Sharknode - An elastic supply cryptocurrency pegged to the price of a RenVM darknode
I have been skeptical of many rebase tokens, but I was recently inspired by BadgerDao’s DIGG, an elastic supply token pegged to the price of bitcoin. Watching Badgerdao and Digg gain adoption(Digg’s current fully diluted valuation stands at $373m) I think a rebase token may serve a valuable purpose if it has the right motivations and can build synergies in the space. Badgerdao’s mission with Digg was building products and infrastructure to bring Bitcoin to DeFi. In this case, I think Sharknode can do the same for other off-chain assets currently bridged to Ethereum through Renvm. This project can promote interoperability and off-chain liquidity making its way to Ethereum. It can also be used as a tool to hedge against Ren volatility, speculate on the price of a darknode, and provide more utility for the Ren token.
1 SHARK will be pegged to 100,000 Ren, the price of a darknode. Initially Sharknode will launch without rebasing, but with a YFI/Sushiswap/Yam like distribution. Users will stake renBTC/ETh, renDoge/ETH, renFIL/ETH, renZEC/ETH, Yam/ETH, Ren/ETH, and Sushi/ETH pool tokens to yield farm SHARK. A management fee token distribution will be agreed on by Yam governance, for Yam creating and maintaining the protocol.
I think this product can build many synergies in the space. Watching Yam build uStonk to support the Wallstreetbets community with UMA, I think this furthers Yam’s mission of innovating, building synergies with other crypto/investment communities and advancing the Ethereum network. I chose Sushiswap because they are innovating on their own front and currently incentivizing a renDOGE/ETH pool, a Ren/ETH pool and with a renFIL/ETH pool likely on the way. Sushiswap could become the off-chain liquidity hub for Ethereum, jump started by Yam. I would also like to see RenVM and renFIL gain more adoption on Ethereum. Filecoin and IPFS are so vital to decentralization but renFIL lacks liquidity on Ethereum, in turn slowing its adoption in defi. Also, I am an analyst by trade and have been following/participating in Yam since the beginning. I would likely create a Team proposal for myself if this product is deemed valuable by Yam governance.
Specifications - How am I proposing it is accomplished?
I have had success with proposals on other protocols and I’m an active member in the Ren and Sushiswap communities. I can work on getting them on board with additionally incentivizing the Yam/ETH pool and the other ren asset pools. The yam team has worked on yield farming distributions and rebasing in the past so this project would rely on their expertise in developing.