LHD Glossary & Tags

Please review the glossary of terms and tags used in the Liquidity Health Dashboard below.

Terms

  • Hard Assets: The tokens one would consider as the exit liquidity for all other tokens, generally "blue chip", high market cap tokens and stablecoins

    • Hard asset list as of 7/5/2023: USDC, USDT, BUSD, DAI, FRAX, WBTC, ETH, BNB, MATIC, WCRO, FTM, SOL, AVAX

  • Valid Pair: Any altcoin that is paired with a hard asset

  • Non-Valid Pair: All altcoin-altcoin pairs (any token paired with a non-hard asset)

  • Total Liquidity: The sum of ALL liquidity pools the token has (includes liquidity classified as β€˜not valid’)

  • Total Valid Liquidity: The sum of only the valid liquidity pools

  • Total Extractable Liquidity: The sum of the hard assets liquidity in all of the valid pairs

  • Circulating Supply (CS): Tokens that are in circulation, pulled from CoinGecko

  • Market Capitalization (MCAP): The circulating supply multiplied by the spot price of the token, pulled from CoinGecko

  • Extractable Liquidity / MCAP ratio (EL/MCAP): Provides a ratio on the current extractable liquidity compared to the project's MCAP, used as a benchmark how much extractable liquidity a project should have based on its MCAP, expressed as a percentage

  • Sustainability Range: The acceptable range of Extractable Liquidity any project should have based on our methodology here.

    • Sustainability Range Upper Bound: The top of the sustainability range

    • Sustainability Range Lower Bound: The bottom of the sustainability range

  • Owned Liquidity: Liquidity that is held and owned by a protocol in a known protocol address, or ideally locked behind a vesting contract / in a gnosis safe, also known as protocol-owned liquidity (POL)

    • Owned Liquidity has 2 types:

      1. Known Liquidity - Ownership addresses the ApeBond has manually verified and curated (or a 3rd party has submitted a PR)

      2. Suspected Liquidity - Ownership addresses that ApeBond found through automated mechanics (such as searching block explorers and confirming the address is a multisig or locking contract) by checking the bytecode of the contract.

  • Rented Liquidity: Liquidity that is crowdsourced through yield farming or liquidity mining

  • Unlocked Supply: Tokens that are unlocked on-chain

Tags

ClassDescription

DEX

Protocols where you can swap/trade cryptocurrency

Bond

Protocols that offer bonding (purely DeFi, anything to do with 'Real World Assets' goes in the RWA class

Lending

Protocols that allow users to borrow and lend assets / mint stable coins

Bridging

Protocols that bridge tokens from one network to another

Liquid Staking

Protocols that allow you to stake assets in exchange of a reward, plus the receipt for the staking position is tradable and liquid

Yield

Protocols that pay you a reward for your staking/LP on their platform

Stablecoin

Protocols that provide algorithmic stable coins OR stablecoins

Yield Aggregator

Protocols that aggregated yield from diverse protocols (largely vaults / dashboard)

Derivatives

Protocols for betting with leverage / options

Synthetics

Protocol that created a tokenized derivative that mimics the value of another asset.

Insurance/Security

Protocols that are designed to provide monetary protections / risk mitigation

Launchpad

Protocols that launch new projects and coins

NFT Launchpad

Protocols that launch NFTs

Real World Assets

Protocols that deal with any non-native crypto assets in any capacity (Tradfi fixed income, tokenized real estate, etc)

Metaverse

Projects that are building a metaverse experience

GameFi

Projects that have a clear 'playing' mechanic

X-2-Earn

Anything that is [blank] to earn (besides GameFi)

Wallet

Protocols that offer the ability to pay/send/receive cryptocurrency

Index

Protocols that have a way to track/created the performance of a group of related assets

NFT Marketplace

Protocols where users can buy/sell/rent NFTs

NFT's

Projects that are working with NFTs that dont fit other launchpads

Oracle

Protocols that connect data from the outside world (off-chain) with the blockchain world (on-chain)

Blockchain

Other L1's or L2's

Marketing Solution

Protocols that help with marketing

Social Media

Protocols that are moving Web2 social into Web3 in some capacity

Gambling

Protocols that facilitate any type of gambling

Memecoin

All the dog coins and their offshoots

AI

Projects that are leveraging AI, automation, etc

Infrastructure

Projects related to blockchain infrastructure and ease of building Dapps

CEX

A platform where users can trade cryptocurrencies through a central intermediary that facilitates and oversees all transactions.

Other

A place to park everything else

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