Hi @frondoto! It’s been a few months since your OP grant distribution, checking in to see if there is a grant update you can share with the community?
Thank you @lavande for opening the thread again. Here is a quick update of what we have been working on with our proposal. I wanted to pull up some graphs about our vaults but our DB is currently down, but will definitely do that in the next update.
Beefy’s Optimism grant proposal got approved on the 3rd of August. Beefy’s TVL at the time was $10M.
Less than 6 months later we are currently sitting at $50M TVL, meaning a 5 fold increase in TVL despite the market not changing significantly in that period.
Beefy received 650,000 OP tokens, comparing the amount of OP tokens/TVL, Beefy’s proposal was one of the most efficient in terms of acquiring new users and deposits. We believe that the nature of the multi-chain app made it super easy for users to move their funds to Optimism, to capture the most attractive yields.
We requested the grant to cover 3 fronts, get BIFI liquidity on Optimism, put Optimism protocols on the spotlight and introduce them to our users, and an allocation to cover development efforts/costs.
In terms of the BIFI liquidity, as soon as we received the grant, we reached out to our Velodrome frens, which made it extremely easy and frictionless to get liquidity for our pair.
We are currently bribing veVELO holders (and getting matching bribes from Velodrome) for a total of 4380 OP weekly in BIFI-OP and BIFI-ETH, making Optimism the best blockchain to trade BIFI. https://twitter.com/beefyfinance/status/1612531815591321611
In terms of ecosystem boosts, we showcased Synthetix (SNX-USDC, sUSD-3pool), Velodrome (VELO-USDC), and Lido (wstETH-ETH, wstETH-LDO).
We also ran a small campaign with Layer3 to reward Optimism users to try our newly developed Zap function. METRICS.
We are continuingly looking for new protocols to boost, currently looking at KWENTA, SONNE, and other protocols stepping hard in Optimism.
In terms of developer allocation, we reimbursed developers that deployed new strategies and vaults. This generated that Beefy has the most complete offering for auto-compounding vaults on Optimism (We support almost any platform that passed our safety requirements) for a current total of 83 vaults. This developer allocation also helped us incentivize the creation of beVELO, the auto-compounding version of locked VELO. beVELO currently is the address with the most VELO locked.
You can see here a live tracker of how we are spending our grant: Microsoft Power BI
Overall the grant allowed us not only to acquire new users, but also to create strong relationships with tier 1 protocols on Optimism.
Thanks to DefiLlama we can see how steady Beefy’s TVL is growing on Optimism currently sitting at all time highs.
I hope this info is useful and looking forward if you have questions or doubts about our data!
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Hello Optimism delegates, @PGov, and Superchain users.
We are sharing an update on this first proposal: Beefy received the OP grant 2 years and 3 months ago. Currently, we have distributed 80.22% of the grant (521,423 OP).
Every transaction spending our Optimism grant can be tracked here. The Dev allocation was spent on building cool stuff on Optimism. Just for measure, we deployed more than 800 contracts on Optimism. Most of this budget was spent on paying for audits for the Velodrome CLM. Also, Optimism was the first chain to get the Beefy Zap feature deployed, allowing users to enter and exit any vault with any token. Additionally, we redeployed our BIFI token, making it Optimism-exclusive for all of this time (now we have also deployed it on Base).
Regarding the tokens for BIFI liquidity, with OP token appreciation, we discovered that it was not necessary to do such high bribes, but it was smarter to make it last longer and secure more runway to bribe veVELO holders for incentives. (We started bribing 2,500 OP; now we are at around 600 OP depending on the epoch.) This strategy worked great and also helped us with a relatively new initiative: the Beefy profit distribution, where we distribute excess earnings from other chains as boosts in vaults/CLMs. Optimism and Base are where most of these incentives are going. Currently, that bucket is at 79.66%.
Lastly, the biggest bucket is Optimism Ecosystem Boosts, which is sitting at 74.68% completion. We used it to:
- Kickstart Velodrome CLMs. Initial rewards take one day to accrue in Velodrome CLMs, so adding rewards here was key.
- Match boost rewards with our partners, namely Overnight boosts, Balancer/Aura boosts, and Frax boosts.
Beefy is currently the 8th biggest protocol on Optimism and offers the widest investing opportunities, with more than 180 active products to choose from—from traditional vaults to our newest product built on top of Velodrome and Uniswap, the Beefy CLM. This success is a combination of constant improvements on Optimism (new protocols, new tools, new incentives) and Beefy app and contract developments. We still have 128,577 OP tokens to distribute.
I’m looking forward to hearing your thoughts. Let me know if you would like to receive more info on anything in particular. Thanks!
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