Balancer STIP Updates #8

Balancer Bi-Weekly Update 8-3-2024


Recap of the Previous Two Weeks

ARB Received Last Disbursement: 0 (KYC delays resulted in collecting 2 biweekly payments at the start of the program, details in change section below)

ARB Utilized as Incentives in the Last Two Weeks: 82,285.3

Contracts incentivized over the last 2 weeks: A CSV of incentived along with details about $ARB flows to each one and how they were calculated can be found here. These amounts of payment were queued and the required 82,285.3 $ARB sent for payment by this multisig transaction executed at 14:32 UTC on Friday February 23rd. These payments were be streamed to stakers in the gauge by the injector and the gauge system for 2 weeks, ending today on March 8th.

recipientGaugeAddr symbol distribution
0x050fBe33699E56B577c3D6f090eCE9870A0966bd sFRAX/4POOL 12570.5977
0x2eB5661002b68EBE887d29d415c3A3b52536912C wstETH/rETH/cbETH 9333.47076
0xcf9f895296F5e1D66a7D4dcf1d92e1B435E9f999 RDNT-WETH 8228.53
0x260cbb867359a1084eC97de4157d06ca74e89415 wstETH-WETH-BPT 7368.441256
0xcF853F14EF6111435Cb39c0C43C66366cc6300F1 50GOLD-25USDC-25WSTETH 6582.824
0xd6B875d62c2661eaB66472F36c672e4B512f1135 rETH-WETH-BPT 5818.068931
0x40F6bE0b26B229C4C3b2C3344e91f8eEe22a62fF plsRDNT-Stable 5797.607885
0xfC745035F31BCbaEb2D1a89aA9171495c671F6cE ankrETH/wstETH-BPT 4886.755761
0x34BDBEcd3B911a8DCB17aC68B961a8D16db52673 wstETH/rETH/sfrxETH 4576.99752
0xeF767E740D83d410794519c2F93Db32e44359a5C 50MAGIC-50USDC 2951.763137
0xd956246EA5b06DEa930F0A7feC1FFf000436e3f2 DOLA/USDC BPT 2724.111641
0xa14453084318277b11d38FbE05D857A4f647442B 4POOL-BPT 1948.170548
0x159be31493C26F8F924b3A2a7F428C2f41247e83 GOLD-BAL-AURA-wstETH 1645.706
0x82d2c7B67Eaa5028c89BE86CeA8e1DF5bd2119A1 55auraBal-45wsteth 1399.740393
0x2162abD00312a0496B4b72b20A6790Cc07268A25 Savvy TriCrypto Pool 1395.155674
0xD7a5122a4e88EC9fBE94301A0Bff6114ddFe5d4B STAR/USDC-BPT 1357.354731
0x089a2E069700B0f2B16f69A6e02b01818ce22e7d D2D-rETH 1281.762855
0xae30333C4CFFeF017909460384CDD7B073281280 80LUMIN-20rETH 422.5339846
0x8ba2D53F34159C5C5e7add60B56C7dE3BBc1DA68 rETH/wETH BPT 420.2045153
0xc3522B0A58d9f12f33E542FC3c3C051b4AF01c83 DUSD-4POOL-BPT 322.1362069
0x011417BBED6FC9cefF36C032D431b0eFcBA7f8B3 50tBTC-50WETH 282.11444
0x574c2146091Cced305A7ABa82d097DE36b736fac 50DFX-50WETH 280.5642325
0x2cFBD7aCC62709396b3C8c7698808384720A0BbF 20WETH-80PAL 271.9666997
0xa655ee74D422a77ce828060CC7104400a4168619 ECLP-sFRAX-FRAX 211.4612207
0xb438c6cc53315FfA3fcD1bc8b27d6c3155b0B56A 2BTC 207.2599119

Contract address label Form completed for all addresses: Yes

ARB left over: 82,285.4

Plan for leftover ARB: The left over ARB is the last batch of STIP incentives Balancer will distribute to liqudity providers over the next 2 weeks. This will conlcude on March 22nd. As has been the structure for Balancer’s distribution for the entirety of the program, the highest revenue generating pools receive the highest amount of ARB and BAL incentives via the corep ool system. This drives incentives towards the pools which make a largest impact on the network and dex aligned for peak efficiency.

Summary of incentives: Incentives were sent to each pool’s respective gauge based on Balancer’s FINAL STIP Round 1 framework. ARB incentives have been sent to pool’s on Balancer corresponding to their performance over the last several months. The top BAL receivers are the top earners in majority of cases, and fee revenue amiplifies the allocation of BAL and ARB that value add pools receive in the Balancer ecosystem. The core pool flywheel has proven to be effective for the protocol and we have seen it continue to be a success throughout the ARB STIP by driving TVL and fee metrics higher, while also paving the way for integrations on top of Balancer and Arbitrum to blossom.

Last epoch, TVL on Balancer was 141MM and has since broke ATH’s this round reaching 167MM. The value in ETH has increased slightly due to the market sentiment. The shear stickiness of liquidity on Balancer after incentives were first tapered down and now with TVL jumping so drastically the draw of rewards has mostly fizzled away. Liquidity providers at this point are on Balancer and Arbitrum for the safety, efficienct mechanics, and long term belief in both ecosystems success.

As we have done in every report thus far we will highlight the top performing pools in relation to their past epoch. RDNT/WETH reaches is all time high ever at 94MM with the prior week coming in at 81MM. For those projects debating the proper governance system to utilize for sound tokenomics, the ve80/20 continues to prove itself as a viable route. The last two rounds ahd underwhelming average daily volume metrics, both under 1MM per day. This epoch though the average daily volume was 1.8MM having on of it’s best epochs thus far.

The LST portion of this report will change because of the migration last round of several rETH pools due to minor issue related to the rETH token’s rate provider contract. The first three pools are currently undergoing migrations but still maintain TVL for the time being. cbETH/rETH/wstETH, WETH/rETH, and sfrxETH/wstETH/rETH have all dropped in TVL and total ETH terms as expected since LPs should be exiting; however they are still sizeable with 11MM, 9.6MM, and 4.9MM TVL respectively. They’re migrations are to be moved to the following pools: rETH/wETH which already has 2MM TVL. wstETH/sfrxETH at 1.3MM. cbETH/wstETH/rETH and 2.9MM. This in total is an improvement in TVL when adding up the fragment portions compared to the last round. wstETH/WETH and ankrETH/wstETH have both hit all time highs in USD terms but the wstETH/wETH pool has seen a minor drawback in ETH terms, while the ankr pool has continued to grow in both senses.

ETH LST TVL was 50MM in USD terms last round, and due to the market taking a large upward move Balancer’s LST TVL sits now at 57MM (stable pools plus weighted portions. Volume for these pools was 53.7MM led primarily by the wstETH/wETH pool with 35.6MM volume on it’s own. This epoch the total has tapered to 47.5MM. Given the circumstances this exemplifies the strength of Balancer’s infrastructure and strategy resulting in beneficial aligned outcomes for Arbitrum.

Balancer Maxis continue to incentivize the 4POOL for core stablecoin routing using their vlAura holdings. The 4POOL pool has decreased from 3.6MM to 3.1MM TVL and still sees significant volume, consistent with the value of over 100% utilization on average per day this epoch.

The sFRAX/4POOL pool has stayed exactly at 3.3MM TVL likely due to market conditions defi users are deploying stable capital back into markets making the barrier for entry on stable coin yield higher than it was previously. The sFRAX/4POOL remains a competitive place for LPs to confidentatly supply liquidity and receive modest incentives. Regardless, the volume in the 4POOL has not seen a significant drop so intended efficieny has not been sacrificed substantially.

Stats from Openblock Dashboard:


Additional Info / Disclosures to Multisig:

  • Tags for each contract address can be found in the csv above.
  • See previous report for any comments on the current payment schematic of ARB to align with the deadline of the incentive cycle end proposed by the Arbitrum Foundation.
  • Details can be seen on this sheet


Link to Dashboard showing metrics: Balancer Arbitrum Liquidity Growth Program dashboard

Average daily TVL: $167,621,518

Average daily transactions: 516

Average daily volumes: $14,873,337

Number of unique user addresses: 2,641

Transaction fees: Average daily: $13,448

Plan For the Next Two Weeks

Amount of ARB to be distributed: 82285.3

Contracts that will be incentivized: Contracts to be incentivied are outlined in this csv, subject to change as more gauges are added to the veBAL system on Arbitrum.

recipientGaugeAddr symbol distribution
0x050fBe33699E56B577c3D6f090eCE9870A0966bd sFRAX/4POOL 13302.2547
0xcf9f895296F5e1D66a7D4dcf1d92e1B435E9f999 RDNT-WETH 8228.53
0x260cbb867359a1084eC97de4157d06ca74e89415 wstETH-WETH-BPT 8020.574552
0xcF853F14EF6111435Cb39c0C43C66366cc6300F1 50GOLD-25USDC-25WSTETH 6582.824
0x40F6bE0b26B229C4C3b2C3344e91f8eEe22a62fF plsRDNT-Stable 6453.933729
0xd6B875d62c2661eaB66472F36c672e4B512f1135 rETH-WETH-BPT 6111.489068
0xeF767E740D83d410794519c2F93Db32e44359a5C 50MAGIC-50USDC 4801.369256
0xa14453084318277b11d38FbE05D857A4f647442B 4POOL-BPT 3870.155989
0xfC745035F31BCbaEb2D1a89aA9171495c671F6cE ankrETH/wstETH-BPT 3774.783459
0x8ba2D53F34159C5C5e7add60B56C7dE3BBc1DA68 rETH/wETH BPT 3671.780048
0xd956246EA5b06DEa930F0A7feC1FFf000436e3f2 DOLA/USDC BPT 3129.934952
0x089a2E069700B0f2B16f69A6e02b01818ce22e7d D2D-rETH 2669.00502
0x5a0e92a55800BB5bFd5ec6C7340BfdE7f0947c3E cbETH/rETH/wstETH 2270.097909
0x159be31493C26F8F924b3A2a7F428C2f41247e83 GOLD-BAL-AURA-wstETH 1645.706
0x06eaf7bAabEac962301eE21296e711B3052F2c0d wstETH/sfrxETH 1410.213114
0x2162abD00312a0496B4b72b20A6790Cc07268A25 Savvy TriCrypto Pool 1366.789075
0x82d2c7B67Eaa5028c89BE86CeA8e1DF5bd2119A1 55auraBal-45wsteth 1345.556124
0xD7a5122a4e88EC9fBE94301A0Bff6114ddFe5d4B STAR/USDC-BPT 1310.539195
0x011417BBED6FC9cefF36C032D431b0eFcBA7f8B3 50tBTC-50WETH 574.6971536
0x2cFBD7aCC62709396b3C8c7698808384720A0BbF 20WETH-80PAL 423.6537975
0xae30333C4CFFeF017909460384CDD7B073281280 80LUMIN-20rETH 422.3180252
0xb438c6cc53315FfA3fcD1bc8b27d6c3155b0B56A 2BTC 395.647378
0x574c2146091Cced305A7ABa82d097DE36b736fac 50DFX-50WETH 258.6793447
0x34BDBEcd3B911a8DCB17aC68B961a8D16db52673 wstETH/rETH/sfrxETH 131.162726
0x2eB5661002b68EBE887d29d415c3A3b52536912C wstETH/rETH/cbETH 113.6053852

Contract address label Form completed for all addresses: Yes

Mechanism for distribution incentives: Distributions will be done every week via Balancer DAO’s ARB injector contract by sending direct incentives to the gauges of the respective pools in the Balancer ecosystem.

Summary of incentives plan: Balancer’s data based core pool process optimizes the incentives throughout the ecosystem and has been continuosuly improved for the Arbitrum STIP. Amplifying high revenue generating pool’s share of the ARB Balancer was generously given has been streamlined to create an upward spiraling liquidity trend.

The program will eventually end, concluding in March and Balancer will maintain a large amount of the liquidity it has built up from the STIP. Yield bearing tokens will continue to be incentivized by their own revenue generation and the layers built on top of Balancer will leverage various underlying yield sources to make LPing on the platform as competitive as possible in the Arbitrum ecosystem.

Summary of changes to the original plan: Bi-weekly distributions will continue to be 82285.3 per round. This will make the program last through the first half of March. The optimization BIP details to strengthen top performing pool’s can be seen here BIP-522.