Balancer is Live on Mode
We are excited to announce that Balancer is now live on Mode, a cutting-edge Modular DeFi Layer 2 solution. By leveraging 80/20 pool technology, yield-bearing infrastructure, and strategic partnerships, we are expanding our ecosystem’s reach and providing innovative solutions to the broader DeFi community.
TL;DR
- Balancer is live on Mode with key liquidity pools leveraging 80/20 technology.
- Initial launch pools: MODE | ezETH, MODE | USDC
- Future expansions will introduce more yield-bearing pools and new partners.
Mode Overview
Mode is a Modular DeFi Layer 2 solution building the Superchain alongside Optimism. It empowers developers and users to create and benefit from a thriving ecosystem of world-class decentralized applications. Powered by the OP Stack, Mode aims to establish the Superchain as the primary DeFi hub.
Key Features
- Ecosystem Growth: Incentivizes contributions through Sequencer Fee Sharing and user referral fees.
- Scalability and Support: Enables developers to build experimental DeFi applications with hands-on support and predictable revenue.
- Low Fees: Offers transaction fees over 95% lower than Ethereum with Optimism’s Bedrock upgrade.
Reward Mechanisms
- Sequencer Fee Sharing: Applications and users scaling the Mode blockchain receive a portion of network sequencer profits.
- Developer Airdrops: Rewards ecosystem contributors with developer airdrops.
- Optimism’s RPG Funding: Supports developers building open-source applications with $2 billion in funding.
- Mode Season 2: Continues to drive growth and innovation within the ecosystem.
Balancer Tech
Balancer is a Decentralized Finance (DeFi) protocol that provides permissionless technology to streamline AMM development for developers and empower liquidity providers with an ever-expanding DEX product suite.
8020 Tokenomics
8020 pools are ideal for asymmetric LP exposure and governance, offering minimized impermanent loss and asymmetric upside while efficiently building native token liquidity. Protocols adopting 8020 tokenomics can reduce the fragmentation of incentivization programs by concentrating native token liquidity. With Balancer’s launch on Mode, a new wave of protocols can join the 8020 Initiative, leveraging advanced governance models and optimizing their tokenomic strategies.
Yield Bearing Tech
Balancer enhances liquidity growth for yield-bearing tokens with Composable Stable Pools. These pools use an inbuilt rate provider to continuously adjust token ratios, ensuring accurate yield accrual for liquidity providers. This technology creates an efficient Liquid Staked Token incentive flywheel, where Balancer captures a yield fee and integrates them into the core pool mechanism. This self-sustaining cycle accelerates liquidity growth. Mode participants can leverage this efficient hub to boost LST growth across the ecosystem.
Building on Balancer
Balancer stands out as a platform that encourages true AMM (Automated Market Maker) experimentation and innovation. Unlike other AMMs with rigid pool types, Balancer supports permissionless iteration and the complete reconstruction of pool designs. This flexibility has empowered teams like Gyroscope and Xave to develop and deploy novel AMMs with streamlined aggregator integrations and seamless connections into the liquidity landscape. With v3 just around the corner, Balancer aims to be the go-to destination for builders looking to contribute to AMM development.
Launch
With the launch on Mode, Balancer introduces key liquidity pools leveraging 80/20 technology and yield-bearing infrastructure to enhance liquidity and capital efficiency. The following pools will be a major focus on launch:
MODE | ezETH 80/20 Pool
This pool allows users to stake MODE and earn OP rewards by staking LP tokens (BPTs). The 80/20 structure minimizes impermanent loss and maximizes upside potential while efficiently building native token liquidity for protocols.
Incentives:
- Receives 2x Renzo points boost on ezETH portion
- Receives 5x Mode points for full TVL
- Receives 22.5k OP from OP Superfest campaign
MODE | USDC 80/20 Pool
Operating similarly to the MODE | ezETH pool, this pool provides another opportunity for users to earn rewards while providing liquidity. The 80/20 structure ensures that liquidity is efficiently managed and users benefit from both stable and volatile asset exposure.
Incentives:
- Receives 5x MODE points on full TVL
- Receives $OP rewards when BPT is staked on Mode’s UI
- Staked BPT counts towards 1.25x/1.5x booster
Outro
Mode’s focus on scalability, low fees, and robust reward mechanisms, combined with Balancer’s innovative liquidity management, creates a synergistic environment for growth. The launch on Mode enhances liquidity provision and paves the way for strategic partnerships and new opportunities. With the upcoming launch of Balancer v3, we are excited to introduce even more features that will empower developers to push the boundaries of custom AMM deployment on Mode. The future looks bright!
