AC's new "DeFi Lego", APR feast for retail investors

This past weekend, the Fantom chain can only be described in one word - watertight. In order to fight against AC brother's new project Solidly, the transaction volume of the Fantom chain surged sharply over the weekend, causing serious network congestion. What's even crazier is that in just a few days, the TVL of the Fantom ecosystem has risen by more than 40%, reaching 13 billion US dollars at one point, making it the fourth public chain in terms of TVL.

If you don't know much about Solidly, you can read the previous introduction to the projectandand"How popular is the new AC project? The Vampire War that detonated Fantom overnight"in detail.

At the beginning of January this year, in order to compete for Solidly's TVL airdrop snapshot, various agreements in the Fantom ecosystem fought and launched a fierce "Vampire War". Finally, according to the TVL ranking, Brother AC completed the airdrop snapshot at the end of January. The following are the protocols that will receive the airdrop and the number of Tokens obtained:

While it is entirely up to the protocol what to do with these airdrops, just like Curve, the more SOLID you have, the more voting power you have in the incentive pool, so competing for SOLID is once again a core goal of each protocol. In other words, each protocol wants to become the new Convex on Fantom, and become the controller of Solidly's right to speak. In order to win this "Solidly War", some agreed to stick together for warmth, while others insisted on fighting alone.

However, the "Solidly War" between the agreements has become an APR feast for users. Therefore, this article also sorts out the current situation of the agreement, as well as some alternative income plans:

Solidly

Users can consider providing liquidity directly on Solidly and receive SOLID in return. Solidly already has a couple of pretty "rich" mining pools and whitelisted them. If users want to obtain the highest income, they can pay attention to these mining pools with higher votes. After all, the more votes you have, the more SOLID emissions you get. This should be the most direct and easiest way to get SOLID.

First go to Solidly.exchange, exchange the Token you want to deposit in the "Swap" interface, then go to the "Liquidity" interface and click "Add Liquidity". If the trading pair you deposit is 1:1 linked, select "Stable " (no risk of impermanent loss), if not linked, select "Volatile" (risk of impermanent loss).

It should be noted that because the protocol has just been launched, there are still many bugs in the interactive interface. For example, SOLID is supposed to be pegged 1:1 with SOLIDsex (published by Solidex), but last Friday, users bought SOLIDsex on Solidly for a significantly higher price than SOLID, and re-sold it at a much lower price than SOLID , while SOLID and SOLIDsex are still able to exchange 1:1.

In addition, some users reported that they did not receive LP Token after withdrawing the previously deposited LP on the Solidly platform. The transaction shows that it has been completed, but the money is gone. Therefore, if you choose this strategy, you must be cautious when operating.

alliance agreement

In order to compete for the final right to speak, many agreements adopt the policy of keeping warm in groups and form alliances to strengthen the overall competitiveness.Currently the two most powerful alliances are 0xDAO and Solidex.

0xDAO is an alliance formed by Fantom's native blue-chip protocols, which previously included SpookySwap, Tomb Finance, Scream, etc. Solidex's partners are mostly multi-chain protocols, including Multichain, Curve, Yearn and Abracadabra.

• 0xDAO

0xDAO held 37% of SOLID in the initial allocation. It had maintained an absolute advantage before the launch of Solidly, but at the critical moment when the project was about to go online, the team suddenly fell silent, announcing that it was not ready yet, and did not give The specific time of delay. This directly gave up all the original attention to Solidex, which has been lagging behind.

Last weekend, 0xDAO finally revealed its v.2 release plan, and is preparing to launch another vampire attack on Solidex like it did against veDAO before.

According to the official introduction, 0xDAO V2 will become a revenue booster for Solidly and will launch a new Token for incentives and governance. Users can destroy the original 0xD and convert it to 0xSOLID, and users will get higher returns on the two pools of 0xSOLID/SOLID and 0XD/WFTM.

At present, the interactive interface of V2 is not ready yet, but users can choose to accumulate some 0xD. If you participated in the "Vampire War" last month, there may be some leftover 0xD that can be converted to 0xSOLID after V2 goes live.

• Solidex

Compared with 0xDAO, Solidex already has an interactive interface, and there are already many mining pools. It is not only the center of this APR feast, but also the best choice for users. Solidex currently has 6 million voting rights, and all its partners have handed over their initial SOLID quota to Solidex. The largest partner, veDAO, was once a direct competitor of 0xDAO, with 1.2 million SOLID voting rights. If you participated in veDAO during the "Vampire War", you can use your previous WeVe earnings to mine on Solidex.

Interestingly, users who provide liquidity for Solidex can get double incentives from SOLID and SEX at the same time. SEX is Solidex's governance token, and its function is similar to Convex's CVX, which is used for incentives and governance.

The mining pools with the highest yield in Solidex are also SOLID-SOLIDsex pool and SEX-WFTM pool, the current APR is about 1,800%. The TVL of the entire Solidex exceeded 2 billion US dollars in the weekend, which is the second highest TVL protocol in the Fantom ecosystem.

neutral agreement

Of course, we should not forget those neutral agreements that choose to fight alone, perhaps they will provide more attractive benefits:

• Iron Bank

Iron Bank is another project of Brother AC. The agreement chooses not to cooperate with anyone, and rewards the SOLID obtained by the agreement to the pledgers of veIB Token. Getting SOLID through Iron may be more profitable than going straight to Solidly.

• Hundred Finance

Hundred Finance is a lending agreement on Fantom, which has its own veToken mechanism. In the official blog, the team stated that the original SOLID quota of the protocol will all enter the national treasury to vote for the HND-FTM pool on Solidly, and will provide a total of 50,000 HND Tokens for users who vote for the HND-FTM pool.

• SpiritSwap

SpiritSwap is in a unique position in this "Solidly War" as it used to be a partner of veDAO but has now parted ways. However, SpiritSwap did not completely switch to 0xDAO, because its biggest competitor, SpookySwap, is still in this camp.

What's more, Solidly is actually a competitor of Spirit, because Spirit itself also plans to launch a veToken and mining pool bribery mechanism. Therefore, how SpiritSwap uses its own SOLID quota will be of great concern.

veToken: The future of DeFi?

After the failure of DeFi 2.0, the DeFi field seems to have fallen into an innovation bottleneck. In this context, some protocols have begun to examine and improve the Token economics they used in the past. Among them, Curve has the best effect. With the support of protocols such as Convex, it has successfully driven the recovery of DeFi and planted the seeds for the veToken model.

Of course, the reason why DeFi is called "Money Lego" is precisely because of its extremely high composability. If DeFi wants to continue to maintain rapid development in the future, it must not just stop at simple mechanism imitation, but also make reasonable innovations.

references:

references:《Fantom』s Solidly DeFi Party》