Risk response to USDC Depeg
In the last 24 hours, USDC and DAI have lost their peg. Despite the extraordinary circumstances, Notional has not seen any insolvencies or increased system risk. All funds are safe. However, due to our integration with Compound V2, Notional’s operations have been impacted. Late Friday night, the Compound V2
Leveraged Vault Patchfix Notice
On Thursday Jan 19th, the Notional Team discovered a low severity issue on the wstETH/ETH leveraged vault during the course of routine testing. The team verified that the issue was not exploitable, that no funds were at risk, and that the leveraged vault could continue to operate normally while
Weekly Interest Rate Roundup: Jan 3 - Jan 10
Today I'm going to talk about real world assets. Yesterday, Ondo Finance announced that they were going to launch a product that would allow them to tokenize shares in a fund that invested into ETFs managed by Blackrock and Pimco. To many in the crypto space this feels like a
Weekly Interest Rate Roundup: Dec 27 - Jan 3
Happy new year! For those hoping that the industry could turn a page and leave the wreckage that was 2022 behind, it looks like it isn't going to happen. The Gemini Earn v Genesis/DCG saga has spilled over to the new year and is turning increasingly ugly. So the
Year in Review: 2022
2022 has been a challenging year for all of crypto, but it has also been highly productive for Notional. Notional saw its TVL and usage metrics draw down dramatically over the course of the year in line with the broader DeFi market. But despite the obvious obstacles, this year reinforced
Weekly Interest Rate Roundup: Dec 6 - Dec 13
We are entering bear market apathy. SBF has been arrested and charged with fraud and all sorts of other heinous crimes. CZ has faced a mini bank run and been hit with $5+ Billion in withdrawals in 48 hours. And I don't think I was alone when I felt like
Weekly Interest Rate Roundup: Nov 29 - Dec 6
Contagion came for Maple Finance this week. $31M this time. On an absolute dollar basis it's not so bad relative to recent blowups, but this one hurt because it would appear to invalidate one of the last, if not THE last, remaining example of "CeFi lending done right". This failure
Weekly Interest Rate Roundup: Nov 22 - Nov 29
I have two things to talk about this week - the CeFi lending apocalypse and surging ETH rates on Notional. We'll start with CeFi. The death of the CeFi lender A few weeks ago around the time of the FTX revelations I said in this newsletter that there was a
