Summary
This is a proposal to launch two Bedrock Turbo&Stable funds: uniBTC & brBTC, both on BNB Chain.
Project Description:
What is uniBTC:
uniBTC represents the staked wBTC plus all future staking rewards and accrual of Babylon staking rewards and Bedrock diamonds. 1 uniBTC always equals 1 wBTC. Bedrock unlocks the staking rewards from Babylon for wBTC users who don’t need to redeem their wBTC back to BTC.
What is brBTC:
brBTC is Bedrock’s innovative BTC yield product, designed to maximize returns by leveraging multiple restaking protocols. Launching natively on both Ethereum and BNB, brBTC is a Liquid Restaking Token (LRT) that combines the power of diverse BTC derivative assets with Bedrock’s advanced restaking strategies.
With brBTC, users can deposit a variety of BTC derivatives to generate yield from a curated selection of restaking protocols. This product provides a seamless, efficient, and secure way to earn rewards from BTC assets across two major blockchain ecosystems.
Why staking with Bedrock:
High Yield Potential:
By integrating with multiple restaking protocols, brBTC maximizes restaking opportunities across diverse ecosystems.
Multi-Network Accessibility:
With native support for Ethereum and BNB, brBTC offers unparalleled flexibility for users across major blockchain networks.
Simplified Reward Management:
brBTC consolidates complex restaking yield sources into a single, user-friendly token, making it easy for holders to benefit from a wide range of rewards.
Secure and Transparent:
Bedrock leverages industry-leading security standards and transparent mechanisms to ensure user trust and asset safety.
Fund Specifications (two funds, same specs except for the underlying):
Underlying Asset(s): uniBTC, brBTC
Chain: BNB Chain
Multiplier: 5x Tranchess multiplier * 21x Bedrock multiplier = 105x total
Interest rate: 8%
Duration: three months
Protocols: The underlyings are generated based on two protocols: Bedrock, Babylon
Note:
Based on past practice, each new underlying token typically requires a dedicated FeeDistributor contract to distribute fees to veCHESS holders. However, this increases the gas cost for veCHESS holders to claim rewards as the number of underlyings grows.
Considering that the fees collected from previous Turbo&Stable funds have been relatively small and the two new underlyings are both BTC-equivalent tokens, we would take a different approach for these two new funds. Instead of deploying a dedicated FeeDistributor contract, the fees collected (specifically, the LP trading fee) will be kept in the treasury temporarily and converted into BTCB to be distributed to users accordingly after the funds mature.
This approach aims to simplify the process, reduce gas costs for veCHESS holders, and maintain operational efficiency. We welcome any feedback or suggestions regarding this approach.
Motivation:
Bedrock is a rising star on multi-asset restaking and with its Cap 3 for uniBTC ongoing, the protocol will continue to attract interest and increase yield.
With over 500M assets currently staked, Bedrock meets our standard on security and liquidity. As part of Tranchess’ continuous endeavors to support the BTCFi narrative and explore Bitcoin’s liquid staking potential while bringing additional yield and benefits for our users and veCHESS holders, we propose to launch Turbo & Stable funds for uniBTC and brBTC on BNB Chain.
References/Useful links:
Website:https://www.bedrock.technology/
Documentation: https://docs.bedrock.technology/
Audit: Audit reports | Bedrock
More on Bedrock:
Introducing brBTC
uniBTC Cap 3
Snapshot voting will be open until 00:01 UTC, Dec. 28, 2024. All veCHESS on BNB Chain and Ethereum will be eligible to vote when the voting starts.