PR with Payload
Summary
Create a composable stable pool for uniETH-wstETH-rETH.
uniETH is an institutional friendly liquid staking token that represents ETH staked in Bedrock plus all future rewards from staking. There is more than USD 4 mil ETH staked at the time of writing.
Protocol Description
Bedrock’s native tokenized version of staked Ether is known as uniETH.
uniETH represents the staked ETH in Bedrock plus all future staking rewards. uniETH is non-rebasing, i.e. does not grow in quantity over time but grows in value instead. In other words, 1 uniETH will be worth more than 1 ETH as time goes on, and its value will continue to increase as more time passes. uniETH’s non-rebasing model allows users to hold uniETH on centralized exchanges and use it in decentralized financial applications seamlessly.
Launched by RockX, Bedrock is a non-custodial solution that satisfies the requirements of institutions seeking a basis for large-scale liquid staking. By bringing new levels of transparency and security to liquid staking, Bedrock allows institutions to unlock liquidity safely by adhering to regulations while leveraging a true crypto-native solution.
References/Useful links
Learn more about uniETH
uniETH audit report
Learn more about Bedrock
Motivation
Balancer’s ability to increase capital efficiency using composable pools is taking shape across the industry. The uniETH-wstETH-rETH pool fits Balancer’s initiative to be a protocol where Liquidity Pools can safely tap into external yield sources while maintaining effective liquidity for swapping:
- uniETH-wstETH-rETH pool will earn yield for both liquidity providers and Balancer
- uniETH-wstETH-rETH pool also provides Bedrock with a place for its tokens to be swapped and deposited easily as the pool increases in TVL
- uniETH-wstETH-rETH will attract more liquid staking tokens to be housed on Balancer, thereby increasing liquidity and transactions on Balancer
Specifications
Governance: The BedrockDAO is slated to launch in the coming months with a DAO token that utilizes the vote escrow model for its token holders to participate in protocol governance and more. An update regarding the DAO token can be found here (Bedrock 1-Month Update & What’s Next (Spoiler: Airdrop?) | by Bedrock | Medium)
Oracles: This pool relies on on-chain data calculations, and not on rate providers, to determine uniETH’s balance and estimated rewards.
Audits: See uniETH’s smart contract audit by Peckshield here.
Centralization Vectors: See the architecture of uniETH here. All treasury contracts and protocol upgrades have multi-signature wallets in place.
The multisignature account is the owner of the following contracts
UNIVERSAL_ETH_ADDRESS: ‘0xF1376bceF0f78459C0Ed0ba5ddce976F1ddF51F4’
STAKING_ADDRESS: ‘0x4beFa2aA9c305238AA3E0b5D17eB20C045269E9d’
REDEEM_ADDRESS: ‘0x98169228cB99Ed26c1043eD8Ca53A5Cb371D3B8D’
PROXY_ADMIN: ‘0xa5F2B6AB5B38b88Ba221741b3A189999b4c889C6’
The manager role to withdraw manager’s rewards: ‘0x4beFa2aA9c305238AA3E0b5D17eB20C045269E9d’
Market History: The uniETH token and Bedrock product only went live after our team was able to rigorously test the functionality of staking and unstaking ETH on-chain after the Shapella upgrade. Since its launch, uniETH has been one of the fastest growing liquid staking tokens with more than 2464 ETH (> USD 4 mil) staked on Bedrock.
Value: uniETH is poised to drive great value to the Balancer ecosystem because Balancer will serve as the main liquidity provider for the uniETH-wstETH-rETH 3 token pool, along with the existing uniETH-wETH swap pair. Balancer provides existing Liquid Staking token holders the option to swap across different tokens immediately and in amounts of less than 32 ETH, as opposed to observing a 2-10 day unstaking period if executed through the Bedrock product. This will give liquid staking token holders added utility for their tokens by bringing them onto and transating on Balancer.
Bedrock’s uniETH follows AML protocols with KYC/KYB checks required for users who intend to mint more than 32 ETH equivalent of uniETH.
- With this built-in AML capability, uniETH expects to see an influx of institutional funds
- This will increase the demand for immediate uniETH liquidity on Balancer.
As a result, liquidity providers will earn the protocol fee on underlying uniETH as well as swap fees.
In addition, liquidity providers may be entitled to the upcoming Bedrock points campaigns and have access to all its corresponding utilities.
Pool Address: 0x70d5E3234F6329c1D5a26796dcf4e109d69A3488
Gauge Address (2% Cap): 0xe6281Fc01607366794597d7fA6b32931fF986969
Specification:
The Balancer Maxi LM Multisig eth:0xc38c5f97B34E175FFd35407fc91a937300E33860 will interact with the GaugeAdderv4 at 0x5DbAd78818D4c8958EfF2d5b95b28385A22113Cd and call the addGauge function with the following arguments:
gauge(address): 0xe6281Fc01607366794597d7fA6b32931fF986969
gaugeType(string): Ethereum