Rainbow Boost 3.0 will launch on August 8, with 5 rounds of airdrops coming up.
The second round of KSMs in the Kusama Crowdloans will be released on August 8th 2022, with approximately 1,251,097 KSMs to be unlocked at this time. As first Kusama and later Polkadot demonstrated, this Crowdloan model is an efficient way to bootstrap a project. However, the inability to use its funds during the staking lock-up period, places the opportunity cost and market risk on the shoulders of the investor, who is therefore less enticed to invest in the ecosystem.
The SALP protocol is designed to free up KSM / DOT liquidity locked up in Crowdloan by users, through the generation of derivative assets. SALP significantly increases the utilization of funds in Crowdloans and attracts more participants who are concerned about the lock-up period to support slot auctions. From a project side, SALP increases the chances of successful bids.
In the second round of Kusama slot auction, Basilisk, Altair, Heiko, Kintsugi partnered with Bifrost and received contributions for their parachain slots through the SALP protocol. On August 8, since parachain slots for these projects are going to expire, users will need to redeem an equal amount of vsKSM and vsBond in exchange for the original KSMs contributed, through the bifrost.app.
Bifrost has come up with a solution for investors: the vKSM.
vKSM breaks the Staking Dilemma
Bifrost’s SLP protocol, launched in May this year, supports the minting of native KSM into vKSM, focusing on asset liquidity and multiple returns for users after participating in Staking. Since Kusama is a NPOS consensus blockchain, user’s staked KSMs are locked up to ensure the security of the network and cannot be transferred or invested.
Users are also unable to exit Staking immediately and they need to wait an unlocking period to gain full liquidity of their unstaked assets, which reduces liquidity and prevents the value of assets, especially native assets, from being fully utilized.
The vKSM, minted via the SLP protocol, is a liquid, yield earning representation of a users staked KSM tokens, Users holding vKSM earn KSM staking rewards (the vKSM you hold is worth more KSM every day), thus compounding staking liquidity and create new use cases for DeFi users.
A user can redeem the corresponding assets at any time using the vKSM. As each user pledges assets for a different period of time, income from staking may vary. vKSM is designed to be a homogenous token that can be split to better meet the needs of multiple users. We detailed the benefits of vKSM in our article “Bifrost Staking Liquidity Protocol Goes Live. vKSM Becomes First Supported Asset”.
Rainbow Boost 3.0
The Rainbow Boost, launched by Bifrost in May, is a system for tagging, crediting, and incentivizing the behavior of users on the Bifrost chain. Meeting certain behaviors during the Rainbow Boost program will award the addresses with a so-called Raindrop
The launch of this Rainbow Boost encourages users to do more investment, promotes liquidity a more dynamic market behavior, enriches the StakeFi’s ecosystem applications, and shows us the appeal of the underlying consensus mechanism of the blockchain - i.e. providing users who actively participate and build the community with a greater amount of incentives and benefits, enabling shared revenue. To better understand the Rainbow Boost, we released a Q&A-style Understanding Rainbow Boost Loyalty Program on August 3, which gives a detailed analysis of its dynamics.
The third round of the Rainbow Boost will kick off at 3am UTC on August 8 and it will end at 10am UTC on August 23. It’s worth mentioning that, like the first round of Rainbow Boost, the Rainbow Boost 3.0 will feature multiple rounds of airdrops and rewards. The more Raindrop points you have, the more Raindrop rewards you will be able to divide up in each round. There are three ways to earn Raindrop points.
- Receive 2,000 Raindrops if the user participated in any of the Kusama Crowdloan
- Mint one vKSM to get 1,000 Raindrops (vKSM can be unstake after the event)
- Invite friends and both the inviter and the invitee will receive additional 1000 Raindrops
To keep track of Raindrop airdrop participation dates, all airdrops will be awarded by September 10, after the end of the Rainbow Boost, and the snapshot timeline (UTC) of the participating addresses for the 5 rounds of Raindrop drops at the following:
- 8/11 10am Calamari Airdrop
- 8/14 10am Basilisk Airdrop
- 8/17 10am Altair Airdrop
- 8/20 10am Heiko Airdrop
- 8/23 10am Kintsugi Airdrop
Campaign Webpage: https://bifrost.app/dashboard/boost
Based on the positive feedback from the first two rounds, a new invitation mechanism has been added to the previous Raindrop rules to promote the spread of the campaign and encourage more users to join. This rule significantly lowers the participation and earning threshold for Rainbow Boost 3.0, making it truly rewarding to participate.
vKSM Farming is a single token farming project, with no exposure to the impermanent loss, that maximizes the protection of the user’s token and enhances multiple benefits. Participants in vKSM Farming, who mint vKSM in the Rainbow Boost 3.0 campaign, receive more Raindrop as well as Farming revenue, and directly benefit from the triple rewards during the campaign.
Back to Asgard NFT Whitelist
As an incentive to be part of the Rainbow Boost 3.0, there is the possibility for the top 100 addresses with the highest Raindrop point, to be whitelisted for our Back To Asgard NFT Collection. If you have already been whitelisted in the second Rainbow Boost, we will not be issuing additional whitelists, ensuring only one whitelist per address.
The Back to Asgard series of NFT incubators will be soon available for purchase. This collection will be available for a selected number of users who will receive benefits including airdrops, extra rewards and a dedicated customer service. 1000 NFT whitelist spots will be issued at various times.
The first two rounds of Rainbow Boost have received wide support from the community and users, which also reflects Bifrost’s original intention to provide investors with multiple returns, release liquidity for the market, and promote ecological and community development. It also promotes the underlying consensus of building a community and sharing benefits. Rainbow Boost 3.0 will try to follow the path of the first two rounds and continue to provide investors with more income possibilities and investment options.
The Rainbow Boost was launched as part of a community loyalty program. For example, the design of Raindrop enables the decentralized community to have a quantitative contribution record, allowing the community to provide more incentives and privileges for active users from the perspective of consensus contribution. The higher the level of activity, loyalty and participation, it also means that you can get more privileges and more preferential treatment in the community. Users with equal rights and levels of participation and co-creation, participation, contribution and other behaviors themselves are the sources of recognition and encouragement in the community.
The implementation of Rainbow Boost is a regular expression of the establishment of a decentralized community, and an innovative move that allows users to perceive and enjoy the charm of a decentralized community more.