Editor's Note: This article comes fromBabbitt Information (ID: bitcoin8btc)Editor's Note: This article comes from

Babbitt Information (ID: bitcoin8btc)

Babbitt Information (ID: bitcoin8btc)

, Author: Crypto Adventure, Compiler: Wendy, published with authorization.

1. On November 16, the decentralized trading protocol Bancor announced a liquidity mining plan, which is currently awaiting community governance approval. According to the plan, BNT liquidity mining will first support 8 token pools, including 6 large tokens (ETH, WBTC, USDT, USDC, DAI, LINK) and 2 medium tokens (OCEAN and renBTC). The agreement will distribute a certain amount of BNT to LPs in two qualified pools every week: the large pool will receive 100,000 to 200,000 BNT per week; the medium pool will receive 10,000 to 20,000 BNT per week. Every two weeks, two new tokens can be added to the pool. The entire program is expected to last 72 weeks. Starting today (November 16, 2020), all users who provide liquidity to the proposed token pool will be rewarded in BNT tokens when the program finally launches.

2. The following is the liquidity mining announcement issued by Bancor:

We propose a BNT liquidity mining plan that aims to achieve two main goals:

Create stickiness to incentivize long-term liquidity supply

With more liquidity, Bancor is expected to win more market presence, thereby generating more fees for liquidity providers (LPs), further increasing APY and protocol revenue.

Users who initially participate in BNT liquidity mining and earn rewards will be expected to familiarize themselves with the unique benefits of Bancor v2.1, including impermanent loss protection and single asset exposure.

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Liquidity Mining Structure

• The following structures are awaiting community approval through Bancor governance:

• BNT liquidity mining will initially support 8 token pools, including 6 large tokens and 2 medium tokens. The proposed first round of tokens are as follows:

• Large coins: ETH, WBTC, USDT, USDC, DAI, LINK Medium coins: OCEAN, renBTC

• The agreement will distribute a certain amount of BNT to LPs in each eligible pool on a weekly basis: large pools will receive 100,000-200,000 BNT per week; medium-sized pools will receive 10,000-20,000 BNT per week.

• Every two weeks, two new tokens can be added to this liquidity mining program. After the new token is activated, its token pool will receive BNT rewards for 12 consecutive weeks.

• Additionally, the reward pool will be selected through Bancor governance. If governance is passed, a pool can be selected multiple times to receive rewards for 12 consecutive weeks.

• We expect the entire program to last 72 weeks.

• BNT liquidity mining rewards will be allocated 70% to the liquidity pool associated with the BNT token and 30% to the ERC20 (or "TKN") token pool.

LPs can choose to lock the liquidity mining rewards in the agreement and participate in the Bonus Rewards Multiplier to obtain multiple "rewards", which will allow them to receive BNT rewards x2 every week.

Based on simulations, it is estimated that large token pools may lock up $50-60 million, and medium-sized pools may lock up $5-6 million, with an estimated return of more than 100% APY for the program (see estimated effect in proposal).https://blog.bancor.network/announcing-bnt-liquidity-mining-b30be90a008d