Which tokens account for the largest transfer volume?

What is the relation between the distribution of transfer volume and news about FTX's bankruptcy?

Which blockchains do users choose most for transfer?

At a more granular level, track net outflows from FTX onto Ethereum. Did any of these outflows flow across Satellite to another destination chain?

Introduction

What is AXELAR?

AXELAR is a decentralized network that helps connect dApp creators with different blockchain ecosystems, applications, and users for cross-chain communication using the tools it provides. AXELAR includes a set of protocols, tools, and APIs designed to break down communication barriers. Backed by an open decentralized network of validation. Anyone can join the network, use it and build on it.

What is Satellite?

Satellite is a bridge platform for asset transfer. Using this platform, users can easily transfer their assets between different chains such as Terra, Avalanche, Polygon, Ethereum, Fantom and etc.

What was FTX?

FTX exchange was the most popular centralized cryptocurrency exchange because of leveraged trading. Founded in 2018, FTX offers a wide range of trading products including derivatives, options, volatility products, and leveraged tokens.

In recent weeks and after the Coindesk report, this exchange suffered a liquidity crisis and a series of events caused it to collapse like a domino. The FTX bankruptcy had considerable collateral damage and affected the entire crypto market.

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Methodology

During the past weeks, with the news about FTX's bankruptcy, there was great fear in the crypto market, and users tried to manage their assets and transfer them from this exchange to a secure place. For this reason, many activities such as transfer, swap, staking, and bridge were affected and decreased or increased sharply. Since Axelar provides users with a tool to transfer assets between different networks using the satellite platform, checking the activity of the bridge on this platform is very important. The purpose of this dashboard is to investigate the activity of the bridge on the satellite platform over the past few weeks and its relationship with the events related to the bankruptcy of the FTX.

Flipside data is used in this dashboard.

First, by using the data from Table axelar.core.fact_transfers, the activity of the bridge on the Satellite is examined in terms of volume, the number of transactions, and the number of users. Then we check these items depending on the transferred tokens.

In the third part, we analyze the distribution of the transferred volume based on the FTX bankruptcy timeline. Next, the destination of bridge transactions will be examined and the share of each blockchain will be explained in detail.

In the end, the net flow out of the FTX and the amount entered into the Satellite platform are analyzed.

In general, the following questions are answered:

• Did bridge activity spike over the last weeks?
• Which tokens account for the largest transfer volume?
• What is the relation between the distribution of transfer volume and news about FTX's bankruptcy?
• Which blockchains do users choose most for transfer?
• At a more granular level, track net outflows from FTX onto Ethereum. Did any of these outflows flow across Satellite to another destination chain?

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Analysis

Did bridge activity spike over the last weeks?

Key Insights:

• With the release of news from CoinDesk, the number of bridge transactions on satellite has started to grow, and the largest number of bridge transactions occurred when Binance first announced its intention to acquire FTX, but then gave up.
• The largest bridge volume is related to the time when the CEO of Binance commented on FTX on Twitter, and on November 11, with the announcement of the complete bankruptcy of FTX, we see the largest bridge volume.
• In general, it can be said that the news related to FTX has increased the number of transactions, increased the volume of bridges, and increased the number of active users on the Satellite platform.

Key Insights:

• As we expected and it is also clear from the chart, the highest number of bridge transactions is related to USDC, AXL, and wETH.
• The number of transactions has increased with the announcement of CoinDesk for all tokens, and the maximum number is related to the USDC token with 1090 bridge transactions registered on November 9.
• The largest transfer volume is related to ETH, but on November 11, the high volume of INJ token is noticeable.
• In terms of the number of users, stablecoins are in first place, where more than 53% of users have transferred the USDC token in the last 3 weeks.

Key Insights:

• On November 11, the bankruptcy of FTX was confirmed with “FTX filed for Chapter 11 bankruptcy protection” NEWS, and on this date, the largest volume of bridges on the Satellite platform is related to transactions with a volume of more than $50K, which accounts for more than 82% of transfers on this date.
• With the published news regarding Softbank's investment in FTX, a large volume of bridge transactions were made by users who made bridges between $10K to $50K in each transaction.
• In general, the news published by Binance has had the greatest impact on the volume of bridges on the Satellite platform, and on the other hand, whales have done the largest volume of bridges in general.

Key Insights:

• The largest volume of entry and exit from the FTX exchange is related to November 7, when stablecoins have the largest share.

• In the diagrams on the left, we tried to display the volume that entered the satellite platform after leaving the FTX.
• The highest volume entered from the FTX side occurred from November 7 to November 9.
• The highest number of transactions entered from FTX occurred on November 8.

Conclusion

• In general, the news related to FTX has had a great impact on the bridge activities related to the satellite platform.
• The number of transactions, the volume of bridges, and the number of users have increased.
• The biggest impact has been exerted by the news published by Binance.
• In terms of the number of transactions, the USDC bridge is in the first place, but the largest volume of the bridge is related to wETH.
• It seems that whales use the satellite platform to transfer their assets more than ordinary users.
• The most important destinations for bridge transactions are Osmosis, Ethereum, and Polygon blockchains.
• In general, it can be said that some of the output streams from FTX have chosen the satellite platform for transmission and bridge.

Any Question?

Thank you for being with me so far in this analysis. If you have any questions, you can ask through the following ways. I will be pleased to answer the questions.

Discord: mr_nobody73#9620

Twitter: Mr_Nobody73

**Twitter link for this dashboard: **

Key Insights:

• In terms of the number of transactions, the most important destination of bridge transactions is the Osmosis blockchain, which accounts for 32.5% of all transactions in the last 3 weeks.
• After Osmosis, Ethereum and Polygon are placed in second and third position with 32.1% and 11.5%, respectively.
• On September 9, the most important destination of bridge transactions is related to the Ethereum blockchain.
• Contrary to the number of transactions, in terms of volume, the most important destination is Ethereum, and more than 80% of the bridge volume has entered it.
• From November 8th to 10th, and by the announcement of Binance we see a significant increase in bridge volume to Ethereum on the Satellite platform.
• In general, the most significant share of the bridge volume in the last 3 weeks has been related to Ethereum, and Osmosis and Polygon are in the second and third places.

Timeline of News related to FTX

• November 2, 2022: CoinDesk reports that a big chunk of Alameda Research’s assets were held in FTT, and Bloomberg earlier reported that the FTT-Alameda relationship would have been prohibited in traditional equities markets.
• November 7, 2022: Binance decided to sell its FTT holdings, triggering an FTX liquidity crisis — triggering an 80% drop in FTX’s stock. source
• November 9, 2022: Binance considered acquiring all of FTX, but abandoned the idea because FTX allegedly mishandled customer funds. source
• November 11, 2022: FTX filed for Chapter 11 bankruptcy protection. source
• November 12, 2022: FTX hacked. source
• November 14, 2022: Softbank, the venture capital firm that backs Pax8, wrote down a $100 million investment in FTX. source