Editors Note: This article comes fromChatting with Xiaozha (ID: xiaonazha88), reprinted by Odaily with authorization.
Editors Note: This article comes from
Chatting with Xiaozha (ID: xiaonazha88)
, reprinted by Odaily with authorization.
The top 5 DeFi projects that were previously listed as key unissued tokens, now BZRX has started liquidity mining.
With the wealth creation effect of COMP and BAL before, when BZRX announced the liquidity mining plan, it received a lot of market attention, and the second and third tier exchanges competed fancy.
So can BZRX be as crazy as COMP and BAL?
1. Introduction to BZRX
BZRX is the governance token of the bZx protocol.
bZx is a collection of smart contracts built on the Ethereum blockchain, focusing on cryptocurrency loans and margin transactions. BZRX tokens act as governance tokens on the bZx platform.
Like Compound, it belongs to the DeFi mortgage lending track, so I won’t go into details about bZx’s mortgage lending model. If you know Compound, you probably know a little bit about it.
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2. BZRX liquidity mining, the team controls the circulation to a minimum
0x56d811088235F11C8920698a204A5010a788f4b3。
After COMP mining became popular, many projects began to propose liquidity mining plans, including bZx.
On July 1, the bZx protocol announced two new proposals to update the economic model of its governance token BZRX, including a fee sharing plan based on the Balancer fund pool and a distribution mechanism for distributing token rewards to protocol users.
On July 7th, bZx stated that the governance token BRZX will be unlocked at 10:00 am EST on July 13th, and will be locked in crowdfunding tokens, which will be unlocked in 4 years.
According to the information queried by the Ethereum browser, the total supply is 1.03 billion BZRX, distributed in two addresses.
That is to say, the market circulation of BZRX is very small. Except for the BZRX tokens that are officially ready to be listed on uniswap, the coins are mined purely by liquidity.
In doing so, what comes to mind is: a small plate is easy to pull.
The project party has a strong desire to hype, why is this?
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3. bZx fell to the bottom due to the black history, and took the opportunity to rebound from the Jedi?
bZx, once the seventh largest decentralized finance (DeFi) platform in the world, has now hit rock bottom after two massive hacks in February 2020.
On February 15, 2020, bZx was attacked by a hacker on the liquidity of combinable assets, which was caused by the imperfect judgment of the collateral status by the bZx contract.
On February 18, 2020, bZx encountered a similar attack again. Hackers deceived the bZx contract by manipulating the Oracle price.
Of course, for the two attacks, the bZx project assumes full responsibility and guarantees that protocol users will not suffer any losses, and the company and protocol stakeholders will bear the losses.
But this has become a turning point for bZx. From the perspective of bZx’s lock-up, February 18 is the highest peak so far, and it has been going down all the way since then, as shown in the figure below.
It also fell to the bottom of the Defipulse ranking list. In the mortgage lending track, it is at the bottom, and the lock-up volume is not far behind the previous one.
bZx is in such an embarrassing position, without liquidity mining, it will gradually disappear. Liquidity mining is a bit like the last struggle, and maybe it can be brought back to life.
Personally, I think whether it can be brought back to life and attract funds into bZx mining depends on how big the profit is. After all, capital flows to places with high profits.
That is to say, if bZxs liquidity mining income is higher than Compound, funds will flow in. Simply put, the value of mined BZRX is higher than COMP, and the price of BZRX must be maintained before users will come.
To achieve these two points, the challenge is not small.
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4. The market cooperates with bZx to perform, how long it can last depends on how crazy BZRX is
After comps liquidity mining became popular, the market has been looking for some projects that will participate in liquidity mining. Therefore, bZx has been attracting the attention of the market since it announced the launch of liquidity mining.
comp not only ignited liquidity mining, but also brought DeFi into the eyes of more people. At the same time, the second- and third-tier exchanges began to focus on DeFi tokens, hoping to create explosive models and gain users.
Therefore, the first launch of various high-quality DeFi project tokens has become the focus of competition for second- and third-tier exchanges. Then the launch of bZx is naturally indispensable to grab the market hotspot.
bZx officially launched the BZRX token on uniswap at 10:00 p.m. Beijing time on July 13. Various exchanges resorted to various tricks to grab hot spots:
1) Simultaneous listing, MXC, BIKI, ZT and uniswap will simultaneously list BZRX tokens;
2) To buy futures in advance, HOTBIT will launch BZRX token trading at 11:00 on July 12;
3) BKEX is more ruthless in playing subscription, and directly releases the subscription mode of BZRX.
After all, many users who go online at the same time may not be able to grab low-priced BZRX chips, and the subscription channel is indeed an option for many users.
After BKEX announced the subscription mode, its platform currency BKK also ushered in a wave of small commotion.
For exchanges, what they grab is users; for users, what they grab is huge profits. If there is no huge profit, the user will leave, and the exchange will also withdraw.
From the perspective of grabbing chips in the first place, the chances of ordinary users going to uniswap to grab low-priced chips are relatively small. After all, exchanges also need to grab low-priced chips, and the exchanges must go to the program to grab them.
I think there are at least three ways for bZx to participate:
1. Grab low-priced BZRX chips;
