USDCv3 Incentivized Beta Goes Live, Vespernaut Community Grows
Also: Gauntlet proposal passes, ambassador orientation scheduled, plus Consensus, Bad Crypto, and more.
USDC v3 (Incentivized Beta) Pool Goes Live
The much-awaited USDCv3 pool has launched on Vesper’s beta site and is currently accepting deposits.
As part of the incentivized beta, 50,000 VSP tokens will be paid to participants. To receive your share, all you have to do is deposit USDC into the vUSDC-v3 pool. For full details on the vUSDC-v3 beta please read this Medium article. Those who participated in the original incentivized beta prior to Vesper’s launch know well how the math works — your share of the 50,000 VSP is based on your average share of the pool’s USDC deposits as well as the length of time that deposit stayed in the pool.
As a reminder, all withdrawal fees on the original vUSDC pool will be waived starting on June 1st for those wishing to migrate to the new strategy.
Gauntlet Proposal Passes
Last week, we featured the Gauntlet Network’s proposal to partner with Vesper in order to create an on-chain risk management system for Vesper pools. The Gauntlet team published a VIP and it went to a vote, which was approved by vVSP holders.
This proposal outlines a risk management buildout that will analyze metrics like price trends, gas prices, liquidity trends on DeFi protocols, and more to enable a dynamic approach to risk management on associated strategies.
On the front end, this takes the form of a comprehensive risk dashboard users can access to see live statistics on pools and have a more intuitive understanding of the risk involved. This allows users to make more informed decisions without having to parse through source code and transaction hashes.
On the back end, this allows us to replace the static “high water” and “lower water” collateral benchmarks with a dynamic targeting: more aggressive when markets are behaving normally and more conservative under times of uncertainty. This translates to strategies that simultaneously more secure and producing higher yield.
Vesper Community Grows
The Vesper community continues to self-organize and expand, with multiple community members adopting some variation of “Vesper” as their noms d’internet. This week, community member @Vespernauts put out an offer to help other Vespernauts change their Twitter profile pictures to feature the Vesper logo. @VesperYoda was first in line followed by a handful of many more.
Check out a few of the images below:
Also observed in the wild: VSP Panda:
Insight of the Week
Users have been noticing the hugely attractive APY in the vVSP pool this month, on several occasions reaching about 1,400%. Why is that?
To start, we recommend you to read about the Vesper Revenue model, which explains where the returns in the vVSP pool come from. Once you’ve read that, head over to the (unofficial) Vespernaut-built simulation tool.
The simulation shows you three scenarios. The first one shows what happens to the APY when the VSP price changes, while keeping other parameters at a fixed value. This scenario comes close to what happened in the last weeks. While the TVL in the vVSP pools and the revenue this month remained steady, the price of VSP was lower. For that reason, one could buy more VSP on the open market with similar revenue numbers, increasing the APY. Scenario 2 shows what happens if the Vesper revenue changes, while the price of VSP stays constant. The result is that one could buy more VSP because Vesper generated more profits while the VSP price stayed steady, thus increasing the APY. The final scenario shows how much revenue Vesper has to generate to keep a constant APY with VSP price changes.
Jeff Garzik on the Bad Crypto Podcast
We encourage you to listen to the full episode here, covering everything from The Great Slashdotting of 2010 up until more or less that afternoon:
Want just the Vesper parts? You can fast-forward to around 22'33" or check out these excerpts below:
Global Ambassador Orientation
The official orientation for our global ambassadors takes place next week. Stay tuned for more updates. And it’s not too late to sign up for the second wave.
Matthew Roszak Speaks at Consensus 2021
Consensus is one of crypto’s biggest annual gatherings, now in its second year as a largely virtual affair. Joining a panel with representatives from Dharma and Crypto.Com, Vesper co-founder Matthew Roszak discussed the expansion of DeFi and what it takes to grow the category.
As soon as recordings come up, we’ll be sure to share.
Odds and Ends
A first for this section: A contribution from a partner!
As always, keep up with Vesper on: