FDV.. if it does 10x or even 100x those fees will scale for $xGRAIL stakers.
Not bullish on $DMT? That's fine, the other 3 Orbit Chains Camelot launched on are multiples larger than $DMT.
This new Camelot strategy turned $xGRAIL dividends into an index fund paying out Arb Orbit Chain gas tokens.
By the end of the year, 100's of Orbit Chains will launch. If say 50% of those new rollups leverage @CamelotDEX as their main liquidity hub, $xGRAIL dividends skyrocket.
I'm personally very excited for the @XAI_GAMES.
$XAI has 10+ games launching in the next 12 months, has eclipsed $1B FDV at times, and is backed by massive VCs.
$XAI ~$100M MC & $340M FDV
Camelot has been live on $XAI since April and it's the largest Arbitrum L3
One of the largest reasons to be bullish on @XAI_GAMES is they have $100M of $XAI incentives for protocols building on the L3.
Arbitrum DAO also passed a proposal to allocate 200M ARB ($150M) towards the Arbitrum Gaming Sector. It is the single largest program the DAO funded.
$300M of incentives flowing towards @arbitrum gaming and over $100M of that will be on chains where @CamelotDEX is the native DEX.
These programs alone should bootstrap volumes for Camelot and push $xGRAIL dividends to do multiples of the current numbers.
The $XAI token is managing to do $35M+ of volume daily on CEXs.
The on-chain volumes should increase as games start launching, $XAI incentives are rolled out, and liquidity grows deeper.
An L3 like $XAI could end up having more volume than Arb Mainnet for @CamelotDEX someday.
Camelot is also live on Reya L2 which is a Liquidity Network that is optimized for trading.
Reya historically has been used for interoperable liquidity across perp dex platforms. Camelot became the first spot trading platform to integrate with Reya.
x.com/reya_xyz/status/1805575719377846340
Reya is a pretty impressive project backed by @hiFramework, @cbventures, @wintermute_t, and other top VCs.
Camelot being the first spot DEX to integrate is a massive win. Longterm this has potential to reduce fractionalized liquidity across all of DeFi.
x.com/reya_xyz/status/1809545701627429297
The 4th Orbit Chain that @CamelotDEX integrated with is @RariChain.
Similar to interoperable liquidity from Reya, @RariChain plans to push toward interoperable NFTs with creator fees built in at the blockchain level.
A massive idea, this time with NFTs.
x.com/CamelotDEX/status/1802803673417814133
Thats 4 brand new chains that are leveraging @CamelotDEX across Gaming, DeFi, and NFTs.
These L3s are relatively new and haven't hit their growth curves yet. Realisitically any one of these orbit chains exploding in popularity could 2x $xGRAIL dividends.
The best part is that the L3 space is exploding and more apps are leaning into @CamelotDEX as their native DEX.
$WINR is a gambling protocol on Arb that will be launching their own L3.
It will become another revenue stream for $xGRAIL stakers.
x.com/CamelotDEX/status/1800547756999864566
I'm also extremely bullish on their $GRAIL liquidity strategies and the effects that they will have once fully launched.
Right now, @Campiexyz_io is the best example of that. They blackholed 1,829 $GRAIL into their $mGRAIL product which is now locked out of circulation forever.
One of the reasons I'm bullish $CMP is they are launching at $4M FDV.
1,829 GRAIL x $725 per = $1.36M GRAIL Controlled by Campie
Roughly 21% of $CMP in circ on launch which would put $CMP at $840k marketcap. Undervalued even at these deflated prices.
x.com/Campiexyz_io/status/1759449398109454601
They've launched using this model plenty of other times including for @Penpiexyz_io.
$PNP ran from $.40 to well over $2 in a matter of weeks after launching. Since then, PNP sailed to highs of ~$7 and is still $2+ today.
I'd expect $CMP to play out similarly if gauges are live.
For @Campiexyz_io to function properly, they need @CamelotDEX to launch their new gauge framework.
Gauges have been delayed slightly due to the recent focus on Orbit Chains from the Camelot Dev Team.
The gauges are needed to direct emissions toward $mGRAIL / $GRAIL LP.
The $mGRAIL / $GRAIL LP is game-changing.
Camelot has $6M+ in PoL so they havent incentivized their GRAIL LPs forcing people to lock into xGRAIL while they printed trading fees.
Launching a $GRAIL / $mGRAIL LP once $CMP goes live will suck up a massive amount of liquid supply.
Campie can push emissions toward this LP with gauges, boost the APRs with the yield booster, and create a huge flywheel.
Liquid GRAIL is already rare. ~55% of GRAIL emitted has been converted to xGRAIL and that doesn't include the fact that 4,000 GRAIL are PoL.
LPs & $mGRAIL stakers will also start earning $CMP rewards which we already determined is undervalued.
The $mGRAIL / $GRAIL LP should lead to a massive supply crunch of liquid GRAIL. Ironically lack of liquid GRAIL is what made prices skyrocket when Camelot first launched.
Until gauges go live, @Campiexyz_io launched their new Yield Boosted LPs.
These use the Camelot Yield Booster Plugin to maximize APRs for anyone depositing into these LPs. WETH-ARB, WETH-USDC, WBTC-ETH, and PENDLE-WETH are boosted to 2x rewards.
x.com/Campiexyz_io/status/1810165443174232360
On top of gauges being bullish for @Campiexyz_io, they also will become another revenue stream for $xGRAIL.
Between gauges, liquid wrappers, and countless orbit chains mean brand new revenue streams are popping up weekly. $xGRAIL dividends will skyrocket soon IMO.
Let's dive into other catalysts making me bullish on $GRAIL.
To start, $GRAIL is oversold on multiple HTF charts including 1d, 2d, and 3d while sweeping lows set during Fall of 2023.
We're also sitting on a demand zone (5d) at the $700 level.
Low Risk, High Return π―
Last week @CamelotDEX kicked off a program that will distribute 1.5M+ $ARB in the next 3 months.
The incentives are worth $1M+ and will be pushed toward multiple v3 liquidity pools.
$1M is substantial when the MC of $GRAIL is $29M and FDV is ~$70M.
x.com/CamelotDEX/status/1804964167461560744
The @CamelotDEX has held strong as one of the top DEXes on Arbitrum.
MC (GRAIL & xGRAIL) - $28.2M
Annualized Fees - $17.6M
FDV - $70M
Fees have also been extremely consistent since May, even with Arbitrum taking a usage hit. Camelot has printed $300-750k in weekly fees.
"But SCS $ARB is Dead!"
Arbitrum has two upgrades (BoLD & Stylus) set to hit production in the next few weeks.
Stylus - Multi VM allowing C++ & Rust Integration
BoLD - Orbit Chains able to use any ERC20 for gas or network validation ($Arb Gas Token? π)
x.com/OffchainLabs/status/1785356033012990088
1. 50+ Brand New Orbit Chains
2. Liquid GRAIL Wrappers
3. Oversold Charts
4. Massive Incentive Programs
5. Multiple Arbitrum Network Upgrades
If you can't see the vision of what's coming, maybe this space isn't for you.
Camelot is about to be King again!
Disclaimer -
None of this is financial advice and is for my own records.
I own long-term positions in both $GRAIL and $ARB.
My goal is to accumulate GRAIL in the $700-850 range heavily and I'm expecting this thesis to play out between now an Feb 2025.
Disclaimer (cont.) -
I know nothing about trading mainly because I'm a scientist, but I'm bad at that too. Feel free to fade me as my last few threads have been cursed β οΈ