Users continue to flow into the Arbitrum ecosystem as more projects develop & migrate onto the network.
Arbitrum’s popularity comes as no surprise to the markets as the upcoming merge of the Ethereum network has been anticipated since July. For the first time, the ETH token economy is set to move into a new deflationary era with improved throughput & cost of transacting.
This fortnight, we will highlight three projects that have benefited from the attention across Arbitrum & offer various products ranging from options, a stablecoin money market fund & yield aggregation.
Jones DAO is an Arbitrum-native options protocol. The protocol’s key features are two-fold:
jAssets are yield-bearing tokens that aim to provide capital efficiency & liquidity by utilising locked assets across options strategies. They are minted & burnt upon deposits & withdrawals. Users primarily use their jAssets for:
The native token of the protocol, $JONES, has several key characteristics: Liquidity Incentives: Rewards for the lending & liquidity pools Fee Accrual Governance The protocol also uses the Curve model in which $veJONES can be used to vote on emission rates for vaults & pools while accruing a portion of the protocol’s fees & additional $JONES rewards.
The protocol’s revenue is composed of:
2. Plutus DAO
Plutus DAO is a governance aggregator which enables holders of specific tokens on external protocols to earn additional rewards.
It began as a project that wanted to be aggregated within the Dopex ecosystem at the beginning of the year to now, where it has partnered with Jones DAO & GMX.
Its main features are its vaults:
Builds on top of protocols like Dopex & GMX to offer higher returns than traditional staking.
For instance, 1 $plvGLP should always have a higher value than 1 $GLP. This is enabled by:
Dollar Maxi Vaults : Strategies integrated with Dopex & Jones DAO that increase yields but increase risk of impermanent loss (IL).
This is enabled through a 10% performance fee split into:
Sperax is a stablecoin project native to the Arbitrum ecosystem.
$SPA is the governance token for the protocol. The stablecoin is $USDs.
$USDs is essentially a money market fund with a portfolio of other stablecoins.
The collateral behind $USDs is farmed to earn a return where:
Currently, the collateral is allocated between the Core Vault, Aave, Stargate & Curve.
Arbitrum (ETH) Blockchain Explorer. 2022. Arbitrum Unique Addresses Chart | Arbiscan. [online] Available at: <https://arbiscan.io/chart/address> [Accessed 9 September 2022].
CoinGecko. 2022. Cryptocurrency Prices, Charts, and Crypto Market Cap | CoinGecko. [online] Available at: <https://www.coingecko.com/> [Accessed 9 September 2022].
CoinMarketCap. 2022. Cryptocurrency Prices, Charts And Market Capitalizations | CoinMarketCap. [online] Available at: <https://coinmarketcap.com/> [Accessed 9 September 2022].
Docs.jonesdao.io. 2022. Protocol Overview - Jones DAO. [online] Available at: <https://docs.jonesdao.io/jones-dao/> [Accessed 9 September 2022].
Docs.sperax.io. 2022. USDs (Sperax USD) - Sperax. [online] Available at: <https://docs.sperax.io/> [Accessed 9 September 2022].
Jones DAO. 2022. Jones DAO. [online] Available at: <https://jonesdao.ghost.io/> [Accessed 9 September 2022].
Medium. 2022. PlutusDAO – Medium. [online] Available at: <https://firstname.lastname@example.org> [Accessed 12 September 2022].
Plutus Docs. 2022. Protocol Overview. [online] Available at: <https://plutusdao-1.gitbook.io/plutus-docs> [Accessed 12 September 2022].
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