Editor's Note: This article comes fromBlue Fox Notes (ID: lanhubiji), reprinted by Odaily with authorization.
Blue Fox Notes (ID: lanhubiji)
Blue Fox Notes (ID: lanhubiji)
, reprinted by Odaily with authorization.
Basis' three priorities
*Dynamic minting thresholdAccording to Basis's community proposal BIP-5, Basis will implement a dynamic coinage threshold, and the expected initial coinage price will drop from the current 1.05 to 1.037, which means that the future TWAP price of BAC will exceed 1.037 (instead of the current 1.05) After that, BAC will be generated to motivate BAB and BAS holders.(Reduce minting price threshold, Basis BIP-5)
*Integrated DeFi protocol
For the algorithmic stablecoin, it does not have any collateral. At present, it is basically a speculative game, which is unsustainable. If it wants to survive, it must find more application scenarios. The more demand there is for a stablecoin, the safer it is.At present, Basis is planning to integrate with some protocols, and some have already been integrated, including pickle, harvest, cream, sushi, Curve, Secret, etc.(Increasing integration with more protocols is a top priority for Basis, Basis)
However, these protocols are far from enough, and more protocols should be integrated. Of course, it has only been born for a month, so it will take some time. To this end, the Basis team even plans to hire a person in charge of protocol integration.
* Set the upper limit of BAB circulation(set BAB cap, Basis BIP-6)
For this problem, the team's solution is to set the maximum BAB issuance cap: ($1-1hTWAP)*(Circ $BAC), 1hTWAP is the BAC price of 1 hour TWAP, and Circ $BAC is the circulating supply of BAC. For example, as of the writing of Blue Fox Notes, the BAC of its 1hTWAP is $0.75, and the circulating supply is 61,419,303, so the current upper limit of BAB that can be generated is: 15,354,825.75. This cap lasts for 1 hour, and the cap is recalculated after one hour.secondary title
Does not advocate rewarding BAB holders by reserving part of the funds in the treasury
However, Basis founder Morty does not support this practice. Morty believes that this practice may incentivize bond buyers to manipulate BAC prices for profit. On this matter, the Basis team has its own clear ideas.secondary title
Someone proposed to give 20% of the BAC additional issuance reward to BAB holders to motivate people to hold BAB, so as to restore the price anchor as soon as possible. The Basis team believes that BAB and BAS holders have different risk/return preferences. BAB more satisfies the demand for a fixed rate of return and obtains a premium through redemption. Holding BAS is holding a long position on the entire basis agreement. Therefore, a clear distinction between the two needs to be made.secondary title
At present, BAC is anchored to DAI, but in the future, for the resilience of the system, it will consider anchoring a basket of currencies.secondary title
Don't worry about the impact of mining on the protocolPlan to launch Basis Swap
In addition, there are also plans to increase the liquidity pools of BAC/wBTC and BAC/ETH, which will be implemented in the mid-term. In Basis' mid-term plan, it proposes to build its own Basis Swap, that is, its own AMM liquidity pool, to build more practical application scenarios for BAC, thereby increasing the resilience of the system.secondary title
In the future, it is planned to adopt the reward lock of the veBAS model, similar to the veCRV model, but this will have to wait until the launch of Basis Swap. The introduction of this plan is conducive to locking more BAS, and at the same time can give more reasonable returns to holders who have locked for a longer period of time.secondary title
According to Morty, one of the founders of Basis, the team is currently discussing with some economists to continuously improve its token economic mechanism. This also shows that the algorithmic stablecoin is just a newborn, a brand-new thing in human history, and its growth still needs a lot of effort. At present, Basis has not gone through a complete cycle, and it needs more time to increase people's confidence in it and the resilience of its system.secondary title
In addition to Ethereum, Basis will also consider issuing and launching on other networks. For example, through integration with Secret Network, BAC will be circulated on the Cosmos-SDK chain, which has the advantage of low transaction costs and fast speed.
new UI
A new UI style will be released in the near future. In addition to supporting the Metamask wallet, it will also support some other wallets. It shouldn't take too long to see the true face. The new version is said to have Chinese and other language versions.
epilogue
In addition to the founders Rick and Morty, the team members supporting the Basis project are also looking for a person in charge of protocol integration and application development. At present, yyctrader has become the market leader of Basis, responsible for managing the community and so on.
