Addition of CRV & BNT to DeFi+S Index

Rebalancing Ideas
#1

Hi all, wanted to make a proposal/discussion about revamping the DeFi+S index. Things move rapidly around the DeFi space as I’m sure you’re all aware and I think its about time the +S index got a bit of a revamp to properly reflect the growth and usage of particular protocols.

WHY CRV & BNT

First off, if you’ve been around the DeFi space for any amount of time I’m sure you’ve heard of or used these 2 protocols like me. They have become quite mainstays and established themselves as legitimate protocols with many users, TVL, and business models. If we look at these project sorted by TVL we can see them right next to many other projects that are currently in our other indexes.

TVLList
TVLList1382×591 70.4 KB

Protocol Quick Stats

BNT(bancor.network) - 1.3B MC - 1.5B TVL - close to 1B in volume per month - Unique AMM that protects against IL.

CRV(curve.fi) - 562M MC - 3.5B TVL - 23.3k unique token holders - over 30B in total volume since inception.

I’ve linked both projects dune analytics dashboards above if you want to dive into more juicy stats :slight_smile:

Benefits

Both of these protocols have a large potential for growth as they have established themselves as very heavily used tools in the defi space. BNT is unique in its AMM structure that protects against IL and also has a very active community that is constantly adding new assets as well as providing liquidity mining opportunities. CRV has established its self as the go to stablecoin swap protocol with the vast majority of stable pools and a large amount of LP pools as well as a robust profit share mechanism for token holders. Personally I think both projects provide a unique value proposition in the DeFi space that holders of the DeFi+S index could benefit from.

PieVault Compatible Assets

An added benefit compared to some of the other tokens in the +S index is that both could be used to lend or generate yield if the Index was transitioned to a PieVault contract which could be a great opportunity to add additional value to the Index as with DeFi+L.

Closing Thoughts

This is just a rough proposal to gauge interest and community sentiment. If deemed a good idea I can move ahead with determining the new allocations of each asset in the Index. Thanks for reading!

7 Likes
#2

I listened to Julien the crypto pirate and he said that CRV could handle a 45million dollar transaction. Thats pretty impressive. I think because it sticks to Stablecoins, it will be adopted more easily by institutional investors. Could we possibly vote yes for one and abstain from another because I don’t know anything about BNT.

Good thoughts.

2 Likes
#3

I’ve used both BNT and CRV and would love to see DEFI+S turn into a PieVault. I think adding both and putting it to work as a vault would be great!

4 Likes
#4

I endorse both additions, but I do like the suggestion of voting each separately too :+1:

4 Likes
#5

I agree the vote should be separate for both assets just wanted to put them in the same post for the sake of clarity. Appreciate that tidbit though.

#6

I’m new to DeFi overall, so unfortunately I can’t comment on BNT or CRV…

I’m wondering if there is a predefined selection criteria for DeFi+S? Like minimum requirements that we can use as a framework?

For example,
Market cap under x,
Audited contracts,
TVL greater than x,
Number of innovations (e.g. Oven) greater than x,
Monthly users greater than x, etc…

1 Like
#7

Will recently retweeted a great Bancor primer: https://twitter.com/wangarian1/status/1367087459255738370?s=21

#8

Definitely in favor of this motion. This is a big and important step to gain exposure to these important protocols of the ecosystem in our DeFi++ pie.