Ecosystem Update June 23
We are delighted to present our June 2023 ecosystem update, providing you with an extensive overview of significant company updates, the latest advancements and achievements within the Advanced Blockchain ecosystem. Additionally, we will delve into industry developments on a macro level, offering a comprehensive summary.
We are pleased to announce the release of our financial report and unaudited consolidated financial statements for the year 2022 along with the independent valuation of our group's top-10 portfolio holdings for the first time ever, in response to our valued investors' request. This noteworthy inclusion in our Annual Report offers valuable insights into the performance and potential of our key investment holdings. We firmly believe that this information will enhance transparency and provide our esteemed investors with a deeper understanding of our investment strategy and the value we aim to generate.
Annual Report 2022 results
Despite challenging market conditions, Advanced Blockchain demonstrated stable development in 2022, as reflected in the consolidated figures. Similar to the global economy, the blockchain industry also encountered significant challenges over the past year.
The group's revenue for the year amounted to €14.729 million, a decrease from €17.862 million in the previous year. Earnings before interest, taxes, and depreciation (EBITDA) reached €2.767 million compared to €6.649 million in the prior year. Additionally, the net income for the year stood at €1.761 million (compared to €5.317 million in the previous year). The disclosed consolidated equity increased to €15.561 million compared to €12.047 million in the previous year.
You can now access the complete annual report on the company's website at www.advanced-blockchain.com/investor-relations.
We have collaborated closely with AVS-Valuation GmbH, a well-respected company specializing in risk management and valuation services, to perform a comprehensive valuation of our top ten portfolio holdings. The valuation resulted in a total value of €39.65 million, based on the original acquisition costs of €4.67 million. The valuation encompassed the following holdings:
- Composable Finance
- Element Finance /Delv
- Polymer Labs
- Neon Labs
- Obol Labs
As we progress through the remainder of 2023, our primary objective is to achieve sustainable growth by optimizing our cost structures. We are fully committed to reducing operating costs and capitalizing on profits generated from new business development initiatives and upcoming Token Generation Events (TGEs).
Advanced Blockchain Presence in Polkadot Decoded Dubai Side Event
Lastly, Advanced Blockchain team was present at the Polkadot Decoded Side Event in Dubai, contributing to the event's organization as well as establishing connections with potential strategic partners. This initiative reflects our commitment to expanding our presence in Dubai, as it a hub for blockchain technology and innovation.
Let's now delve into the progress achieved within the ecosystem during the month of June, with a primary focus on the key holdings.
- Centauri bridge extension connecting Polkadot and Cosmos has gone live on mainnet
- 100 Teslas are currently integrated within the peaq ecosystem
- Maverick hit the highest daily volume ($9.5 million) in DeFi on the Ethereum network
- Talisman concluded a security audited with Chain Troppers
- Panoptic released their protocol Litepaper
Composable Finance / Picasso
The Composable Finance bridge (Centauri), which connects Polkadot and Kusama with Cosmos, has gone live and is currently undergoing testing on the mainnet. This groundbreaking advancement represents the first-ever bridge that connects these two independent blockchains.
Furthermore, the Composable Finance team participated in Polkadot Decoded 2023, held in Copenhagen, Denmark. This event serves as the largest annual gathering for the Polkadot ecosystem, providing teams with a platform to showcase their latest technological innovations.
peaq / Krest
Leonard Dorlöchter, Co-founder of Peaq, delivered a presentation at Polkadot Decoded, unveiling the latest news regarding their partnership with ELOOP. This collaboration involves the integration of approximately 100 Teslas into the peaq ecosystem and the broader Polkadot network, enabling individuals from anywhere to invest in these Teslas and earn from their revenues.
Maverick has achieved a remarkable milestone by attaining the highest daily volume ($9.5 million) in the DeFi sector on the Ethereum network. This volume surpasses the daily trading volumes of renowned Automated Market Makers (AMMs) such as Uniswap, Curve, and Balancer. Aside from that, Maverick has supported over $2 billion volume within only 100 days since its launch.
Furthermore, Maverick has secured another significant achievement, claiming the top position as the most capital-efficient Decentralized Exchange (DEX), highlighting the immense potential of the protocol.
Lastly, Binance Labs has made an announcement regarding its investment in Maverick, with the aim of developing a more efficient DeFi infrastructure.
DELV (formerly Element Finance)
The Delv team has officially declared its sponsorship for ETH Global, which took place in Canada from June 23 to June 25, 2023.
Additionally, Delv team conducted a workshop, at ETH Global, introducing their Council kit and its respective setup.
Talisman team has concluded an audit with Chain Troppers focused on the security aspect of the wallet.
Neon Labs recent Initial Coin Offering (ICO) achieved remarkable success, with 5% of all available tokens sold out within a mere 29 minutes.
Furthermore, the team announced the launch of the closed beta version of Neon EVM, a solution closing the gap between Ethereum and Solana.
In addition, the Neon Foundation, the accelerator for the Neon EVM ecosystem, has formed a strategic partnership with Pyth Network. This collaboration enables seamless access to high-fidelity price feeds from the Pyth Network.
SensiNode, a leading node infrastructure provider in Latin America, has announced its participation in the Apha release of Obol to foster the development of distributed validator technology to the Ethereum network.
Furthermore, the Obol team has introduced version 0.16.0 of the protocol, which emphasizes enhanced security, optimized cluster performance, and various other features.
Panoptic team partnered with Three Sigma to enhance the economic security of their options protocol.
Moreover, the team has unveiled their Litepaper, a comprehensive and intuitive guide to the perpetual, oracle-free options protocol.
Macro Industry view
Since we published our May Ecosystem update things have gotten sour immediately after. On Tuesday 6 June the Securities Exchange Commission under the lead of its Chairman Gary Gensler has sued Coinbase for allegedly putting customers at risk by operating as an “unregistered broker, exchange and clearing agency”. At around the same time the crypto exchange Binance and its founder Changpeng Zhao were also charged with 13 offenses.
Along those news Bitcoin has declined in early June to almost $25,000, while subsequently following these negative news, a plethora of spot ETF announcements by the largest asset managers of this planet has made headlines. Blackrock, Fidelity, Valkyrie, Invesco and WisdomTree all filed spot ETFs within merely a few days from each other and the Bitcoin price went past $30,000, where it closed the month of June. This is the highest monthly close in 13 months and represents the first close above the 20 month moving average for over a year together with the close over the important $30,000 resistance.
The recent dismissal of the first round applications of these Bitcoin spot ETFs last week has not really impacted the price but should be seen rather as a speed bump on the way to wider institutional adoption. It will be key for Bitcoin to hold this resistance, which may lead to running higher over summer, with a positive effect on the entire crypto space for a certain time.
We sincerely value and are grateful for your unwavering support and investment in Advanced Blockchain.
Advanced Blockchain Team