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These 8 projects in the Metis ecosystem are worthy of attention

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This article reviews and takes stock of Metis’ market performance and latest progress, as well as ecological projects worthy of attention inspired by ecological funds worth hundreds of millions of dollars.

Original Title: "Metis New Progress Promotes Coin Price and Lock-up Volume Soaring, These 8 Ecological Projects Are Worth Paying Attention To"

Original Author: Nancy, PANews

The veteran Layer 2 project Metis, which was once highly regarded due to the "V God Mom" halo, has recently become a hot topic in the market again due to its soaring coin price and TVL. This article by PANews will review and take stock of Metis' market performance and latest developments, as well as the ecological projects worth paying attention to under the incentive of a multi-million dollar ecological fund.

Ranked as the third largest Layer 2, technology and ecosystem incentives are advancing together

Recently, Metis' impressive market performance has sparked community discussions. According to L2BEAT data, as of January 17th, Metis' TVL has exceeded $990 million, with a growth rate of nearly 55.2% in the past 7 days, ranking third in Ethereum L2 lock-up volume, only behind Arbitrum One and OP Mainnet. Meanwhile, CoinGecko data shows that in the past 30 days, the price of $METIS has risen by about 396.8%.

As a star project in the previous cycle, Metis has received angel and seed round financing of $1 million and $3 million Series A financing, respectively, and quickly gained popularity in the Layer 2 track with the friendship between its founder Elena Sinelnikova and Natalia Ameline, the mother of Ethereum founder Vitalik Buterin. According to L2BEAT data, Metis' TVL (total value locked) soared to over $700 million in 2022, but has since been on a downward trend.

Recently, due to the positive impact of the Ethereum Kankan upgrade, Layer 2 has become the focus of the current market. Among them, Metis has taken the lead in the market with its narrative of decentralized sorters and huge financial incentives.

The sorter is an important component in the Layer 2 architecture, which can organize and sort hundreds or thousands of transactions and compress them into a single transaction for confirmation by Layer 1, thereby reducing the cost and transaction speed of sending data to Layer 1. However, the centralization issue brings the risk of single-point failure and monopoly risk. Therefore, projects such as Arbitrum and Optimism have listed decentralized sorters as a future development direction.

Metis claims to be the first decentralized sorter and revenue-sharing Optimistic Rollup, which adopts a model of revenue sharing with all node operators, allowing token holders to stake their assets to earn income and mining rewards. However, the sorter operator entering the sorter pool needs to stake at least 20,000 $METIS tokens.

According to the latest news, MetisDAO has voted in favor of the proposal to "decentralize the testnet sequencer and launch community testing", aiming to deploy sequencer infrastructure on the decentralized testnet and launch community testing to help Metis developers stress test the new architecture. The first season of community testing was launched on January 15th. The product focus for Metis in Q1 2024 will also be on the launch of a decentralized POS sequencer.

Other than technological advancements, Metis also announced the launch of a $100 million fund, the "Metis Ecological Development Fund," at the end of 2023 to accelerate the development of the ecosystem. The fund will distribute 4.6 million $METIS tokens for miner sorting, traceability funding, new project deployment, and other initiatives. The fund's allocation plan is scheduled for the first quarter of 2024 and is expected to be distributed to users developing NFTs, DeFi, and security projects on Metis. Based on the latest price of $METIS, these tokens held by the fund are worth as much as $540 million.

Metis ecosystem is still in its early stages, with most projects having low market value.

According to the official website of Metis, the Metis ecosystem project is still in its early stages, with only 87 projects covering various fields such as cross-chain bridges, DeFi, NFT, DEX, GemeFi, and infrastructure. PANews has compiled a list of 8 noteworthy ecosystem projects, most of which have a market value of less than $30 million.

However, behind the surge in TVL, the Metis ecosystem is also considered to have a "false prosperity". According to PANews, although Metis TVL is amazing, compared to other Layer 2 networks, relatively few actually use the Metis blockchain. From the distribution of TVL funds, only a small portion is used to develop its DeFi ecosystem, and half of it is used for the Aave lending protocol. At the same time, half of Metis' TVL comes from newly minted tokens, and most of the growth also comes from the surge in token prices.

Wagmi（WAGMI）

Wagmi is a DeFi product suite developed by renowned developer Daniele Sestagalli. It is also Sestagalli's brand reshaping of the cross-chain yield platform Popsicle Finance, aimed at deploying a decentralized exchange that allows for the creation of permissionless liquidity pools. Wagmi was recently officially deployed on Metis and received a $2 million grant from the Metis ecosystem development fund, marking the first official disbursement from the fund. Recently, Wagmi also announced a partnership with DWF Labs, which purchased 26.6 million WAGMI tokens for 500,000 USDT at an average price of $0.01879.

CoinGecko data shows that as of January 17th, the price of HUM is nearly $0.022 with a circulating market value of over $30.81 million.

Hera Finance（HERA）

Hera Finance is an AI-driven multi-chain DEX aggregator, aimed at providing a user-friendly experience and powerful development tools for developers to seamlessly swap on-chain programs. It has integrated with Arbitrum, Metis, Avalanche, Base, BNB Chain, Ethereum, Fantom, Mantle, and Optimism.

CoinGecko data shows that as of January 17th, the price of HERA is approximately $5.71 with a circulating market value of approximately $22.526 million.

NetSwap（NETT）

Netswap is a DEX running on Metis Andromeda, using the same AMM model as Uniswap, and providing multiple functions such as trading, liquidity mining, staking, and Launchpad. According to DeFiLlama data, as of January 17th, Netswap's TVL reached $12.84 million, with a 260% increase in TVL in the past month, making it the second largest native project after Maia DAO.

CoinGecko data shows that as of January 17th, the price of NETT is approximately $1.63 with a circulating market cap of over $14.01 million.

Tethys Finance（TETHYS）

Tethys Finance is a decentralized trading and lending protocol launched in 2021, aimed at providing fast, secure, reliable, and advanced local decentralized trading applications for the Metis Andromeda network to handle various transaction needs. At the end of last year, Tethys Finance launched the yield stablecoin TethysUSD.

CoinGecko data shows that as of January 17th, the price of HUM is about $0.71 with a circulating market value of over $7.571 million.

Hermes（HERMES）

Hermes is a DEX launched in 2022. It is a Fork version of Solidly and aims to provide users with low-cost and near-zero slippage trading. Currently, Hermes has launched its V2 version, and users can exchange between any chains by using centralized and unified liquidity. The token of Hermes, HERMES, can be used for voting, staking, and boosting rewards.

CoinGecko data shows that as of January 17th, the price of HERMES is approximately $0.079, with a circulating market value of approximately $7.386 million.

Maia DAO（MAIA）

Maia DAO is the first decentralized reserve currency protocol on Metis, with a community. Its subsidiaries include DEX Hermes, transparent automated liquidity full-chain strategy TALOS, and full-chain liquidity protocol Ulysses. According to DeFiLlama data, as of January 17th, Maia DAO's TVL exceeded $14.93 million, an increase of 155% in the past month.

Maia DAO's token MAIA adopts a community fair launch method, and staking can earn voting, governance, and dividend rights. The official website shows that 60.4% of the tokens are in a staked state.

CoinGecko data shows that as of January 17th, the price of MAIA is approximately $37.7, with a fully diluted valuation of $6.791 million.