💻DevelopmentThe tentative go-live date for the launch of Bancor 3 Phase I Dawn is in Q1 of 2022. As part of the launch, we are working on putting together a new whitepaper that details Bancor 3. This is in addition to a technical paper that covers the underlying design of the protocol and its intricacies. Expect both of these to be released as we get close to launching Phase I dawn. Note that we have a new Bancor 3 landing page that details the features of Phase I (A.K.A Dawn) as well as a roadmap.We have launched a new UI for the Bancor web application which is powered by our new APIs. Expect the new UI to be modern, faster, and better than the previous version. The application will continue to evolve as Bancor 3 rolls out and new screens, as well as user flows, will be made available in the future. We welcome any feedback from the community as well as any bug reports.New UI screens are now live on the redesigned interface. This includes:A new pools page🥽A new tokens page💰A new portfolio page📒A new voting interface🗳A new safe staking landing page✅A new impermanent loss landing page ✅A new Bancor 3 landing page 3️⃣🌐Ecosystem🌀Bancor Vortex🔥For this week, we saw roughly ~77K in $vBNT that was burned by the vortex. At current $BNT prices (~$3.50) this equates to ~$370K worth of $BNT locked forever.🔒+—————–+————–+| time | burnedamount |+—————–+————–+| 12/5/2021 0:00 | 11533.41266 || 12/6/2021 0:00 | 20724.91965 || 12/7/2021 0:00 | 9860.372142 || 12/8/2021 0:00 | 9156.258824 || 12/9/2021 0:00 | 8307.765539 || 12/10/2021 0:00 | 10084.23648 || 12/11/2021 0:00 | 6887.954712 || Sum | 76554.92001 |+—————–+————–+The cumulative burned amount increased from ~1.82m on 12/04 to ~1.897m on 12/11. We are quickly approaching the 2m $vBNT burned mark.📊Key Metrics7-day total cumulative fee revenue: ~1.13m30-day total cumulative fee revenue: ~$5.13mSource: token terminal📈 The average daily revenue for different time periods:7 days ~$161.4K30 days ~$171KThe 30-day annualized daily revenue equates to ~$62.4m in annual trading fees paid to LPs. For the past 30 days, trading fee revenue is down (~$400K) as compared to the previous 30 days.💰 In terms of protocol revenue, Bancor earned around ~$2.57m in monthly revenue for $BNT holders.🔌Integrations and UpdatesThe abstain option for Snapshot is now available to us as part of the basic voting strategy. This is a feature that helps with our high quorum and supermajority requirements on proposals in our DAO. Occasionally, there are proposals that have a difficult time passing because they might be considered politically charged or there exists a conflict of interest for some of our largest voting members. The abstain features allow you to remove yourself from making a “For” or “Against” decision and still count towards the quorum (35%-40% for most proposals). We still get to keep our supermajority rule (66.6%) in order for a proposal to pass successfully and those that are voting “For” or “Against” will count towards it.We are approaching the 2m $vBNT burned mark. This mechanism takes 15% of swap revenue that the protocol generates and uses that to buy $vBNT which it then burns. This locks protocol-owned $BNT in the protocol permanently and uses that liquidity for trading. It is an exciting milestone that we will soon hit 2m $vBNT burned.💪Social Channels🍦The Infamous $BNT Ice CreamThe major news of the week was the Flexa payment network adding support for the Bancor Network Token ($BNT) so that it can be spent via the SPEDN application:SPEDN makes it possible to spend Bitcoin and other cryptocurrencies without needing to cash out to US dollars or load a plastic card. Instead, just take your phone or tablet into any store that accepts Flexa, tap the brand where you’d like to spend your cryptocurrency, and scan your unique flexcode for payment.This has unlocked immense utility for $BNT as it can now be spent in over 40K locations across the US and Canada.One of these locations happens to be Baskin Robbins:“An american multinational chain of ice cream and cake specialty shop restaurants owned by Inspire Brands”and one of our fellow Bancorians was brave enough to spend some of his hard-earned BNT tokens to buy ice cream 🍦. We all know the story of the infamous Bitcoin individual who spent his $BTC to purchase pizza 🍕 only to immensely regret this decision some years later. Will this be a decision that will come back to haunt 👻 this fellow #Bancorian a few years later? I certainly think so 😉 — @BancorAs part of onboarding $BNT to the Flexa payment network, the Bancor DAO had voted to enable LM rewards on the AMP-BNT pool. True to our promise, liquidity mining went live on the pool shortly thereafter for a duration of 8 weeks. — @FlexaHQ — @MBRichardson87🎲Random MusingsOne of the best collections of Bancor resources that has been put together 👏. Mark’s thread includes videos, tutorials, and other materials that will help any newcomer learn about the Bancor protocol. From getting started with Metamask, limit orders, fiat onramp providers, and token swaps to a collection of podcasts discussing decentralized finance, you will also find a set of ELI5 videos for the most novice of users out there. Overall, this thread includes everything that is required for anyone to be familiarized with V2.1. — @MBRichardson87The il.wtf campaign continues and it was featured in Digifizzy Issue 7 published by Digitalax. This monthly metaverse digital magazine is developed completely in-house and is free to read. Digitalax has also released some Bancor DRIP that has become very popular in our community due to their awesome design. This includes cool 😎 hoodies and tees 👕 (such as the Pool n’ Chill Tee). — @BancorEver Lil Bubble appears to be a fan 😄 — @BancorOur community is one of the best out there and some big brain lads put out two great Twitter threads this week. The first one from AnalyserOver coversDivergence LossOmnipool and how it enables single-hop swapsInfinity pools and superfluid liquidityThe second thread from lesigh3100 talks about the history of the protocol, AMMs, Impermanent Loss, liquidity providers, traders, version 2.1, Bancor 3, and touches on many other topics. Both threads are worth a read and make sure to give them a like for their efforts ♥ — @AnalyserOver — @lesigh3100Last but not least, if you have been active in the Bancor DAO then you would have qualified for the credit account mining from Gearbox Protocol.Gearbox Protocol allows anyone to get leverage in a decentralized way and use it across various other protocols in a composable way: margin trading, leverage farming, and more!About 28 DAO members from the Bancor DAO claimed their $GEAR tokens and have been actively participating in some of the governance proposals. This protocol is very much community-driven and has a fair token launch and distribution. I am very much looking forward to onboarding the GEAR community onto Bancor when the time is right. — @PrimalGlennSome tweets from the official Bancor account in case you missed them — @Bancor — @Bancor — @Bancor🎩Bancorians in the Wild — @CryptoDavid_ — @emmajane1313 — @LinkBall7 — @LinkSemper — @Bancor — @MylarNYC — @PrimalGlenn — @dudewith_camera — @PrimalGlenn — @RealCryptoGraph — @NateHindman — @Bancor — @Banclord — @PrimalGlenn — @Banclord — @Bancor☑Governance👈Previous ProposalsThis past week (12/5/21), we had two proposals on Snapshot that were able to meet quorum and supermajority requirements:Proposal: eRSDL LM extension proposal (2nd attempt)Proposal: Increase Co-Investment Limit to 1M on ARCONA PoolThe following proposal failed to meet quorum and supermajority requirements:Proposal: Whitelist SHEESHA with 100k BNT Co-Investment👉Current ProposalsFor this week (12/12/21), we have two proposals on Snapshot for voting:Proposal: Whitelist Frax Share (FXS) with 100K BNT trading liquidityProposal: Whitelist DUSK with 50K BNT Trading LiquidityProposal: Activate Abstain FeatureHead over to Snapshot to cast your votes on current proposals.❗If you aren’t voting regularly make sure you unstake your vBNT from governance and delegate instead. Self-nominated delegates maintain a page on Discourse to inform other community members of their intended voting behavior. If you disagree with the way your delegate votes, you can always vote manually to override their decision on your behalf.❗☎Bancor Weekly CallIn this week’s Community Call recording, Bancor shared the development updates above and answered questions from the community regarding the upcoming features of Bancor 3 Phase I (Dawn).Q&AHow vBNT works in Bancor 3In Bancor 3, you would still risk having to buy back vBNT at a higher price than you sold it for when you come to unstake your liquidity.In Bancor 3, vBNT will still trade on a bonding curve.When you deposit BNT in V2.1, you still have pool tokens, but you don’t get them; they’re staked immediately in the liquidity protection contract on your behalf. The protocol uses them to track your IL. This means that every user position on Bancor is unique. These are non-fungible, non-composable representations of user value.In Bancor 3 we’re bringing back composability so that Bancor fits better with other DeFi building blocks, so it’s no longer the case that each user has their own specific position. The new pool token is aware of IL, and self-compensates for it.Bancor 3 combines vBNT 1:1 with the pool tokens instead of 1:1 with the number of BNTs used to create the user position like in V2.1, so there’s an implicit change in the value of vBNT. When we launched the Bancor Vortex, it never made sense for vBNT to be more expensive than BNT; if that ever occurred, you could close an arbitrage opportunity by staking BNT, getting vBNT out of it, and selling some of that for additional BNT without relinquishing your ability to unstake. In Bancor 3, there’s still opportunities for arbitrage, but the price that you arbitrage against is no longer the price of BNT, but the price of the pool token, which is fully composable and can be leveraged. Now, vBNT can be worth more than BNT, but you DON’T need to buy more vBNT to unstake your liquidity and the fees and rewards earned.In Bancor 3, you can use your Bancor stake like a personal savings account; vBNT can be leveraged to access value inside of it without having to withdraw it. Interest isn’t charged for borrowing against your stake, but there’s an implied exposure to the price of vBNT.In Bancor 3, there is no way to claim rewards separately to your liquidity. Therefore, the vBNT that you’re issued alongside your stake is needed to claim both your liquidity and your rewards.On the TKN side, vBNT is not needed to withdraw liquidity and rewards, and its pool tokens may serve as collateral elsewhere on DeFi.On Bancor 3, there will be unlimited staking capacity for vBNT, like with all other tokens.BNT rewardsWhen the protocol meets its obligations regarding IL protection with a little extra revenue, it could be possible to distribute this extra revenue to BNT stakers in Bancor 3. This helps the Bancor protocol scale as it offers single-sided staking and IL protection with higher and higher TVL figures going forward as DeFi grows. This means that protocol-invested liquidity can actually be translated to a sustainable source of APY for BNT stakers, i.e. without having to actually mint new BNT.The DAO will decide whether to continue incentivizing rewards on v2.1 once Bancor 3 launches, as well as deciding on the scale and magnitude of rewards on Bancor 3.Autocompounding in Bancor 3 will level the APY playing field between whales and small fish — everyone’s rewards will be auto-compounded at the same rate, unlike in V2.1 where those who can afford to pay gas more frequently get to compound their rewards at a faster rate.Other questionsIf and when tokens aren’t used for market making in Bancor 3, what else would they be used for?This will be followed up on in Sunrise (Phase 2) of Bancor 3.Which protocols are we already in talks with to have our pool token accepted as collateral?Both sides of the agreement are under NDA so we are unable to discuss for the moment, but we can confirm it’s a very long list of interested parties.🤝Connect Projects with Steven, Bancor Business Development Lead:Are there tokens you’re holding that we should whitelist on Bancor? DM @FoxSteven about it or connect us with any community leaders/core contributors on the project. Steven leads all our BD efforts and will connect with the team and work with them to get whitelisted or build a deeper pool.📔Bancor Grants:We have content grants active at all times. Any users that want to create videos or guides, please reach out to Nate Hindman (@NateHindman on Twitter or telegram).We have analytics grants. If you want to work on Bancor data projects or if you are good with working on blockchain data and APIs, we can always use your help!As always, we have rolling developer grants for those who want to build and innovate on Bancor’s infrastructure.📓Bancor Resources:Bancor Staking GuideResources & FAQsBancor DocsVideo: How to stake in Bancor PoolsVideo: How to Earn Fat Yields on BancorVideo: Say ADIOS to Impermanent Loss with Bancor V2Research: Bancor — The World TokenResearch: Impermanent Loss in Uniswap v3Analytics: il.wtfAnalytics: Bancor Dune AnalyticsThe Bancorian | A Weekly Summary-December 12th, 2021 was originally published in Bancor on Medium, where people are continuing the conversation by highlighting and responding to this story.

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