📢 In order to rapidly increase yield and portfolio diversification, we've made 5 governance proposals live now:
➡️ mStable curve-musd
➡️ Origin Protocol curve-ousd
➡️ Alchemix curve-alusd
➡️ Magic Internet Money curve-mim
➡️ Curve-d3pool
Vote now: https://snapshotpage.b-cdn.net/#/apy.eth
➡️ mStable curve-musd
➡️ Origin Protocol curve-ousd
➡️ Alchemix curve-alusd
➡️ Magic Internet Money curve-mim
➡️ Curve-d3pool
Vote now: https://snapshotpage.b-cdn.net/#/apy.eth
👾 How APY.Finance is Increasing Yield & Saving Gas Fees 👾
Following the successful Alpha launch, we will be shifting the focus of these “newsletters” from developmental updates to platform updates, governance noticings, macro trends, product information, and more.
Total Gas Savings Since Platform Launch
One of APY.Finance’s core features is its ability to pool liquidity and batch deposits into many different strategies at once. As a result, users who deposit only need to pay a single gas fee to be exposed to all of the currently active strategies, greatly saving on gas fees as opposed to diversifying deposits into each one of the active strategies on their own. Depositing into each strategy individually just once would cost the user between $500 - $1000 for entry, before we take into consideration any rebalances that the platform’s autocompounding feature handles by collecting rewards and redistributing them into the pools automatically.
We are excited to share that, in just over a single week of operation, we’ve saved around $8,000 in gas fees for each user. In total, we’ve saved a combined $7,336,492.00 in gas fees as opposed to yield farming in each of the currently active strategies individually. These gas savings will only increase as the amount of farms we have in our portfolio continues to grow.
This feature has many benefits, including granting exposure to a more diversified range of strategies to users who have deposited smaller amounts. On the flipside, whales who have deposited larger amounts are able to achieve hands-off diversification, being exposed to many different strategies at once, instantly diversifying their portfolio and adjusting risk.
Governance, Token Utility & Defi 2.0 Tokenomics
We’ve mentioned previously our plans for increasing liquidity depth, token utility, and diving into Defi 2.0 tokenomics in our post-launch roadmap ( https://medium.com/apyfinance/apy-finance-launch-announcement-post-launch-roadmap-98829c95742a ). We’d like to expand on these concepts a bit and share our thoughts and progression on the next step of making APY.Finance a multi-faceted platform with all angles covered.
Increasing Yield Through New Integrations
An advantage the platform framework we’ve built offers is the ability to increase yield by integrating new farms, which can be done rapidly via the “plug and play” system we’ve built, once new farms are passed through governance votes.
Currently, there are 5 farms up on the governance voting page, where $APY governance token holders can vote to integrate these new farms into the APY.Finance portfolio.
Vote now: ( https://snapshotpage.b-cdn.net/#/apy.eth )
Increasing farm integrations, and thus, increasing yield and diversification, ties into our roadmap of how we plan to develop the platform:
Increasing yield by adding higher yield farms > building TVL and liquidity > increased opportunity for interesting token utility mechanics > increased platform awareness
The more yield the system is able to generate, the higher the TVL will rise, and the more token utility opportunities will arise as a result. The more these foundational efforts grow, the more the platform will be able to reach its potential and spread awareness to a wider array of users.
Increasing Liquidity Depth & Token Utility
As we continue to progressively increase focus on liquidity depth and token utility, we’d love to hear the community’s feedback on some ways the team has conceptualized this can be best achieved through our governance discussion forum. Joining the discussion and sharing your thoughts and feedback is critical for vetting viability, and achieving quicker progress toward achieving these goals. Join the governance discussion here: ( https://forum.apy.finance/ )
Following the successful Alpha launch, we will be shifting the focus of these “newsletters” from developmental updates to platform updates, governance noticings, macro trends, product information, and more.
Total Gas Savings Since Platform Launch
One of APY.Finance’s core features is its ability to pool liquidity and batch deposits into many different strategies at once. As a result, users who deposit only need to pay a single gas fee to be exposed to all of the currently active strategies, greatly saving on gas fees as opposed to diversifying deposits into each one of the active strategies on their own. Depositing into each strategy individually just once would cost the user between $500 - $1000 for entry, before we take into consideration any rebalances that the platform’s autocompounding feature handles by collecting rewards and redistributing them into the pools automatically.
We are excited to share that, in just over a single week of operation, we’ve saved around $8,000 in gas fees for each user. In total, we’ve saved a combined $7,336,492.00 in gas fees as opposed to yield farming in each of the currently active strategies individually. These gas savings will only increase as the amount of farms we have in our portfolio continues to grow.
This feature has many benefits, including granting exposure to a more diversified range of strategies to users who have deposited smaller amounts. On the flipside, whales who have deposited larger amounts are able to achieve hands-off diversification, being exposed to many different strategies at once, instantly diversifying their portfolio and adjusting risk.
Governance, Token Utility & Defi 2.0 Tokenomics
We’ve mentioned previously our plans for increasing liquidity depth, token utility, and diving into Defi 2.0 tokenomics in our post-launch roadmap ( https://medium.com/apyfinance/apy-finance-launch-announcement-post-launch-roadmap-98829c95742a ). We’d like to expand on these concepts a bit and share our thoughts and progression on the next step of making APY.Finance a multi-faceted platform with all angles covered.
Increasing Yield Through New Integrations
An advantage the platform framework we’ve built offers is the ability to increase yield by integrating new farms, which can be done rapidly via the “plug and play” system we’ve built, once new farms are passed through governance votes.
Currently, there are 5 farms up on the governance voting page, where $APY governance token holders can vote to integrate these new farms into the APY.Finance portfolio.
Vote now: ( https://snapshotpage.b-cdn.net/#/apy.eth )
Increasing farm integrations, and thus, increasing yield and diversification, ties into our roadmap of how we plan to develop the platform:
Increasing yield by adding higher yield farms > building TVL and liquidity > increased opportunity for interesting token utility mechanics > increased platform awareness
The more yield the system is able to generate, the higher the TVL will rise, and the more token utility opportunities will arise as a result. The more these foundational efforts grow, the more the platform will be able to reach its potential and spread awareness to a wider array of users.
Increasing Liquidity Depth & Token Utility
As we continue to progressively increase focus on liquidity depth and token utility, we’d love to hear the community’s feedback on some ways the team has conceptualized this can be best achieved through our governance discussion forum. Joining the discussion and sharing your thoughts and feedback is critical for vetting viability, and achieving quicker progress toward achieving these goals. Join the governance discussion here: ( https://forum.apy.finance/ )
Medium
APY.Finance Launch Announcement & Post-Launch Roadmap
Alpha launch is here! Announcement & post-launch roadmap summary.
We are evaluating ways to increase $APY token utility in addition to its current powers of granting token holders the ability to participate in governance votes. A couple of methods we are currently considering are a stability treasury, where a portion of rewards issued to people will be used to form an emergency fund to cover a rare shortfall event, and , in addition, evaluating using a portion of our yield returns to purchase $APY tokens on the market to be able to distribute all future rewards solely in $APY.
Our team is also investigating ways in which we can build the platform’s liquidity depth and researching how to best automate liquidity provision on Uniswap v3 for greater capital efficiency for stakers. We are currently in talks with Gelato to investigate their G-Uni protocol ( https://medium.com/gelato-network/introducing-g-uni-lp-like-a-pro-in-uniswap-v3-8fd6fdf9fc35 ), and to learn more about the viability of how their protocol handles things like impermanent loss.
Further, we are evaluating the bonding market mechanics presented by projects such as Olympus Pro. Using G-Uni’s LP tokens with a bonding market mechanism will fractionalize the ownership of a single managed position on Uniswap. This incentivizes market makers who are providing value while allowing the protocol to gain control of this liquidity.
Stabilizing Yield Returns for Users
Since platform launch, we’ve seen a fair amount of fluctuation between the yield of the individual strategies that are a part of the overall APY.Finance strategy portfolio. Despite this, the overall platform yield remained relatively consistent as a result of the diversification of liquidity to many strategies at once. This creates more long term yield return predictability, which will open the door to the possibility of more long-term token utility mechanics.
As yield continues to increase, and the platform continues to demonstrate its stability over time, APY.Finance will continue to cement itself as a platform where users can securely park their money into stables despite market volatility.
Our team is also investigating ways in which we can build the platform’s liquidity depth and researching how to best automate liquidity provision on Uniswap v3 for greater capital efficiency for stakers. We are currently in talks with Gelato to investigate their G-Uni protocol ( https://medium.com/gelato-network/introducing-g-uni-lp-like-a-pro-in-uniswap-v3-8fd6fdf9fc35 ), and to learn more about the viability of how their protocol handles things like impermanent loss.
Further, we are evaluating the bonding market mechanics presented by projects such as Olympus Pro. Using G-Uni’s LP tokens with a bonding market mechanism will fractionalize the ownership of a single managed position on Uniswap. This incentivizes market makers who are providing value while allowing the protocol to gain control of this liquidity.
Stabilizing Yield Returns for Users
Since platform launch, we’ve seen a fair amount of fluctuation between the yield of the individual strategies that are a part of the overall APY.Finance strategy portfolio. Despite this, the overall platform yield remained relatively consistent as a result of the diversification of liquidity to many strategies at once. This creates more long term yield return predictability, which will open the door to the possibility of more long-term token utility mechanics.
As yield continues to increase, and the platform continues to demonstrate its stability over time, APY.Finance will continue to cement itself as a platform where users can securely park their money into stables despite market volatility.
Medium
Introducing G-UNI: LP Like A Pro in Uniswap v3
G-UNI, an automated liquidity provision ERC-20 for Uniswap v3, powered by Gelato
🗳 We've created a governance discussion thread to continue and aggregate all token utility discussion. Discuss here: https://forum.apy.finance/t/increasing-token-utility/85
APY.Finance
Increasing Token Utility
Hey all, as spoke about previously in APY’s post-launch roadmap, and recent update, one of the team’s immediate priorities is increasing token utility. The team and the community, together, have been taking great strides in discussing and evaluating various…
👾Improving Token Utility & Building an Operational Token👾
Following the Alpha launch, the team has continued to monitor community feedback, and as a result, have prioritized our focus on increasing token utility; granting more options and power to $APY token holders in a way that is both compliant and beneficial.
Over the past few weeks, we’ve been evaluating many possibilities for increasing token utility with our recently onboarded Data Scientist. We’ve analyzed options such as a bonding market mechanism and creating an insurance fund through a portion of yield received to insure against a shortfall event.
Ultimately, we’ve decided that creating a more holistic approach to token utility and moving toward developing the token as an operational token, where it is used for all facets of platform operation, will open many more exciting opportunities for contributing, supportive, and active token holders to earn rewards. What does that mean exactly?
There are 4 areas that we believe a cohesive operational token should grant token utility, and we plan to continuously increase token utility in each of these areas over time. We believe moving toward a structure where a portion of yield will be set toward incentivizing token utility rewards will increase token utility, decentralization, and compliance simultaneously.
The 4 key areas in which we plan to increase token utility are:
1. Governance
2. Liquidity Provision
3. Risk-management
4. Platform operation
While we already have basic token utility for both governance and liquidity provision, we are continuing to ideate on ways they can be expanded.
Ultimately, we’re planning to start by increasing basic utility options for each of these pillars and continue to increase depth and complexity for them over time.
For instance, we believe there are options to expand governance through vote-locking, where users can earn rewards by locking and committing their tokens to strictly voting for a set time period and actively participating in proposal votes. Further, while we already have a liquidity provision system in place, we are continuing to explore options to expand liquidity depth here with Olympus DAO’s bonding market mechanism and Gelato G-Uni.
There is also room to begin implementing token utility in areas we haven’t explored yet, namely risk management and platform operation. An example of possible platform operational token utility may be granting permission to certain users, who have a certain amount of $APY tokens bonded, to perform certain platform operational tasks, and earn rewards for doing so.
Further, we can implement token-utility through implementing risk-management measures such as a stability treasury, where users have the option to lock up a portion of their tokens for a certain period of time and earn rewards. In the case of a shortfall event, a portion of the locked tokens would be liquidated to cover the shortfall event. This gives users the option to stake their $APY tokens for rewards.
Ultimately, the plan to increase token utility is underway. We are progressing toward shifting the utility of the token from strictly granting governance voting powers, to a more holistic token that covers all aspects of platform operations. This will allow token holders who are contributing value to the platform to earn rewards for their support and contribution, while providing different avenues of doing so, depending on a user’s preferences.
We appreciate your continued feedback and support as we continue to take APY.Finance to the next level.
Check out the newly deployed active strategies and begin yield farming now.
Following the Alpha launch, the team has continued to monitor community feedback, and as a result, have prioritized our focus on increasing token utility; granting more options and power to $APY token holders in a way that is both compliant and beneficial.
Over the past few weeks, we’ve been evaluating many possibilities for increasing token utility with our recently onboarded Data Scientist. We’ve analyzed options such as a bonding market mechanism and creating an insurance fund through a portion of yield received to insure against a shortfall event.
Ultimately, we’ve decided that creating a more holistic approach to token utility and moving toward developing the token as an operational token, where it is used for all facets of platform operation, will open many more exciting opportunities for contributing, supportive, and active token holders to earn rewards. What does that mean exactly?
There are 4 areas that we believe a cohesive operational token should grant token utility, and we plan to continuously increase token utility in each of these areas over time. We believe moving toward a structure where a portion of yield will be set toward incentivizing token utility rewards will increase token utility, decentralization, and compliance simultaneously.
The 4 key areas in which we plan to increase token utility are:
1. Governance
2. Liquidity Provision
3. Risk-management
4. Platform operation
While we already have basic token utility for both governance and liquidity provision, we are continuing to ideate on ways they can be expanded.
Ultimately, we’re planning to start by increasing basic utility options for each of these pillars and continue to increase depth and complexity for them over time.
For instance, we believe there are options to expand governance through vote-locking, where users can earn rewards by locking and committing their tokens to strictly voting for a set time period and actively participating in proposal votes. Further, while we already have a liquidity provision system in place, we are continuing to explore options to expand liquidity depth here with Olympus DAO’s bonding market mechanism and Gelato G-Uni.
There is also room to begin implementing token utility in areas we haven’t explored yet, namely risk management and platform operation. An example of possible platform operational token utility may be granting permission to certain users, who have a certain amount of $APY tokens bonded, to perform certain platform operational tasks, and earn rewards for doing so.
Further, we can implement token-utility through implementing risk-management measures such as a stability treasury, where users have the option to lock up a portion of their tokens for a certain period of time and earn rewards. In the case of a shortfall event, a portion of the locked tokens would be liquidated to cover the shortfall event. This gives users the option to stake their $APY tokens for rewards.
Ultimately, the plan to increase token utility is underway. We are progressing toward shifting the utility of the token from strictly granting governance voting powers, to a more holistic token that covers all aspects of platform operations. This will allow token holders who are contributing value to the platform to earn rewards for their support and contribution, while providing different avenues of doing so, depending on a user’s preferences.
We appreciate your continued feedback and support as we continue to take APY.Finance to the next level.
Check out the newly deployed active strategies and begin yield farming now.
apy.finance
APY.Finance: Diversified stablecoin yield
Find the best, risk-adjusted yield by fully automating crypto yield strategies with just a few clicks.
📢 APY.Finance is excited to announce our partnership with leading oracle solution Chainlink.
Read more: https://medium.com/apyfinance/apy-finance-partners-with-leading-oracle-solution-chainlink-350746051938
Read more: https://medium.com/apyfinance/apy-finance-partners-with-leading-oracle-solution-chainlink-350746051938
Medium
APY.Finance Integrates Leading Oracle Solution Chainlink to Help Secure Yield Optimization Strategies
We are excited to announce our official mainnet integration with Chainlink, the most widely used decentralized oracle solution throughout…
APY.Finance 🤝 Alchemix.Fi
APY.Finance integrates Alchemix's Curve-alusd pool after being voted in unanimously with over 5.5m $APY.
Read more: https://medium.com/apyfinance/apy-finance-integrates-with-alchemix-yield-tokenization-protocol-e2db8c42b121
APY.Finance integrates Alchemix's Curve-alusd pool after being voted in unanimously with over 5.5m $APY.
Read more: https://medium.com/apyfinance/apy-finance-integrates-with-alchemix-yield-tokenization-protocol-e2db8c42b121
Medium
APY.Finance Integrates with Alchemix, Yield Tokenization Protocol
We are extremely excited to announce that APY.Finance has integrated Alchemix’s Curve-alusd pool within the APY.Finance yield farming…
APY.Finance 🤝 Origin Protocol
APY.Finance integrates Origin's Curve-OUSD pool after being voted in unanimously with over 5.4m $APY.
Read more: https://medium.com/apyfinance/apy-finance-integrates-with-origin-protocols-curve-ousd-pool-dd4b268f9600
APY.Finance integrates Origin's Curve-OUSD pool after being voted in unanimously with over 5.4m $APY.
Read more: https://medium.com/apyfinance/apy-finance-integrates-with-origin-protocols-curve-ousd-pool-dd4b268f9600
Medium
APY.Finance Integrates with Origin Protocol’s Curve-OUSD Pool
We are extremely excited to announce that APY.Finance has integrated Origin Protocol’s OUSD-3Crv pool within the APY.Finance yield farming…
👾 Token Utility Roadmap - DeFi 2.0, Protocol-Owned Liquidity and Tokenomics 👾
Over the past couple of weeks, our engineers and Data Scientist have been reviewing community feedback and ideating sustainable strategies to promote increased $APY token utility. In last week’s update, we shared the results of our research. This update further explores our action plan and the next steps we will take to implement the new mechanics. Let’s get into it.
The overarching objective of increased token utility is decentralizing the platform through building liquidity depth with platform-owned liquidity (POL) and broadening opportunities for token holders to earn rewards, to serve token holders and platform users alike. Achieving further decentralization and POL, together, will create long-term platform sustainability.
Liquidity Provision & Building Sustainable Protocol-Owned Liquidity (POL)
We plan on building liquidity depth through enabling protocol-owned liquidity. Protocol-owned liquidity is issued as bonds so that liquidity is bound to the protocol, maximizing liquidity and improving capital efficiency, without being subject to user supplied liquidity. Increasing liquidity depth and liquidity provision is foundational to enabling all other aspects of tokenomics.
The team explored DeFi 2.0 mechanics such as Olympus Pro’s bonding market and Gelato G-Uni to generate more protocol-owned liquidity. The result will be increased liquidity depth for the $APY token, of which all token utility is based on.
The bonding market allows $APY token holders to earn yield for providing liquidity, without exposing them to impermanent loss.
The benefits of protocol owned liquidity are more sticky liquidity, yield stabilization, and ensuring enough liquidity is available to enable and incentivize all other aspects of token utility.
Some ways the platform will generate protocol owned liquidity through different types of bonding markets are:
- Buying token liquidity in the form of APY/ETH LP tokens
- Buying platform liquidity by issuing bonds for user’s stablecoins
A proposal for deploying the Olympus Pro bonding market is available on Snapshot. $APY governance token holders can head over to vote.apy.finance to submit their vote now.
*Note: users providing UNI & BAL LP are now able to vote on governance proposals with their staked $APY tokens.
Tokenomics & Token Utility
Once the Olympus Pro bonding markets begin generating platform owned liquidity to aid in incentivizing token utility mechanics, we can implement additional token utility actions in major areas of platform operation. Expansion in each of these areas of platform operation will enable opportunities for single sided staking for $APY token holders to stake and earn rewards without the risk of impermanent loss.
Governance
In addition to the currently active governance features including the ability to vote on governance proposals, $APY token holders will have the option to lock tokens used for voting.
Vote-locking tokens will allow token holders to lock up their tokens for a set duration, earning rewards for participating in governance proposals during the time their tokens are vote locked.
Insurance
We will expand insurance token utility by rolling out a stability treasury where users can stake their $APY tokens in exchange for rewards. In the case of a shortfall emergency event, a portion of the liquidity locked up will be liquidated and used to cover the shortfall event. Insurance offers users single-sided staking for their $APY tokens and aids in covering user’s loss of funds in the rare case of an active strategy or platform exploit.
Platform-Management
Platform-management refers to the functions of the platform required for ongoing management of the system. The team has proposed several actions that can be performed by users or by Keeper style bots. By staking a predetermined amount of $APY tokens, a user can gain permission to perform platform actions and earn rewards for doing so.
Over the past couple of weeks, our engineers and Data Scientist have been reviewing community feedback and ideating sustainable strategies to promote increased $APY token utility. In last week’s update, we shared the results of our research. This update further explores our action plan and the next steps we will take to implement the new mechanics. Let’s get into it.
The overarching objective of increased token utility is decentralizing the platform through building liquidity depth with platform-owned liquidity (POL) and broadening opportunities for token holders to earn rewards, to serve token holders and platform users alike. Achieving further decentralization and POL, together, will create long-term platform sustainability.
Liquidity Provision & Building Sustainable Protocol-Owned Liquidity (POL)
We plan on building liquidity depth through enabling protocol-owned liquidity. Protocol-owned liquidity is issued as bonds so that liquidity is bound to the protocol, maximizing liquidity and improving capital efficiency, without being subject to user supplied liquidity. Increasing liquidity depth and liquidity provision is foundational to enabling all other aspects of tokenomics.
The team explored DeFi 2.0 mechanics such as Olympus Pro’s bonding market and Gelato G-Uni to generate more protocol-owned liquidity. The result will be increased liquidity depth for the $APY token, of which all token utility is based on.
The bonding market allows $APY token holders to earn yield for providing liquidity, without exposing them to impermanent loss.
The benefits of protocol owned liquidity are more sticky liquidity, yield stabilization, and ensuring enough liquidity is available to enable and incentivize all other aspects of token utility.
Some ways the platform will generate protocol owned liquidity through different types of bonding markets are:
- Buying token liquidity in the form of APY/ETH LP tokens
- Buying platform liquidity by issuing bonds for user’s stablecoins
A proposal for deploying the Olympus Pro bonding market is available on Snapshot. $APY governance token holders can head over to vote.apy.finance to submit their vote now.
*Note: users providing UNI & BAL LP are now able to vote on governance proposals with their staked $APY tokens.
Tokenomics & Token Utility
Once the Olympus Pro bonding markets begin generating platform owned liquidity to aid in incentivizing token utility mechanics, we can implement additional token utility actions in major areas of platform operation. Expansion in each of these areas of platform operation will enable opportunities for single sided staking for $APY token holders to stake and earn rewards without the risk of impermanent loss.
Governance
In addition to the currently active governance features including the ability to vote on governance proposals, $APY token holders will have the option to lock tokens used for voting.
Vote-locking tokens will allow token holders to lock up their tokens for a set duration, earning rewards for participating in governance proposals during the time their tokens are vote locked.
Insurance
We will expand insurance token utility by rolling out a stability treasury where users can stake their $APY tokens in exchange for rewards. In the case of a shortfall emergency event, a portion of the liquidity locked up will be liquidated and used to cover the shortfall event. Insurance offers users single-sided staking for their $APY tokens and aids in covering user’s loss of funds in the rare case of an active strategy or platform exploit.
Platform-Management
Platform-management refers to the functions of the platform required for ongoing management of the system. The team has proposed several actions that can be performed by users or by Keeper style bots. By staking a predetermined amount of $APY tokens, a user can gain permission to perform platform actions and earn rewards for doing so.
Medium
Improving Token Utility & Building an Operational Token
Following the Alpha launch, the team has continued to monitor community feedback, and as a result, have prioritized our focus on increasing…
The first actions to be released will include basic platform operation mechanics, such as running a daily “claim rewards” noscript. As actions increase in complexity, the required staked amount of $APY tokens to perform actions will increase, along with relative rewards.
Liquidity Provision
The Olympus Pro and Gelato G-Uni bonding markets will aid in ensuring adequate liquidity is available to sustainably incentivize all of the other token utility mechanics. This is the foundation for enabling all other elements of tokenomics.
Wrap-Up
We hope this provided a valuable insight into the exciting next phase of APY.Finance on the journey toward increased decentralization, and a self-sustaining platform, opening many opportunities for platform users and token holders alike. We appreciate your continued support as we take APY.Finance to the next level. 👾
Liquidity Provision
The Olympus Pro and Gelato G-Uni bonding markets will aid in ensuring adequate liquidity is available to sustainably incentivize all of the other token utility mechanics. This is the foundation for enabling all other elements of tokenomics.
Wrap-Up
We hope this provided a valuable insight into the exciting next phase of APY.Finance on the journey toward increased decentralization, and a self-sustaining platform, opening many opportunities for platform users and token holders alike. We appreciate your continued support as we take APY.Finance to the next level. 👾
👾 Tokenomics & Token Utility Integration Update 👾
Protocol-Owned Liquidity
In last week’s update, we discussed our roadmap for increasing token utility and protocol-owned liquidity (POL). A recent governance proposal for creating an APY bond on Olympus Pro has been successfully completed, voted in unanimously by APY token holders with over 5.3m APY tokens used to vote.
This marks a pivotal step toward increasing liquidity provision, the foundation upon which all tokenomics are built upon, and increasing liquidity depth through POL. The APY.Finance team is coordinating with OlympusDAO for integration.
Farm Integrations
Following the recently integrated farms such as curve-mim, curve-alusd, curve-ousd, curve-lusd, curve-frax and curve-musd, the team has begun to integrate Convex integrations which should increase yield across the board upon the foundation of Curve pools which have been integrated.
Users can expect completed Convex integration, and increased yield as a result, within the coming weeks. New farms will continue to be integrated throughout 2022 which will continue to increase yield and portfolio diversity.
Safety Stability Treasury
In addition to the Olympus Pro bonding market integration, the APY team will roll out a safety stability treasury which APY token holders can use for single-sided staking to earn rewards.
A portion of the liquidity here will be liquidated and used to insure platform deposits in the rare event of a platform or farm shortfall. Ultimately, this offers APY token holders an opportunity to stake their tokens to earn rewards while also covering
Tour Guide
The APY.Finance platform ‘Tour Guide’, a complete platform walkthrough will be re-enabled shortly. The Tour Guide aids in platform ease-of-use and clarification for users new to APY.Finance or DeFi. View a preview of the tour guide here.
We appreciate your continued patience and support as we continue to build upon the foundation of the APY.Finance Alpha.
Protocol-Owned Liquidity
In last week’s update, we discussed our roadmap for increasing token utility and protocol-owned liquidity (POL). A recent governance proposal for creating an APY bond on Olympus Pro has been successfully completed, voted in unanimously by APY token holders with over 5.3m APY tokens used to vote.
This marks a pivotal step toward increasing liquidity provision, the foundation upon which all tokenomics are built upon, and increasing liquidity depth through POL. The APY.Finance team is coordinating with OlympusDAO for integration.
Farm Integrations
Following the recently integrated farms such as curve-mim, curve-alusd, curve-ousd, curve-lusd, curve-frax and curve-musd, the team has begun to integrate Convex integrations which should increase yield across the board upon the foundation of Curve pools which have been integrated.
Users can expect completed Convex integration, and increased yield as a result, within the coming weeks. New farms will continue to be integrated throughout 2022 which will continue to increase yield and portfolio diversity.
Safety Stability Treasury
In addition to the Olympus Pro bonding market integration, the APY team will roll out a safety stability treasury which APY token holders can use for single-sided staking to earn rewards.
A portion of the liquidity here will be liquidated and used to insure platform deposits in the rare event of a platform or farm shortfall. Ultimately, this offers APY token holders an opportunity to stake their tokens to earn rewards while also covering
Tour Guide
The APY.Finance platform ‘Tour Guide’, a complete platform walkthrough will be re-enabled shortly. The Tour Guide aids in platform ease-of-use and clarification for users new to APY.Finance or DeFi. View a preview of the tour guide here.
We appreciate your continued patience and support as we continue to build upon the foundation of the APY.Finance Alpha.
YouTube
Front-End Demo & Tour Guide Preview - APY.Finance
APY.Finance front-end engineer Jonathan Viray walks us through a preview of the APY.Finance Alpha front-end and Tour Guide. The front-end Tour Guide will serve as a tutorial for users new to APY.Finance, and an accessible introduction to yield farming.
…
…
👾 APY Single-Sided Staking is Coming! (Safety-Stability Treasury & Boost-Locking) 👾
Over the past couple of weeks, we’ve shared growing developments on increasing token utility through innovative tokenomics and protocol-owned liquidity. Tokenomics will offer APY token holders opportunities to earn rewards for performing various operational platform tasks, and in this case, staking the APY token.
Before we get started, we’d like to announce that Convex integrations for 7 Curve pools have been deployed, and are now increasing the total aggregate yield by over 50%. Check out the active strategies under the ‘Yield’ tab on the yield farming platform to view the updated yield distributions, and increased yield: https://apy.finance/
In this update, we aim to further outline, in more granular detail, the proposed specifications surrounding two tokenomics options that will become available. These options include single-sided staking through boost-locking for a boost to APY token liquidity mining rewards, and a safety-stability treasury to earn tokens as rewards, where funds will be used to cover shortfall events. We encourage users to check out the forum discussion threads and share thoughts and feedback on each.
Safety-Stability Treasury Staking
Overview
Provide a single-sided staking option that can be used as an insurance pool to cover lost funds in a potential shortfall event.
Proposal
- 300-500k tokens per month for single-sided staking rewards.
- Single-sided staking rewards auto-compound.
- A cooldown period of 7-10 days before rewards can be withdrawn, with a 24-hour window to withdraw before re-staking.
- A cooldown period is required to effectively ensure funds are available to liquidate in the rare case a shortfall event occurs.
- A withdrawal window prior to staking is required to ensure the cooldown cannot be artificially shortened, leading to the possibility of an exploited instant withdrawal.
- Up to 30% of the pool can be liquidated to cover a shortfall event.
- APY staked into the safety-stability treasury can still be used to participate in governance proposal voting.
Share your comments and feedback on the proposal for safety-stability treasury staking in the discussion forum here: https://forum.apy.finance/t/single-sided-staking-for-insurance-draft/137
Governance Boost-Locking (Staking)
Overview
Provide a single-sided staking option that allows users to lock APY for X time period to gain a boost to their APY token liquidity mining rewards.
Proposal
- Lock APY tokens for 1 week, 1 month, 3months, 6 months, 1 year, or 4 years to receive vlAPY.
- The longer the lock duration chosen, the more vlAPY received, leading to a greater liquidity mining rewards boost.
- 4 year (maximum) lock receives the maximum 1:1 ratio of APY to vlAPY.
- Boost only applies to APY token yield, not base yield from strategies.
- Boost-locked APY (vlAPY) can still be used to vote in governance.
Share your comments and feedback on the proposal for vote-locking in the discussion forum here: https://forum.apy.finance/t/vote-locking-apy-tokens-and-earning-a-boost-draft/138
Hopefully, these proposal drafts offered greater insight and clarity into the upcoming single-sided staking tokenomics to be implemented. The goal is to offer APY token holders various options for single-sided staking pending which avenue of tokenomics they feel will offer the most value, while simultaneously contributing to operational efficiency and increasing platform decentralization. Share your thoughts and feedback on the governance discussion forum: https://forum.apy.finance/
🎄 Happy Holidays, and happy yield-farming from the APY.Finance team. 🎄
Over the past couple of weeks, we’ve shared growing developments on increasing token utility through innovative tokenomics and protocol-owned liquidity. Tokenomics will offer APY token holders opportunities to earn rewards for performing various operational platform tasks, and in this case, staking the APY token.
Before we get started, we’d like to announce that Convex integrations for 7 Curve pools have been deployed, and are now increasing the total aggregate yield by over 50%. Check out the active strategies under the ‘Yield’ tab on the yield farming platform to view the updated yield distributions, and increased yield: https://apy.finance/
In this update, we aim to further outline, in more granular detail, the proposed specifications surrounding two tokenomics options that will become available. These options include single-sided staking through boost-locking for a boost to APY token liquidity mining rewards, and a safety-stability treasury to earn tokens as rewards, where funds will be used to cover shortfall events. We encourage users to check out the forum discussion threads and share thoughts and feedback on each.
Safety-Stability Treasury Staking
Overview
Provide a single-sided staking option that can be used as an insurance pool to cover lost funds in a potential shortfall event.
Proposal
- 300-500k tokens per month for single-sided staking rewards.
- Single-sided staking rewards auto-compound.
- A cooldown period of 7-10 days before rewards can be withdrawn, with a 24-hour window to withdraw before re-staking.
- A cooldown period is required to effectively ensure funds are available to liquidate in the rare case a shortfall event occurs.
- A withdrawal window prior to staking is required to ensure the cooldown cannot be artificially shortened, leading to the possibility of an exploited instant withdrawal.
- Up to 30% of the pool can be liquidated to cover a shortfall event.
- APY staked into the safety-stability treasury can still be used to participate in governance proposal voting.
Share your comments and feedback on the proposal for safety-stability treasury staking in the discussion forum here: https://forum.apy.finance/t/single-sided-staking-for-insurance-draft/137
Governance Boost-Locking (Staking)
Overview
Provide a single-sided staking option that allows users to lock APY for X time period to gain a boost to their APY token liquidity mining rewards.
Proposal
- Lock APY tokens for 1 week, 1 month, 3months, 6 months, 1 year, or 4 years to receive vlAPY.
- The longer the lock duration chosen, the more vlAPY received, leading to a greater liquidity mining rewards boost.
- 4 year (maximum) lock receives the maximum 1:1 ratio of APY to vlAPY.
- Boost only applies to APY token yield, not base yield from strategies.
- Boost-locked APY (vlAPY) can still be used to vote in governance.
Share your comments and feedback on the proposal for vote-locking in the discussion forum here: https://forum.apy.finance/t/vote-locking-apy-tokens-and-earning-a-boost-draft/138
Hopefully, these proposal drafts offered greater insight and clarity into the upcoming single-sided staking tokenomics to be implemented. The goal is to offer APY token holders various options for single-sided staking pending which avenue of tokenomics they feel will offer the most value, while simultaneously contributing to operational efficiency and increasing platform decentralization. Share your thoughts and feedback on the governance discussion forum: https://forum.apy.finance/
🎄 Happy Holidays, and happy yield-farming from the APY.Finance team. 🎄
apy.finance
APY.Finance: Diversified stablecoin yield
Find the best, risk-adjusted yield by fully automating crypto yield strategies with just a few clicks.
👾 Annual Yield Breakdown, Stablecoin vs. APY Rewards & Autocompounding 👾
Token utility developments shared in previous updates and governance proposals are now underway. In this article we aim to clarify the various measures used to break down yield, including the ‘Annual Yield’ metric displayed on the platform, the breakdown of stablecoin vs APY token yield returns, and insight into how yield is compounded.
‘Annual Yield’ Platform Metric
The ‘Annual Yield’ platform metric represents an aggregate yield calculation. This includes stablecoin yield mixed with APY token rewards accrued from our liquidity mining program, all accessible through a single deposit.
The ‘Annual Yield’ is calculated as a weighted average of all strategies determined by how much capital is proportionally allocated into each strategy and their yield returns. This metric is calculated without taking into account earned autocompounded yield, technically underestimating accrued yield, representative of an APR value, rather than APY.
Stablecoin Yield
The stablecoin yield portion of the ‘Annual Yield’ is composed of a combination of three sources of yield.
1. Base yield. Transaction fees, interest rates, etc.
2. Reward token yields. Larger yield returns earned in the form of protocol reward tokens. I.E. CRV tokens for Curve, and CVX tokens from recent Convex integrations.
3. Incentives. Additional rewards provided by protocols to further boost yield and incentivize adoption.
APY Token Yield
APY token yield is accrued in addition to stablecoin yield as part of our Liquidity Mining rewards program, forming a portion of the total ‘Annual Yield’ displayed on the platform.
APY yield is accrued, and updated, weekly, every Friday. Accrued APY token rewards are claimable following a 6-month vesting period after they are earned.
How to View Stablecoin vs. APY Yield Breakdown
You can view the breakdown of stablecoin vs. APY yield returns by clicking and viewing each individual strategy in the ‘Yield’ section of the platform.
1. Log on to the dashboard: https://dashboard.apy.finance/
2. Head over to the ‘Yield’ tab in the header.
3. Scroll down to the ‘Strategies’ section.
4. Click each strategy to view the full yield breakdown.
Optimal Yield Compounding Analysis
The three sources of stablecoin interest yield earned through the Curve platform are accrued at different rates.
1. Base interest yield compounds automatically, block-by-block, every 15 seconds, or immediately after fees are paid.
2. Protocol rewards and incentive rewards are accrued block-by-block but are not automatically compounded.
The APY.Finance platform therefore harvests and compounds the protocol and incentive rewards to earn additional interest rate returns into the future. In an effort to optimize our compounding schedule, our Data Scientist has begun studying and simulating the underlying mechanisms, focusing on the trade-offs between gas costs and rate of returns for each strategy. We’ll be releasing the initial topline findings of the data analysis and optimal compounding rates in the near future.
Wrap-Up
We hope this article offers greater insight into how the ‘Annual Yield’ metric displayed on the platform is calculated, the breakdown of stablecoin vs APY yield returns, and how different portions of stablecoin yield returns are autocompounded.
The APY.Finance team wishes to thank you for your continued support throughout the year, and hope you’re as excited as we are for the many developments and innovations to come in 2022. 🎊
Token utility developments shared in previous updates and governance proposals are now underway. In this article we aim to clarify the various measures used to break down yield, including the ‘Annual Yield’ metric displayed on the platform, the breakdown of stablecoin vs APY token yield returns, and insight into how yield is compounded.
‘Annual Yield’ Platform Metric
The ‘Annual Yield’ platform metric represents an aggregate yield calculation. This includes stablecoin yield mixed with APY token rewards accrued from our liquidity mining program, all accessible through a single deposit.
The ‘Annual Yield’ is calculated as a weighted average of all strategies determined by how much capital is proportionally allocated into each strategy and their yield returns. This metric is calculated without taking into account earned autocompounded yield, technically underestimating accrued yield, representative of an APR value, rather than APY.
Stablecoin Yield
The stablecoin yield portion of the ‘Annual Yield’ is composed of a combination of three sources of yield.
1. Base yield. Transaction fees, interest rates, etc.
2. Reward token yields. Larger yield returns earned in the form of protocol reward tokens. I.E. CRV tokens for Curve, and CVX tokens from recent Convex integrations.
3. Incentives. Additional rewards provided by protocols to further boost yield and incentivize adoption.
APY Token Yield
APY token yield is accrued in addition to stablecoin yield as part of our Liquidity Mining rewards program, forming a portion of the total ‘Annual Yield’ displayed on the platform.
APY yield is accrued, and updated, weekly, every Friday. Accrued APY token rewards are claimable following a 6-month vesting period after they are earned.
How to View Stablecoin vs. APY Yield Breakdown
You can view the breakdown of stablecoin vs. APY yield returns by clicking and viewing each individual strategy in the ‘Yield’ section of the platform.
1. Log on to the dashboard: https://dashboard.apy.finance/
2. Head over to the ‘Yield’ tab in the header.
3. Scroll down to the ‘Strategies’ section.
4. Click each strategy to view the full yield breakdown.
Optimal Yield Compounding Analysis
The three sources of stablecoin interest yield earned through the Curve platform are accrued at different rates.
1. Base interest yield compounds automatically, block-by-block, every 15 seconds, or immediately after fees are paid.
2. Protocol rewards and incentive rewards are accrued block-by-block but are not automatically compounded.
The APY.Finance platform therefore harvests and compounds the protocol and incentive rewards to earn additional interest rate returns into the future. In an effort to optimize our compounding schedule, our Data Scientist has begun studying and simulating the underlying mechanisms, focusing on the trade-offs between gas costs and rate of returns for each strategy. We’ll be releasing the initial topline findings of the data analysis and optimal compounding rates in the near future.
Wrap-Up
We hope this article offers greater insight into how the ‘Annual Yield’ metric displayed on the platform is calculated, the breakdown of stablecoin vs APY yield returns, and how different portions of stablecoin yield returns are autocompounded.
The APY.Finance team wishes to thank you for your continued support throughout the year, and hope you’re as excited as we are for the many developments and innovations to come in 2022. 🎊
Want to learn more about APY.Finance?
Alexandrus has you covered 🔽🔽🔽
https://www.youtube.com/watch?v=f1ay33TJ_SE
Alexandrus has you covered 🔽🔽🔽
https://www.youtube.com/watch?v=f1ay33TJ_SE
YouTube
[HOT🔥] - ApyFinance - Diversifying your portfolio for the best gains!
🔥 Hey! Today I decided to review ApyFinance!
🔥 Website: https://apy.finance/
👀 Checkout my other social medias
🐦 Twitter: https://twitter.com/AlexandrusHere
✈️ Telegram Channel: https://news.1rj.ru/str/AlexandrusHere
If you have any questions feel free to ask them…
🔥 Website: https://apy.finance/
👀 Checkout my other social medias
🐦 Twitter: https://twitter.com/AlexandrusHere
✈️ Telegram Channel: https://news.1rj.ru/str/AlexandrusHere
If you have any questions feel free to ask them…
👾 Boost-Locking - Single-Sided Staking for Increased APY Rewards 👾
As part of recent discussions surrounding token utility innovations aimed at offering APY token holders opportunities to earn rewards for participating in various platform operational mechanics, we’ve teased ‘boost-locking’.
With a governance proposal for boost-locking now underway, we are aiming to clarify in this article, a bit more in-depth, some of the inner-workings of boost-locking and how APY token holders and platform users can benefit from boost-locking their tokens.
What is Boost-Locking?
Boost-locking will allow APY token holders to stake their APY tokens for a selected duration, and earn boosted APY yield. This will allow users who are more committed to the long-term vision of APY.Finance to be rewarded with additional APY yield returns as a result.
Boost-locking may also open the doors for additional opportunities for incentivization in the future, rewarding users who boost-lock in different ways. In the future, this may mean additional voting strength, less platform fees once platform fees are implemented, and more.
Earning Additional APY Yield via Boost-Locking
In exchange for staked APY, users will receive ‘blAPY’, a placeholder token representative of their staked APY.
Users will be assigned blAPY based on:
- Amount locked up
- Duration of lockup.
Example:
100 APY deposited for 1 year → 100 * (1 year / 4 years) = 25 blAPY
200 APY deposited for 6 months -> 200 (0.5 year / 4 years) = 25 blAPY
Together, these metrics will form the basis for evaluating each user’s proportion of additionally earned rewards. Users who stake larger amounts of APY tokens for longer durations will be assigned more blAPY, and thus earn more rewards as a result.
Users will be able to select a boost-lock duration between 1 week -> 4 years in 1 week increments. Users will also be able to stake additional APY, and will be able to increase the lockup duration of their staked tokens over time.
Users will be able to stake their tokens for a maximum duration of 4 years, and users with the largest boost-lock scores will be able to earn a minimum boost of 1x without any boost-locking, and a maximum of ~2.5, based on the following formula:
min( AccountValue * 40 / 100 + (TVL * blAPY Balance / blAPY Total Supply) * 60 / 100), AccountValue)
- ‘blAPY’ represents the placeholder token users will receive in exchange for their boost-locked APY, representative of their boost-locked position.
- ‘AccountValue’ is a weighted average between the user’s total account value and the proportion of the TVL as given by their blAPY share.
The additional APY yield will be emitted via our already existing Liquidity Provision Rewards program. If Liquidity Mining incentives cease in the future, blAPY can be incentivized in other ways. Users will be able to withdraw all locked APY if boost-locking and blAPY is phased out for any reason, including as a result of governance votes on the matter as the platform continues to decentralize.
We hope this article provided additional insight necessary to make an informed decision when participating in the boost-lock governance proposal.
APY token holders and liquidity providers can head over to the governance proposal to vote now: https://snapshot.org/#/apy.eth/proposal/0xcdd797b6434e844932a6993f7b98516612192ddf26ccbd17c0fdd22a85d68c1a
As part of recent discussions surrounding token utility innovations aimed at offering APY token holders opportunities to earn rewards for participating in various platform operational mechanics, we’ve teased ‘boost-locking’.
With a governance proposal for boost-locking now underway, we are aiming to clarify in this article, a bit more in-depth, some of the inner-workings of boost-locking and how APY token holders and platform users can benefit from boost-locking their tokens.
What is Boost-Locking?
Boost-locking will allow APY token holders to stake their APY tokens for a selected duration, and earn boosted APY yield. This will allow users who are more committed to the long-term vision of APY.Finance to be rewarded with additional APY yield returns as a result.
Boost-locking may also open the doors for additional opportunities for incentivization in the future, rewarding users who boost-lock in different ways. In the future, this may mean additional voting strength, less platform fees once platform fees are implemented, and more.
Earning Additional APY Yield via Boost-Locking
In exchange for staked APY, users will receive ‘blAPY’, a placeholder token representative of their staked APY.
Users will be assigned blAPY based on:
- Amount locked up
- Duration of lockup.
Example:
100 APY deposited for 1 year → 100 * (1 year / 4 years) = 25 blAPY
200 APY deposited for 6 months -> 200 (0.5 year / 4 years) = 25 blAPY
Together, these metrics will form the basis for evaluating each user’s proportion of additionally earned rewards. Users who stake larger amounts of APY tokens for longer durations will be assigned more blAPY, and thus earn more rewards as a result.
Users will be able to select a boost-lock duration between 1 week -> 4 years in 1 week increments. Users will also be able to stake additional APY, and will be able to increase the lockup duration of their staked tokens over time.
Users will be able to stake their tokens for a maximum duration of 4 years, and users with the largest boost-lock scores will be able to earn a minimum boost of 1x without any boost-locking, and a maximum of ~2.5, based on the following formula:
min( AccountValue * 40 / 100 + (TVL * blAPY Balance / blAPY Total Supply) * 60 / 100), AccountValue)
- ‘blAPY’ represents the placeholder token users will receive in exchange for their boost-locked APY, representative of their boost-locked position.
- ‘AccountValue’ is a weighted average between the user’s total account value and the proportion of the TVL as given by their blAPY share.
The additional APY yield will be emitted via our already existing Liquidity Provision Rewards program. If Liquidity Mining incentives cease in the future, blAPY can be incentivized in other ways. Users will be able to withdraw all locked APY if boost-locking and blAPY is phased out for any reason, including as a result of governance votes on the matter as the platform continues to decentralize.
We hope this article provided additional insight necessary to make an informed decision when participating in the boost-lock governance proposal.
APY token holders and liquidity providers can head over to the governance proposal to vote now: https://snapshot.org/#/apy.eth/proposal/0xcdd797b6434e844932a6993f7b98516612192ddf26ccbd17c0fdd22a85d68c1a
👾 APY Tokenomics - Emissions, Distribution & Utility 👾
What is the APY Token?
Since its inception, the APY token has been conceptualized as a governance token, offering great power to token holders within the community. APY.Finance is more committed than ever to the long-term success of this mission, while further increasing the usefulness, and incentive to hold, the APY token through incentivizing with various token utility and lockup mechanics that greatly reward users for doing so. The ultimate goal is to divert tokens, token incentives, and power through governance, away from short-term holders, and more heavily toward those aligned with this long-term vision.
Today, we will provide an update on how this is being achieved, including the current and future states of APY.Finance tokenomics, including APY distribution, emissions, governance, and utility.
APY Distribution
- Total Tokens: 100mm
- Public Liquidity Mining Rewards: 31.2%
- Community Initiatives: 12.3%
- Team & Advisors (vested): 20.0%
- Seed Round (vested): 20.0%
- Strategic Investors (vested): 16.5%
APY Token Emissions
While the APY token distribution amount hasn’t changed since the original release of the token, we’d like to provide an update on the current state of APY token emissions schedule. As the seed round & strategic investor portion of tokens have all been distributed; we are now emitting less tokens monthly than ever before.
Seed Round & Strategic Investors.
A portion of the APY token distribution (36.5%) has been allocated and distributed to seed and strategic investors, vested on a 1-year vesting schedule, starting on 11/9/20.
Between 11/9/20 - 11/9/21, a total of 2.8mm APY Tokens were being emitted toward investors monthly. As of 11/9/21, the investor token distributions have been completed, and we are no longer emitting tokens toward those incentives; greatly reducing the overall monthly token emissions.
Public Liquidity Mining Rewards
A portion of the APY token distribution (31.2%) is allocated toward public liquidity mining rewards. Currently, 1.18m tokens total are being emitted monthly; originally to aid in bootstrapping platform growth, and rewarding early believers of the platform. As new token utility mechanics such as boost-locking, described later, are implemented, a larger share of these liquidity mining rewards will be allocated to those most aligned with the long-term vision of APY.Finance, without any additional tokens being emitted.
Currently, these liquidity mining rewards are earned in the form of APY rewards, from yield farming with deposited stablecoins on the main platform, or participation in Uniswap / Balancer liquidity provision.
- Liquidity mining rewards; APY rewards for yield farming on the platform with stablecoins are emitted at a fixed rate of 900,000 APY/month.
- Liquidity provision rewards for participating in the Uniswap or Balancer LP pools are emitted at a fixed rate of 280,000 APY/month.
Community Initiatives
A portion of the APY token distribution (12.3%) is allocated toward various community initiatives we can use to continue to bootstrap sustainable and long-term growth of the platform, and various mechanics. These tokens aren’t emitted at a fixed rate, and can be used as necessary.
What is the APY Token?
Since its inception, the APY token has been conceptualized as a governance token, offering great power to token holders within the community. APY.Finance is more committed than ever to the long-term success of this mission, while further increasing the usefulness, and incentive to hold, the APY token through incentivizing with various token utility and lockup mechanics that greatly reward users for doing so. The ultimate goal is to divert tokens, token incentives, and power through governance, away from short-term holders, and more heavily toward those aligned with this long-term vision.
Today, we will provide an update on how this is being achieved, including the current and future states of APY.Finance tokenomics, including APY distribution, emissions, governance, and utility.
APY Distribution
- Total Tokens: 100mm
- Public Liquidity Mining Rewards: 31.2%
- Community Initiatives: 12.3%
- Team & Advisors (vested): 20.0%
- Seed Round (vested): 20.0%
- Strategic Investors (vested): 16.5%
APY Token Emissions
While the APY token distribution amount hasn’t changed since the original release of the token, we’d like to provide an update on the current state of APY token emissions schedule. As the seed round & strategic investor portion of tokens have all been distributed; we are now emitting less tokens monthly than ever before.
Seed Round & Strategic Investors.
A portion of the APY token distribution (36.5%) has been allocated and distributed to seed and strategic investors, vested on a 1-year vesting schedule, starting on 11/9/20.
Between 11/9/20 - 11/9/21, a total of 2.8mm APY Tokens were being emitted toward investors monthly. As of 11/9/21, the investor token distributions have been completed, and we are no longer emitting tokens toward those incentives; greatly reducing the overall monthly token emissions.
Public Liquidity Mining Rewards
A portion of the APY token distribution (31.2%) is allocated toward public liquidity mining rewards. Currently, 1.18m tokens total are being emitted monthly; originally to aid in bootstrapping platform growth, and rewarding early believers of the platform. As new token utility mechanics such as boost-locking, described later, are implemented, a larger share of these liquidity mining rewards will be allocated to those most aligned with the long-term vision of APY.Finance, without any additional tokens being emitted.
Currently, these liquidity mining rewards are earned in the form of APY rewards, from yield farming with deposited stablecoins on the main platform, or participation in Uniswap / Balancer liquidity provision.
- Liquidity mining rewards; APY rewards for yield farming on the platform with stablecoins are emitted at a fixed rate of 900,000 APY/month.
- Liquidity provision rewards for participating in the Uniswap or Balancer LP pools are emitted at a fixed rate of 280,000 APY/month.
Community Initiatives
A portion of the APY token distribution (12.3%) is allocated toward various community initiatives we can use to continue to bootstrap sustainable and long-term growth of the platform, and various mechanics. These tokens aren’t emitted at a fixed rate, and can be used as necessary.
Team & Advisors
A portion of the APY token distribution (20%) is allocated toward APY.Finance team members and advisors. These tokens are vested with a 1-year cliff followed by a 3-year linear vesting schedule. These tokens aren’t emitted at a fixed monthly rate, depending on each team member’s individual vesting schedule, and will continue to fluctuate as the team scales.
APY Token Utility
Our mission with increasing token utility is simple: to provide rewards for users actively participating, and adding value to, various elements of platform operation. Token utility offers new and exciting reasons for APY token holders to accumulate, hold and use their APY tokens past just that of providing liquidity in Balancer and Uniswap pools. Additionally, these new, innovative token utilities, will provide methods of capturing larger amounts of APY, all while emitting fewer tokens than ever before.
Governance
First and foremost, the APY token is a governance token. Phase 1 of governance has now been integrated, and APY token holders (and those currently using APY tokens to provide liquidity) are now able to vote on proposals created by the APY.Finance team. Proposals are often a direct result of feedback and discussions shared in the governance discussion forum from members within the community.
As APY.Finance continues along with its roadmap of decentralization, greater power will be unlocked for APY token holders participating in governance. In the future, APY governance token holders will be able to participate in protocol governance even more directly by creating proposals, and further decentralization will open the doors for the possibilities of larger and more innovative token and protocol mechanics.
Boost-Locking
Boost-locking is a feature currently being voted on through a governance proposal that will allow APY token holders to lock owned APY tokens for set durations in exchange for blAPY. A user’s blAPY balance may grant access to incentives such as larger shares of APY rewards when yield farming on the platform. These rewards are emitted as part of the already existing liquidity mining program token distribution, and as a result, this will not affect emissions schedule, nor circulating supply.
Additionally, a user’s blAPY balance may grant other benefits such as additional voting weight in the future, and more, in the future. This is one method of diverting more APY away from short-term holders, and toward those more aligned with the long-term vision of APY.Finance, while rewarding those supporters in the process.
Learn more about boost-locking here.
Safety-Stability Treasury
Following the successful integration of boost-locking mechanics and Olympus Pro’s bonding market mechanics, APY.Finance will host a governance proposal for the implementation of a safety-stability treasury.
A safety-stability treasury will offer APY token holders an opportunity to participate in single-sided staking; staking their APY tokens into a safety-stability treasury that may have a portion (up to 30%) liquidated to cover a rare shortfall event of the platform, or any individual strategy. Stakers will receive rewards for participating in single-sided staking into the safety-stability treasury.
Read more about the safety-stability treasury here.
Platform Management
Further down the line, APY.Finance will propose platform management token utility functions. This means APY token holders will be able to stake tokens temporarily in order to grant access to various platform management functions, and earn rewards for doing so. Larger, more complex, or riskier operations will require a greater token stake, and offer more rewards in turn, while more lightweight, day-to-day functions will require less tokens staked, and not as many.
This decentralizes platform management away from the APY.Finance team and in the hands of the greater community. This increased decentralized control of the platform further enables more community-created, and more innovative, governance proposals.
A portion of the APY token distribution (20%) is allocated toward APY.Finance team members and advisors. These tokens are vested with a 1-year cliff followed by a 3-year linear vesting schedule. These tokens aren’t emitted at a fixed monthly rate, depending on each team member’s individual vesting schedule, and will continue to fluctuate as the team scales.
APY Token Utility
Our mission with increasing token utility is simple: to provide rewards for users actively participating, and adding value to, various elements of platform operation. Token utility offers new and exciting reasons for APY token holders to accumulate, hold and use their APY tokens past just that of providing liquidity in Balancer and Uniswap pools. Additionally, these new, innovative token utilities, will provide methods of capturing larger amounts of APY, all while emitting fewer tokens than ever before.
Governance
First and foremost, the APY token is a governance token. Phase 1 of governance has now been integrated, and APY token holders (and those currently using APY tokens to provide liquidity) are now able to vote on proposals created by the APY.Finance team. Proposals are often a direct result of feedback and discussions shared in the governance discussion forum from members within the community.
As APY.Finance continues along with its roadmap of decentralization, greater power will be unlocked for APY token holders participating in governance. In the future, APY governance token holders will be able to participate in protocol governance even more directly by creating proposals, and further decentralization will open the doors for the possibilities of larger and more innovative token and protocol mechanics.
Boost-Locking
Boost-locking is a feature currently being voted on through a governance proposal that will allow APY token holders to lock owned APY tokens for set durations in exchange for blAPY. A user’s blAPY balance may grant access to incentives such as larger shares of APY rewards when yield farming on the platform. These rewards are emitted as part of the already existing liquidity mining program token distribution, and as a result, this will not affect emissions schedule, nor circulating supply.
Additionally, a user’s blAPY balance may grant other benefits such as additional voting weight in the future, and more, in the future. This is one method of diverting more APY away from short-term holders, and toward those more aligned with the long-term vision of APY.Finance, while rewarding those supporters in the process.
Learn more about boost-locking here.
Safety-Stability Treasury
Following the successful integration of boost-locking mechanics and Olympus Pro’s bonding market mechanics, APY.Finance will host a governance proposal for the implementation of a safety-stability treasury.
A safety-stability treasury will offer APY token holders an opportunity to participate in single-sided staking; staking their APY tokens into a safety-stability treasury that may have a portion (up to 30%) liquidated to cover a rare shortfall event of the platform, or any individual strategy. Stakers will receive rewards for participating in single-sided staking into the safety-stability treasury.
Read more about the safety-stability treasury here.
Platform Management
Further down the line, APY.Finance will propose platform management token utility functions. This means APY token holders will be able to stake tokens temporarily in order to grant access to various platform management functions, and earn rewards for doing so. Larger, more complex, or riskier operations will require a greater token stake, and offer more rewards in turn, while more lightweight, day-to-day functions will require less tokens staked, and not as many.
This decentralizes platform management away from the APY.Finance team and in the hands of the greater community. This increased decentralized control of the platform further enables more community-created, and more innovative, governance proposals.
Medium
Boost-Locking & Staking for Increased Yield
As part of recent discussions surrounding token utility innovations aimed at offering APY token holders opportunities to earn rewards for…
Acquiring the APY Token
Currently, in order to Acquire the APY token to participate in protocol governance and other token utility features, users can connect their wallet and trade for the token on the Ethereum network via Balancer or Uniswap.
Alternatively, users can import the token address via MetaMask wallet and trade for the token there as well.
APY token contract address: 0x95a4492F028aa1fd432Ea71146b433E7B4446611
APY.Finance is currently exploring other solutions for ways to purchase the token with fewer gas fees. While we don’t have any specific solutions to share more information about at this time, keep an eye on our announcements and social channels in case of any news or announcements in the future.
Wrap-Up
We hope this was an insightful look into the long-term vision of APY tokenomics, and the plan for increasing the utility of the APY tokens. We appreciate your continued support, and hope you’re as excited as we are for the implementation of various token utility initiatives where token holders will be able to put their APY holdings to great use!
Currently, in order to Acquire the APY token to participate in protocol governance and other token utility features, users can connect their wallet and trade for the token on the Ethereum network via Balancer or Uniswap.
Alternatively, users can import the token address via MetaMask wallet and trade for the token there as well.
APY token contract address: 0x95a4492F028aa1fd432Ea71146b433E7B4446611
APY.Finance is currently exploring other solutions for ways to purchase the token with fewer gas fees. While we don’t have any specific solutions to share more information about at this time, keep an eye on our announcements and social channels in case of any news or announcements in the future.
Wrap-Up
We hope this was an insightful look into the long-term vision of APY tokenomics, and the plan for increasing the utility of the APY tokens. We appreciate your continued support, and hope you’re as excited as we are for the implementation of various token utility initiatives where token holders will be able to put their APY holdings to great use!
👾 The next phase of $APY token utility is underway. Stay tuned for more information as the boost-locking integration progresses.
✅ Boost-locking governance proposal = passed.
https://snapshotpage.b-cdn.net/#/apy.eth/proposal/0xcdd797b6434e844932a6993f7b98516612192ddf26ccbd17c0fdd22a85d68c1a
✅ Boost-locking smart contract = live.
https://etherscan.io/address/0xdc9eff7bb202fd60de3f049c7ec1efb08006261f
✅ Boost-locking governance proposal = passed.
https://snapshotpage.b-cdn.net/#/apy.eth/proposal/0xcdd797b6434e844932a6993f7b98516612192ddf26ccbd17c0fdd22a85d68c1a
✅ Boost-locking smart contract = live.
https://etherscan.io/address/0xdc9eff7bb202fd60de3f049c7ec1efb08006261f
Ethereum (ETH) Blockchain Explorer
Vyper_contract | Address 0xdc9eff7bb202fd60de3f049c7ec1efb08006261f | Etherscan
The Contract Address 0xdc9eff7bb202fd60de3f049c7ec1efb08006261f page allows users to view the source code, transactions, balances, and analytics for the contract address. Users can also interact and make transactions to the contract directly on Etherscan.
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