Synapse Bi-Weekly update:
[last updated 3/26]
This will be the last bi-weekly update
Status of Distributions:
Claimed: ~2,000,000 ARB ( Claims completed)
Distributed: ~1,101,000 ARB
Stats:
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$3.05b in bridge volume ($51m/day)
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$1.7m in transaction fees
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60k unique addresses
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Slippage free bridging on ETH and USDC transfers to/from Arbitrum LIVE
Summary of Incentives:
The Synapse STIP distributions started officially on Jan 26th.
Distribution began with bridge rebates on all routes to Arbitrum, select routes back to mainnet, and the launch of RFQ (Fast-bridging). In that time period, 500,000 ARB has been distributed to over 55k addresses, incentivizing upwards of $3.05b of bridge volume. Since the last bi-weekly update, 600k ARB has been distributed, incentivizing $3.05b of bridge volume
This is the last week of incentives for Synapse, as STIP the backfund ends March 29th.
Highlights:
RFQ Launch
Synapse RFQ bridging launched on Arbitrum on 1/13/2024 and over the past couple weeks has generated ~$23m in slippage-free bridging. Bridging through RFQ at any size costs 4bps on amounts up to $1m, and incurs no slippage typical of liquidity based bridging. Upon bridging $100,000 USDC to Arbitrum, a user would only pay $40 in fees.
Three weeks ago the Synapse DAO passed a proposal that will drastically increase the liquidity for some of the initial relayers. Existing Relayers have increased the size that they quote at, and on many chains low-slippage swaps are quotes for up to ~$1m.
RFQ bridging speeds are best in industry, with a median bridge time of ~13 seconds on Arbitrum. This is a 100x improvement from existing bridge times, where bridging stables through
CCTP takes ~20 minutes. As more relayers onboard and run differentiated strategies, bridge times and costs will continue to decrease.
Driving volume to the Arbitrum Ecosystem:
In aggregate, bridge incentives have driven > $3.05b in bridge volume and thousands of transactions since in its first week of distributions. The program is also driving adoption of RFQ versus other forms of bridging, as RFQ transactions accounted for as much as 15% of all transactions to/from Arbitrum in recent weeks. Over time more volume gets routed through RFQ.
Additional asset support, more complex relayer strategies, and continuing incentives should all continue to drive dollars into the Arbitrum ecosystem. Recently, some relayers have added strategies that allow for automatic rebalancing, creating a causal increase in the utilization of relayer liquidity. Other relayers are exploring more complex strategies.
Synapse RFQ is offering industry best bridging rates at extremely fast speeds. RFQ is cheaper than CCTP, which has no fees, on many routes.
https://twitter.com/defi_moses/status/1760640525370069025
Operational:
The final tranche of ARB rewards has been claimed. In the last week of the program, the rest of rewards will be distributed according to the original proposal.
Contracts that are Incentivized:
| Contract Address | Contract Label |
|---|---|
| Synapse: Bridge | Address 0x6F4e8eBa4D337f874Ab57478AcC2Cb5BACdc19c9 | Arbiscan | SynapseBridge |
| Synapse: CCTP | Address 0x12715a66773bd9c54534a01abf01d05f6b4bd35e | Arbiscan | SynapseRFQ |
| FastBridge | Address 0x6c0771ad91442d670159a8171c35f4828e19afd2 | Arbiscan | SynapseCCTP |
Learn more:
RFQ Bridging: Synapse World Domination Plan: Step 1 - RFQ Bridging — Synapse Labs
STIP incentives: Synapse Bridge Rebates - Arbitrum — Synapse Labs
STIP Distributor: