Optimism Launches Layer 2 Testnet with Synthetix Partnership

https://defirate.com/optimism-testnet/

Optimism – a Layer 2 scaling solution for Ethereum – has announced the first phase of their limited testnet.

 

Instead of an instant release, the Optimism team is opting for a gradual release where they will be onboarding small cohorts of early adopters one at a time.

Currently, Synthetix is the only project in the Optimism Testnet. The permissionless synthetic-asset exchange will be rewarding testnet usage by giving out 200,000 SNX to participating users.

 

In Phase A, only SNX stakers that had already staked prior to the announcement will be able to participate as no new deposits or withdraws will be enabled. Deposits will be enabled in Phase B and SNX stakers can increase their deposit.

A security drill will then be conducted and the team will stress test the system by actively committing fraud. Once the security drill is complete, withdrawals will be enabled and rewards received on the testnet can be migrated to mainnet.

Chainlink and Uniswap are expected to follow after Synthetix while the Optimism team has requested that any projects interested in being an early adopter of Optimistic Rollups to sign up here.

A full roadmap of the launch was illustrated in the announcement post, adequately titled “not to scale”.

Who is Optimism?

Formerly known as the non-profit Plasma Group, the team rebranded to Optimism and restructured into a for-profit startup last year focused entirely on Ethereum scaling. Optimism has raised $3.5M from venture capital firms like Paradigm and IDEO CoLab.

Optimism has long been touted as a premiere scaling solution for DeFi, with Optimistic Rollups being teased by leading projects like Uniswap in their Unipig Layer 2 demo during last year’s Devcon.

The closer Optimism gets to mainnet, the closer DeFi gets to unlocking instantaneous, nearly gasless settlement. Granted, composability does take a hit but given the rate at which gas prices have climbed in recent months, this project is one which is well worth keeping an eye on.

To stay up with Optimism, follow them on Twitter!

The post Optimism Launches Layer 2 Testnet with Synthetix Partnership appeared first on DeFi Rate.

DUNE Analytics Raises $2M Seed Round for Data Analytics

https://defirate.com/dune-analystics-seed-round/

Dune Analytics – a blockchain data anayltics startup – announced a $2M Seed round lead by Dragonfly Capital.

Other well-known firms in the industry were also involved including the likes of Multicoin Capital, Hashed, Coinabse Ventures and Digital Currency Group along with high profile angels like Aave’s CEO Stani Kulechov and newly christened Matteo Leibowitz of Uniswap.

Besides venture capital investors Dune has also garnered the interest of many DeFi power users who have found the platform’s tools to be indispensable. Other angels are prominent founders, builders, and traders in the space. The full list of investors who are also users of Dune can be found here.

Apparently, Andre Cronje of yEarn fame even sent a direct donation to the Dune team and refused any incentives in return.

Dune Analytics is building a global, real-time platform for on-chain data analysis, making all data open and remixable. This openness allows Dune to have faster and more up to date information than any of its competitors who have instituted more rigid restrictions in terms of what users can query.

The openness and ease of sharing Dune provide has propelled the project to become the default platform that crypto natives use to exchange data today. Even minimally technical users can now move beyond blindly trusting projects and look to verify data on-chain themselves by using the tools that Dune provides. The base features for Dune are and will always be free for everyone, but institutions looking to perform private queries and export results in a more presentable manner can opt for the pro plan which currently sits at $390 a month.

Dune Team

Dune Analytics was founded in Oslo, Norway by Fredrik and Mats back in 2018. After launching a free version of Dune in late 2019, the platform has experienced exponential growth as researchers and investors all over the globe leverage Dune for the advanced on-chain data analytics it can provide.

Up until now, Dune has been run entirely by its two co-founders. With this round of funding and the continued expansion of their user-base, the team is now looking to hire their first employees!

Check out Dune’s career page to see this growing startup might be a fit for you!

All and all, the closing of a high profile round goes to show that DeFi appetite is now expanding to the middleware sector as well. As a team who frequently uses Dune, this round serves as a strong signal that you don’t always need a token to drum up investor appetite.

To stay up with Dune Analytics, follow them on Twitter!

The post DUNE Analytics Raises $2M Seed Round for Data Analytics appeared first on DeFi Rate.

Mask Network Enables Uniswap Trading on Twitter

https://defirate.com/mask-network/

Mask Network (previously Maskbook) – the encryption focused web 3 portal- has announced a new update that will enable users to trade straight from Twitter using data sourced from CoinMarketcap.com and trade execution through Uniswap.

 

Maskbook plans to add additional DeFi centric features to their product and enable the merging of social media and finance. For now, users who have Mask installed will be able to hover over token symbol hashtags on twitter with a dollar sign ($) to see market info or trade directly through Uniswap. These are core features built into Mask with no additional fees or installations.

Instead of completely replacing Web2, Mask Network wants to be the bridge between Web2 and Web3 enabling non-technical users to take back control of their data. Using Mask Network users can send encrypted messages, cryptocurrencies, and interact with decentralized applications from within their usual web browser.

 

The team at Mask Network envisions a future where privacy-enhancing rails can be built on top of the existing social networks controlled by big tech. A big focus for them in the near future is building out a suite of web-based personal finance products.

“Users will be able to send payments, trade tokens, borrow, follow best traders, participate in public offerings, issue personal tokens, bet on current events, and enjoy pro-grade portfolio analysis without leaving the social networks.”

Another update is said to be coming in the next 45 days in the form of additional products like an Initial Twitter Offering, yield aggregators, and portfolio analysis.

Beyond Finance

Other than their financial suite, Mask Network will also be making efforts to bring decentralized payment and storage together. Through a partnership with Arweave, Mask Network has already enabled its users to send files to friends through Twitter & Facebook. The team hinted that there are also NFT related partnerships in the pipeline.

The reason Mask Network seems to have such a broad scope is that its major function is providing encryption for information transmission and interpretation. This could range from text, pictures, to currencies, or even smart contracts.

Mask Network hopes to be a pivotal tool for the general public as they learn more about DeFi and the possibilities afforded by participating in the open internet.

Read more about Mask Network here and stay up with the project on Twitter.

The post Mask Network Enables Uniswap Trading on Twitter appeared first on DeFi Rate.

Origin Protocol Releases Yield-Bearing OUSD Stablecoin

https://defirate.com/origin-ousd-dollar/

Origin Protocol – a platform for p2p commerce – has announced an interest bearing stablecoin called OUSD.

 

According to co-founder Josh Fraser, OUSD removes any need to stake or lockup funds in order to participate in yield farming. The OUSD token design is meant to save on gas fees and make it convenient to switch between earning and spending. Yield compounds continuously while still being fully available for payments and other peer-to-peer transactions.

OUSD is backed by other stablecoins such as USDT, USDC, and DAI. It generates yield by deploying underlying assets to DeFi protocols such as Compound. For a more detailed summary of the inner-workings of OUSD check out the technical documentation.

One key differentiator between OUSD and other yield-bearing stable assets is that the value of one OUSD will always be $1. IThe Origin team took inspiration from rebase projects like Ampleforth and implemented a feature where the monetary supply of OUSD increases as yield is earned by the protocol. This key change could make OUSD more palatable to the average user as it functions similarly to traditional interest-bearing bank accounts. The value of your dollar never changes, you just get more of it over time.

OUSD Bootstrap

As of today, OUSD will also be integrated into all Origin commerce applications while merchants and sellers on Dshop will be able to accept OUSD as a form of payment.

This initial version of OUSD only leverages lending rates found on Compound, but future iterations will also include revenue from automated market maker fees and reward tokens from liquidity mining. Origin Protocol token holders will also be able to stake their OGN to participate in governance and earn incentives for supporting OUSD.

At launch, the OUSD admin contracts will be owned by a 5 of 8 Gnosis multi-sig contract, with keys to this multisig being by individuals close to the company. The team has stated the OUSD is meant to be fully decentralized in 4 sequential phases, but it is currently unclear if OGN will be the only token to govern OUSD or if it will have its own native governance mechanism.

The abstraction of yield away from the end-user to aggregate a return on idle assets is a common trend giving credence to the growing popularity of DeFi. While Origin is certainly not the first to employ this strategy, their approach to easy onboarding signals that many platform-native stablecoins may be on the horizon.

Visit OUSD.com to learn more and get involved with the Origin community.

The post Origin Protocol Releases Yield-Bearing OUSD Stablecoin appeared first on DeFi Rate.

Set Protocol Automates UNI Yield Farming with USDAPY Set

https://defirate.com/set-protocol-uni-usd-apy/

Following the DeFiPulse Index, Set Protocol is showcasing its first yield farming strategy with the launch of the ETH USD Yield Farm Set.

The USDAPY Set leverages UNI token farming to recursively aggregate yield from the ETH/DAI UNI rewards pool by normalizing UNI rewards back to ETH and DAI, acquiring more LP shares and farming more UNI.

Normally, a user would have to determine which incentivized pool they’d want to join, acquire equal parts of that asset pair, and then add liquidity to Uniswap in order to start receiving UNI rewards.

This new Set allows users to enter with a single asset and get access to a farming strategy that automatically claims UNI tokens, sell it for the underlying assets, and reinvest earnings back into the incentivized Uniswap liquidity pool. By pooling funds and automating the work that goes behind farming UNI, Set Protocol is saving end-users time and gas fees.

In return for this convenience, Set Protocol has introduced a 0.3% withdrawal fee when exiting this yield farming Tokenset. There is also a 5% fee that is applied to all claimed LP rewards, paid to the Set Manager who will utilize the funds to the pay gas costs required to claim, sell, and stake tokens received from Uniswap LP rewards.

Besides the above fees that are accrued to the Set Protocol, there is a 0.35% issuance & redemption premium that is used to protect against oracle related arbitrage attacks and is shared pro-rata with existing holders of the Tokenset.

More info on the USDAPY Set and the current returns offered by this tokenized yield farming opportunity can be found here.

Why Should I Care?

Set Protocol is one of the most product-focused companies in the crypto space, especially when compared to many of the forked projects that have recently come into prominence. By giving yield farming a UX makeover and a touch of professional flair, they’re helping retail users access DeFi yield with a fraction of the usual headaches.

 

The team at Set is planning to keep pace with DeFi and keep shipping new Sets at a lightning pace.  While there are some additional fees compared to yield farming yourself, the simplified on-ramp and recursive farming is extremely important to the sector’s growth.

While the Set is currently farming UNI, the new Sets are designed to be upgradable, meaning that as a better opportunity comes long for ETH and DAI liquidity, the USDAPY Set is sure to take full advantage.

Check out the SetV2 Rollout plan here and follow the project on Twitter to stay up on the latest.

The post Set Protocol Automates UNI Yield Farming with USDAPY Set appeared first on DeFi Rate.

CREAM Finance Burns 67.5% of CREAM Tokens

https://defirate.com/cream-finance-burn/

CREAM Finance – the decentralized money market protocol – has burned 6,075,000 or 67.5% of the $CREAM token supply.

This token burn came as the result of a debate as to the best way to amend the overhang of tokens not in circulation. While all holders of CREAM thought a token burn was necessary, not everyone agreed on the execution. Various community proposals were discussed and ultimately the following breakdown was finalized by the team.

CREAM seed investors have agreed to a 75% token burn in return for accelerated vesting of 1 year, with monthly vesting. This same proposition was made available to the core CREAM team, but all members of the team declined this option as a sign of belief in the long-term success of CREAM Finance.

Since neither the team nor advisors tokens start vesting until February 8th, they will not be able to hugely influence governance with allocated CREAM tokens. There was also a minor naming change, with the remaining balance of liquidity mining incentives is now being called the Treasury. The CREAM team has alluded that this generalized name will support incentives for two new products currently under development.

What is CREAM?

CREAM Finance started out as a fork of Compound but has quickly built out new features to differentiate itself. In addition to lending and borrowing, users can leverage CREAM’s native automated market-maker (AMM) – CREAM Swap –  to trade their cryptocurrencies without leaving the CREAM ecosystem and incurring additional gas fees. CREAM Finance was also the first Ethereum-based DeFi project to make the change to Binance Smart Chain (BSC).

Though they had faced some FUD around token supply, this recent move seems to have been well-received by the community on Twitter.

 

It remains to be seen if this token burn will be enough to push CREAM back to ATHs and continue it’s earlier momentum, but seeing long-term commitment for the team is definitely a positive signal that shouldn’t be ignored. Upon the burn, the price of CREAM jumped by over 150%.

To stay with the project, be sure to follow them on Twitter.

The post CREAM Finance Burns 67.5% of CREAM Tokens appeared first on DeFi Rate.

Teller Finance Announces October Launch with TLR Liquidity Mining

https://defirate.com/teller-tlr-liquidity-mining/

Teller Finance – the algorithmic credit risk and lending protocol – has announced details regarding its forthcoming October launch.

The launch will feature a governance token $TLR, an extensive liquidity mining program, and an integration with Compound.

Users that provide liquidity to Teller will be able to earn the $TLR, while will earn both $COMP & $TLR. The Compound integration will also allow Teller liquidity providers to earn yield from cToken interest on idle assets.

Beyond liquidity mining, the team has also sourced over $8 million of liquidity for loans from institutional partnerships through DeFi Alliance‘s newly launched Liquidity Launchpad Program. 1% of the total supply of $TLR will go to these early liquidity providers with the capital provided and $TLR tokens subject to a 3-month lockup.

Why Teller?

Because of the pseudonymous nature of DeFi, most lending protocols required over-collateralized loans to protect against defaults. Teller Finance is looking to lower the barrier of entry to borrowing by bringing borrower credit history onto the blockchain. As with many of the VC-backed projects in this space, Teller will be centralized at the onset with the goal of eventually passing governance control to token holders once it reaches sufficient adoption and distribution of its native token, $TLR.

While we don’t have a full view of Teller’s token distribution yet, according to a recent press release at least 29% of all $TLR has been allocated for public distribution. Unlike many of the overnight food tokens or copy-cat forks that we’ve seen go live with close to 100% distribution to users, Teller has an extra consideration when thinking of token distribution. The project will be managing sensitive consumer credit data, careful steps towards progressive decentralization will be required as Teller works with regulatory bodies in varying jurisdictions to accomplish their end-goal.

Teller has the potential to solve a huge problem for DeFi and be the catalyst that brings in the next wave of DeFi users by enabling protocols to price out risk using real-world credit data, keep an eye on this one.

For the vibrant lending sector, it will be interesting to see how Teller fits into the mix come it’s product launch in October.

To stay up with Teller, folow them on Twitter.

The post Teller Finance Announces October Launch with TLR Liquidity Mining appeared first on DeFi Rate.

Yearn Releases ySwap AMM for Single-Sided Interest-Earning Liquidity

https://defirate.com/yearn-yswap/

Yearn – the popular DeFi yield aggregator –  has launched an automated market-maker (AMM) that allows users to deposit single-sided liquidity. If successful, this new AMM will enable liquidity providers (LPs) to earn yield on their idle assets while minimizing impermanent loss common in 50/50 pools on DEXs like Uniswap.

According to yearn founder Andre Cronje’s Medium post, the v1 release of ySwap will focus on Aave yield assets. Depositing Aave aTokens will enable LPs to capture both the interest generated by lending on Aave as well as the underlying AMM swap fees.

While the front-end of ySwap is purposely simple for now, dashboards will soon be released to monitor deposits, AUM, and yields. ySwap tackles the issue of impermanent loss by giving LPs aUSD for the dollar value of their loss should the market move against them and they have less than what was originally deposited. To learn more about how aUSD is created and the mechanics of ySwap read the official documentation here.

Why Should I Care?

The ecosystem the yearn (YFI)  community has built out in just a few months is truly something to behold. At this pace, it seems like there isn’t a single corner of DeFi that yEarn won’t be involved with in one way or another.

Users can now earn, swap, and lend all in a decentralized manner without having to interact directly with anything other than yearn.finance. Seasoned teams that have been in crypto for the long haul are now even publicly seeking partnership and collaboration with the YFI community.

 

Concurrently, there is also a governance proposal outright that would ensure that no more than 30k YFI can ever be minted, making YFI one of the most scarce crypto assets ever distributed. To no one’s surprise, the future looks bright for yearn.finance and the YFI token holders.

To stay up with yearn, follow the project on Twitter.

The post Yearn Releases ySwap AMM for Single-Sided Interest-Earning Liquidity appeared first on DeFi Rate.

Insurance Mining Hits a Speed Bump with SAFE Drama

https://defirate.com/safe-insurance-mining/

DeFi truly never sleeps, with “insurance mining” and a new token called SAFE making big waves this past week. After a strong community push, a suite of internal drama has brought the project back down to reality.

 

yieldfarming.insure is a project launched by an anonymous developer that distributes SAFE governance tokens to users who locked up insurance-related crypto assets like the wrapped version of Nexus Mutual tokens, wNXM.

Much of the hype behind the SAFE project was driven by community assumptions that the project would be closely related to DeFi blue chips like YFI & NXM. All of the insurance-related assets staked to the platform are underwritten by Nexus Mutual and the anon developer behind SAFE. The project started to gain traction when Chef Insurance revealed that he received a $25k grant from yearn founder Andre Cronje.

With SAFE, farmers could stake to any of the four supported pools you to earn governance tokens.

 

Taken from https://yieldfarming.insure/staking

Trouble at the top?

Just days after staking pools opened, the price of SAFE spiked to a peak of over $4,000. Crypto twitter was buzzing with predictions of the kind of innovative insurance products that SAFE might be able to create. Some were even bold enough to compare it directly to YFI. But, SAFE suddenly experienced a meteoric fall in price after the release of some troubling news earlier today.

Chef Insurance accused community member and investor Azeem Ahmed of various unethical actions. The lone dev claims that he was manipulated early on and that Azeem had plans to maximize profits to the detriment of the wider SAFE community.

Of course, there are always two sides to every story and Azeem has also been vocal on twitter making the case the Chef Insurance was simply too inexperienced which led to a breakdown in collaboration. Here’s hit rebuttal.

Make of it what you will, but incentives were clearly not aligned here and many are now left holding large bags of SAFE wondering how the project can redeem itself.

Future Migration

After coming clean about the back-end dealings behind SAFE, Chef Insurance was met with community support. The project now plans to migrate to a new token untouched by the individuals that Chef had called out as whales looking to “pump and dump” SAFE.

What remains is a divided community resulting from yet another yield rush flying too close to the sun.

The post Insurance Mining Hits a Speed Bump with SAFE Drama appeared first on DeFi Rate.

DeFi Pulse Partners with Set Protocol for DeFi Index

https://defirate.com/defi-pulse-index/

Set Protocol and DeFi Pulse have partnered to launch one of the first non-derivative DeFi indexes called the DeFi Pulse Index (DPI).

The DeFi Pulse Index includes 10 ERC-20 tokens listed on DeFipulse.com and is purchasable on Tokensets, Uniswap, or through integration partners like Argent, Zapper, and Dharma.

As DeFi continues to grow at a rapid pace, products like the DPI will be pivotal to lowering the barrier of entry for retail consumers. Giving users a one-click entry to DeFi exposure not only attracts a new sector of participants but also significantly reduces gas fees. Instead of having to purchase tokens like LEND, SNX, and YFI in 3 separate transactions, traders can buy and sell the DPI to save on gas and trading fees. The DPI also serves as an industry standard and helps newcomers identify the projects that have been consistently delivering value and vetted by the DeFiPulse team.

DPI Makeup

The index will include 10 DeFi tokens: LEND, YFI, COMP, SNX, MKR, REN, KNC, LRC, BAL and REP. YFI will make up the highest allocation of the index with 25.2% and REP the lowest with 1.43%. This DeFi Pulse Index is the first product coming out of TokenSetV2. Over the coming months, Set Labs will introduce other index products, yield farming products, and other trade execution offerings through their platform.

Since users will actually own the tokens that comprise the capitalization-weighted index, the DPI could also be used for yield farming similarly to Uniswap LP tokens. The Set will rebalance on the first of each month, meaning the weights in this basket are subject to change. DeFi Pulse will take a 0.95% streaming fee which focuses on that aggregate market cap of the Set for profits.

Set Labs CEO, Felix Feng mentioned that “this is going to be a pretty key asset in the entire industry.” adding that “we anticipate that this asset will be used for yield farming.”

The easiest way to acquire the DPI Set is on Uniswap or through mobile wallets like Argent. In addition, larger traders and institutions can mint DPI tokens directly through Set Protocol.

For more information of the DeFiPulse Index check out the original article here.

To stay up with DeFi Pulse, follow them on Twitter. To stay up with Set Protocol, follow them here.

The post DeFi Pulse Partners with Set Protocol for DeFi Index appeared first on DeFi Rate.

BarnBridge Closes $1M Seed Round for Tokenized Risk

https://defirate.com/barnbridge-seed-round/

BarnBridge – a cross-platform fluctuation derivatives protocol – announced the close of a $1M seed round yesterday afternoon led by Fouth Revolution Capital and ParaFi.

BarnBridge aims to tokenize risk with fixed yield and volatility tranche products. This round of funding is meant to cover the development of BarnBridgeDAO and its core products like the Smart Yield Bond. More on these products can be found in the full article.

Despite some VC involvement, BarnBridge seems very community-oriented as evidenced by their token distribution, which has 68% of all tokens going to the community and liquidity mining farming incentives.

The BarnBridge marketing team seems very in tune with the current developments in DeFi and even provided some very inspiring takeaways from the whole Chef Nomi SushiSwap debacle.

 

Risk management is still a largely untapped market in DeFi, with Nexus Mutual frequently being the first to come to mind. This news may have gone under the radar due to other announcements by DeFi leaders like YFI today, but make no mistake BarnBridge and their BOND token is definitely worth keeping tabs on.

 

The protocol will enable users to reduce the risk of digital assets and digital asset yield sensitivity by building more efficient debt & yield based derivatives. Not too much about the BOND token itself has been publicly shared but the BarnBridge team has teased that it will likely be available in October 2020.

 

Who runs BarnBridge?

BarnBridge will leverage a Launch DAO comprised of the Founders, Seeders, and Advisors who make decisions based on stake-weighted voting. As token distribution commences, control of BarnBridge protocol will shift to the BarnBridge DAO which will be controlled by BOND token holders.

In the future, BarnBridge DAO will have full control over the protocol and any potential changes that are may be made. The first minimum viable product that we’ll see from the BarnBridge team will be launched 24 weeks from now, according to their roadmap on Github.

 

So far the project seems to be making very good strategic decisions. Their choice to go with a DAO structure from the onset was well received by the community and interested readers can even view their public project calls on youtube.

Based on all signs above, BarnBridge is certainly one worth keeping an eye on in the coming months.

In the meantime, be sure to stay up with the project on Twitter.

The post BarnBridge Closes $1M Seed Round for Tokenized Risk appeared first on DeFi Rate.

yEarn Unveils StableCredit for Decentralized Lending

https://defirate.com/yearn-stablecredit/

yEarn – a tokenized yield aggregator – unveiled a new product called StableCredit – “a protocol for decentralized lending, stablecoins, and AMMS”. The product is NOT ready for mass use yet, but thanks to their “testing in prod” mentality we can have a sneak peek at what’s to come.

 

StableCredit allows users to provide assets and create tokenized credit in the form of StableCredit USD, a token based on the dollar amount of the collateral at the time of deposit.

Those holding StableCredit USD can swap it for other assets using yEarn’s native AMM, ySwap. ySwap is not live yet but with the pace that the yEarn community launches new products, surely it’s coming SoonTM. In the blog post announcing StableCredit, yEarn creator Andre Cronje also mentioned that Stablecredit can support other currencies such as EUR and JPY.

The full explainer article on StableCredit can be found here. While it’s definitely a complex idea to digest, those active in the crypto Twitter community have been quick to point out it’s potential to shake up existing DeFi money legos.

This announcement comes just 1 week after the rollout of yearn’s much-anticipated yETH vaults, continually showcasing the power of the engaged collective.

Coinbase Listing

Non-stop product releases are only half the story as yEarn’s native token – YFI –  is leading DeFi tokens back towards an uptrend.

Next week on September 14, YFI will become a supported asset on Coinbase Pro. Trading will commence the following day given certain liquidity conditions are met.

https://twitter.com/CoinbasePro/status/1304147783461605379?s=20

YFI is no longer the best-kept secret in niche DeFi circles it was just a few months ago with the Coinbase listing introducing YFI to both the retail and institutional markets. With DeFi rising in popularity and major exchanges like Binance actively working to incorporate DeFi products, it will be interesting to see if Coinbase ends up leveraging the attractive yields that yEarn can provide to its retail clients.

https://twitter.com/cz_binance/status/1304122815461818369?s=20

For anyone who once doubted yEarn, there’s no longer a doubt that the project has swept DeFi by storm, and continues to ship at a lightning pace in an already high-speed sector.

While the future roadmap for yEarn is not clearly solidified, the upcoming opportunities for anyone to create a yVault and be rewarded for doing so points towards a future in which hungry DeFi traders can earn a tangible income off of creating yEarn-based products.

In the meantime, be sure to stay up with yEarn on Twitter.

The post yEarn Unveils StableCredit for Decentralized Lending appeared first on DeFi Rate.

Flexa Announces AMP Token Migration for Retail Crypto Payments

https://defirate.com/flexa-amp-migration/

Flexa – a crypto payments protocol – has upgraded to a new token in light of a product upgrade in partnership with Consensys.

 

The protocol’s new token, AMP, will replace Flexacoin (FXC) – giving token holders the ability to stake AMP as collateral to Flexa-enabled apps. With Flexa, tokeholders stake tokens to different applications as ‘spending power’ for vendors to accept cryptocurrencies as payment. Stakers receive rewards relative to their amount of tokens staked. The AMP token functions very similar to FXC, with select upgrades to flexibility for future use cases. More on the change here.

On September 30th, FXC will no longer be supported in the Flexa app at which point the team will destroy ownership of the Flexacoin token contract. Before then, token holders should migrate their Flexacoin to AMP at a 1-1 exchange rate using the Flexa migration portal.

 

It’s important to note that the September 30th deadline is the last day that FXC holders will still receive proportional network rewards, but there is actually NO deadline for swapping your Flexacoin for AMP. It will always be possible to migrate from FXC to AMP for as long as the Ethereum blockchain is online.

Although there is no rush to migrate your FXC for AMP, its best to do it before the deadline to maximize Flexa Network rewards. At the time of writing, AMP staking is currently offering 5.5% APY on the SPEDN network, the most popular staking pool.

To migrate your tokens go to app.flexa.network, connect your wallet holding FXC, and follow the on-screen instructions.

 

Why AMP?

AMP token is now the primary collateral token securing all transactions on the Flexa network where it will serve more generalized purposes so that projects other than Flexa can use it as digital collateral. Check out the official docs on the AMP token here.

Beyond making technical improvements, the Flexa team has also announced a strong exchange partnership with the launch of the new AMP token. Gemini – a regulated New York crypto exchange –  will be the first market to support AMP.

 

Flexa’s focus on proper auditing, smooth migration, and strategic exchange partnerships is a nice change from the wild west of Uniswap token listings we’ve become accustomed to in the recent past.

To keep up with Flexa, follow the project on Twitter or join the conversation on Discord.

The post Flexa Announces AMP Token Migration for Retail Crypto Payments appeared first on DeFi Rate.

Hegic Launches Initial Bonding Curve Offering with HEGIC Liquidity Mining

https://defirate.com/hegic-ibco-liquidity-mining/

Hegic – a permissionless options protocol – is currently conducting its token distribution through an Initial Bond Curve Offering (IBCO) which started earlier today and is set to last until this weekend.

This token sale is meant to offer a more fair and open launch. The IBCO ensures that everyone receives the same settlement price regardless of how early or large their purchase is. All pooled contributions are put in the same batch and the token price increases with every purchase. With the Hegic IBCO underway, it’s a great time to better understand what the protocol actually does and token holders will be able to do once they have HEGIC in hand.

What is Hegic?

Hegic can be thought of as an automated market maker for options, enabling users to trade non-custodial call and put options without having to signup or KYC. The protocol enables liquidity providers to easily earn a return by selling call and put options to the Hegic marketplace. The trading protocol will go live on October 10th after their current security audit is completed by PeckShield. Here’s a look at the project roadmap.

Token Distribution

The total supply of HEGIC is set at a fixed supply of 3,012,009,888 tokens broken down as follows:

  • 20% (602,402,000 HEGIC): Early Contributors
  • 10% (301,200,988 HEGIC): Hegic Development Fund
  • 40% (1,204,809,000 HEGIC): Liquidity M&U Rewards
  • 25% (753,001,000 HEGIC): Bonding Curve
  • 5% (150,596,900 HEGIC): Balancer Pool

Note that after the initial token distribution announcement, the lockup period for early contributors and the Development fund were both increased substantially.

 

Staking with Hegic

Settlement fees on Hegic are paid in ETH and WBTC each time an option contract is bought and distributed among active staking lot holders. Staking lots can only be activated by Hegic token holders with a minimum of 888,000 tokens. When staking HEGIC, the minimum lock-up period is 30 days.  Settlement fees are set at 1% of each option size in ETH and WBTC. After requesting a withdrawal from the staking contract, there is also a waiting period of 7 days before tokens and rewards can be withdrawn.

Liquidity Mining Rewards

Hegic’s liquidity mining program has 3 phases starting in September 2020 and ending in November 2023. Each phase lasts exactly 12 months and will distribute rewards to both liquidity providers and options holders. There are also specific milestones that must be hit for each phase before the reward tokens are unlocked. See the below image for a breakdown of Phase 1 Rewards.

The rollout of Hegic serves a strong testament to the project’s evolution following a bumpy start. The aforementioned blog posts also shine a light on an 80/20 Balancer liquidity mining campaign to see secondary HEGIC liquidity after the first four weeks of the sale.

To stay up with the project follow Hegic on Twitter.

The post Hegic Launches Initial Bonding Curve Offering with HEGIC Liquidity Mining appeared first on DeFi Rate.

SushiSwap Transfers Admin Keys to Community Multisig

https://defirate.com/sushiswap-admin-multisig/

Over the weekend, the community-driven Uniswap fork – SushiSwap – faced an existential crisis when the anon founder Chef Nomi market sold $6M worth of SUSHI. Now, the project’s admin keys are being transferred to FTX CEO Sam Bankman-Fried as a middle ground towards a community-operated multi-sig.

Things looked bleak for Sushiswap until SBF, the prominent founder of FTX and SERUM, proposed a way forward for SushiSwap without Chef Nomi at the helm. Leading up to the move, Sam had been active in Sushiswap community channels, offering up 5M SUSHI if the community elects to build SushiSwap’s native AMM on SERUM instead of Ethereum.  Now, a vote is underway to elect new multi-sig signers. Details on the current voting process can be seen via Sushiswap’s snapshot page.

Interestingly enough, the multisig signers are being decided through unique votes, with the community being able to signal “yes” or “no” for 30+ candidates who have either put a bid in or been nominated by the community to act as a signer. This process seems to have renewed interest in the project, with projects like 1inch signaling their support.

What’s Next?

With the community now leading the project, it seems the SushiSwap migration will take place despite the drama surrounding Chef Nomi. The following graphic illustrates a concise visual of the series of events that transpired with SushiSwap since launch.

 

No matter where you stand on SushiSwap, it’s undeniably a fascinating experiment to watch pan out. There is also currently an active proposal out to increase SUSHI rewards for liquidity providers that do not pull out during the migration. If it were to go through, another 1 million SUSHI tokens from the treasury will be distributed to those who continue to stake liquidity through the migration.

While adding multisig signers is a good stepping stone, it’s important to recognize that someone stepping up to sign transactions is not the same as a having a deeply engaged community working around the clock to make the best products possible. Still, we’ll be keeping a close eye on SushiSwap leading up to it’s migration this week.

Until then, be sure to stay up with SushiSwap on Twitter.

The post SushiSwap Transfers Admin Keys to Community Multisig appeared first on DeFi Rate.

UMA Parnters with Ren Protocol for Bitcoin-backed Yield Dollar

https://defirate.com/uma-ren-yield-dollar/

UMA – a permissionless synthetic asset platform – and Ren Protocol – a trustless cross-chain bridge – are teaming up to launch a bitcoin-backed yield dollar  – uUSDrBTC-OCT.

 

The renBTC Yield Dollar is UMA’s second yield dollar product following an ETH-backed yield dollar – yUSD – back in July. The introduction of the uUSDrBTC-OCT product comes with UMA’s second liquidity mining campaign, offering 10,000 UMA in rewards each week alongside 25,000 REN and underlying BAL rewards.

The renBTC Yield Dollar features a 125% collateralization ratio with maturity on October 1st. A detailed guide on how to get started can be found here.

Ren and their RenVM play an enabler role in this new partnership by allowing users to lock BTC and mint renBTC, an ERC-20 representation of Bitcoin used as collateral to mint the yield dollar.

uUSDrBTC-OCT can be used to purchase more renBTC enabling users to take a leveraged long position on BTC, or you can also use the yield dollar to make other transactions.

A yield dollar is similar to a stablecoin with a few unique properties:

  • It has an expiry date (a perpetual is under works)
  • The price adjusts to the peg of $1 at maturity
  • It’s redeemable for $1 of the collateral asset at the exact time of expiry
  • Put together; the yield dollar represents a fixed-rate, fixed-term loan

UMA is a protocol for generalized financial infrastructure, with a focus on derivatives. UMA’s native token has experienced significant price appreciation since its Initial Uniswap Offering in April earlier this year. Their subsequent Coinbase listing in September added fuel to the fire, resulting in a 32% spike in token price around the time of announcement. 

 

Ren is a protocol that enables the permissionless transfer of value between any blockchain. Ren is currently the 9th largest DeFi project by TVL, according to DeFi Pulse. For those unfamiliar, Ren is behind the Ren Bridge, allowing users to port Bitcoin to Ethereum in a permissionless fashion without having to undergo KYC. We previously covered Ren as a part of their partnership with Synethix and Curve for the sBTC pool.

Why Does This Matter?

The introduction of the renBTC Yield Dollar comes as a big win for the growing Bitcoin-wrapper, marking the first innovative collateral issuance for renBTC since inception.

Historically, only WBTC has been supported on protocols like Maker when it comes to borrowing capital, making this partnership a steady stepping stone for renBTC’s legitimacy in the sector. On the flip side, UMA’s second yield dollar product further bolsters the capacity for permissionless derivatives, quickly rounding out a suite of innovate assets – like ETHBTC – which are only made possible by UMA’s unique infrastructure design.

For farmers looking for new ways to put their BTC to work, this liquidity mining campaign is one certainly worth keeping an eye on in the coming weeks.

To stay up with UMA, follow them on Twitter. To stay up with Ren, follow them on Twitter.

The post UMA Parnters with Ren Protocol for Bitcoin-backed Yield Dollar appeared first on DeFi Rate.

yEarn Launches yETH for Automated ETH Yield Farming

https://defirate.com/yearn-yeth/

yEarn – a yield aggregation protocol – has deployed it’s highly anticipated yETH strategy.

 

The yETH vault is the first of its kind as it’s underlying yield strategy was created by a community member and not Andre Cronje (shoutout Banteg!). You can think of the yETH vault as a vehicle for leveraging ETH collateral to earn ETH denominated returns.

The yETH Vault currently offers ~90% variable APY, a rate that is significantly higher yield than most readily available CeFi and DeFi options for earning on ETH. Despite the attractive yield, remember that this is a beta product that has yet to be battle-tested, DYOR before depositing any funds.

 

While advanced DeFi users such as DeFi Dad have long employed similar strategies to earn a yield on ETH, the yETH vaults abstract away almost all of the complexity and expertise away from the process.

 

How Does it Work?

Generally, all the yEarn.Finance’s “vault” products seek the best returns for yield farmers and pool deposited funds to optimize gas fees with varying underlying yield strategies.

With this particular strategy, ETH locked in the yETH Vault is used to generate DAI through Maker. That DAI is then used to earn yield and purchase ETH off the open market. Newly purchased ETH is shared with yETH Vault owners pro-rata relative to their total liquidity. It’s worth noting that this strategy is not risk-free. In fact, yETH is constantly teetering on the edge of Maker’s collateralization ratio, meaning a massive flash crash could wipe out all ETH in the Vault.

While there are a multitude of market forces at play right now, many in the DeFi community see the yETH launch as a bullish sign for ETH going forward as more ETH is locked up in yEarn.

What’s Next?

yEarn has been on a meteoric rise since it’s launch and many have looked to capitalize on its hype. Despite many attempts at imitation (YFV, YFII, ZZZ, and more) yEarn’s market dominance shows that while you can fork code, you can’t fork an engaged and innovative community.

Combined with the recently launched yInsure products powered by Nexus Mutual, yEarn is now providing a much more holistic offering for DeFi yield seekers of varying risk appetites. Just a few hours after launch and there is already more than $5,000,000 of ETH deposited, a strong signal that the DeFi community will continue to utilize this product.

To stay up with yEarn, follow the project on Twitter.

The post yEarn Launches yETH for Automated ETH Yield Farming appeared first on DeFi Rate.