Wallfacer Weekly (#7)Welcome back to our weekly roundup!ACI proposes removing DAI from Aave📰 Story: In last week’s newsletter, we covered @MakerDAO passing a proposal to expose $100M $DAI to $sUSDe by @ethena_labs — with the potential to ramp up the volume to $600M and then $1B. The vault is currently earning an APY of 58%, highlighting how lucrative this Ethena exposure is. In response to these developments, @lemiscate of @AaveChan proposed removing $DAI as collateral on @aave, citing risk concerns related to the hasty adoption of “non-battle-tested” protocols Ethena and Morpho Blue. 100M $DAI deployed in a Morpho vault with $sUSDe exposure, as seen on @vaultsfyi. 💡 Our Take: We have covered the growing tension between Aave and its competitors, starting with the protocol’s recent split from @gauntlet_xyz. Since then, the drama has only intensified, with Aave first targeting @MorphoLabs via a rewards system and now potentially delisting $DAI. In our previous blog posts, we asked whether protocols could continue to co-exist peacefully once they start intruding on each other’s territory. With recent developments, the answer seems to be a resounding no. It’s certainly an interesting time for #DeFi, with new lines being drawn as protocols readjust their risk parameters in relation to $sUSDe. With its ‘Endgame’ strategy, MakerDAO is embracing risk to disrupt the status quo in DeFi.Wallfacer Labs publishes Q1 RWA market recap 📰 Story: We’ve recently published our Q1 recap of the #RWA market. In the video, @RyanRodenbaugh delves into the significant growth of the onchain US treasury market, now exceeding $1 billion, marking a 41% increase from the previous quarter. Ryan also sheds light on new products like @OndoFinance's ‘Ondo GM’ and the latest developments from @m0labs. Finally, he touches on @cicadacredit's recent proposal to restart crypto-native lending on @TrueFiDAO, and our own proposal to launch Trinity, a protocol for borrowing against yield-bearing collateral, on the platform.Watch the full Q1 RWA market recap here: https://t.co/7NeIB2M2Ol💡 Our Take: This quarter has undeniably marked a pivotal moment for #RWAs, particularly with the entry of major players like @BlackRock, signaling a positive trajectory going forward. Our video provides a deeper analysis of these developments, so we encourage you to watch the full video! Keep an eye out for our Q2 recap to stay informed on RWAs and ahead of the curve.Ajna protocol added to @vaultsfyi📰 Story: We recently added the @ajnafi protocol to @vaultsfyi. The integration allows users to select Ajna when filtering by protocol, offering a streamlined way to monitor the performance of Ajna’s vaults and gain additional insights. Ajna’s top 5 performing vaults, as seen on @vaultsfyi.💡 Our Take: Ajna’s integration into @vaultsfyi brings a unique player into view, one that's challenging ‘traditional’ DeFi structures with its no-governance model. Notably, Ajna’s sUSDe/DAI vault has delivered the highest returns across all mainnet pools on @vaultsfyi over the last 30 days. This performance is reflective of the broader trend in DeFi, where new entrants are rapidly altering the competitive landscape.Wallfacer Podcast with Regan Bozman of Lattice Fund📰 Story: In our latest Wallfacer Podcast episode, we sit down with @reganbozman, co-founder of @lattice_fund, an early-stage crypto venture fund. Bozman brings a wealth of experience from his time at CoinList during the ICO boom, his involvement with starting multiple companies, and now with Lattice. He shares insights into the evolution of his career, the foundational principles of Lattice, and the intricacies of investment decision-making within the fund. The conversation also ventures into his views on the current market cycle, the reevaluation of investment theses, and the persistent challenges faced by crypto projects today.Listen to our latest episode here: https://t.co/OPOLgBj2oU💡 Our Take: Bozman’s journey through the crypto ecosystem provides a rare look at the inner workings of an early-stage venture fund and the strategic thought process behind investment in today’s market. With discussions ranging from finding 'defensible moats' in open-source landscapes to the art of placing bets, this episode is rich with valuable takeaways. Dive in to gain perspective on what separates successful crypto projects from the rest and discover the under-the-radar themes that Lattice believes will shape the future.