According to CoinGecko, no cryptocurrency or token has gained as much as Aptos in the past day or week.
APT, the native coin of the Aptos blockchain, has more than doubled in price over the past seven days, rising 47% to $18.46 in just one day. Since the beginning of the year, Aptos has surged 350% of his. why?
It’s hard to pinpoint exactly why, but according to data from CoinGecko, about half of APT’s $2 billion volume over the past day came from Singapore-based exchange UpBit’s South Korean won trading pair. At the time of writing, APT was priced at $18.63 on UpBit.
This is about $0.50 higher than sales on Binance and most other exchanges, indicating that at least some of the activity comes from arbitrage trading. Simply put, arbitrage his traders profit from price discrepancies. They buy at the lowest price available and sell at the highest price available.
Korean exchanges frequently list cryptocurrencies at higher prices than global exchanges, so the difference is called the “kimchi premium.” Just last year, the Seoul Central District Prosecutor’s Office launched an investigation into a case of illegal money transfers worth 2 billion won by adjudicated traders.
It’s also worth noting that Aptos is still only the 20th largest DeFi ecosystem, according to DeFi Llama, but has grown significantly in the past month. His DeFi volume on Aptos increased from $14 million last month to $51 million in January. The month is not over yet.
Another 10% of past day APT volume came from Binance’s APT and Binance USD (BUSD) trading pairs. Binance, the world’s largest cryptocurrency exchange by volume, also recently introduced two APT liquidity pools. This now accounts for another 18% of APT’s trading volume.
Liquidity pools facilitate peer-to-peer trading of crypto assets. Users are encouraged to “pool” or deposit their tokens for exchange with other users. These are essential for decentralized exchanges such as Uniswap and Curve to function. But centralized exchanges like Binance also make use of them.
On January 20th, the Binance Liquid Swap platform debuted APT/Tether and APT/Bitcoin liquidity pools. The platform rewards the user with her BNB, the exchange’s utility token, for depositing funds into the pool.
At the time of writing, Binance promises a yield of 92.42% on APT/USDT and a yield of 99.49% on APT/BTC liquidity pool deposits. Of which, the user will receive her BNB rewards of 0.71% and his 1.07% for each hour of hers respectively.
Aptos has consistently outperformed the market since the beginning of the year.But it got off to a rough start mainnet Released in October.
The project received a lot of backlash for not releasing tokennomics sooner than it did. Criticism piled up when the blockchain, which promised speeds of up to 150,000 transactions per second, showed speeds of 4 transactions per second after its big debut.
At the time, Aptos co-founder Mo Shaikh said: on Twitter This indicated “the network was idle before the project came online”.
Aptos’ backers include many of the venture capital firms that have become industry powerhouses. Andreesen Horowitz, Multicoin Capital, Jump Crypto, Tiger Global Management, Blocktower Capital, and Coinbase Ventures. And toward launch, the project has completed his $200 million strategy round and his $150 million Series A round.
That list also includes two companies that have since filed for bankruptcy. Hedge fund Three Arrows Capital and FTX Ventures, the venture arm of Sam Bankman-Fried’s crypto empire.
