No Bancor threads in the catalog, so here we go.
Will be posting some redpills in this thread because I am so fucking excited right now.
Yes, I've been providing liquidity in the first V2 pool since launch day.
Yes, I've been making absolutely disgusting APR.
Yes, I own chainlink.
Yes, I'm gonna make it.
I am currently yielding 1%+/day on my LINK in the V2 pool
it feels like cheating, not sure how to feel t b h
With only 2 V2 pools live, it's difficult to fully explain the absolute magnitude that Bancor blows uniswap out of the water.
For a trade of ~$72,000, you get about 1,200 more LINK using Bancor V2 than Uniswap
This is a difference of over $10,000.
Pic related.
Once the ETH/BNT V2 pool launches, you will see how it mogs uniswap with an ETH->LINK tx
For a trade of 300,000 REN, or ~$68,000, you get about 600 more LINK, or over $6000 more LINK using Bancor V2 than uniswap.
Again, once the ETH/BNT V2 pool launches, you will see how it mogs uniswap with an ETH->REN tx
>youtu.be
>twitter.com
>twitter.com
It takes 20 minutes of your time to 10x your portfolio in less than a month. Never say Zig Forums didn't give you anything for free. Buy BNT now or buy our bags later
>What value does the Bancor token have?
Bear with me, I'm sure i could find some copypasta about this but i'm going to type it up live right now because i'm so fucking excited.
Bancor is used as an intermediary token in all Bancor pools. This means to go from REN->LINK you perform the trades REN->BNT->LINK
And this is the case with every single token that exists.
This means that Bancor tokens must be used as a counterbalance in all pools for liquidity.
If $1,000,000 worth of LINK is staked in the V2 pool, $1,000,000 worth of BNT must be staked against it to evenly distribute the fees.
>What happens if there isn't $1,000,000 worth of BNT staked against $1,000,00 worth of LINK in a V2 pool?
The fees are split 50/50 between each side, regardless of the actual fiat value of the liquidity provided.
This means that if there is less BNT staked than the opposing token, those staking BNT will receive a disproportionate amount of fees.
This means that in all cases where "other token" outweighs "Bancor Tokens" in a pool, those supplying Bancor make more money per every dollar of liquidity they provide.
>Why is this important?
Supplying Bancor in a pool that is short on Bancor gives you higher APR. For example, if the pool is incredibly imbalanced its possible that BNT liquidity providers will be earning 50% APR while the "other token" liquidity providers will be earning 8% APR
This makes it extremely lucrative to supply BNT in this pool. Causing people to go and buy more BNT to supply liquidity for free passive money.
And here's where it gets hilariously disgusting.
For every single other token that a V2 pool exists, considering the previous post, Bancors marketcap will naturally rise to meet the demand of liquidity provided.
LINKs marketcap? 3.5 Billion
ETHs marketcap? 42 Billion
Every other token that exists marketcap? You run the fucking numbers, its endless.
If people use V2 pools to earn free money on their bags by supplying liquidity with no impermanent loss (why wouldn't you? its free money)
Then Bancors marketcap will rise up to meet the demand of the liquidity provided.
If every single token liquidity supplied in V2 pools amounts to $5B, there will either be:
$5B in Bancor liquidity provided
OR
Those supplying Bancor liquidity will get absolutely unbelievable APR
The 2nd option simply wont happen. People WILL purchase BNT in order to supply liquidity for something unreasonable like 70% APR.
Bancors marketcap will continue to rise to meet these demands, because it is FREE MONEY to supply Bancor liquidity at these insane APRs
>Bear with me, I'm sure i could find some copypasta about this but i'm going to type it up live right now because i'm so fucking excited.
The BNT token is crucial to all the Bancor AMM's (automated market makers) as it by design makes up 50% of each liquidity pool on the network. Why is that important? Market participants will be incentivised to stake their long hold token of choice in Bancor V2 liquidity pools due to getting no impermanent losses from staking and having the advantage of single token exposure, while earning trading fees as liquidity providers at the expense of traders executing trades. So if the value of the other tokens in the liquidity pools increases, the BNT proportional value has to increase as well to balance the pool. How will this happen? From BNT stakers getting more favourable dynamic fees if the pool is unbalanced. This creates more market incentive for people to buy additional BNT to 'arbitrage' the fee imbalance from the pools - price of BNT goes up.
Another important factor: the BNT supply will be inflated as BNT staking rewards will be given from minting new supply, which amplifies the potential earnings from staking BNT in addition to making profit from trading fees. If you're not staking your BNT, you will be diluted out of your market share %, so there's a game theoretical design for every holder to stake their BNT, which creates the following loop: the more BNT staked > the better the liquidity for traders > less slippage for traders > more volume > more fee earnings for liquidity providers > more demand for BNT > price of BNT goes up > deeper liquidity pools > less slippage > more volume > more fees > more demand for BNT > BNT price goes up and the loop goes on and on until all digital assets are being traded on Bancor or outsourced from Bancor liquidity pools.
That's what's called the 'liquidity black hole'. If that loop gets successfully implemented, there's no ceiling to how much BNT could pump.
>What if nobody uses Bancor V2 and therefore there aren't any fees generated to pay out those supplying liquidity.
The beauty of this is that it simply won't happen.
1inch, Pathfinder, Kyber, all other DEX aggregators will force people to use Bancor on the backend, because it gives them the most tokens for their money.
People will simply not willingly use uniswap when they are guaranteed to get more tokens for the same exact transaction if they use Bancor.
It will quite literally eat all of the liquidity from every other DEX that exists. Everything will be processed through Bancor because they give the undisputed best rates. Because of liquidity amplification as a result of their utilization of chainlink oracles.
Based black hole copypasta. This is better written than my own text, but conveys the same ideas and then some.
If you can truly read all of this and STILL don't think that Bancor V2 will eat other DEXes alive
If you can truly read all of this and STILL don't think that Bancors marketcap will rise to meet the demand of liquidity necessary to counterbalance these pools
If you can read all of this and STILL think Bancor is a shitty buy.
Then you simply aren't going to make it. This is one of the single most sure-bets to ever exist.
I sincerely encourage anyone reading this thread who has questions or reluctance about Bancor to post their concerns. I will spoon feed tonight. Because I am so fucking excited. Because I am making so much money.
Because I love biz. Because I love you, user, reading this post.
We are all going to make it.
>This is one of the single most sure-bets to ever exist.
>tfw I know it's a sure bet but I can only afford a 2.5k poverty stack
what is your price prediction for BNT in the short-term and long-term?
$1,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000
idk about long term tho
I am absolutely shaking this might be the greatest post on /biz I have seen this entire year no joke.
I'm all in BNT since early May and it truly feels like we are destined to make it. I don't even care what the price is today because I know what the future holds and them releasing the REN pool out of nowhere and the BNT side filling up quick as fuck lets me know like you said people will but bnt to fill up that side of the pool to balance out the disgusting amount of fees lol.
Quick question for you oh wise user...when the ETH/BNT V2 pool launches and is uncapped is it conceivable that the returns could exceed what staking ETH 2.0 promises???? Could the liquidity black hole actually swallow more ETH than all other defi protocols combined.
In a world where leys say ETH 2.0 goes ballistic and reaches $1 trillion market cap, could Bancor conceivable reach a fraction of that say $50 billion if it becomes the ETH liquidity black hole or am i delusional?
Sorry I just haven't been this excited in a long time.
Oh also if there is a huge BTC crash will BNT go crashing down with it since curve.fi dominates the stable coin market?
$500,000 user, can you imagine? What about $6 million per BNT imagine what you could buy. Well it's time to get excited, because what about FIVE HUNDRED MILLION dollars for every BNT, do you like the sound of that? Well we're not done yet, have you tried fantasizing about TEN BILLION US DOLLARS per BNT! Holy shit, user, are you excited yet? Would you like more predictions? More big numbers? Even bigger numbers? Yes!?
What would you say if I told you that one BNT would be worth FIVE, HUNDRED. BILLION. BAJILLION. TRILLION. MILLION. GABILLION. ZILLION dollars for every BNT you own. Holy shit user think about that! Imagine having all that money whoooaaaaaaa.
What's to stop Uniswap from improving their platform? Or another competitor that's even better popping up without all of the baggage?
you sound like a really bad shill though. As someone who has been browsing here for a while it makes me think its a scam
Price predictions are a meme.
That being said, $10 is an almost certainty by EOY 2020 if there are no catastrophic events in the form of a COVID dip 2.0 or a Bancor smart contract hack.
And $10 is being conservative. That puts Bancor at a ~$700m marketcap
Which still makes it unable to adequately supply liquidity against monster market caps like ETH (42B) or LINK (3.5B). Not to mention every single other token that exists.
AAVE (483M) KNC (303M).. the list goes on..
just tell me what price it's going to hit so i know how big of a stack i need. is that so fucking hard asshole?
>just tell me what price it's going to hit
Yeah I'll get back to you as soon as I know next month's lottery numbers, one sec.
Im really worried about covid 2.0 dip and SPX crashing which means BTC crash which means all of defi is fucked.
In March defi took like a 50% hit im assuming all the faggots were scrambling to stable coins so not sure what the best course of action is here....Try and time the possible crash or sell to early and get blown out of Bancor.
Thoughts?
When I try to add liquidity to BNT/LNK it tells me the pool has reached its cap. Which I understand is $500 000. So what does this mean for me?
>Quick question for you oh wise user...when the ETH/BNT V2 pool launches and is uncapped is it conceivable that the returns could exceed what staking ETH 2.0 promises?
Are you sitting down user? Take a deep breath, I'm about to redpill your dick off.
REN.
Over 2M REN was supplied into the new REN V2 pool within hours of it opening.
This means that collectively people decided they would rather stake REN in a V2 pool than run 20 REN dark nodes. I saw a number of transactions for liquidity involving hundreds of thousands of REN.
One guy alone supplied over 300,000 REN.
This man chose to supply REN liquidity in a Bancor V2 pool instead of running 3 additional REN darknodes.
In short? Yes. Yes it is entirely possible that providing liquidity in a Bancor V2 pool yields higher returns for tokens which have inherent staking mechanisms. And it's already happening.
Uniswap would have to quite literally copy the entire architecture of Bancor V2 from the ground up. First mover advantage. Bancor uses chainlink oracles to accomplish these insane advantages, and uniswap would have to bend the knee to chainlink, too. Like I said in the OP I hold a fat bag of LINK too, either way i win. But again, first mover advantage.
I hear you and I understand. I genuinely want you to tell me which part sounds scammy. My excitement gives off pajeet vibes and I get that, but Bancor has quite literally changed the entire DEX game for the rest of history, with V2
>When I try to push on the door to get into the library it says "Library Closed". So what does this mean for me?
pool's closed (due to cap)
At a minimum 5x from here imo. Once pools open for all tokens, it's going to be mega fomo time for BNT. Read previous posts to understand why people will fomo, no use of repeating
Nobody can predict what will happen. Don't over-invest though if you have such worries. Take calculated risks, always
returns are only so high because of the current cap, returns right now don't predit future returns in ANY FUCKING WAY. I'm all in bancor but the APR will be decent but not that high. ofc BNT token will moon hard once Bancor made uniswap obsolete
If the entire global economy crashes a second time, I won't lie to you user, yeah Bancor will probably crash too.
If you genuinely want to hedge against another global economic depression, then that's understandable.
But it's something that would affect every single asset across the board, it's difficult for me to rationalize holding back on something as amazing as Bancor because the entire world could see a dip.
so wtf do I pool into if I want to take advantage of this
>returns are only so high because of the current cap
Yes this is true.
But, as you said, once Bancor makes uniswap obsolete and devours the entire volume of all DEXes that exist...
There will be plenty of fees to go around. Every single ERC20 token trade that goes through DEXes will go through Bancor
The fees will be enormous.