Background
Blindex is an RSK-based multi-currency stablecoin DeFi platform. You can mint, swap, invest and redeem any FX-pegged coin. All coins are partially collateralized, algorithmically stabilized and completely decentralized.
Blindex is a protocol that is based on the successful Frax protocol, with a few main differences:
- The collateral used in Blindex is 100% decentralized. At the moment the only accepted collateral is RBTC or ETHs.
Even Blindex’s cloud provider is a decentralized one (StackOS), so no one could bring us down. - Blindex itself is a fair launch project, which means no investors’ tokens were given to anyone.
- Blindex’s name is a combination of the word Blind and DEX.
Too many people around the world do not use the USD as their main currency, but in the crypto space that is the dominant stable.
We developed a system that is multi-currency first, in which it’s very easy for us to mint new stables (known as BD-Stables), and it’s part of our goals to help provide any FX-pegged coins.
At the moment we support 2 main stables: $BDUS (USD pegged) and $BDEU (EUR pegged). New stables are right around the corner.
Blindex’s goal is to build the stablecoin ecosystem that Bitcoiners and decentralization advocates believe in.
The $BDX token
Blindex’s stables are partially backed by collateral (RBTC or ETHs) and partially by an algorithmic token - $BDX.
By nature, $BDX has utility as it’s needed in order to mint new BD-Stables.
$BDX will also be used as the governance token of Blindex, as we’re on our way to establishing our governance mechanisms and DAO.
Much like Bitcoin, $BDX has a limit of 21M tokens - and not one bit more. You can find more information about our Tokenomics and fair launch in our docs.
Proposal
- Listing Blindex’s $BDX on Sovryn.
- Sovryn’s treasury to bootstrap the BDX/RBTC AMM pool with 7 RBTC (~$270K). Equivalent amount in $BDX for the BDX/RBTC AMM pool to be provided by the Blindex community.
- The rationale behind it was to have enough liquidity to not have a pump and dump effect and to have a high-quality pool.
This amount is subject to change based on the feedback from the community. - This approach was also chosen based on feedback from the Sovryn community from previous listings (like the $MOC listing).
- The rationale behind it was to have enough liquidity to not have a pump and dump effect and to have a high-quality pool.
- The Blindex community may ask to withdraw back the $BDX funds, but the minimum period before that will be possible is at least 8 months after the deposit (the Blindex community has no motive for doing that, but it’s important to note either way).
- $50,000 in $BDX to reward liquidity providers in the BDX/RBTC AMM pool after 30 days, to be provided by the Blindex community.
- The $50K value of BDX will be provided by the Blindex community at the beginning of the period according to $BDX’s price at that point.
- $50,000 in $SOV to reward the top 5 liquidity providers (excluding Exchequer and Blindex treasury) in the BDX/RBTC AMM pool at the end of the 30 days, to be provided by the Sovryn community.
- Following @CryptonianUsman great suggestion from previous listings on Sovryn, this strategy will drive people to compete on being the top liquidity providers for the AMM pool, thus driving liquidity up and making sure we.
- Each of the top 5 liquidity providers will get their fair share of the $50K SOV based on their portion in the pool among all the 5 top holders. That will ensure the continuation of the motivation to add liquidity to gain more $SOV rewards even when you’re already part of the top 5 liquidity providers).
Motivation
Blindex has been in close relationships with the Sovryn community from day one. We’ve already presented our product on the Sovryn community calls twice.
In addition, Blindex is working closely with Babelfish community in order to include its unique capital efficient (avoiding over-collateralization) and decentralized stable coins.
There is an active proposal to include Blindex’s BDUS (USD pegged stable) in the XUSD basket, therefore clearing the path for BDUS holders to participate in the Sovryn ecosystem through XUSD.
Adding Blindex’s governance and minting utility token to Sovryn will straighten the bond between the communities and will clear the path for future integrations like listing BDUS and BDEU on Sovryn and on Sovryn lending to help provide more liquidity on the Sovryn platform.
Arbitrage and Volume
By listing $BDX, new arbitrage opportunities will be opened for the Sovryn community as the $BDX token is paired to multiple tokens on the Blindex platform:
- BDX/RBTC (on both Sovryn and Blindex)
- BDX/XUSD
- BDX/ETHs
- BDX/BDUS (USD pegged stable)
- BDX/BDEU (EUR pegged stable)
These new arbitrage opportunities will increase the volume on Sovryn and therefore will benefit the SOV holders due to the fees taken from this new volume being added.
Proposal implementation
- Exchequer to budget and manage the resources to list $BDX on the Sovryn DEX. Token contract address: 0x6542a10E68ceAC1fa0641ec0D799a7492795aaC1
- Audit report: https://docs.blindex.io/smart-contracts/audits
- Exchequer provides 7 RBTC in liquidity to the RBTC side of the BDX/RBTC AMM pool for a duration left to the discretion of Exchequer.
- Exclude Exchequer and Blindex treasury from the AMM pool fee rewards, so only the Sovryn liquidity providers will enjoy the fees from the pool.
- Exchequer retroactively rewards $50,000 USD worth of $SOV to reward the top 5 liquidity providers in the BDX/RBTC pool at the end of the 30 days period.
- Blindex community to transfer $50,000 USD in $BDX to Exchequer in order to reward BDX/RBTC AMM pool liquidity providers over a 30-day period.
Useful links
