Can the appearance of Conic change the pattern of bribery in Curve War?

Recently, Curve has become the most discussed DeFi project on social media. On the one hand, many KOLs on CT expressed their opinions on the topic of Curve vs Uniswap; on the other hand, the strong performance of some new projects in the Curve ecosystem (Conic, CLever, Concentrator) in the secondary market has also attracted the attention of many people .

Among the "Three Small Powers", the newly designed Conic (CNC), which mainly promotes Omnipools, has high hopes from many ecological stakeholders. Even though the core product has not yet been launched (in audit), CNC has achieved a circulation of nearly 30 million US dollars market value.

From the perspective of positioning, Conic can be understood as a liquidity guidance protocol based on Curve and Convex.Conic's core product is the fund pool Omnipool, where users can deposit a single asset, and Omnipools will then distribute these assets to different liquidity pools on Curve. In this way, Omnipools' liquidity providers (LPs) Exposure to multiple Curve liquidity pools will be available through a single asset.

Under this mechanism, LPs who want to make a market in Curve will no longer need to select a specific liquidity pool. Instead, they only need to deposit once at the front end of Conic. At the same time, the mode of apportioning funds to multiple pools also means that the risk from a single liquidity pool will be diluted. Even if a certain token in a certain pool is significantly unanchored (such as UST last year), there are funds in other pools There will also be no collateral impact.

Another major feature of Conic is its governance mechanism. The project has issued the token CNC. After users pledge CNC, they can receive the token clCNC that cannot be traded but can participate in project governance.Through the bi-weekly Liquidity Allocation Vote (LAV), vlCNC holders can collectively determine the weight of Omnipools' allocation of funds to all Curve liquidity pools.

In this way, CNC indirectly has the ability to influence the size of Curve's liquidity pool, which also gives the token a certain "bribe" value.

It is worth mentioning that the "bribery" of CNC is not the same as the mainstream veCRV "bribery" mode in the current Curve ecosystem. Taking Convex as an example, the current mainstream gameplay generally uses additional income and liquidity release conditions (using derivative tokens to make non-tradable veCRV circulate to a certain extent) to absorb and "control" more veCRV, and then pass Curve's regular voting is used to jointly determine the size of CRV incentives for different liquidity, and use higher incentives to absorb more funds into the pool related to itself.

In contrast, Conic does not absorb veCRV itself, so it cannot affect the CRV incentive size of the liquidity pool, but it can use LAV to let Omnipools' funds "direct and go", thus more directly affecting the liquidity pool status.

Currently, the core product of Conic is not online, but we can reasonably assume that when Omnipools has accumulated a certain amount of liquidity, there will be projects that rely on Curve to hoard CNC, so as to win more for their own related pools. much money. So it would not be too surprising if there is a "bribery" war against CNC in the future.

but,It needs to be clear that the premise of all this is that Conic Omnipools can accumulate enough funds to attract the attention of ecological players. This will largely depend on how much revenue Conic can bring to users, considering the fund allocation mode implemented by Conic, it is obviously impossible to maximize the income at the Curve level (it cannot invest all funds into the pool with the largest incentive), but since Conic will use the LP certificate tokens of the Curve liquidity pool Depositing Convex to obtain CVX incentives, coupled with the project’s own CNC incentives distributed to Omnipools liquidity providers, the actual benefits that users can obtain (Curve pool fee income + CRV incentives + CVX incentives + CNC incentives) theoretically also will be considerable.

However, what the situation will be like, we can only know after Omnipools completes the audit and officially lands.