Astro(re)port #7: Astroport to migrate governance and staking to Neutron, $vxASTRO incoming, all-time volume records, PCL deployments and more
Welcome to Astro(re)port #7… a look back at Astroport’s Top 10 announcements and developments from October 2023.
#1: Astroport to migrate governance and staking to Neutron
On Earth Date October 8, 2023, Astroport stakers voted to move Astroport’s governance and staking hub from Terra to Neutron. The move has 2 core goals:
- Enshrine Astroport as the key AMM in the ATOM Economic Zone
- Position Neutron as the base for any new multi-chain project in the Cosmos
To ensure №1 is possible, Astroport contributors agreed to launch the long-awaited $vxASTRO (designed to ignite “Astro Wars II” in the Cosmos) and a generalized Curve-style “bribes” protocol on Neutron.
To align incentives & give the Neutron community a strong voice in Astroport’s governance (including the upcoming “ASTRO Wars II”), the two communities will also engage in mutual grants of $ASTRO and $NTRN to one another.
Meanwhile, Astroport will continue to maintain outposts and deploy new ones anywhere liquidity is needed in the Cosmos (including on Terra!). Learn more in the original forum post now.
#2: Astroport hits new all-time high volume record since protocol’s relaunch
Since relaunching on Terra and expanding to three new Cosmos chains (Neutron, Injective and Sei), Astroport hit an all-time volume record of more than $17 million over a 24-hour period on Oct. 11. h/t to Diversitas_LTD for being the first to report the new record!
#3: Lido Wrapped Staked ETH $wstETH debuts on Astroport
$wstETH (wrapped stETH) is a non-rebasing version of Lido’s $stETH where your balance remains constant and network rewards accrue in the form of a higher $wstETH price. This is different from $stETH, which uses rebases to increase your $stETH balance over time. By eliminating rebases, $wstETH is far more composable with DeFi protocols than vanilla $stETH.
Designed as a hub for for liquid staking tokens, Neutron is a natural home for $wstETH liquidity. And Astroport’s Neutron outpost is now rewarding LPs in the wstETH-axlETH pool with $wstETH rewards. That’s helped the pool attract more than $5 million in deposits — all of which are earning an APY of ~9% at the time of this writing. Learn more about $wstETH and how to trade or LP in the pool in Astroport’s Neutron Starter Pack now or voyage directly to Astroport’s pools page on Neutron here.
#4: After a successful launch on Terra, Astroport to deploy passive concentrated liquidity (PCL) on Neutron
In a vote that concluded on Oct. 30, $xASTRO stakers elected to deploy Astroport’s passive concentrated liquidity pools (PCL) on Neutron. Much like stableswap pools, which concentrate liquidity at a 1:1 ratio, PCL uses advanced algorithms to amplify liquidity around moving price points. This allows even non-stablecoin token pairs to enjoy improved efficiency. First launched on Terra, PCL has demonstrated 2–3x better swap execution than comparable XYK pools. After the initial PCL infrastructure is deployed on Neutron, pool migrations can begin with governance approval.
#5: Rewards on Terra outposts migrated from XYK to more efficient PCL pools
Astroport contributors first launched passive concentrated liquidity (PCL) on a single pool on Terra. After a trial period, more constant product (XYK) pools have migrated with governance approval.
Now, $ASTRO rewards have begun migrating from XYK to PCL pools, too. That means LPs can earn $ASTRO as well as variable fees — all while traders enjoy better pricing, even on pools with less depth than they might have had in an XYK pool. Check out the variety of pools (and their APYs) on Terra now at terra.astroport.fi/pools.
#6: Persistence proposes deploying 300k $ATOM / $stkATOM on Astroport
A fresh proposal on the Cosmos Hub forum aims to allocate 600k $ATOM for the growth of $ATOM liquid staking with $stkATOM. Per the proposal, 50% of the total liquidity (300k $ATOM) would be deployed on Astroport’s Neutron outpost. The move would significantly deepen liquidity on Astroport and Neutron, and help Neutron unlock its potential as the premier Cosmos hub for liquid staking. Learn more and weigh in now.
#7: New proposal would enable buy and sell taxes on specific Astroport pools
With the popularity of buy/sell taxes on several popular Ethereum protocols including $ATOR and $UNIBOT, ApolloDAO has proposed adding buy/sell tax capabilities to Astroport pools. Not only do taxes provide a new mechanism to fund teams, but they can potentially benefit longer term holders via staking rewards. Taxes could even provide a way for projects to accumulate $ASTRO to boost their LP APR with the upcoming launch of $vxASTRO. Learn more and join the conversation now.
#8: $ASTRO buybacks initiated on Neutron
With every trade on Astroport, fees are collected. Astroport’s Maker contract then does two things. First, it swaps those fee tokens to $ASTRO. Then, it deposits that $ASTRO in the $xASTRO staking pool. Distribution from the Maker deployment on Neutron was recently activated, so $xASTRO stakers are now earning a portion of all trading fees generated on the Neutron outpost (in addition to fees on Terra, Injective and Sei). Stake your $ASTRO for $xASTRO on Terra mainnet now.
#9: $ASTRO staking APY tops 100%
With the activation of $ASTRO buybacks on Neutron, a significant chunk of accumulated swap fees on Neutron were converted to $ASTRO and deposited in the $xASTRO staking pool. That has temporarily pushed the staking rewards on Astroport north of 100%. Check the latest numbers now at app.astroport.fi/governance.
#10: Money market Nolus proposes bootstrapping liquidity on Astroport
The novel credit protocol, Nolus, enables token leasing, which allows borrowers to tap up to 150% of the value of their deposited capital. Currently live on Osmosis, Nolus is looking to expand to Neutron. As part of that process, Nolus has submitted a proposal on Neutron’s forums to seed a new Neutron-Nolus XYK (NTRN/NLS) pool on Astroport with $100k in NTRN and $100k in NLS. Join the conversation now.
- Eris has launched new PCL-based amp pools on Astroport’s Terra outpost (link)
- Entangle enables staking LP tokens in exchange for a liquid LSD token. Contributors at Astroport and Entangle joined an X Space to uncover potential synergies between the protocols (link)
- Leap wallet now gives users a single dashboard to view all of their $NTRN LP positions (link)
- Dagora drops Astroport NFTs on Injective (link)
- On Earth Date Oct. 26, Astroport pools took 3 of the Top 10 spots by volume across all Cosmos chains (link)
- ROAR incentives were migrated to the new ROAR-LUNA PCL pool on Astroport’s Terra outpost (link)
Highlights complete, Astronauts! Transporters are standing by to take you to the mothership now: app.astroport.fi.
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Remember, Terra, Injective, Neutron and Astroport are experimental technologies. This article does not constitute investment advice and is subject to and limited by the Astroport disclaimers, which you should review before interacting with the protocol.