Learn about DeFi liquidity farming anonymous project BASED in 5 minutes

Winkrypto

2020-08-13 15:02 (UTC+8)

本文约1924字，阅读全文需要约8分钟

In less than 24 hours after the launch, liquidity miners injected a total of over US$13.92 million into the two pledge pools of the contract.

Editor's Note: This article comes fromChain News ChainNews (ID: chainnewscom), Written by LeftOfCenter, published with permission.

Chain News ChainNews (ID: chainnewscom)

Data on the chain, Written by LeftOfCenter, published with permission.

Less than 24 hours after the launch of YAM, another DeFi liquidity farming project called BASED was launched, which once again aroused market enthusiasm.

Data on the chain

It shows that as of now, liquidity miners have injected a total of more than 13.92 million US dollars into the two pledge pools of the contract.

secondary title

What is BASED?

BASED is an anonymous project. The team behind it is code-named GHOUL. Similar to YAM, it is also a DeFi liquidity mining project with an elastic supply mechanism. It has no intrinsic value and is driven by memes.

Like YAM, BASED also claims to focus on fair distribution, no pre-mining and sales, no founding team reservations, no investment institutions taking shares, and equal opportunities for benefit distribution.

According to its official website description, BASED adjusts the token supply every 24 hours to maintain the anchor of 1 BASED token equal to 1 USD.

Like Ampleforth and YAM, BASED's goal is to deflate and expand through the elastic supply mechanism (reBase) mechanism to maintain the $1 anchor. The difference is that BASED is based on Synthetix's stablecoin sUSD. Specifically, once the spread between sUSD and BASED is greater than 5%, a reBase event will be triggered. This means that if the token spread between BASED and sUSD is greater than 5%, the supply will increase. Less than 5%, the supply shrinks.

When the reBase function is triggered, the BASED token supply will be adjusted smoothly within a 10-day buffer period to return to the $1 anchor value.

For BASED token holders, triggering the reBase function could result in a large adjustment in the number of BASED tokens.

At least 24 hours after the rebase is triggered, if the token price difference between BASED and sUSD has not returned to the 5% target range, the rebase mechanism will be triggered again. For example, if on Tuesday night the BASED token price is 1.20 sUSD, and after a rebase the BASED token price changes to 1.15 $sUSD, then another rebase event will trigger.

Compared with YAM or AMPL's aggressive adjustment mechanism, BASED has some improvements in token distribution, that is, the reBase event will only be triggered after 97% of the supply is claimed, that is, after the first supply adjustment There will be at least a 2 week mining window before this happens.

secondary title

Mining Mechanism

According to the official website information, BASED will issue a total of 100,000 BASED in two pools (“Pool 0” and “Pool 1”).

It should be noted that there is an upper limit on the first-day fund size of "Pool 0", and the maximum deposit is 12,000 US dollars, which means that whales who want to inject funds on a large scale have to create multiple accounts multiple times.

Another secondary liquidity pool "Pool 1" launched by BASED focuses on liquidity mining.

"Pool 1" will issue 75,000 B ASEDs, which will be halved every 36 hours. The reward is obtained by injecting liquidity into the sUSD/BASED pool on Uniswap and staking the position through the Based interface.

Since 97% of the tokens are distributed, the reBase event will be triggered, which means that it will take at least two weeks and a maximum of four weeks for reBase to take effect. This move is intended to limit the flow of initial funds into the pool and provide a fairer and more decentralized opportunity for participants.