#termmax @TermMax The more I look into TermMax, the more I think the interesting question isn’t how much liquidity is sitting in the protocol.
It’s the quality of that liquidity.
Where is the borrowed capital actually going? Who is using it? And does that activity remain consistent over time?
If borrowing is spread across different users and strategies, with healthy maturities and repeat borrowers returning, the activity becomes much more meaningful.
But if a large share is concentrated in a few wallets or short-term positions, the picture could be very different.
That’s why I’m not ready to call recent activity clear proof of product-market fit.
The metrics I’d watch next:
• Wallet concentration
• Average loan size
• Maturity distribution
• Repeat borrowing
The headline numbers tell us that something is happening.
The deeper data tells us why.
That’s the part of TermMax I’m watching most closely.
What metric would you look at first to judge whether this growth is actually sustainable?
It’s the quality of that liquidity.
Where is the borrowed capital actually going? Who is using it? And does that activity remain consistent over time?
If borrowing is spread across different users and strategies, with healthy maturities and repeat borrowers returning, the activity becomes much more meaningful.
But if a large share is concentrated in a few wallets or short-term positions, the picture could be very different.
That’s why I’m not ready to call recent activity clear proof of product-market fit.
The metrics I’d watch next:
• Wallet concentration
• Average loan size
• Maturity distribution
• Repeat borrowing
The headline numbers tell us that something is happening.
The deeper data tells us why.
That’s the part of TermMax I’m watching most closely.
What metric would you look at first to judge whether this growth is actually sustainable?