brian-terra | Flipside Analyst

    brian-terra

    Joined May 7, 2021
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    41Upvotes
    46. What happened to leveraged borrowers with the crashes?

    46. What happened to leveraged borrowers with the crashes?

    Jun 15, 2021 - Taking a look at liquidations over time for Compound. Scary stuff - especially with the recent crash! First I put together the two charts you see below: Liquidations Over Time by Token (since 5-1-2021) - Daily Chart Total Liquidations Over Time (since 5-1-2021) - Daily Chart You can clearly see how significant the crash was on May 19th. In order to determine if this has ever happened in the past and what trends could be drawn from it, I had to take a look further back in time. I created two additional charts on the following: Liquidations Over Time by Token (for all time) Total Liquidations Over Time (for all time) Here you can clearly see that for this timeline of data, no liquidation has ever occurred at the levels that occured on May 18th, 2021.Even 4 days later, on May 22nd there was a second round of liquidations that really crushed a large majority of people that I am assuming "bought the dip". There were a few other rounds of liquidations that occurred on these dates: November 25th, 2020 January 10th, 2021 February 22nd, 2021 But these are still dwarfed by the magnitude of the most recent crash on May 18th and May 22nd. ADDED - USD Value for Liquidations Charts. Wanted to see USD values as well. *****Changes made - The USD Value for liquidations amounts on earlier crashes actually exceeds the most recent crash! This is new information! This tells me that most recently, the number of liquidations is higher because people are beginning to DIVERSIFY! They have their money more widespread into different tokens, thus reducing the chance that all their positions will be liquidated. I suspect that they will continue to diversify into more and more tokens. Of course if the entire market crashes, the majority will still liquidate but people are still spreading their eggs into many different baskets as time goes on!***** The fact that there were opportunities for this amount of liquidations, tells me that people are continuing to buy the dips all along the way. If you looked at the November liquidations back then, you would have thought that that was the worst round of liquidations ever seen. But as we could see in May, there were still a lot more to be had. This tells me that there still may be more to be had. If this bull run in all of crypto continues, we may see people continuing to buy this dip only for another steep drop and even larger round of liquidations happening. Time will tell! I also included a chart of total liquidations since May 1st for additional info. Neat metric.

    brian-terra
    19. Active Liquidity

    19. Active Liquidity

    Jun 2, 2021 - Objective: Find the 5 largest liquidity pools in Uniswap V3. What percentage of positions and what percentage of virtual liquidity (liquidity_adjusted) are currently out of range? When this occurs which is the approach most taken: updating the range or waiting it out. - It seems as though for the extreme DAI/USDC/USDT relationships, that the only option is waiting it out. Conclusion: The only two pools that were considered to be "out of range" by my calculations where DAI-USDC 500 10 and USDC-USDT 500 10. I define pools that are "out of range" to be positions where the liquidity adjusted is greater than gross liquidity. These percentages are fairly negligible, but can be calculated to be the following: With 129,584 (USDC-USDT 500 10) positions, 91 positions would be .07% out of range. With 97,541 (DAI-USDC 500 10) positions, 103 positions would be .106% out of range. Finally, I compared the total sum of position liquidities vs the gross liquidity for each pool, and got the following results: Position Liquidity vs Gross Liquidity DAI-USDC 500 10 - 129,962% USDC-USDT 500 10 - 97,879% USDC-WETH 3000 60 - 18.10% WETH-USDT 3000 60 - 10.57% WBTC-WETH 3000 60 - 0.09% Really interesting to see the DAI/USDC/USDT relationships SIGNIFICANTLY outweighing the WETH and WBTC relationships. Not super surprising given the lower-risk potential there, but still amazing to see it written in the data. Please take a look at all of the data below for my references.

    brian-terra