DeFi is the future of networking, so Layer 1s have to rethink their strategies in order to remain competitive.
It’s therefore no surprise that the majority of strategic partnerships now revolve around stablecoins. In acting as a conduit between TradFi (TradForward) and DeFi (DeFi), they are able to move capital more efficiently on-chain, reduce friction, and open up access to growth areas, such as RWAs AI and NFTs.
The context of this article is Aster’s [ASTER] Partnership with WorldLibertyFinancial [WLFI] Fits perfectly. In this agreement, WLFI native stablecoin USD1 becomes the foundation layer for ASTER perpetual markets and RWA projects. The deal reinforces the trend towards integrating traditional finance closer with DeFi by using stablecoins.
The market responded quickly, as expected. Donald Trump Jr., on X called the alleged sabotage of the election. partnership A major “win” Both networks. When we examine the technical position, this is more than just a move to strengthen fundamentals.
ASTER (on the chart) and WLFI (on the chart) have both been affected by macro-FUD. Both are closing close to critical support levels which could be soon tested. These assets have still a long way to travel before they can regain the early-October levels.
The key question is, will this partnership result in meaningful price increases? It’s even more relevant when you take into consideration that DEX Tokens such Hyperliquid [HYPE] We have managed to remain relatively optimistic despite similar macro-headwinds.
ASTER stakes on 1 USD to recover ground
USDT comes first to mind whenever you mention stablecoins.
The technical configuration of the USDT doesn’t necessarily tell the whole story. USDT market capitalization has grown by only 1.6% so far in 2018. This period coincides with a roughly 20% correction in the crypto markets, so it is clear that USDT still influences wider price movements.
The capital market is a lot more than just speculation. But capital isn’t just chasing speculation anymore. RWA marketThe fact that the market cap of USD1 has risen by 34.3% in this context shows how well-positioned stablecoins are driving real growth. In the context of this, USD1’s market cap jump by 34.3% highlights that stablecoins have a real impact on growth.
Similarly, there is a divergence in perpetual volumeOverall, the market has been cooling. Hyperliquid is still the leader on a per-chain level, with $620 billion reported in Q1. The oil trading industry has played a major role in keeping Hyperliquid in the top spot, even when market activity is slowing.
ASTER, on the other hand, posted $318 Billion in revenue over the same time period. This is technically almost half the volume of Hyperliquid. This is reflected in the price movement, where HYPE finished Q1 at a gain of 43% while ASTER fell by 3.32%. The WLFI partnership allows ASTER to improve its liquidity and, therefore, its ability to compete in the DEX permanent market.
What’s the primary catalyst? USD1. It could help ASTER to close the gap between Hyperliquid and its perpetual markets initiatives and RWA, and create a stronger presence in both the trading and real world asset markets.
Final summary
- ASTER has now adopted USD1 to serve as the basis for its RWA, perpetual markets and RWA initiative.
- ASTER’s integration of USD1 allows it to reduce the gap in perp volumes and grow its trading presence.
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Source: ambcrypto.com
