Ecosystem Update December 2024
Dear Reader,
We are pleased to present our December 2024 Ecosystem Update, highlighting notable developments within Advanced Blockchain and the broader industry landscape.
Macro Overview December
- Bitcoin Hits a Historic All-Time High
Bitcoin achieved an unprecedented milestone, reaching $108,135 in December. This surge was fueled by the successful Bitcoin halving, the approval of multiple spot ETFs, and strong institutional demand from market leaders like BlackRock. These developments not only validated Bitcoin’s role as a resilient asset but also reinforced the broader acceptance of cryptocurrencies in traditional financial ecosystems.
Source - Lookonchain
- DeFi Innovation Accelerates
The decentralized finance (DeFi) sector witnessed notable advancements in December. Layer-2 scaling solutions like Bitcoin Lightning Network demonstrated enhanced scalability, reduced transaction fees, and broader usability. Furthermore, decentralized exchanges like Hyperliquid and Contango did particularly well, focusing on enhanced user experiences and features for traders. These noteworthy developments are maturing DeFi into a cornerstone of the financial sector. Additionally, the lower federal funds rate, now at 4.25%–4.5%, has contributed to increased liquidity deployment in DeFi projects, fostering further growth. - AI and Blockchain Integration Strengthens
The integration of artificial intelligence (AI) into blockchain platforms solidified further in December. Innovations in predictive analytics, decentralized autonomous organizations (DAOs), and intelligent contract execution showcased the immense potential of combining AI with blockchain technology. The AI agent narrative has especially picked up traction over the past few weeks. These synergies are redefining the applications and use cases of blockchain, paving the way for transformative advancements. - Regulatory Clarity Boosts Institutional Confidence
December saw progress in global regulatory standards for digital assets. Positive developments from the U.S. and Europe have improved institutional confidence, including updates like the U.S. Treasury and IRS finalizing regulations that require digital asset brokers, including some DeFi participants, to comply with reporting requirements. This rule will apply to sales of digital assets, including NFTs and stablecoins, starting January 1, 2027.
→ Treasury Press Release | Blockchain Association Press Release - Ripple’s RLUSD Stablecoin Gains Regulatory Approval
On December 10, Ripple’s RLUSD stablecoin received final approval from the New York State Department of Financial Services. RLUSD, set to launch on both the Ledger and Ethereum networks, represents a milestone in stablecoin regulation and institutional adoption. - Strategic Bitcoin Reserves Proposed by American Legislators
December saw legislative proposals at both state and federal levels to establish Bitcoin reserves. Initiatives included bills in Texas and Ohio to incorporate Bitcoin into state treasuries, as well as Senator Cynthia Lummis’s federal bill proposing the U.S. Treasury acquires one million Bitcoin over five years.
Advanced Blockchains Ecosystem Updates:
peaq
peaq closed December with transformative progress, marking several milestones and strengthening its position as a leader in the Decentralized Physical Infrastructure Networks (DePIN) space. The ecosystem achieved a Total Machine Value (TMV) of $2.6 billion USD, reflecting robust adoption and growth. Additionally, the number of connected devices increased by 50%, surpassing 4.5 million, further highlighting the network's rapid expansion.
peaq's leadership was underscored by the release of the State of the Machine Economy 2024 report, the launch of the DePIN Enterprise Adoption Program, and recognition as the #1 new token of 2024 by CertiK. The ecosystem also introduced XMAQUINA, the first DAO dedicated to the machine economy, and integrated LayerZero’s OFT Standard for seamless asset transfers between Ethereum and peaq. New partnerships, such as with iGAM3.ai, further extended peaq’s reach into blockchain and gaming sectors. Furthermore peaq released a comprehensive video celebrating the achievements of the past year.
Mantis
Mantis launched its beta version, with its community program entering “Season 3” with more features such as secure cross-chain and single-domain trading across Ethereum and Solana, AI integration, zero slippage, no gas fees, and near-instant swaps. Based on recent end of year data, Season 2 saw good community engagement, with 32,000 participants, $5 million in TVL, and over 30 million Mantis Credits distributed. Mantis also unveiled copy trading and welcomed Arthur Hayes, co-founder of BitMEX, as a strategic advisor, adding invaluable expertise to its team.
Additionally he Quicksilver Protocols Proposal #53 is live, inviting $QCK holders to vote on adding Picasso Network as the 12th supported network on the protocol. This marks another milestone in expanding its ecosystem.
Panoptic:
Panoptic has officially launched its perpetual options trading platform on Ethereum, introducing a groundbreaking approach to options trading without fixed expiry dates. Powered by Streamia and integrated with Uniswap V3 and V4, Panoptic enables traders and liquidity providers to create complex call, put, and perpetual positions across a wide range of digital assets.
Liquidity providers can boost profitability and minimize risks like impermanent loss through innovative strategies, while traders gain access to advanced tools for multi-leg options and risk hedging.
Following a $7 million seed funding round led by Greenfield Capital, with participation from Uniswap Labs Ventures, Coinbase Ventures, and others, Panoptic is rapidly expanding its offerings. The platform is adding new pools and markets, with plans to extend its reach to Layer 2 networks and EVM-compatible chains. The ETH-USDC market launch has already shown impressive APYs, marking a strong start for this innovative platform.
Contango
Contango achieved more milestones by introducing up to 22x leverage on the yield-bearing stablecoin srUSD from Reservoir, leveraging deep liquidity on MorphoLabs. By integrating Morpho's Public Allocator, Contango enhanced liquidity availability and reduced borrowing costs for traders. This approach has driven more growth, generating increased activity and fees across spot and money markets on 10 chains, contributing to over $5 billion USD in volume within a year. Contango remains the second-highest trading volume platform in its niche, further solidifying its position. Additionally, it established several key partnerships to expand its service offerings, reinforcing its commitment to innovation and scalability in DeFi.
The unlocks for Advanced Blockchain's $TANGO token are scheduled to begin in May 2025.
Silencio
December was an important month for Silencio, marked by several milestones. The company secured an additional $2.5 million in seed funding, led by Blockchange VC with support from other key investors, to scale the world’s largest decentralized noise intelligence platform. Alongside them, Advanced Blockchain made a strategic investment in Silencio, further reinforcing its commitment to supporting innovative projects in the blockchain ecosystem, as communicated earlier.
Silencio surpassed 1 million on-chain transactions on peaq and now records over 100,000 daily transactions, showcasing the platform's real-world utility in empowering smarter cities, real estate, and public health. Additionally, Silencio published its long-awaited whitepaper.
With over 36,000 sensors brought on-chain and nearly 30,000 active devices, Silencio is reshaping how data serves businesses, researchers, and governments. Transparency remains a priority, with live dashboards on Dune sharing its progress openly.
Teneo
Teneo Community Node Dashboard is now live, offering users a seamless way to track rewards, referrals, and connectivity streaks, all in one place. Alongside this, the platform’s Chrome Extension received a sleek new update, enhancing the user experience.
Marking a major milestone for decentralization, the Teneo Community Node has reached over 1 million nodes, solidifying its position as a leader in community-driven infrastructure. Furthermore real-time tracking is now available on Dune.
TLX
On December 4, 2024, Synthetix officially acquired TLX through a token-for-token transaction approved via community governance. TLX holders can convert their tokens to SNX at a ratio of 18:1, with a 1-month lock period followed by 4 months of linear vesting. After conversion, users will also earn pro-rata shares of 700k sUSD, distributed within a week after the vesting ends in May 2025.
Synthetix pursued this acquisition to expand its product offerings, gain a revenue-generating product, and leverage TLX’s established branding and growth potential. TLX had pioneered innovations like on-chain leveraged tokens and delta-neutral LP tokens, achieving over $500 million in trading volume and $750,000 in protocol fees.
Myso
MYSO has successfully completed the audit for its upcoming v3 protocol, conducted by Omniscia. The audit revealed no major vulnerabilities, with only one medium, two minor, and seven informational findings, all of which have been resolved or acknowledged. The exemplary in-line code documentation was also highlighted. On a separate note, the initial unlocks for our MYSO Token are scheduled to begin after January 25, 2025.
AO
AO experienced a massive influx of DAI, further solidifying its position in the DeFi and GameFi ecosystem with launches from StarGrid Battle Tactics, Botega or the announcement of the Dumverse AO game. On the technical front, AO and Arweave are pioneering decentralized AI capabilities. By combining Arweave's robust onchain data storage with AO's compute layer, the ecosystem is enabling scalable processes such as running entire large language models (LLMs) in a decentralized manner. Integration efforts with decentralized GPU networks, like Apus Network, are underway to enhance AI workflows and training efficiency. The ecosystem's rapid growth was underscored by an impressive 21 million messages from over 14,000 users in a single day, demonstrating the platform's vibrant activity and adoption.
All statistics around AO can be accessed here: https://www.ao.link/
Pendulum
Pendulum continues to make progress in its mission to bridge traditional finance and DeFi. In December, the network released their first update of its tokenomics since 2022 to stop issuance and minting of new token and increase its decentralization. Additionally, Pendulum shared its supply metrics via a dedicated API, showcasing its dedication to transparency and providing stakeholders with easy access to real-time token statistics.
NEON
This month Neon EVM's latest whitepaper was released and introduces powerful features to integrate EVM dApps with Solana’s ecosystem. Highlights include Solana signature support, enabling transactions with existing Solana wallets like Phantom and Backpack, and an on-chain mempool for efficient transaction scheduling. New tools like associated Neon accounts and intent-based execution enhance interoperability, while a controlled transaction tree ensures seamless state management. These innovations bring Solana-native capabilities to EVM, bridging the gap between two leading blockchain ecosystems. You can access the full whitepaper via Neon EVMs’ blog.
Group Update December:
The final month of the year was packed with major internal initiatives and milestones for the entire team. These included:
Annual General Meeting
Advanced Blockchain AG successfully held its Annual General Meeting, chaired for the first time by Rüdiger Andreas Günther, Chairman of the Supervisory Board, and attended by the new Management Board. All agenda items, except for the creation of new capital, were approved by a large majority. The new Management Board also outlined a growth strategy for the future of the group. The stability in the Management and Supervisory Board reflects a sense of cohesion and focus as the group moves into the new year.
New Advisory Board Member and New Vice Chairman
During the AGM business mathematician Tom Jakobi was elected by the shareholders, as the successor to Dr. Olav Sorensen, who resigned in May 2024.
Tom Jakobi brings a strong track record in evaluating SmallCaps through his unique combination of mathematical analysis and economic acumen. His Double Analysis portfolio on wikifolio.com has consistently outperformed German stock indexes, reflecting his deep understanding of market dynamics. Additionally, Jakobi is actively engaged in the German Association for the Protection of Capital Investors (SdK - Schutzgemeinschaft der Kapitalanleger) and frequently attends major capital market conferences, making him a valuable advocate for private investors.
Later this month the Supervisory Board also appointed Sebastian Markowsky as Vice Chairman, reinforcing the board's strategic direction and commitment to strengthening governance. Both appointments are expected by the group to play an important role in supporting Advanced Blockchain AG’s future growth and development.
Increased value of our peaq stake
As we announced our largest position, peaq developed extremely well after its launch. peaq has emerged as a leader in Decentralized Physical Infrastructure Networks (DePIN). Advanced Blockchain directly holds peaq tokens representing 2.1% of the total supply, varying around approximately more than $54 Million USD. This represents a significant increase from its initial valuation of $22 million at launch. With a fully diluted valuation (FDV) of over $2.6 billion, peaq has outperformed other token launches, showcasing its strong growth potential. The group has started to stake a part of its peaq token for additional passive income.
CFO Maik Laske emphasized that the value of Advanced Blockchain’s stake in peaq alone already surpasses Advanced Blockchain’s current market capitalization by almost 3x, underlining the strength of its portfolio.
EOY Letter and Outlook for 2025
At the beginning of December, we published our Strategy for 2025 that we outlined at the Eigenkapitalforum in Frankfurt in November, highlighting our focus on disciplined cost and liquidity management. This approach positions us to unlock potential in high-growth blockchain segments while ensuring sustainable business operations and overall value creation for our shareholders.
Our key goals for 2025 are :
- Execute strategic OTC transactions worth up to EUR 4 million.
- Allocate EUR 2 million for new investments and incubations.
- Maintain a minimum liquidity reserve of EUR 3 million.
By combining strategic investments, selected incubations and monetization of existing assets, we remain well positioned to capitalize on market opportunities.
Additionally, we took the opportunity to reflect on the key milestones, challenges, and successes of 2024, capturing our journey and achievements in the annual End-of-Year Letter. This comprehensive letter also outlines our vision and strategic direction for 2025 further, aiming to offer valuable insights for our shareholders and partners. Dive into the highlights and explore what lies ahead by reading it here.
Overall we are excited that we have been able to close out December and 2024 with great momentum and look forward to continuing this transformative journey with you into 2025. As always, we welcome your ideas and feedback and encourage you to share them with us through any of our available channels, as we track them all.
Warm regards,
Advanced Blockchain
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