Ecosystem Grants Transparency Report #1
As part of the ongoing ecosystem incentives on Moonbeam that has been allocated to StellaSwap, it is vital that we share updates via our series of ‘Transparency Reports’ to ensure full accountability throughout the grants distribution process.
Ecosystem Grants Allocated to StellaSwap to Build Baseline Liquidity
StellaSwap was one of two top protocols that received Moonbeam’s Level 3 ecosystem grants, which was the largest grant tier.
As part of ecosystem rebuilding, ALL of the allocated grants will be disbursed through StellaSwap’s farms that was laid our in our grant proposal. The ecosystem grants, which are denominated in GLMR, will be distributed to the community through liquidity mining incentives.
The launch of the strategic farms were sequenced in order to maximize TVL accrual via an effective marketing campaign. The dates of the farm launch started from October 12;
Transparency Report #1
Based on our initial targets laid out on our ecosystem proposal, the first four weeks for kickstarting initial ecosystem liquidity were as such:
Even though StellaSwap launched the strategic farms sequentially, it would be easier to report on the cumulative TVL nearing the end of the first month.
#1: TVL Trajectory
Here is the progress so far;
We’re happy to announce that within the first full month of ecosystem grants going live on StellaSwap, we have surpassed the target TVL benchmarks in all but one farm. All GLMR and STELLA emissions are distributed according to thee emissions schedule.
#2: TVL Growth
Since launching our farm, the cumulative TVL of all farms on StellaSwap grew by 200%. Our current TVL is nearing $28M
#3: Daily Txns on the Uptrend
On average, daily transactions are on the rise after StellaSwap’s farm relaunch. This is in-line with our estimates as users can now trade strategic assets again.
Justifications for Basepool’s Slow Growth
The only farm that did not reach the target benchmark was our basepool, consisting of USDC.wh, BUSD.wh, native USDT and FRAX.
The sole reason for the hampered growth of our basepool was due to the operational issues for native USDT acquisition. This was due to;
- Delayed upgrade by Ledger in supporting Polkadot’s statemint. Since Bitfinex — the only exchange where native USDT is minted and supported on Polkadot — uses Ledger as their wallet infrastructure, this inhibited native USDT minting
Due to this, there was no inflow of native USDT for the past few weeks from Bitfinex. As the sole source of native USDT, this severely impacted the growth of our basepool even as risk-free arbitrage opportunities for converting USDT native into other stablecoins existed.
The issue has now been resolved after StellaSwap, Moonwell and Moonbeam raised this issue to Parity. However, another obstacle remained;
- USDT native minting by Tether is still pending
This could be due to operational requirements still being finalized. We’re closely awaiting for further news on when the minting cap by Tether is resumed.
StellaSwap is the first and leading Moonbeam DEX that offers an integrated gateway to the DeFi world. Users can swap, earn, yield farm, bridge assets, explore new projects and engage in NFT trading all from a single unified platform. StellaSwap’s products are structured in such a way that facilitates decentralized governance of STELLA holders, while continuing to innovate on the collective foundations by design.