Spartacus Finance is Fantom’s largest decentralized reserve currency protocol.
A lot of exciting innovations have been witnessed in the past few months. Since a lot of drastic changes were made, some of them failed to become the ideal platform they were meant to be. Following considerable research and development on the ve-economics, developers have realized the enormous potential of creating a true, community-owned ve(3,3) DEX, a product with the ability to even rival Curve or Convex on Ethereum.
Spartacus Finance was created by a group of anonymous developers as an OHM fork on Fantom. Its Liquidity Bootstrap Event (LBE) raised $300,000 Dai from 500 wallets for ten Dai per SPA. The LBE is an hour long.
Spartacus Finance was officially introduced with (,), bonding, staking, and a full-fledged dashboard making it the only treasury reserve protocol with all full metrics. Within the first two days, SPA was listed on Coinmarketcap and Coingecko.
What is Spartacus Finance?
Spartacus Finance is Fantom network’s largest decentralized reserve currency protocol, based on the SPA token, which is backed by a basket of assets (Dai, SPA-DAI LP tokens, etc). The underpinning assets provide the SPA token’s inherent worth.
Zeus from OlympusDAO did an outstanding job in developing the “Protocol Owned Liquidity” (POL) concept. When everyone bonds the underlying assets into a shared reserve currency, a strong “bonding” for the entire society is generated.
The Rise of the Glorious Gladiator
A Spartacus would not be a Spartacus without the Spartacus community’s backing. Instead of granting early access to investors or a restricted number of elites, the team wants everyone in the Spartacus community to have an equal opportunity to participate.
The team members are trying to be 100% transparent with the Spartacus community. Olympus and Klima both funded private rounds using pToken, which works as an option but also dilutes the total share in the future. The Spartacus project members are suggesting a fixed rate round exclusively to ensure the survival of the Spartacus DAO. Through a DAO voting system, future development efforts can be sponsored by the Spartacus DAO.
Sustainable Growth and Expansion of Spartacus DAO
After a successful launch of the Spartacus protocol, the creators have even bigger ambitions for their fellow Spartans. They’d want to share what’s on the horizon with the community, and they’d also like to hear what members of the community think.
Spartacus’ team is also focusing on broadening the treasury basket with assistance from FTM, WETH, and other strategic assets. Apart from that, they consider treasury vault strategies to provide risk-adjusted returns with DAO governance.
Spartacadabra is the Spartacus version of the Magic Internet Money and Spell environment. This could be another province conquered by the Spartacus army.
Spartacus team members are investigating how they can tap into the rapidly expanding Fantom ecosystems. Spartacus PRO enables any project to lock liquidity while allowing protocols to own the liquidity. This might be provided as a service.
Initially, this service can be offered on a case-by-case basis. All projects on Fantom are welcome to contact the team for the Pro service.
The Bonding Process
Initially, users would be able to bond Dai or Dai-SPA LP tokens. The bond price will be fixed to offer a 10-30% positive ROI to all bondholders.
Bonding is the mechanism through which Spartacus DAO accumulates liquidity and reserve assets and provides value underpinning for the SPA token. Through the bonding process, the Spartacus protocol gradually owns the liquidity. Bonding establishes the intrinsic value of SPA.
Stakers seek long-term, passive rebase profits. The rebase rewards are derived from the revenues of bond sales. Stakers are rewarded in proportion to their staked amount. Bond + stake is the finest plan for long-term benefits.
The rebase schedule will be set up on an epoch basis, which means that the rebase will happen regularly. Spartacus Finance users automatically receive rebased payouts, and there are no additional steps they must take if they intend to continue staking.
What is (Λ, Λ)?
(Λ, Λ) indicates the “bond + stake” approach, which, according to Game Theory, is the best strategy for everyone in Spartacus DAO.
staking = +2
bonding = +1
selling = -2
Given 2 actors in all scenarios, the total scores of the protocols:
both actors bond & stake = (3, 3) = 6
one bond & one stake = (3, 1) = 4
if one sells = (1, -1) = 0
if both sell = (-3, -3) = -6
In Spartacus, SPA can only be minted or burned through the protocol, and each SPA is always backed by some quantity of 1 Dai.
The Spartacus Finance team will introduce the SPEX, the community’s own ve(3, 3) dex, on spartacus.exchange. SPEX will provide superior capital efficiency, strong community incentives, and long-term stakeholder rewards by utilizing design strengths from Curve, Convex, and OlympusDAO.
These are the design principles of the Spartacus ve(3, 3) DEX:
1. It is intended to be a dexterity tool for everyone, not just for large tasks.
2. It is intended to offer the most competitive fees in the industry for both LPs and traders. SPEX will become a never-ending revenue generator.
3. It is meant to be a capital-efficient engine that captures long-term, sustainable values.
Spartacus Finance developers hope to establish SPEX as one of Fantom’s premier DEXes. They will not, however, stop there. The team believes that the capital efficiency of ve(3, 3) will find the best application on the Ethereum mainnet, where SPEX will be available to a much larger crypto community. Aside from that, they will continue to build Spartacadabra cauldrons/degenbox strategies based on SPEX, with Spartacadabra as a launch partner.
SPEX will have some of the most competitive pools in the market, made up of key tokens such as FTM, DAI, and USDC. Funds in these pools will earn a 0.1 percent transaction fee on all TXs on volatile assets and a 0.01 percent charge on stable assets in perpetuity, allowing them to be permanent value creators for SPEX and SPA holders.
Because the Spartacus DEX is intended for everyone (not just large projects), there will be a fair launch to kickstart liquidity in which 100% of the cash received will be used to initiate SPEX-FTM liquidity on the new DEX.
On Fantom, there will be SPEX allocation for partner projects. The team will contact key Fantom protocols, and SPEX will be an open community for all initiatives. One of the launch partners will be Spartacadabra. Partners that receive the veNFT airdrop can distribute their emissions to any pool of their choosing.
The SPEX DAO will regulate emission rates on large pools and the SPEX-FTM pool, with its primary responsibility being to optimize protocol parameters, change emission rates on major pools, and combat malicious activity. In the future, SPA, Charm, and Lambda liquidities will be gradually transferred to the new DEX.
Some experts say that DAO is the future of Web3. This is why more and more developers are joining the trend. The Spartacus Finance developers intend to be one of the most preferable platforms in the crypto industry. The team behind Spartacus Finance has more plans for the project that could propel them to blue-chip status one day.