Conic Finance: Pre-Launch Announcement
Introducing Conic Finance, an easy-to-use platform built for liquidity providers to easily diversify their exposure to multiple Curve pools. The vision of Conic is to empower members of the Curve and Convex community to take an active role in optimally balancing liquidity across Curve pools.
Conic Finance has no deposit or withdrawal fees. There are also no performance fees charged on CRV and CVX tokens.
Conic Finance is a community-led project and has not been officially audited. There are no VCs and only an initial community raise will be done. The raised funds will be used to cover development costs and an audit.
How does Conic Finance work?
- Can deposit a single token (e.g. DAI or USDC) into a Conic Finance pool
- Conic Finance deposits the token into a combination of approved Curve pools and stakes the Curve pool LP tokens on Convex
- LPs receive Conic Finance LP tokens (e.g. cncDAI, cncUSDC)
- LPs receive CRV, CVX and CNC tokens
- Extra reward tokens (e.g. SPELL, LDO, FXS) are periodically sold off for a pool’s underlying token and auto-compounded
- LPs can withdraw their funds at any time with no fees
- Can lock their CNC tokens for vlCNC
- vlCNC holders can take part in a biweekly liquidity vote, whereby the weights that determine how much liquidity of an asset a particular Curve pool receives are updated.
- vlCNC holders can vote on whitelisting and blacklisting Curve pools that can be used to receive liquidity.
- vlCNC holders vote on which assets get added to the platform.
- If decided by vlCNC holders, platform fees could potentially be introduced and paid out to vlCNC holders.
What are Omnipools?
Conic Finance introduces the construct of Omnipools. These are liquidity pools that allocate liquidity of one asset across multiple Curve pools. The LP token a liquidity provider receives is therefore representing the liquidity provider’s share of liquidity across multiple Curve pools.
Why Conic Finance?
Convex Finance is ideal for boosting CRV emissions for Curve liquidity providers. However, there is currently no protocol that allows non-LPs to take part in the decision-making process of how liquidity should be best allocated across Curve pools. Furthermore, with an increasing number of Curve pools, it becomes increasingly difficult for liquidity providers to allocate their funds to different pools in optimal and economically secure ways. Rebalancing liquidity across pools can also be very expensive in terms of gas.
Conic Finance solves this by offering a simple solution to liquidity providers that want exposure to multiple Curve pools and not rebalance their allocation themselves when CRV inflation weights change. Conic Finance relies on a community-led approach for determining how liquidity should be optimally allocated across Curve pools.
As Conic Finance is a community-led project, there has been an internal decision against working with VCs. Instead, the project will raise funds from the community by selling off a share of the CNC supply. Funds will be used to cover development costs and pay for an audit. Any excess will be allocated to the treasury and can be used as decided by vlCNC holders.
Conic Finance Airdrop
Conic Finance will airdrop a significant share of the total CNC supply to current vlCVX holders. A more detailed blog post on the Airdrop specifics will follow soon.
There will be a CNC/ETH factory pool on Curve and stakers of the CNC/ETH Curve LP token will be incentivized by CNC tokens. Ultimately, the aim is to also receive enough community support to pass a proposal for a Curve gauge for the CNC/ETH pool.
There is a maximum supply of 10 million CNC tokens. The total supply will be distributed as follows:
- vlCVX holders: 10%
- Community raise: 30%
- Liquidity providers: 44%
- Treasury: 6% (5% 1 year linear vesting and 1% unvested at launch used to seed the AMM pool)
- AMM Stakers: 10% (Distributed to stakers of the Curve factory pool CNC/ETH LP token)
Conic Finance does not stake any received CRV or CVX tokens on Convex. Only the Curve LP tokens are staked on Convex. If LPs want to stake their CRV or CVX, they will first need to claim them on Conic Finance.
The Curve and Convex community is the most advanced DeFi community and has consistently shown that community-led innovation is not only possible but also sustainable. Conic Finance was designed and built with the sole purpose to complement Curve and Convex and to further empower community members when it comes to making optimal decisions in the interest of the wider Curve community.
All votes vlCNC voting will be done via Snapshot. There is a Conic Finance multi-sig that will execute the vote outcomes and be in control of the treasury. For the multi-sig, some of the key contributors and leaders of the Curve community will be selected. The treasury funds are intended to be used to fund initiatives and contributions that are beneficial to the Curve, Convex and Conic community.
Follow Conic Finance
- Twitter: https://twitter.com/ConicFinance
- Discord: https://discord.com/invite/conicfinance