We had been keenly observing the developments happening in the DeFi (Decentralised finance) space and we decided BNS should actively participate in it. Yield farming has been a craze. A lot of the Decentralised Finance tokens which launched in the last 2 months have got into top 100 CMC ranks (SUSHI, YFI, COMP, BAL etc.) Few are already listed on Bitbns and we would list more credible ones and not just go after what’s in craze right now as we understand users trust us in terms of listing credible tokens. We were among the first exchanges to list COMP and BAL globally.
Moving back to what’s decentralised finance. So in decentralised finance the overall premise rests on the fact that smart contracts govern everything including lending, borrowing, interest generation, credit, liquidations etc. Simply put, the role of banks is being done by smart contracts now and as few of these overheads in terms of running an operation, manpower etc are being abstracted away there is larger yield that could be generated. Yields are higher for other reasons as well including inclusion of a token which in itself is getting value attributed to it.
One of the central contexts around DeFi is the concept of Yield farming. What it essentially means is the way you deposit funds in a bank and get returns for fixed deposits similarly here you can lock your crypto assets and get returns in the form of crypto. This in simple words is yield farming where you are locking your assets and you can earn yield in the form of newly generated tokens. Defi has redefined a few things and there is a constant spurt of activity happening there.
Today we are excited to announce we are going the DeFi way. We are launching bns.finance a website where users can deposit tokens which they have and earn yield on it. The initial yield starts really high.
You can check it on the website. Users would get yield in the form of BNSD (BNS defi) a token which we have released specific to this.
What are the salient features of BNSD:
- Super high APYs
- Multiple pools in which you can farm
- Extremely Deflationary release overtime
- Halving built in. 4 halvings happening where block rewards reduce.
- Block rewards started with 1000 rewards per ETH block of BNSD and then was reduced based on halving in the following fashion
- 1000 - 500 1 day from genesis block
- 500 - 250 7 days
- 250-125 30 days
- Now its 25 based on the proposal at Ascent Governance proposed by 0xdd0fD...9317a4E
- Just 4% of rewards are reserved for dev funds. This is lowest in comparison across other defi projects like Sushi
- Best part 50% of the dev funds are used for buying bns on a periodic basis
- Contract is super clean as there is no mint function there except for the block rewards which are happening every block. So there is no risk associated with it. No time lock needed as only BNSChef can mint rewards and those rewards are specific to block
