What's Driving Token Prices? July 10, 2024

FRIEND (-15%) - If you missed it, we discussed the SocialFi platform Friend.Tech about a month ago for its plan to move off of Coinbase’s Layer-2 Base and create its own chain dubbed “FriendChain”. Last week, Friend.Tech officially abandoned this plan, citing community feedback. In addition, it decreased fees for the Friend.Tech platform and its Bunnyswap DEX to 0% essentially cutting all project revenue. Despite this move, the FRIEND token took a pretty big hit initially down -40% and is now down -15% for the week.
FXS (-9%) - Defi protocol Frax Finance released a governance proposal this week that would change what asset stakers receive as rewards. Currently, the protocol rewards stakers of its governance token, FXS, with more FXS. If changed, the protocol would reward users with Frax Bonds (FXB) instead. Frax Bonds are zero-coupon bonds issued by Frax that convert to FRAX stablecoins upon maturity. Swapping FXS for FXBs would essentially distribute a cash equivalent asset instead of the protocol’s governance token.
RON (+0.9%)—Layer-2 gaming protocol Ronin added support this week for a Philippines Peso stablecoin called PHPC. Recently, Ronin has upgraded the Ronin wallets, including the addition of Coinbase Pay. These upgrades make it clear that Ronin is trying to make itself the banking hub for users in Southeast Asia. The PHPC stablecoin is not issued or affiliated with Ronin, but its issuer, Coin.PH exchange claims it is regulated within the Philippines.
SEI (+4.5%) - Parallelized layer-1 protocol Sei Network launched its v2 yesterday, introducing Ethereum Virtual Machine (EVM) capabilities alongside existing support for WASM. EVM's introduction allows users to interact more easily with the Sei blockchain using existing wallet infrastructure. It also allows developers to use Solidity smart contract coding language on the Sei blockchain. Built to support ultra-fast on-chain trading, Sei has struggled to gain mindshare from the crypto community partly due to the fact it lacked mainstream smart contract technology. The new v2 upgrade could potentially change this.

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