Babylon Finance: Gardener’s Digest #12
April 15th, 2022
📖 Overview
Gardener’s Digest is a weekly newsletter highlighting updates and news in the Babylon Finance ecosystem.
📢 News
New Referral Program
A new referral program launched this week that is allocating 10k BABL tokens as part of a new marketing initiative to spread the word of Babylon and help communities invest in DeFi together. For now, only these three verified gardens participate in the referral program. As part of BIP-16, deposits into these gardens when gas is under 125 gwei is 100% free to the user, and subsidized at 50% above 125 gwei.
Here is how it works:
- Create your referral link in the Babylon UI and send it to a friend.
- Your friend deposits $5K into one of the verified gardens above.
- You both receive 0.5 $BABL immediately!
Here are detailed referral rates per garden:
⛲️ The Fountain of ETH: 1 BABL for every 1.6 ETH deposited.
~32% ETH returns annualized. Deposit ETH and grow it using staking and lending strategies.
💲 The Stable Garden: 1 BABL for every 5k DAI deposited.
~27% DAI returns annualized. Deposit and grow your DAI with yield farming strategies.
🫀 The Heart of Babylon: 1 BABL for every 100 BABL deposited.
~150% BABL returns annualized. Stake your BABL, reinvest protocol fees and vote on governance for free.
New deposits for the Fountain of ETH & The Stable Garden are subject to a 3 week lock time so as not to disrupt or game the referral program.
Read more and follow the user guide in the official announcement here.
Disclaimer: Links to gardens in this newsletter are using the author’s referral links. Feel free to not use them by deleting “?ref=0x10ccd” and everything after.
Heart of Babylon Epoch 2
In the last two months the heart reached its goal of providing 150% BABL APR, generating an extra 3.5k BABL for it’s members. The Heart began a new staking epoch on April 10th that will continue until June 11th. Recently the max capacity in the Heart was increased from 50k to 75k BABL.
The Heart has already implemented it’s two 60 day strategies where it is using BABL tokens as collateral in Babylon’s Rari Fuse Pool in order to borrow stablecoins and farm cvxCRV & mim/crv pools on Convex.
Pickle Finance AMA & Garden
Last week Babylon and Pickle Finance had a recorded AMA in the Pickle discord. Babylon’s founder Ramon Recuero spoke about what an official Pickle Garden would look like.
Babylon allows creators to build very flexible & interesting financial instruments that can look a lot like index funds, mutual funds, or hedge funds. As an example, a Pickle garden could invest in the top 5 performing Pickle Jars on their platform. In this way, a “Cucumber Farm” could look a lot like an index fund tracking their performance.
A recording of the AMA can be found in the #babylon-ama-channel in the Pickle Discord.
ReFi Podcast & Garden
This week Farming-as-a-Service provider ReFi aired a podcast with Babylon’s founder discussing Babylon in detail and how it can add value to the ReFi community. The podcast hints to a potential ReFi Garden where token holders can essentially supercharge the ReFi tokenomics, enabling further yield for their holders.
A simple value add strategy to start can be to add the ReFi token as collateral to Babylon’s Gold Lender Fuse Pool and borrow stablecoins to farm with the debt. This opens up ReFi garden members to begin accumulating the $BABL token.
Follow this tweet from ReFi for links to the podcast.
New Curve, Convex & Yearn Support
As DeFi innovates and creates new products and liquidity pools, so too must Babylon adapt to support them. This week Babylon added 7 new Curve pools to a total of 50, 3 new Convex pools to a total of 25, and 3 new Yearn vaults to a total of 55.
The full list of Babylon’s Integrations can be found here.
New User Guides
Babylon’s docs now have 3 new user guides to help communities navigate the protocol. The user guides now cover buying, staking, and bonding the BABL token in addition to joining, creating, and growing a garden.
Read the user guides in the docs here.
📜 Governance
BIP-17 Hack Money Grant
A new governance proposal has been submitting for voting that will allocate $45k from the treasury to sponsor the highest tier in the Hackathon.Money event in May.
Babylonians can vote gas-free in the Heart.
📈 Stats
TVL & Users
Babylon Finance currently has $19.27M in TVL and has created over $1.26M in wealth within 94 different Gardens for their 1,462 users.
Babylon’s Treasury is currently holding $4.5M in assets.
🫀Heart of Babylon Tracker
The Heart has performed its weekly buyback and reallocation on 04/12/2022. This was the largest heart pump to date:
- 166 BABL were purchased as buybacks (30%)
- Sent 0.75 WETH back to treasury (10%)
- Added $6k in Liquidity to BABL-ETH (25%)
- Sent $3K to gardens (15%)
- Added $4.5K in liquidity to the Fuse pool (20%)
https://etherscan.io/tx/0x9f95a6a137b6564d2aef23b6e63cc71956161cc8de341006aaf05f490ac4c9a4
🧑🌾 Garden of The Week
⛲️ The Fountain of ETH
The Fountain of ETH has been one of the top performing gardens on Babylon since it’s inception. So far users have been able to enjoy gas free deposits, no price exposure to USD, as well as some of the highest quality staking and LP strategies available in DeFi. Now with the help of the LTV updates seen above, the Fountain of ETH is able to perform a 3x leveraged staked ETH strategy for its members with minimal liquidation risk.
Members in the Fountain of ETH are receiving 3x the normal ETH2.0 staking rewards from Lido.fi by utilizing Aave money markets to deposit stETH (Lido’s liquid staked ETH token) as collateral, borrow WETH and convert back to stETH before re-depositing as collateral again.
Some of the main advantages for using Babylon to execute this strategy are:
- Minimizing gas costs: There are 408 members in the garden, the user only pays 1/408th of the gas costs. The cost to execute this strategy was $550, less than $2 per member.
- Consolidating taxable transactions: The user only has 2 transactions to record, a deposit and a withdrawal.
- Earning BABL mining rewards: Members in the garden are mining the BABL token in order to own a piece of Babylon and share in the protocol fees.
- Accelerating your DeFi education: The garden is operated by tried and true DeFi experts with a verifiable on-chain track record of success.
The Fountain of ETH has passed $7.5M in TVL and still represents the highest ETH APY on mainnet. This is more than 20% growth in the last 48 hours thanks to the new 3x leveraged stETH strategy combined with the referral program. 👏
Check out this tweet to learn more about the Fountain of ETH: https://twitter.com/ramonrecuero/status/1514253753754406914
🌴 Participate in the Babylon Ecosystem
Learn more about Babylon Finance and join your first garden here: https://www.babylon.finance/
If you want to join us on our mission to help people create wealth through DeFi, please visit our Discord.️ If you own DAI, USDC, ETH, BTC, BABL or AAVE there already exists a garden on Babylon where you can deposit your passive holdings and start earning the BABL token. BABL mining rewards are accrued based on the capital invested, the duration of the investment, and the performance once finalized.
Follow us on Twitter and Medium to stay up to date on all Babylon news.
Community Calls & Twitter Spaces
Babylon Finance hosts Q&A sessions on Discord and Twitter spaces to talk about all things Babylon. Follow us on Twitter and join our Discord to stay up to date on the next community call.
Questions? Read the FAQ: https://docs.babylon.finance/getting-started/faq
Follow our User Guides: https://docs.babylon.finance/getting-started/user-guides
