From slisBNB to veLISTA, how Lista DAO builds a new DeFi ecosystem

This summer, in addition to the chaos of meme coins, the DeFi sector also has a series of special performances. From mechanisms to governance, a number of blue-chip projects have attracted market attention from many aspects.

On July 25, the old DeFi project Aave launched a new economic model proposal, which mainly includes launching a "purchase and distribution" plan, and at the same time recommends that the security module be upgraded to a new "staking module" to solve the problem of additional issuance that occurred in the past when dealing with bad debts, and to enhance the appreciation potential of AAVE from both supply and demand dimensions. In addition, on July 29, another blue-chip DeFi project Compound was also making trouble. Humpy, a giant whale who used governance attacks to control Balancer, initiated and passed a proposal to give COMP income attributes, but this caused the community to worry about the decentralized governance of Compound. To address this risk, Compound proposed a "proposal guardian" mechanism to prevent malicious voting through multi-signatures to improve governance security.

In the BSC ecosystem, on July 30, Binance announced that starting from the next Launchpool, the DeFi BNB assets of the Binance Web3 wallet will be included in the Launchpool reward calculation. The first official asset is the liquidity pledge token slisBNB launched by Lista DAO, the top DeFi project in the BSC ecosystem.

If users hold slisBNB in the Binance Web3 MPC wallet, it will be automatically counted in the Launchpool BNB holdings to receive rewards. In addition to the Launchpool platform, Megadrop and HODLer airdrops will also support decentralized BNB assets.

On August 13, Binance Launchpool launched Toncoin (TON); on August 21, Binance Launchpool immediately launched Dogs (DOGS). In addition to using BNB, FDUSD and other assets to mine and earn income, slisBNB in the Binance Web3 MPC wallet will also be counted into Launchpool.

Launchpool new asset, how does slisBNB connect CeFi+DeFi?

First, let me explain what slisBNB is. This is a native BNB income and liquid staking token built by Lista DAO. The value of slisBNB will grow with the annualized yield of BNB staking. Users can freely earn extra income on different DeFi platforms while passively receiving staking rewards. According to the official website, the slisBNB Compound yield is 33%, in addition to the platform's CAC third quarter points.

Specifically, users can convert BNB to slisBNB to participate in liquidity staking, thereby obtaining slisBNB as a staking reward, and can also provide liquidity for slisBNB and lisUSD in various liquidity pools such as PancakeSwap and Thena Finance, and earn transaction and LP fees.

Related reading: "Lista DAO: LSDFi Protocol, the Head of BNB Ecosystem"

Now, slisBNB has a new application scenario, which is to become an asset supported by Binance Launchpool. Binance Launchpool has always been considered the most cost-effective staking game in CEX. Although Binance has temporarily suspended the frequency of Launchpool opening due to market conditions and other reasons, there is no doubt that when the next Launchpool is carried out, slisBNB with multiple income attributes will become the focus of the market. As of the time of writing, according to official website data, 334,519.3271 BNBs have participated in Lista DAO staking.

Why did Binance choose slisBNB as the new asset of Launchpool? Simply put, Lista DAO, as the leading DeFi project on BSC, has the strength to undertake this task. Using Lista DAO's on-chain BNB for staking, DeFi+CeFi double buff, more secure, more flexible, and higher returns.

The high liquidity provided by Binance combined with the profit potential of slisBNB provides users with more abundant profit options. Users can obtain double returns by staking BNB on Lista and slisBNB on Binance launchpool, which will help attract more capital into the DeFi market.

By introducing slisBNB to Binance Launchpool, users can explore and participate in DeFi products in a familiar environment, lowering the threshold for new users to enter the DeFi world. Collaboration with Binance has increased the trust and sense of security of Lista and silisBNB. Strong endorsement makes users more willing to participate, promoting the maturity and stability of the DeFi market. This is in line with ListaDAO's vision of Make DeFi Easier, allowing more users to enter the Binance Web3 wallet through the entrance of CeFi to participate in the DeFi ecosystem, and will also reduce the possibility of mistakes made by novice users.

The way for users to participate in Launchpool is also very simple. Put assets such as BNB and slisBNB into the Launchpool pool. The tokens obtained are calculated hourly, and the number of tokens obtained is proportional to the number of tokens in the user's participation pool and the total number of tokens contributed.

Retail investor friendly, how to understand Lista DAO's product strategy

After talking about slisBNB, perhaps we should also focus on Lista DAO's native token LISTA. For large investors, the ability to diversify BNB assets is one of Lista DAO's project features, but for retail investors in the market, Lista DAO has also fully considered its investment characteristics and provided solutions that are equally worthy of attention.

High circulation and low market value, LISTA's potential analysis

On June 20, LISTA was launched on Binance and opened for trading. As of the time of writing, the price of LISTA is $0.35. Its total circulating supply reached 23%, or 230,000,000 LISTA. After studying the release rules of LISTA, it was found that it ensured a higher initial circulation and lower market value, effectively reducing short-term selling pressure, while creating a favorable investment environment for retail investors.

Specifically, Binance Megadrop allocated 10% of the token supply and unlocked all of it on the day of launch. Of the 10% of tokens allocated to the Lista DAO airdrop, 85% (or 8.5% of the total token supply) were unlocked at launch, and the remaining 15% (equivalent to 1.5% of the total token supply) will be unlocked before the end of September.

Investors and advisors received 19% of the token supply, of which only 1% was unlocked at launch, and the remaining 18% will be locked for one year and released linearly quarterly over the next two years starting from June 2025 until March 2027.

The 3.5% token supply obtained by the team is locked for one year, and will be released linearly quarterly from June 2025 until March 2029. The community incentive part accounts for 40% of the token supply. The release of this part of the token will start in July 2024 and continue until June 2044, with the release rate decreasing year by year.

Long-termism, analyzing the governance mechanism of Lista DAO

Compared with the market projects of the same period, Lista DAO's token emission rules are obviously more biased towards retail investors. At the same time, Lista DAO launched the veLISTA and veToken governance models on July 24, which also highlights Lista DAO's long-termism in mechanism design from another perspective.

The veToken Model (Vote-Escrowed Token Model) is a model that closely combines token lockup and governance rights, which helps stabilize token prices, reduce speculation, and ensure that the interests of participants are closely tied to the long-term success of the protocol.

In Lista DAO, users can mint veLISTA by locking up LISTA (the lockup period is up to 52 weeks), thereby actively participating in protocol governance, including initiating proposals and voting. At the same time, rewards are distributed based on the number of veLISTA holdings, and more than 50% of the protocol's revenue will be distributed to veLISTA holders.

In Lista DAO's community AMA, the official introduction stated that when locking up for 1 week, 1 LISTA is exchanged for 1 veLISTA, and when locking up for 20 weeks, 1 LISTA is exchanged for 20 veLISTA. The longer the lockup period, the more $veLISTA you get, which can gain more voting rights and incentives.

Currently, starting with veLISTA, ListaDAO has issued 4 LIP governance votes, namely:

· LIP 001 - Convert protocol fees to LISTA tokens to enhance community incentives

· LIP 002 - Reduce borrowing rates to increase platform utilization

· LIP 003 - List wstETH as a classic collateral on Lista DAO

· LIP 004 - Use FDUSD as a collateral option for borrowing lisUSD

Lista DAO's sources of income include Early Claim Fee from locked LISTA, liquidity pledge fees, the upcoming lisUSD minting fee, lisUSD borrowing interest, and ETH withdrawal fees. Therefore, user incentives include slisBNB, WBETH, lisUSD, veLISTA, etc. As of the time of writing, according to official website data, more than $195,000 in rewards have been distributed to the community.

On May 6, Lista DAO announced the launch of Listapie in cooperation with the liquidity aggregation protocol Magpie, which uses Lista DAO's veToken mechanism to collect and lock LISTA tokens into veLISTA to increase Lista DAO's yield and enhance governance authority.

At the beginning of the article, we also mentioned that Aave launched a buyback plan to find a demand scenario for governance tokens, but in fact, the veToken model is more friendly to retail investors than the buyback model.

The main purpose of the buyback is to reduce the supply of tokens in the market and stabilize market prices; however, this is likely to cause the project party to be a rat warehouse, which is not friendly to retail investors. The veToken model strengthens users' long-term commitment to the project by locking tokens, encourages long-term holding and project participation, and reduces short-term speculation in the market. In conjunction with Lista's emission rules, the veToken model is more friendly to retail investors and has higher returns.

Lista DAO is constantly advancing

In addition to the product mechanisms such as slisBNB and veLISTA in Lista DAO introduced above, the official has also recently updated the algorithmic market operation (AMO) module automation system, using advanced algorithms to optimize market operations, dynamically adjusting interest rates according to changes in the lisUSD price, and stabilizing its price at $1.

Because higher interest rates usually prompt users to repay loans, thereby reducing the supply of lisUSD, thereby increasing the price of lisUSD when lisUSD is underpegged. At the same time, lower interest rates tend to encourage borrowing, thereby increasing the supply of lisUSD, which can reduce the price of lisUSD when lisUSD is overpegged. By using cutting-edge algorithms to manage market dynamics, the AMO module enhances stability, improves liquidity, and creates a more efficient and predictable trading environment for lisUSD.

It can be seen that Lista DAO has maintained a stable frequency of project updates and has not been put into a slump due to listing on Binance. In terms of ecological operation, Lista DAO has also actively maintained close cooperation with other projects in the BSC ecosystem and provided considerable farm income. In the official document, Lista DAO stated that it will introduce BNB re-staking and corresponding liquidity re-staking tokens to further enhance the liquidity and functionality of the ecosystem.

Lista DAO wins first place in Binance Campaign

User-friendliness is not just lip service. Recently, Lista DAO's UI supports simplified Chinese to better support users in the Asia-Pacific region. Prior to this, Lista DAO also compensated some users for losses caused by early claim veLISTA due to UI problems.

At the same time, we have to realize that DeFi projects may face various risks including smart contract vulnerabilities, centralization, market volatility, liquidity issues, penalty mechanisms, redemption delays, protocol dependencies, governance challenges and interoperability vulnerabilities. In this regard, ListaDAO used AvengerDAO's Web3 security framework to assess the current security implementation and awareness of the project, including business continuity, crypto wallets, decentralized finance, project management and smart contract security. Although there is room for improvement in some areas, such as the diversity of holders of multi-signature wallets and more detailed business continuity documentation, the overall evaluation results show that their commitment to security and best practices is very strong and the potential risk is low.

In the previous introduction article, it was mentioned that Lista DAO's goal is to allow more people to participate in the DeFi ecosystem and enjoy the dividends brought by LSD. Lista DAO's project background enables it to have a good cooperative relationship with the top CEX, thus having an ecological niche and moat. There are corresponding product strategies for users with high risk preferences and stable income needs, which highlights its project slogan "Making DeFi Easier", which is also the consistent core vision and mission of Lista DAO.

ListaDAO official website: https://lista.org/

ListaDAO official website: https://x.com/lista_dao
ListaDAO group: https://t.me/ListaDAO_CN