Hey Edge readers, Happy Black Friday!

What crypto deals are you hunting for this weekend? The market is buzzing as BTC consolidates under $100K, giving altcoins their moment to shine. DeFi tokens are surging, ETH is picking up steam, and TVL metrics are climbing fast. With so much activity, the crypto space is brimming with exciting possibilities.

Here’s what we got for you this week:

• Streamlining Ethereum with The Purge 🧹

  Explore how Ethereum is simplifying its network to reduce data burdens and make it more accessible for everyone.

• ETH/BTC chart signals a bottom? 👀

  Think ETH is ready to rally? Earn double-digit ETH yields on Exponential.fi and turn your conviction into higher returns.

• Brazil lawmakers propose BTC reserve 🗞️

  DeFi tokens are soaring, Starknet launches native staking, and Solana surpasses Ethereum in fees.

Stay sharp. 🫡

-The Exponential team

The future of Ethereum: Part 5

Last week, we continued Ethereum co-founder Vitalik Buterin’s six-part vision for Ethereum (Possible futures of the Ethereum protocol) with The Verge, exploring how Ethereum is becoming easier and cheaper to run. Now, in Part 5: The Purge, Vitalik outlines a bold plan to streamline Ethereum, reducing its complexity and long-term storage requirements.

Part 1: The Merge ⛘
Part 2: The Surge 📈
Part 3: The Scourge ⚔️
Part 4: The Verge 🧩
Part 5: The Purge 🧹
Part 6: The Splurge 💎

Part 5: The Purge 🧹

The Purge focuses on streamlining Ethereum by tackling its growing complexity and massive data requirements, making the network more accessible for new participants.

As Ethereum grows, its blockchain accumulates enormous amounts of data, creating a significant barrier for users wanting to run their own nodes. The Purge seeks to solve this by reducing the storage burden on node operators. Instead of requiring every node to keep all historical data, older transaction data will be distributed across the network, similar to how torrent networks share files. This way, each node will only keep a portion of the overall history, while the network collectively maintains a complete and secure record, making it significantly more efficient and accessible for new participants.

Another key feature of the Purge is state expiry, a system that removes or archives unused data like inactive account balances and old smart contract storage. This approach prevents data bloat and ensures Ethereum remains manageable as usage scales.

By retiring outdated protocol features and trimming unnecessary code, the Purge aims to make Ethereum leaner and more accessible—all while preserving the security and decentralization that make the network a leader in blockchain technology.

Next week, we’ll explore Part 6: The Splurge, the final installment of this series, where we dive into the exciting “fun stuff” that could push Ethereum to its peak potential.

ETH/BTC chart signals a bottom? 👀

A few weeks back, we highlighted BTC.D peaking at 61%. Since then, it’s dropped to 58%, and altcoins have rallied spectacularly. Now, ETH/BTC may be signaling a bottom, hinting at a potential shift in momentum for ETH.

If ETH/BTC has truly bottomed, it could mark the start of an exciting trend for ETH holders. But why stop at simply holding ETH when you can earn on it too? Over the last four years, earning just 5% APY on ETH would have outperformed holding without yield by an impressive ~22%.

For those looking to maximize their ETH, we offer a variety of strategies with double-digit yields. One standout option is the Reserve dgnETH pool, which was recently upgraded to Low risk thanks to reduced protocol dependencies. With an attractive ~12% APY, it’s one of the best risk-reward opportunities available right now for ETH holders.

For more advanced users, the Beefy-Uniswap BTC-ETH pool is another compelling option, offering ~18% APY. This strategy rebalances between BTC and ETH while earning trading fees, making it a solid choice for those looking to maintain exposure to both assets.

Reminder: If you’re already invested in one of our pools, don’t miss the final days of No-fee November to rebalance your positions for free.

In the news 🗞️

• DeFi stages a comeback. November was a breakout month for DeFi tokens, with Total Value Locked (TVL) in DeFi protocols surging to new heights last seen in 2021. Top tokens like UNI, ENA, LDO and AAVE were amongst the largest gainers over the past month, signaling a renewed interest in the DeFi space as the bullish market heats up.

• Starknet staking goes live. Layer 2 scaling solution Starknet has rolled out its first phase of native staking, allowing users to stake their STARK tokens to participate in securing the network and earn rewards. Unlike most Layer 2 tokens that are all governance, Starknet staking allows you to benefit directly from the network’s activity.

• Solana surpasses Ethereum in fees. Solana continues to capitalize on the memecoin mania as it outpaces Ethereum in daily fee generation, raking in $70 million over the past week. The surge in adoption is being driven by user-friendly apps like Moonshot and Pump.fun, which have made Solana the go-to playground for memecoin traders.

• BTC-backed USDa skyrockets. A new stablecoin backed by Bitcoin, USDa, has exploded in popularity, surpassing $200M market cap within just two weeks. It’s catching on fast with BTC holders looking to put their stacks to work—using Bitcoin as collateral to borrow USDa, then staking it for juicy DeFi yields.

Trending 📈