After the recent FUD (fear, uncertainty and doubt) surrounding the departure of Andre Cronje, Solidly is on the move.
And yes, we hate to say we told you so.
After all, when you have a great vessel, and the captain abandons ship, it’s only a matter of time before someone else takes the helm and continues sailing.
So, what is driving this positive price action?
TL;DR:
- Solidly and DEUS pool creation.
- Vote taking place on a US$3 million allocation towards pool.
- US$1.66 per veNFT vote bribe.
Well, a combination of factors.
On the one hand, the sell-off following Andre’s departure saw a great project become temporarily (in our opinion) undervalued.
However, some recent updates could be driving some serious buying.
Solidly and DEUS Finance DAO recently announced a US$3M+ liquidity bootstrapping program.
Its aim is to kickstart the Solidly-Deus ecosystem by incentivizing the DEI/USDC pool and synthetics to generate US$30 billion in volume over the next 30 days.
Solidly and Deus have made a decision that benefits both parties, and their users, as mentioned in their Telegram announcement.
Solidly, which aims to be the number one decentralized exchange (DEX) in volume worldwide, wants to increase fees for the governors of the protocol (veNFT voters), which in turn incentivize liquidity for certain pools generating those fees.
Deus wants to increase DEI usage across its infrastructure to enable deep liquidity for its borrowing platform, as well as the v3 enabled forex, stocks, commodities and synthetics platforms.
They plan to achieve this through a three-step plan:
- Incentivize volume on the DEI / USDC pool directly.
- Implement, together with the $SYNC team, incentives to buy $DEI and trade synthetics via $SYNC on $DEUS.
- Add Forex pairs to Solidly to create another incentive in order to bring volume to Solidly by arbitraging the forex pairs.
A Solidly community vote is currently taking place in which a decision will be made on whether or not to dedicate US$3 million towards the USDC/DEI pool, and create the US$30 billion in volume.
Whether or not it goes ahead, they are nevertheless offering a US$1 million off-chain DEUS bribe for those who will have voted for USDC/DEI this week and didn’t change their votes by Thursday 00:05 UTC. The amount works out to approximately US$1.66 per veNFT vote.
It is estimated that the pool will yield returns of 50-70% annual percentage rate (APR) within the first month, so one can only assume the outcome.
Banter’s take
There is a high possibility that they achieve their goal of becoming the #1 DEX in volume over the course of 2022. So DYOR (do your own research), but also pay attention to how dedicated the teams are. High-achieving, dedicated people and teams, like Vitalik, Do Kwon and Satoshi themselves cannot be stopped.
Solid plan.
Solid team.
Solidly.
