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DeFi yield farming is pushing composability to its limits. Synthetix, Curve and Ren have teamed up to launch BTC liquidity incentives using Curve’s low-slippage pools.
The program combines three Ethereum-based flavors of Bitcoin—renBTC, wBTC and sBTC—to provide seamless swaps between the rising wrappers. Backed by 10k SNX and 25k REN worth of weekly incentives, those who provide liquidity can stake their LP tokens via Mintr to claim a pro-rata portion of the rewards.
But, the fun doesn't stop there. Synthetix and Ren have teamed up to issue those SNX & REN rewards in the form of Balancer Pool Tokens (BPTs) - meaning LPs are also earning BAL from Liquidity Mining. As if that wasn’t enough, contributors will also earn Curve’s soon-to-be announced governance tokens—CRV—which will take into account preexisting positions upon launch.
Best of all, with all three wrappers essentially pegged 1:1, there is no risk of impermanent loss—a major reason why Synethtix’s sETH/ETH Uniswap liquidity incentives became so popular. Paired with the Ren Bridge for permissionless Bitcoin onramps, the ability to put your capital to work in DeFi has never been more attractive.
To get started, head over to Curve’s newly deployed sBTC pool and deposit any amount of renBTC, WBTC and/or sBTC. Once deposited, navigate to Mintr’s LP rewards tab and stake those tokens in the Curvepool sBTC section. Beware of transaction fees though, as getting into this position can cost about $20 at current gas cost!
The program is set to run for 10 weeks starting today, so load up your yield tractor and get farming.
[This story was written and edited by our friends at The Defiant, and also appeared in its daily email. The content platform focuses on decentralized finance and the open economy and is sharing stories we think will interest our readers. You can subscribe to it here.]