Messari Profile picture
Messari is the leading provider of crypto market intelligence products that help professionals navigate crypto with confidence.

Apr 16, 2021, 8 tweets

Our @Bancor profile is updated with the latest on the platform and its native $BNT token

Bancor is a unique decentralized exchange (DEX) that uses $BNT as the common price token to fulfill pair trades among users and liquidity pools for hundreds of Ethereum + EOS tokens.

Consensus & Emission:

$BNT supply is elastic with Bancor V2.1. The protocol matches liquidity pool token deposits with minted $BNT and burns $BNT when tokens are withdrawn. Users’ $BNT deposits replace minted $BNT to control inflation.

$BNT launched on 6/12/17 in the largest ICO at the time - $153M

The initial 79.3M $BNT supply was allocated to:

50% - ICO Participants
20% - Project team, contributors, investors
20% - Bancor budget
10% - community development

Token Type: ERC-20

Bancor was the first automated market maker (AMM) DEX on Ethereum. The protocol matches $BNT with all pooled tokens to create trading pairs. Users can stake $BNT or any token without unintended asset exposure.

How the Bancor DEX works:

Bancor integrates a series of smart contracts to exchange Ethereum and EOS tokens in liquidity pools. $BNT is minted and connected to each token at a constant ratio so prices reflect supply & demand.

How $BNT/vBNT staking works:

Users supply tokens to liquidity pools for automated trading. $BNT stakers receive $BNT trading fees (and re-stake them for vBNT and 1x leverage) but all users get full coverage against Impermanent Loss after 30 days of staking.

Bancor Governance:

The BancorDAO approves all protocol changes. Decisions are vetted among the community before vBNT holders vote on-chain to enact the improvements.

Learn more about Bancor on their asset page, compiled by Messari Community Analyst, @hurrcain messari.io/asset/bancor/p…

Share this Scrolly Tale with your friends.

A Scrolly Tale is a new way to read Twitter threads with a more visually immersive experience.
Discover more beautiful Scrolly Tales like this.

Keep scrolling