We can’t deploy through our strategies LP assets that haven’t been deposited to the control of the Sett and Staking contracts
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sorry I don’t understand what you’re saying.
by all means, deposit badger-wbtc SLP, and stake.
what purpose does the eth-wbtc SLP serve?
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I’ve got the same issue. Aren’t we a DeFi project focussed on BTC?
We already got problems with Uniswap routing wbtc-Badger through eth instead of using our pool.
Imo, we really need to keep Uniswap liquidity up, while slowly expanding towards Sushi. I’d suggest scrapping the eth-wbtc pool for the time being and distribute those rewards to the wbtc-Badger pair.
Furthermore: Why not add a renbtc-Badger pool instead?
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To be fair, I’m all for Sushi and incentivizing Badger on Sushiswap. I just don’t understand why there are rewards for eth-wbtc.
If we needed greater liquidity in the eth-wbtc pool so that there was less slippage or bot frontrunning when people wanted to trade eth-badger, then that would make sense.
But there’s already 311m eth-wbtc liquidity. Adding badger rewards to that pool isn’t going to materially change the liquidity.
The badger community would be much better served by either a) removing the 80,000 badger allocated to wbtc/eth altogether, or b) redistributing that 80,000 to the other pools.
I still don’t understand why there are $badger rewards for wbtc-eth badger pool. What am I missing?
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I also want to understand the reasoning behind incentivizing a WBTC-ETH pool that already has a lot of liquidity. What will be the added value for the community and for the DAO? Probably the only thing is that many of the LP providers wil come to Badger and stake their LP in order to get additional rewards, but those people will go as easily as they come if they find better incentives elsewhere.
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Great points Mr. Spada
I completely agree let’s GO !
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delete rewards for eth wbtc sushi and give it to badger and wbtc badger uni lp please.
less than 10% of the rewards for Badger only is terrible
I tend to disagree. It’s healthy to have 2 large liquidity pools, our pool on SUSHISWAP earns SUSHI for LPs which we optimize for you by staking it and SUSHI fixed the routing problem for us.
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I don’t agree. wbtc/eth SLP is one of the largest tokenized BTC liquidity pools and it’s a revenue generating pool for the DAO. Why wouldn’t we want that staked with Badger .These are strong tokenized BTC believers/users.
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It’s the largest tokenized BTC liquidity pool in the market and we provide a value add service in optimizing their SUSHI rewards. These users are heavy tokenized BTC users which are the exact type of people we want using our product and eventually using the other products we introduce.
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This is the missing info that I and some others in this thread didn’t really understand. Is there a medium post or something that explains the reasoning behind why the different setts were created and how they are important to the Badger ecosystem?
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Maybe edit the post to show the reasoning for the wbtc/eth pool since there seems to be a lot of confusion about the reasoning behind it. I was against it too until reading through all the comments. I still would like a little more for the badger staking sett though.
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@Devin I agree having an overview of how the setts fit together and how they feed into the Badger Ecosystem would be helpful for newer/non-technical users.
I would be happy to work with someone to put this together if the team isnt already working on it
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@Devin at it’s most basic I think it comes down to this: anyone providing liquidity in the wBTC<>ETH pool, like Chris said, is a long term believer in BTC and ETH. We want that type of person to know about us and eventually hopefully use DIGG as an alternative erc20 BTC.
Badger is bringing BTC to ETH in a way that no other protocol has to date through DIGG, the BADGER token will earn a management fee (2%, currently not active during farming, .5% withdrawal temporarily) and a performance fee (20% of gains) on all setts.
When LPs stake in a sett, the rewards from their LP position are automatically re-staked on a recurring basis, this creates compounding. Since many people are pooled into a set, each user saves on gas because the cost is split amongst the entire pool.
Yes, individuals could just maintain their own wBTC<>ETH LP position. But unless you’re willing to spend a lot of gas (read, large value at risk) you will only earn at the APR. If you re-stake whenever their are rewards to be staked your return is much higher:
Periodic Rate = APR / n
APY = (1+Periodic Rate)n - 1
Where,
n = Number of Periods
APY = Annual Percentage Yield
APR = Annual Percentage Rate
Let me know if this makes sense or you think it could be better explained, happy to help how I can
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Thank you for your clear and concise answer. Well understood.
Valuable feeback Mr. Boom. The reasoning is helpful. It can help grow the community. I support.
How does it generate revenue for the DAO? Don’t sett depositors/stakers receive the underlying rewards? Does the DAO skim a %? I’m sure this is explained in docs somewhere, so I’ll try to find it.
Very clear, thankyou. I voted yes.
Good and clear! Yes!
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given there’s no Sett for this yet, but it is available on Onsen, I trust the Onsen LPs are earning the $badger rewards this week?
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