Introducing Blizzard Finance V1: Launch Details, Distribution, and More
Dear Snoballs,
Blizzard Finance V1 is now officially launched! We’ve enjoyed working towards this point and have done so with the aim of contributing something sustainable to the ecosystem and continuing to make an impact. This release marks the beginning of an exciting DeFi journey for Catyclops holders and the wider community. It also represents a crucial component of our future plans.
Launch Details
On May 4, 2023, we are launching V1 of Blizzard Finance in two phases throughout the day:
- Phase 1: Launch all contracts and seed the pools.
- Phase 2: Launch incentives for pools.
We won’t provide exact hours, but we will tweet about the completion of each phase. Follow BlizzardFin’s Twitter for updates.
Surge Summary
| Pool | Weights |
|---|---|
| saWBTC / saWETH / sUSDC | 40/40/20 |
| saWBTC/SCRT | 80/20 |
| saWETH / SNO | 80/20 |
| saUSDC / saUSDT | 50/50 |
Note: SNO pool will launch after the LBE. Additionally other pools will be launching after which are not described in this post. Surge rewards would be released to LPs over a span of 6 months.
Rewards
On May 4st 2023, pools will already be incentivized with $SNO, and soon after with Surge rewards (stkd SCRT). Users can deposit LP as soon as now if they desire. Trading will open once pools reach 30k USD in liquidity per pool.
Surge Details
In purely technical terms, 80/20 pools have become a standard in weighted pools on Balancer due to the following factors:
- Reduced Impermanent Loss: Impermanent loss is the difference in value between holding assets in a liquidity pool versus holding them in their native form. An 80/20 pool reduces impermanent loss by minimizing the impact of price fluctuations, as 80% of the pool is composed of the more stable or generally considered more tier 1 asset.
- Capital Efficiency: In an 80/20 pool, liquidity providers allocate more capital to the more stable or tier-1 asset. This allows them to maintain a larger position in an asset they have more confidence in while still providing liquidity to the market.
- Liquidity Provision: The 80/20 pool configuration encourages more liquidity provision by offering liquidity providers more flexibility in their asset allocation. This allows them to maintain a more significant position in their preferred asset while still participating in the market.
- Symbiotic Pairs: Our 40/40/20 pool can cater to a variety of trading pairs that play well with the other pools on Blizzard, as it accommodates 1 asset from each other pool. This can help facilitate more efficient trades and provide better liquidity provision for the involved assets in a wider variety market conditions.
Additional considerations: Assigning higher weights to tier 1 assets (e.g., BTC and ETH) and lower weights to more volatile assets (e.g., SNO and SCRT) in a weighted pool reduces impermanent loss (IL) risk. An 80/20 pool has a lower IL risk compared to a 50/50 pool when set up this way. Similarly, a 40/40/20 pool has a lower IL risk when comparing the 40% weights to the 20% weight.
Distribution Information
The maximum supply of 42 million coins is programmed and immutable. The specifics of distribution are as follows.
| Allocation Type | Token Allocation Amount | Percentage of Max Supply | Logic For Future Avail |
|---|---|---|---|
| Launch Costs | 1,260,000.0 | 3.0% | All Instant |
| Protocol-owned Liquidity | 6,300,000.0 | 15.0% | This is for Protocol Owned LP |
| Liquidity mining | 16,380,000.0 | 39.0% | Based on LP emmissions |
| Dev Fund | 11,340,000.0 | 27.0% | Linear over 10Y |
| Private Raise or LBE or Bounty | 3,150,000.0 | 7.5% | Flexible for Raise (2Y L) if LBEs (i) if Bounty (i) |
| Catyclops NFTs from Airdrop | 840,000.0 | 2.00% | 6 months lockup for 75% |
| Ample Agent NFTs from Airdrop | 11,046.0 | 0.0263% | 6 months lockup for 50% |
| OG Anons NFTs from Airdrop | 7,560.0 | 0.018% | No lockup - Airdropped after Anon OGs help Blizzard |
| User Incentives Fund (UIF) | 2,711,394.0 | 6.4557% | Flexible for Stakers OR Incentives |
Note : UIF serves multiple purposes such as facilitating airdrops to NFT collections, rewarding stakers of L1 tokens, incentivizing contributions to blizzard, and offering bounties for bugs. This marks a departure from its original use, which was solely for SCRT stakers. Its use is intended to be sustainable and employed in a well-considered manner. Once governance is launched, users will have the ability to vote on whether or not to carry out a $SCRT staker airdrop and the percentage of the remaining funds to allocate.
NFT Airdrop Split
| Split Per NFT | Total NFTs |
|---|---|
| 426.6124937 | 1969 |
| 160.0869565 | 69 |
| 13.03448276 | 580 |
Liquidity Bootstrapping Event (LBE) for $SNO
With the V1 launch, we are hosting an LBE for $SNO. An LBE simply enables users to mint $SNO directly from the protocol for fixed pricing of $0.94 in saBTC, saETH, or sSCRT from the normal swap page and will show a “deposit button”. Each asset has a limited allotment, and once it’s reached, users can only mint in the remaining assets. A total of 236,250 $SNO will be available. This event will last for 3 weeks and during this time $SNO will be available from the protocol on the front end of the normal swap interface, allowing users to mint $SNO as they would do a normal swap on the AMM. After the LBE, SNO will be launched in the saETH/SNO pool and all assets from the LBE will become protocol owned liquidity in the pools.
Minting Price Information
- 1 $SNO = 0.00003254953589 saWBTC
- 1 $SNO = 0.0005008578523 saWETH
- 1 $SNO = 1.584540281 sSCRT
- 1 $SNO = $0.94 USD
Aggregator Update
We’ve made great progress with the dex aggregator feature set during our recent extended testing since April 18th. So sometime soon we will release a canary build that we use to test this in the wild. Testnet deployments of other dexs don’t have what we need to perfect this in a test environment, so our canary build will only be for brave souls comfortable with the risks of testing such features on mainnet. Once this upcoming testing is complete we will merge the changes into the main Blizzard application and users will be able to use the aggregator.
$SNO Staking Tokenomics v1.0
Bonding $SNO to the staking contract grants users 0.125% of the 0.35% swap fee on Blizzard (the other 0.225% goes to LPs note: this post was updated to reflect incorrect inforamtion), with the ultimate claimable amount depending on the staking duration. Longer-term stakers receive higher rewards. Forfeited shares of rewards go to a pot for liquidity pool rewards to a specific unlaunched pool TBA. Staking features are at a mature stage and have a target release within 30 days of the launch of Blizzard, and the release of the staking program will not include governance functionality. However, in the future, long-term $SNO stakers will be the primary recipient of governance powers via 32°F ($32F).
Safety Reminder
Our official Twitter account is https://twitter.com/BlizzardFin, and the only safe website is https://Blizzard.Finance. Be cautious of fake Telegram groups and websites.
Thank you for your continuous support, and welcome to Blizzard Finance!
Sincerely, Team Blizzy
Disclaimer: This post is for general informational purposes only and is not intended as investment advice. Readers should be cautious and conduct their own research before making any decisions related to this post. Secret LLC is not selling anything, and getting $SNO from the front end via the Liquidity Bootstrapping Event (LBE) merely represents getting $SNO directly from the protocol.
