GRAIL Did a 6x Since Feb 1. Here's Why Its Competitor Can 10x
A 6x in a bear market is amazing. But a potential 10x could be coming from this well-positioned rival.
Remember how Peloton and Zoom stock exploded higher when most of the world was trapped indoors? They delivered a product people suddenly needed, and early investors were rewarded with obscene gains. Today, we're seeing something similar in the crypto markets. Again, investors want lower fees, better performance, and reliability.
The Abritum Network is delivering on all of these fronts. At least, that is what the data is saying. For example, total value locked, a reflection of a chain's adoption, has nearly tripled since July 2022.
Equally as important, the use of the Arbtirum Chain is organically growing.
At this current run rate, Arbtirum transactions will exceed Ethereum transactions in the next six months!
With this increased development and adoption, a new Arbitrum ecosystem is thriving, and smart investors are positioning themselves accordingly. One of the first Arbitrum-exclusive decentralized exchanges (dex), Camelot ($GRAIL), launched at the beginning of December.
Camelot has seen its circulating market cap balloon from $5 million to over $31 million in February. And while Camelot's early investors are extremely excited right now, most of the gains are going to insiders, advisors, and people able to get in on the presale.
Zyberswap ($ZYB), a Camelot competitor on Arbitrum, launched on January 23. Sporting a meager circulating market cap of $3.2 million at the time of writing, Zyberswap could easily outpace Camelot's gains and provide a larger pool of ordinary investors with exponential gains.
In this piece, I will share six reasons why Zyberswap has more potential gain for investors and is positioned to be the leading Arbitrum dex on all measures.
6 Reasons Zyberswap can out-compete Camelot on Arbitrum
1. Trading fees on Camelot are 20% higher than Arbitrum.
The primary reason to use a decentralized exchange is to swap tokens. So why will savvy investors want to spend 20% more on fees? They won't, so Zyberswap is positioned to get the highest volume.
2. Deepest liquidity on major swapping pairs
Everyone wants lower fees. But what about less slippage? With the deepest liquidity in the top trading pairs, Zyberswap can further provide better pricing for its users. In addition, the low slippage combined with the lowest fees means aggregators like 1inch and OpenOcean will fulfill their orders through Zyberswap.
As you can see from the data, the ETH/USDC pair on Zyberswap has nearly triple Camelot's liquidity and has seen $18M in trade volume over the last seven days. It won't take long before the volume overtakes Camelot, which had nearly a 2-month head start.
3. Superior Tokenomics
Remember, at the beginning, where I said that the biggest beneficiaries of the price explosion in Camelot are people able to get in earliest? With Zyberswap, you and I get to be the people who get in earliest. In addition, Zyberswap is a fair launch, meaning you get the chance to be the seed capital and experience tremendous gains.
Here's the breakdown for Camelot's $GRAIL token. Advisors, public sale, core contributors, and partnerships got their $GRAIL at a much lower price (or free) than buyers would be paying today. Today's Camelot investors get to worry about those parties dumping as their tokens release over the next couple of years.
In the meantime, responsible community members staking the tokens and improving the platform with liquidity get to share 22.5% of the tokens.
Since Zyberswap was a fair launch, the discounted tokens go to you and me. For example, 47% of the Camelot tokens went to the presale, core contributors, advisors, and public sale. Meanwhile, Zyberswap only has 13.5% of its token supply that went to the development team and for marketing.
4. Better staking and liquidity rewards
Camelot only has so much runway before they've distributed the lion's share of their tokens to liquidity providers and stakers. This is because only 22.5% of the supply is dedicated to liquidity mining. On the other hand, Zyberswap has 86.5% of the supply available for liquidity incentives.
This means that stakers and liquidity providers get better rewards. And, to sweeten the platform, Zyberswap is providing triple rewards to ZYB liquidity providers. This means that by providing liquidity and supporting the ecosystem, you can earn ETH, USDC, and ZYB tokens!
Rewarding stakers with alternative tokens reduce sell pressure on the native ZYB token and allows LP providers to harvest rewards. This is innovative and brilliant thinking by the Zyberswap team!
Some investors may be worried about inflation. Yes, there will be inflation. But that inflation is going to investors getting into and supporting Zyberswap today! It's not providing exit liquidity for the core contributors, presale buyers, advisors, and advisors.
5. A Launchpad for new projects that will be audited and KYC'd
Zyberswap has a close relationship with SolidProof, having been chosen for SolidProof's elite incubation program. This partnership will be strengthened and used with Zyberswap's new launchpad program.
All projects launching from the Zyberswap launchpad will have been audited and KYC'd through SolidProof. This gives investors peace of mind when investing in a brand-new project.
The launchpad will also help increase Zyberswap adoption as investors who want to participate will need to own or stake ZYB. Additionally, those investors providing liquidity to the platform will be open to more opportunities.
6. The Potential Gains!
Let's say you have $5,000 to invest today. Camelot has a $30M circulating market cap. It could easily hit $100M if Arbitrum adoption continues, their momentum stays high, and the team delivers. If they hit a $100M market cap, that would represent over a 300% return on your capital. I'd be ecstatic turning $5,000 into $15,000.
On the other hand, Zyberswap has only a $3.1M market cap. With lower transaction fees, more TVL ($90M compared to Camelot's $50M), better farming rewards, better tokenomics, and innovative value additions, if Zyberswap achieved an equal valuation for Camelot today, it would represent nearly a 10x.
That's right. A $5,000 investment could grow to $50,000 if Zyberswap gets valued on par with Camelot. But what if the market realizes the value proposition of Zyberswap is much greater, and it hits a $100M valuation? That could represent a 33x for every dollar invested today.
There are hundreds of crypto projects with over a $100M market cap. So it's not a stretch to say the top decentralized exchange in the top growing DeFi ecosystem can't get there.
Key Takeaways
The secret about Zyberswap isn't out yet. It's about to hit 1,600 token holders. A week ago, it hit 500 token holders.
Meanwhile, Camelot has a little over 4,000 token holders. This means that if you are buying in Camelot today, you are getting in after the presale buyers, the advisors, the partners, the core contributors, and thousands of other investors in the project.
If you invest in ZYB today, you are still in the first 2,000. There aren't too many crypto projects with this much growth, traction, and opportunity in this market, especially on Arbitrum.
Yes, there is a risk in investing in ZYB. It's a few weeks old. It doesn't have the seed capital that other projects have. And since it's community-driven, it relies on the community instead of paid influencers and marketers. But, on the other hand, Zyberswap has accomplished much more in its three weeks than Camelot has accomplished in nearly three months.
If I'm investing in altcoins today, I want to be in the projects offering asymmetrical gains. And I want to be on Arbitrum, where the capital is flowing into. Zyberswap is second to GMX in TVL when looking at Arbitrum exclusive or semi-exclusive projects. So you may be very happy you read about it before everyone piles in.
I am a member of the Zyberswap community along with the other 1,598 members. I haven't been paid or sponsored to write this. However, I am invested and continue holding and compounding my stakes. Please share this article with anyone who has an open mind for a project set up for the ordinary investor to succeed.
Please use my referral link if you are interested in trading on Zyberswap. I do get a small referral fee based on transaction volume. I am not sponsored or paid for my articles. I am a community member, ZYB holder, and supporter. Thank you in advance if you decide to use my referral link.
If you have questions or want to join the community, here are their social links.
This article isn't financial advice, and I am not a financial advisor. It is strictly my opinion. Zyberswap, Grail, and other crypto assets involve tremendous risks. I am someone who wants to maintain and grow my wealth so that I can provide a good livelihood for my family and myself. So do your research before making any investments.
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