Sanko

Sanko and DMT have a few potential catalysts over the next few months, specifically as the team is working on both internally releasing new games and expanding products, as well as working on onboarding new games onto the chain. In-house, the team is working on the next suite of Sanko games, as well as expansions to the Pets game universe, including a new suite of SankoPets minigames and various quality-of-life upgrades for pre-existing products like Sanko TV. In addition, they are currently working on collaborations with independent studios with plans to release games such as Payasans, Sanko Quake and the SmooviePhone Sim game.

More relevantly, Sanko sits in an interesting position specifically due to the nature of the project: a crypto-native gaming studio who only raised funds publicly. Sanko's native token, DMT, boasts a high float, and the team opted for a public launch rather than raising funds through a private round. This approach contrasts with the market's recent disinterest in new infrastructure projects, especially those with low float, high fully diluted valuation token dynamics, and significant future token unlocks. 

This distinction could potentially serve as a narrative catalyst for Sanko and DMT. It's worth noting that DMT tokens for the team are fully vested, with the only tokens not already in circulation being those available for user rewards and what has been set aside as future budgets for development grants. This could pose a potential risk, if the team were to exit and stop focusing on their projects.

Lastly, Arbitrum's recent focus on gaming, particularly for their Orbit chains, presents an opportunity for Sanko. The "Catalyze Gaming Ecosystem Growth on Arbitrum" proposal, with its 250M ARB allocation, is likely to drive increased investments into Arbitrum-native gaming and GameFi projects. Among these, Sanko and XAI stand out as they both have their own L3 chains. A portion of this funding directed to Sanko could benefit various products through incentive programs or be used to finance future, additional products

Lastly, although TVL is a simplistic metric, Sanko boasts a higher TVL compared to its competitors XAI and DEGEN, both of which also have their own L3s. Sanko currently stands at a 50M FDV with 7.5M TVL, while DEGEN is at 170M FDV with 430K in TVL, and XAI is at 280M FDV with 760K in TVL. Despite the limitations of TVL as a metric, there has been significant interest in DMT and Sanko Chain, particularly among cryptonatives, as evidenced by the substantial bridging volume to the chain. Furthermore, Sanko has managed to capture significant mindshare compared to other L3s, which is notable given that they have raised less money than some of their competitors.