Multi-Token Bridge, Explained
After launching pHBD, we've envisioned a new path forward for the PolyCUB ecosystem. One with vastly increased sustainability and growth. At the core of this new direction is the multi-token bridge
After we launched pHBD, our vision for the future of PolyCUB changed dramatically. pHBD is a wrapped version of the Hive-Backed Dollar (HBD) token that is the native algorithmic stablecoin on the Hive blockchain.
Our project has deep ties to Hive. LeoFinance is primarily built on Hive and utilizes its fast, free and scalable blockchain network to power our flagship application: leofinance.io.
With this, we also realized that Hive as an ecosystem has a deep desire to be adopted by other blockchain communities. The problem: few bridges to the outside world existed for Hive... That is, until the PolyCUB DAO voted in a new direction for the platform and decided to create the Multi-Token Bridge.
In short, the bridge is an oracle system built and operated by PolyCUB DAO. The DAO operates through regular governance votes which can set all sorts of parameters:
- 1.Which tokens to list in the bridge
- 2.Wrapping fees on tokens
- 3.Yield on https://polycub.com and how much should go toward each token
The multi-token bridge can be accessed through https://wleo.io. It allows anyone to seamlessly wrap and unwrap assets onto the Ethereum, Binance Smart Chain and Polygon blockchains.
Value accrual is everything. We've found the key to unlock sustainable DeFi and that is to change the way that we looked at DeFi completely.
Sustainable DeFi is not about Kingdoms, it's about our new V2 vaults.
In a team blog post, we compared Kingdoms vaults to the new V2 vaults that we're implementing - V2 vaults are based on the Multi-Token Bridge model. This comes after the successful release of pHBD which radically reshaped our thinking around value accrual. pHBD is generating so much value for the PolyCUB ecosystem, it's truly amazing to see it in action and earning real dollars for the PolyCUB Protocol Owned Liquidity.
PolyCUB Vault V1: (Kingdoms)
- insert_kingdom_asset (i.e. WETH-WBTC or Aave Stablecoins) generates management fees (10% of all yield) = value accrual for PolyCUB PoL
PolyCUB Vault V2: (Multi-Token Bridged Assets)
- insert_hive_asset (i.e. pHIVE or pSPS, etc.) - held as 1:1 collateral for the wrapped equivalent - staked on native platform (i.e. HIVE POWER or SPS staking on splinterlands.com) = value accrual for PolyCUB's PoL
- insert_hive_asset 0.25% wrap and unwrap fee = value accrual for PolyCUB's PoL
- insert_hive_asset cross-chain arbitrage = value accrual for PolyCUB's PoL
- insert_hive_asset-POLYCUB = utility for people to buy POLYCUB to LP against - their insert_hive_asset = value accrual for PolyCUB's PoL
- insert_hive_asset-POLYCUB holders need to buy more POLYCUB to stake as xPOLYCUB to control governance and drive insert_hive_asset-POLYCUB vault yield higher