The Scroll ecosystem has recently made remarkable progress, first with SCR launching the pre-market trading section on Binance, allowing users to trade SCR as pre-market assets, and directly converting to spot after the SCR token TGE, bringing significant market attention and new users to Scroll. As the Scroll ecosystem gains popularity, Pencils Protocol, as the leading protocol in this ecosystem, is also continuously gaining traction and market attention.
In fact, since the release of the Beta version of Pencils Protocol's product in February this year, it has attracted significant market interest and has seen rapid development. As of now, Pencils Protocol has surpassed $400 million in TVL due to its innovative yield aggregation and Restaking platform advantages, consistently ranking first in TVL within the Scroll ecosystem and serving as an important liquidity hub.
The protocol is not only the fastest-growing protocol in terms of single-chain TVL but also ranks third among all Farming projects in TVL, making it a deserving unicorn ecosystem. Meanwhile, the number of active users on Pencils Protocol has reached 750,000, establishing it as the undeniable traffic entry point for the Scroll ecosystem. With the increasing popularity of the Scroll ecosystem, this is a significant boon for the development of Pencils Protocol.
Following SCR, will DAPP also successively log onto top exchanges?
In fact, in the recent period, amidst the overall narrative void in the crypto market and the prevailing low market sentiment, CEXs are eager to seek new hotspots to continuously bring new traffic to their platforms. For instance, the explosive popularity of TON mini-games and the new wave of meme coins have led top CEXs to rush to launch related concept coins to seize the opportunity. Therefore, CEXs have a high tolerance for projects or market segments that are gaining traction.
Indeed, with SCR's upcoming TGE and its listing on Binance, not only is the SCR token receiving significant market attention, but the Scroll ecosystem is also becoming a new market hotspot. From the perspective of the Scroll ecosystem, as a liquidity hub and traffic entry point, Pencils Protocol has naturally become the sole focus of high attention within the Scroll ecosystem.
From the CEX's perspective, to fully capitalize on the popularity of the Scroll ecosystem, the first step is to list the SCR token immediately after the TGE, and the second is to continue to delve deeper into the Scroll ecosystem. It is clear that Pencils Protocol's DAPP has become the optimal choice. Furthermore, looking at the Pencils Protocol project itself, its $400 million TVL, 750,000 active users, and backing from well-known institutions such as OKX Ventures, Animoca, Gate.io Labs, Presto Labs, AQUARIUS, Agarwood, Taisu Ventures, DePIN X, Bing Ventures, and Black GM Capital provide a solid foundation for Pencils Protocol to list on major exchanges. Therefore, for the DAPP token, there is every reason to believe that after already logging onto well-known platforms including Gate and Bitget, it will continue to list on top-tier CEX trading platforms.
Currently, DAPP has already logged onto the leading Korean trading platform CoinOne, thereby entering the Korean market to expand its ecosystem, which may be an important sign of Pencils Protocol's continued expansion, and it will also serve as a significant starting point for DAPP to further list on more top-tier CEXs, becoming a positive signal.
Of course, the benefits of the Pencils Protocol ecosystem do not stop there.
The expansion of Pencils Protocol's ecosystem business continuously enhances the ecosystem's moat.
Pencils Protocol has planned for the recent development of its ecosystem's business, continuously enhancing the ecosystem's moat to build a more solid value foundation.
- BTC ecosystem asset integration
Currently, we see that Pencils Protocol's Farming section has actively expanded into the BTCFi ecosystem through collaborations with Babylon and Solv, aiming to bring the BTC value system into the ecosystem.
In fact, with the launch of the Babylon Bitcoin staking mainnet Cap-2, the TVL of BTC LRT assets integrated into Pencils Farming has reached $160 million, accounting for over 40% of the total TVL. With the collaboration with Solv Protocol, Pencils Protocol is also gaining a higher voice in the BTCFi LRT field.
Pencils Protocol is expected to integrate more BTCFi ecosystem assets in the future, further promoting the secondary growth of Pencils' BTC ecosystem assets. The comprehensive expansion into the BTCFi ecosystem will also bring incremental users and funds to the Pencils Protocol ecosystem.
- Upcoming Pencils Auction product
Pencils Auction is a business segment in product planning and is a relatively novel Launchpad product. With the launch of the Vaults product, the Auction product is also expected to be introduced to the market soon.
In fact, compared to traditional IDO platforms like Daomaker, Auction places greater emphasis on rewarding users who contribute to Pencils, such as those holding DAPP tokens, becoming LPs in the Vaults section, or users of Pencils Point, who can gain early rights in the Auction's LaunchPad section. As more native assets of Scroll are released, Auction may soon be able to take center stage.
- Empowering native assets of the Scroll ecosystem
Currently, the Scroll ecosystem is still in its early development stage. With the maturation of the technology stack and market progress, the DeFi system of the Scroll ecosystem will rapidly develop, and a large number of native and underlying assets will continue to be launched. We see that Pencils, as the liquidity hub and traffic entry point of the Scroll ecosystem, will successively take on Scroll's underlying and native assets, leveraging the asset management and aggregation advantages of Pencils Farming and Vaults to provide liquidity distribution and reuse, maximizing returns and enhancing ecosystem effectiveness.
As the business landscape deepens, Pencils will also delve into expanding the use cases and burn scenarios of DAPP, providing deep empowerment for the value accumulation of the DAPP token.
- More diversified value capture under the potential multi-chain trend
For DeFi protocols, multi-chain development is an important way to horizontally expand the ecosystem and capture more users. For Pencils Protocol, multi-chain development may also be a future trend.
In the future, through integration with more mainstream public chain ecosystems, more ecological liquidity is expected to be incorporated into Pencils' asset sequence, further expanding the ecosystem's compatibility and flexibility. This will not only help attract a broader user base and partners but also enrich the role of the DAPP token in the DeFi market, providing a foundation for more value scenarios.
Therefore, overall, whether it is the current basic status of the business landscape, short-term business planning for the ecosystem, or long-term expectations for ecosystem development, all will further enrich the fundamentals of the Pencils Protocol ecosystem and continuously bring benefits to ecosystem users. This will be a strong basis for DAPP to continue logging onto major CEXs, so in anticipation of a series of positive developments, hold onto your DAPP and wait for takeoff.