Synapse Protocol
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Synapse Protocol

Trisolaris integrates nUSD to increase bridge liquidity on the Aurora blockchain

We are thrilled to share that Trisolaris, the largest and most-widely used DEX on the Aurora blockchain, has integrated nUSD into their platform. The addition of nUSD increases the total amount of available bridge liquidity that Synapse users can access to bridge into and out of Aurora. Together with Trisolaris, we are building the most liquid bridge on Aurora and the main gateway into/out of Aurora.

Trisolaris users can now access a new metapool comprised of nUSD and a USDC/USDT 2pool. LPs are able to deposit either nUSD, USDC, or USDT and earn a combination of trading fees, TRI rewards and SYN rewards. Users can tap into the pool’s liquidity to both swap stablecoins and to bridge stablecoins into and out of Aurora.

The launch of nUSD on Trisolaris will drastically expand nUSD’s distribution on the Aurora blockchain and also help make Trisolaris the go-to on-ramp for users who want to enter the ecosystem.

It is also another example of a protocol using Synapse’s bridge infrastructure and Synapse xAssets to build new use cases on its platform and develop an innovative source of volume and revenues.

nUSD Overview

For context, nUSD is our “nexus asset” that serves as the base bridging asset in our liquidity-based bridging model. Synapse facilitates the bridging of assets via two methods: 1) liquidity-based bridging and 2) canonical token bridging. For a detailed overview of the two, we’ve written a twitter thread outlining both methods:

Liquidity-based bridging is how Synapse enables users to bridge native assets across all of our supported blockchains. Native assets refers to assets that have been deployed on the underlying blockchain as opposed to being wrapped in new bridging smart contracts.

In the liquidity-based bridging model, AMM liquidity pools comprised of either ETH or stablecoins are deployed across every chain and a stableswap algorithm is used to dynamically price bridging demand and more efficiently route cross-chain liquidity. At the heart of liquidity-based bridging are our “nexus” assets, nUSD and nETH. These two assets are the actual assets that are moved between chains. Each of them is backed fully by the corresponding AMM pools on Ethereum, which are also referred to as the “nexus pools.”

For example, if a user who wants to bridge native USDC on Ethereum to native USDC on Arbitrum, the USDC on Ethereum is deposited into the stablecoin nexus pool, creating new nUSD. That nUSD is then locked in the bridging contract on Ethereum. Then, nUSD is minted on Arbitrum and swapped for native USDC in our Arbitrum stableswap pool. Now the user has native USDC on Arbitrum that they can use throughout Arbitrum’s dapp ecosystem.

nUSD 🤝 Trisolaris

nUSD on Trisolaris means that Trisolaris stablepools becomes a main source of bridging liquidity for Synapse users who want to bridge into and out of Aurora. Synapse users will continue to be able to bridge their funds through the Synapse UIand, in the backend, the bridge will route the cross-chain flows through the Trisolaris pool.

This partnership highlights the power of nUSD as a tool both for bridge users as well as DEXs deployed on any of the blockchains we support. For bridge users, additional nUSD distribution provides them with a more affordable bridging experience and more liquid bridge, allowing them to bridge in an ever increasing amount of capital with nearly no slippage. For DEXs, nUSD presents a new method for them to capture increased volume and swap fees: their stablepools can not only earn fees from stableswaps but also cross-chain flows, leading to an increased capital efficiency.

Trisolaris is the largest DEX on the Aurora blockchain, currently boasting nearly $50 million in TVL and being the main source of liquidity for many of the ecosystem’s native assets. Trisolaris targets $100m TVL in stablepool alone the nUSD pool will become an integrant part of it. Aurora is an EVM compatible blockchain for the NEAR ecosystem with nearly no gas fees. Aurora boasts over 4 million unique addresses and processes close to 100k unique transactions per day. As the Aurora ecosystem grows, nUSD, and the Synapse Protocol more broadly, will continue to be the #1 way to onboard new users into Aurora.

The new Trisolaris metapool, powered by Synapse’s nUSD, will connect Aurora to 12 different chains.

How to Bridge to Aurora

The bridging experience will be unchanged: users will still be able to bridge via the Synapse UI and, in the back-end, the bridge will route through the new Trisolaris pool and tap into its deep liquidity.

Through that pool, Aurora will be connected to 12 different chains: Ethereum, Arbitrum, Avalanche, BNB Chain, Boba, Cronos, DFK Chain, Fantom, Harmony, Metis, Optimism and Polygon.

For users which are not familiar with the Synapse bridge, they can follow those steps to bridge their funds:

  1. Navigate to the “Bridge” tab in the Synapse app
  2. Select the network that they wish to transfer funds out of using the “From” dropdown menu (if necessary, accept the request in your wallet to switch networks to that chain)
  3. Select the assets that they wish to bridge from the dropdown menu to the right of the input field
  4. Select the destination chain from the “To” dropdown menu.
  5. Input the amount that they would like to transfer into the number field
  6. Make sure that the amount they will be receiving appears correct, and click “Approve Token” to grant Synapse approval to spend the stablecoin they are swapping
  7. Click “Bridge Token” after the approval has been confirmed to bridge your funds.

Bridging stables into/from Aurora via Synapse typically takes 1 to 5 minutes (depending on the speed of the other blockchain the user is interacting with). If you face any issues in bridging your funds into Aurora, you can reach in the Synapse Discord.

At a later stage, the Synapse bridge will directly be integrated into the Trisolaris frontend, also allowing Trisolaris users to bridge their funds in and out of Aurora via Synapse, without ever having to leave the DEX.

How to provide liquidity in the pool

LPs can deposit assets via the Trisolaris front end on their pool page. For any users that need to bridge funds into Aurora in order to deposit their LP, it can be done as always via the Synapse UI as described just above.

Similarly to the existing Synapse pools, a user can provide liquidity in the form of any stablecoin that constitutes the metapool (nUSD, USDC and USDT).

There is a bonus or penalty fee assessed for providing assets that are under-or over-provided in the pool. A liquidity provider can ensure that it will have no price impact by providing all of the assets in the pool in the same proportion, or ensure that it will benefit from the greatest positive bonus by depositing the most under-provided asset.

Existing SYN rewards in the current Synapse pool on Aurora will be progressively turned off to incentivise liquidity providers to move to the new and deeper pool hosted by Trisolaris.

Metapool Info

  • nUSD <> USDC/USDT (LP address: 0xffb69779f14E851A8c550Bf5bB1933c44BBDE129)
  • nUSD address: 0x07379565cD8B0CaE7c60Dc78e7f601b34AF2A21c

A farm with dual rewards is scheduled to launch Monday June 20th, 2022. 80k TRI and 40k SYN per week will be distributed to farmers over the period of 3 months.

nUSD Expansion

Synapse xAssets, such as nUSD are a powerful tool, for DEXs that want to increase their users, trading volume and revenues.

By integrating nUSD into their platform, any DEXs can become a new source of bridging liquidity that every Synapse user can tap into. This improves the capital efficiency of any stablepool but also means that DEX can start benefiting from cross-chain flows. Additionally, it establishes them as the natural place for any user who arrives for the first time on a chain, to start to swap assets and provide liquidity.

Synapse can help projects to benefit from such an integration, on any chain, whether it is already deployed on or not.

If your project is interested in integrating Synapse xAssets such as nUSD, please reach out to us in the Synapse Protocol discord.

About Synapse

Synapse is a universal cross-chain liquidity network that connects blockchains by offering an extensible cross-chain communication protocol that supports assets, smart contract calls, and more. By leveraging Synapse, blockchains can easily and securely interoperate with each other, and developers can build truly cross-chain applications including cross-chain DEX, lending platforms, margining systems, derivatives markets, yield aggregators, and much more.

The first application built using this cross-chain protocol is the Synapse Bridge, which uses AMMs deployed across 15+ EVM and non-EVM blockchains to help users seamlessly transfer assets between all chains.

Website | Documentation | Twitter | Discord | Telegram

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