June ends excellent! The second we’ve all been ready for is right here. After lengthy days of improvement and safety audits, we’re excited to announce that Akropolis protocol has launched on the Ethereum mainnet! Safety audit, preliminary product spec, redesign, liquidity mining incentives, UI/UX enhancements, new merchandise and extra on this article.
Vital issues first — safety audit
We’re proud to share that our framework for launching monetary DAOs — AkropolisOS — is totally audited by Certik group (be happy to look at the safety audit right here). TL;DR: potential essential points are resolved and glued, all minor bugs are fastened. We will probably be asserting a bug bounty shortly and welcome any early suggestions and have requests, probably the most complete suggestions and most progressive characteristic requests will probably be awarded $1000 in AKRO on a month-to-month foundation.
AkropolisOS is an unopinionated, modular and upgradeable framework constructed with OpenZeppelin SDK and rooted in Facade software program design sample. Geared toward a developer quite than the end-user viewers, AkropolisOS empowers builders to shortly arrange and collectively handle DAOs with solely customisable consumer incentives, automated liquidity provision enabled by the bonding curve mechanism, programmatic liquidity and treasury administration. AkropolisOS offers lego-like scalability with out the lack of coherence and safety throughout upgrades.
What are you able to construct on AkropolisOS?
We imagine within the worth of dogfooding, so under are our two DeFi merchandise constructed on AkropolisIO, that serve to deal with two necessary wants:
- Sparta — Use Case 1: entry to undercollateralised loans;
- Delphi — Use Case 2: automated passive investing and revenue wrapped in a single straightforward to make use of product.
Mixed, they provide two foremost native DeFi equivalents of core monetary providers: insurable financial savings (variable and fixed-rate financial savings deposits) and entry to credit score, with out reliance on the normal banking system. Our future work will go a way in the direction of decreasing systemic danger in native DeFi merchandise.
Right this moment, nevertheless, we give attention to the Sparta v0.1 launch.
Sparta — What’s it and the way does it work?
Sparta is an Undercollateralised Loans and Financial savings Pool designed to ship entry to undercollateralised credit score, and supply a mix of native yield and “rate of interest revenue” to its members.
We needed to launch as quickly as doable after the audit is accomplished, so Sparta v0.1 naturally has restricted performance, with the brand new UX/UI and integration with an computerized price rebalancer (RAY<>Curve) developing.
So what are you able to do as a Sparta v0.1 consumer? Issues that our members can do:
- Contribute funds to the pool and maintain inner pTokens (pool shares). Their worth is decided by the bonding curve and modifications as a perform of liquidity quantity within the pool. It’s designed to permit for secondary liquidity administration and our model of “ragequit”;
- Take out an undercollateralised loans from the pool (offering solely 50% of collateral, i.e. 50% LTV or Mortgage-to-Worth);
- Lend funds to members of the pool by staking in favour of their mortgage request and earn greater APR (please keep in mind greater APR displays greater danger).
All early participation in Sparta v0.1 will probably be counted in the direction of the forthcoming liquidity mining programme. You may verify the FAQ for interacting with the Sparta right here.
Eager yield farmers can customise Sparta v0.1 to create a real farming co-operative, with bigger farmers backing smaller one’s buying and selling proposals, feeding the mortgage and commerce proceeds right into a collectively managed co-op treasury. A phrase of warning: while that is a completely doable use case, it’s high-risk and reimbursement of the commerce proceeds gained’t be solely trustless on this specific use case.
Over the following days, we goal to introduce a number of necessary options and additions (roadmap right here). Extra on it under:
- [in progress] Liquidity mining incentives
Along with governance use of AKRO, we will probably be introducing extra incentives for the product customers. All pool members will obtain AKRO in accordance with the liquidity they offered to the pool (passively) and to lenders & debtors in accordance with mortgage sum. Extra particulars will probably be introduced quickly, however liquidity mining rewards start to accrue at launch!
- [in progress] UI/UX enhancement
Any venture in DeFi sphere (and Web3 usually) faces lots of limitations and UI/UX issues. We’re not an exception right here — as lots of different tasks, we need to enhance consumer expertise and make our Pool so simple as doable to make use of. As a lot of the performance is already there, we’ve got began to work on UI/UX enhancements following the newest design traits and in-depth usability assessments. We’ve got already redesigned our web site (check out akropolis.io!) and at the moment are engaged on the product prototypes — verify them out!
- [in progress, pending audit] DeFi yield rebalancing module
We need to give customers as many incentives to hitch us as we are able to — extra passive revenue is one in every of them. We’ve got developed a module which makes use of Robo-Advisor for Yield from Staked.Us to rebalance between such protocols as Aave, Compound, dYdX, Fulcrum (disabled atm) to earn greater passive yield. One other a part of rebalancing module is Curve.fi which rebalances between totally different stablecoins to supply greater APR. In the intervening time, funds will probably be despatched to one in every of them (primarily based on greater yield in spite of everything transaction charges) upon the deposit.
- [in progress] Gasoline Community Station help
We’re nicely conscious that one of many large limitations to consumer adoption is gasoline charges — you at all times have to have a small quantity of ETH to pay for transactions, and gasoline worth is topic to community load & can skyrocket any time. To resolve this drawback, we plan to combine OpenGSN, which permits paying transaction charges within the token which particular person sends (in our case — in DAI).
- [upcoming] Insurance coverage through NexusMutual/Opyn
Everyone knows by now that safety audit alone doesn’t guard in opposition to safety points and dangers which can be but to be found as ecosystem evolves. Alongside with bug bounty, we will probably be providing a chance to buy insurance coverage protection in opposition to hacks & code points through Nexus Mutual or Opyn.
- [upcoming] Governance portal
We’re constructing Akropolis Protocol with decentralization in thoughts. To have the ability to react shortly to any potential challenge, Akropolis will preserve the possession of the protocol on this preliminary launch section. As part of the gradual decentralization course of, we will probably be organising a governance portal the place AKRO token holders will be capable of vote for various protocol parameters, resembling mortgage & APR sizes, yield sources, bonding curve parameters, and so on.
- [upcoming] USDT, USDC, RSV stablecoins help
Along with DAI, we need to add help of various SoV stablecoins to allow passive yield accumulation and mortgage issuance in numerous tokens.
Within the close to future, we’ll add USDT, USDC and RSV stablecoins to Sparta.
Upcoming Updates / Liquidity Mining
We are going to wrap this up by touching upon liquidity mining incentives and the way they feed into our product.
Given the liquid nature of capital in DeFi, a lot of the yield-farming capital that exploded just lately nonetheless represents largely speculative capital and is due to this fact non-sticky, as has been demonstrated by the latest capital inflows into Compound, Balancer, Curve, and others. While yield-farming exercise doesn’t mirror long-term holders and devoted community contributors, we goal to reward them by our liquidity mining incentives.
Liquidity mining is just not a brand new concept, nevertheless it has been given a brand new lease of life and acceptance after the COMP-induced yield-farming phenomenon. Liquidity mining is actually incentivising liquidity provisioning to a protocol by native token rewards. Properly-structured incentives enable liquidity to flourish and entice better buying and selling volumes. Whether or not that is probably the most cost-effective bootstrapping instrument, remains to be topic to debate within the ecosystem.
Our view is that the present surge in DeFi APYs will subside; solely the tasks with distinctive moats will be capable of seize the fickle super-fluid capital that prevails in DeFi.
Liquidity profiles matter for liquidity mining incentives. The graph under ought to be useful in unpacking them.