Detailed explanation of Basis's V2 roadmap
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 has been under a lot of pressure recently and has been underwater. How to achieve the relative stability of algorithmic stablecoins is a problem. The Basis team recently launched the V2 plan, which will be implemented in three phases. The first stage seeks stability; the second stage finds more demand scenarios for BAC; the third stage builds the DeFi stack.
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Basis V2 Phase 1
At present, the stable currency BAC of the Basis protocol has been lower than 1 US dollar for a long time, and the current top priority is to bring it back to the anchor price. The first phase of Basis V2 sets its goal for BAC to return to the anchor price of $1.
* Migrate liquidity to Stableswap pool
The Basis team believes that migrating liquidity to the Stableswap pool is beneficial for BAC to return to $1. The Basis team is currently communicating with Curve and other stablecoin exchange protocols to achieve this goal. Providing liquidity to these stablecoin pools has the opportunity to earn rewards. However, the specific reward plan is still in communication with the corresponding team and should come out soon.
The first phase of Basis V2 requires token migration, and new BAS tokens will be created, and the distribution of BAS tokens will be determined through governance. This mechanism can realize changes in the future distribution mechanism of BAS tokens, and how to iterate will be achieved through community governance. The distribution of BAS tokens will be combined with the incentives of BAS, BAC and BAB.
The Basis team is currently discussing with Sushiswap to launch BAC-based token pairs, and the liquidity providers of these token pairs may be rewarded with BAS tokens.
* Increased demand for BACs through integrated lending protocols
In the lending agreement of this plan, by providing other stablecoins DAI, USDC and USDT, users can borrow BAC at a higher LTV (LTV is the Loan To Value Ratio of the loan to the asset value ratio, and the general US practice is that the LTV of the inventory is 50%, the LTV of accounts receivable is about 80%). In addition, BAC/DAI liquidity providers can have leveraged positions and participate in BAS mining through token contracts.
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Basis V2 Phase 2
The Basis team believes that after the first stage, its price stability will increase over time. If relative stability is achieved, the Basis team plans to create demand for BAC through various applications.
* Savings Account and Cash APP
*Basis Synthetic Asset Protocol
Baisis plans to launch the Basis synthetic asset agreement, which can issue synthetic assets through BAC to increase the demand for BAC, which is similar to Synthetix. In addition, Basis plans to build a leveraged and decentralized market for various on-chain indicators (such as ETH gas fees, etc.), so as to expand Basis's DeFi ecosystem. This plan is expected to be implemented in the second quarter of 2021.
*Basis Vision Fund
The core goal of the Basis Vision Fund is to build the Basis protocol ecosystem. The foundation works through governance, although this task is not a priority. This part is planned to be implemented in the third quarter of 2021.
*Basis Swap
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Phase 3 of Basis V2
In order to build a completely decentralized DeFi, it needs to be supported by a decentralized algorithmic stable currency. The current stable currency has certain centralization problems. This is also the most important meaning of the existence of BAC.
In order for BAC to become the fundamental building block of DeFi, Basis needs to expand its usage scenarios and increase its resilience.
Some people may ask, with so many swaps at present, why is it necessary for Basis to have another swap? The core here is that, in the long run, Basis' ultimate goal is to build its own stable currency, and at the same time no longer anchor it to $1, so as to escape the gravity of the legal currency stable currency.
Through the Basis Swap model, Basis can obtain BPI (Basis Price Index), which is the Basis price index. When this price index accumulates to a certain level, Basis can develop a stable currency that is no longer anchored to the US dollar. This is an extremely ambitious goal. But it's also a very, very difficult goal.
In order for users to provide liquidity for Basis Swap, Basis will provide BAS incentives. BAS can obtain actual cash flow, is an asset with income, and also has governance rights to manage the development direction of the entire agreement.
According to Basis' current roadmap, Basis Swap will be implemented in the third quarter of 2021.
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Plans to increase demand for BAS
*18% of the staking income of BAC/DAI LP is rewarded to BAS stakers
In Basis, BAS rewards can be obtained by staking BAC/DAI LP, and the current rewards are all given to pledgers who provide liquidity. In the CDIP-6 proposal, 18% of the BAS will be rewarded to BAS pledgers By. The remaining BAS will be sold to provide more BAC/DAI liquidity, similar to Pickle's mining model.
*When BAB is not paid off, distribute 20% of BAC additional issuance to BAS pledgers
It was previously suggested that if there are too many BABs, BAC holders will be given to BAB holders first to repay the bonds, which may lead to BAS holders not being motivated by BAC for a long time, thus reducing their motivation to hold BAS .
In Basis's BIP-9 proposal, it proposes that the additional BAC issued when the bond is outstanding is distributed among BAB/ and BAS in a ratio of 80/20. When all debts are paid off, all the additional BAC will be given to Boardroom, which is the pledger of BAS.
