Sept. 5, 2024: $BOLD and Beautiful 💸✨
Liquity v2 $BOLD codebase revealed, + newest Curve yield farms...
Stablecoin Summer anybody?
We’ll grant it’s not generally considered “summer” after Labor Day, but at least it’s always stablecoin season somewhere. Stablecoins, crypto’s killer use case, continues to remain a hotbed of activity.
The biggest news of the week, Liquity released their much anticipated codebase for v2 and their BOLD stablecoin.
Among protocols, Liquity places the strongest emphasis on decentralization and immutability. Unlike more centralized stablecoins that just deploy an upgradable proxy contract, Liquity’s stablecoin is the final draft.
Due to this immutable nature, everything in this major overhaul must be absolutely perfect, so the stakes are high and Liquity’s team put a lot of thought and elbow grease into this release. Major upgrades, based on learnings from v1:
The repo is comprehensive and covers every corner cases we could imagine and much more. The codebase documentation goes into extreme detail, the README file alone stretches to a whopping 65 pages when printed out and counting, as it’s still being upgraded.
It’s long, but a highly recommended weekend read to understand the nitty gritty of all the details. It’s extremely accessible with lots of pretty pictures and diagrams!
The release reveals the final choice of collaterals, with the team opting for just three:
The role of governance is, as expected, extremely limited. From our read it’s limited to paying down bad debt if it occurred as well as directing 25% of interest towards DEXes as incentives.
The headline touts this as “borrowing Curve tokenomics,” although the parallels are mostly limited to the fact that liquidity can be directed flexibily, otherwise the mechanisms are distinct.
For more details, check out Colin Platt on Leviathan discussing everything from BOLD to Canto to SNL…
As always, it remains stablecoins all the way down… BOLD is expected to launch in the next few months. With so many centralized stablecoins hitting the market, we’re always excited to see more decentralized stablecoins innovating and deploying.
Here is how Liquity positions itself against the field:
In addition to BOLD, the rest of 2024 will be exciting with several more centralized stablecoins also hitting the market.
As always, it’s stablecoins all the way down…
Yield Farmers Almanack
Gas is 3 gwei and tends to get cheaper on weekends. Some choice Curve pools for yield farmers…
Llama Lend $asdCRV on Arbitrum
In that screenshot you can also catch dlcBTC, which is making a splash all around Curve…
CVX maxis, take a look at afCVX as well
And keep an eye on DYAD…
