The financial report for October 2021 is available here.
Rebound in the crypto markets led to all time highs in risk weighted assets locked as collateral, driving higher lending and protocol income. Net protocol income was down 26% month over month, driven by a 99% ($3.5M) decrease in liquidation income due to lower downward crypto market volatility. On a year over year basis, net interest income increased 490%.
- Recurring income increased to $3.45M (+308% vs last month), driven by a 35% increase in net interest income
- DAI risk ratios decreased due to an 80% increase in risk weighted assets - leverage ratio fell by 16 bps to 0.82% and the CET1 ratio fell to 1.45%, a 97 bps decrease
- USDC dependency decreased from 59% to 42% of assets and the peg remains safe as 42% of our assets as liquidity reserves (fiat-backed stablecoins)
- New vault types launched including GUNI-DAI/USDC, StETH, and the much anticipated D3M! We also saw the first DAI drawn from the FortunaFi RWA vault
- DAI growth on Arbitrum is showing some signs of life but lags significantly behind USDC and USDT. DAI currently maintains the market lead on Optimism but USDC is gaining momentum with 73% month over month growth
- Nearly 2/3 of the Dai minted in October found it’s way to Curve, seemingly to take advantage of Liquidity Mining incentives offered in the MIM+3Crv pool