This proposal is expected to appear on Snapshot for voting on [date=2021-07-05 time=12:00:00 timezone="UTC"]

TL;DR

• Proposal to whitelist Idle (IDLE), activating single-sided exposure and IL protection.
• Proposed co-investment is 200K BNT (matching Sushiswap liquidity)
• There are no apparent security concerns that would prohibit whitelist status.
• There is no reason to doubt the legitimacy of the Idle project.
• Idle would not add major risk to the Bancor Protocol.

Website: https://idle.finance/

Token Address: 0x875773784af8135ea0ef43b5a374aad105c5d39e

Project Overview

Idle is a decentralized yield aggregator and rebalancing protocol, allowing users to use two different strategies to earn the yield they are looking for:

• The Best-Yield allocation strategy allows to maximize the interest rate returns by detecting the interest rate changes on other lending protocols;
• The Risk-Adjusted allocation strategy provides a way to earn the best rate at the lowest risk level.

Learn more about Idle strategies here.

Idle has integrated many lending providers (such as Compound, AAVE) and currently supports the following underlying tokens: DAI, USDC, USDT, SUSD, TUSD, WBTC, WETH, and *RAI (you can lend RAI on the beta dashboard).

IDLE token contract: https://etherscan.io/token/0x875773784Af8135eA0ef43b5a374AaD105c5D39e

Token Distribution

IDLE distribution (via LPs Fund) can be broken down into three different programs:

• Liquidity Mining: this program will last 2 years and is used to reward liquidity providers depending on the amount of funds deposited and the utility generated by the pool (APY of the pool); It will distribute 18% of the total supply on a per-block basis across all Idle pools.
• Liquidity Bootstrap: this program is based on the liquidity mining program and it applies an X4 multiplier on the basic reward per block amount distributed for the first 30 days in order to bootstrap the deposit of capital into the protocol. 3% of the total supply is dedicated to this program.
• Long-Term Rewards: this program is meant to incentivize capital to stay in the pool for months to years vs days to months. 20% of the token supply is allocated to these long term rewards, which will get progressively higher over time (quarterly, up to 2 years, block by block basis). The mechanism for this is staking the tokenized balances (idleUSDC, idleDAI, etc.), meaning users can still exit at any time, they just stop earning IDLE at the increased levels (The long term distribution program won't start right at governance launch, but 20% of the total supply have already been reserved and sent to the LongLPFund 0x107A369bc066c77FF061c7d2420618a6ce31B925 which is managed by the governance)

Top 10 Token holders

Source: https://etherscan.io/token/tokenholderchart/0x875773784Af8135eA0ef43b5a374AaD105c5D39e?range=10

• Governance Fund: 0x107a369bc066c77ff061c7d2420618a6ce31b925

2,600,000 IDLE, 20.00% of Total Supply

• Governance Fund: 0xb0aa1f98523ec15932dd5faac5d86e57115571c7

1,718,828.91 IDLE, 13.22% of Total Supply

• Team Funds: 0x06a44ce4a37dba5a90267db93c144522d5c178f6

1,366,196 IDLE, 10.50% of Total Supply

• Idle Contracts: 0x275da8e61ea8e02d51edd8d0dc5c0e62b4cdb0be

973,350.22 IDLE, 7.48% of Total Supply

• Investor Funds: 0x57d2a95bea18ad894c35ce2ca89c5928f9b2f912

947,700 IDLE, 7.29% of Total Supply

• Team Funds: 0x9e5a7eeb2eb6bbb735c75075114090015040909f

919,555 IDLE, 7.07% of Total Supply

• Liquidity Mining Fund: 0x031f71b5369c251a6544c41ce059e6b3d61e42c6

787,602 IDLE, 6.05% of Total Supply

• Investor Funds: 0x53967e3ffdab0a0f2bce097383c34ec0a3f0b0fe

403,985 IDLE, 3.10% of Total Supply

• Team Funds: 0xf1bd4d3f7e0172b9dafcff91decd9f077ed01887

341,549 IDLE, 2.62% of Total Supply

• Team Funds: 0x2e56c44e571a8f926e2cd8cb247a7074559c64dc

325,000 IDLE, 2.50% of Total Supply

More info about Idle token distribution and addresses are available here: https://developers.idle.finance/governance/distribution

Tokenomics

The above $IDLE emission schedule does not take account of Ecosystem Fund and LongTerm LPs Program, which will be deployed via community vote).

• Maximum supply: 13,000,0000
• Circulating supply: 1,742,607

FAQs

• Q: Is there a rebase/elastic supply mechanism?

• A: No, there is no rebase/elastic supply mechanism within the protocol.

• Q: Is the token contract upgradable?

• A: No, the $IDLE token is not upgradable.

• Q: Do token holders burn IDLE tokens? Can any other accounts like owners/admins burn tokens?

• A: No token holders are able to burn $IDLE tokens unless they send to a burn address.

• Q: Is minting of new tokens restricted and does it conform to the whitepaper and the security audit?

• A: The is no method to minting new tokens

• Q: Does the ERC-20 token apply transfer fees?

• A: No additional transfer fee is applied for transfers

• Q: Is token transferring pausable?

• A: Some methods in Idle can be paused during emergency situations, more details explained here: https://developers.idle.finance/advanced/admin-powers

Community and Communication

Official announcements are made via the official Twitter account and Medium page. Idle also has an active community on Telegram (one official, one community-led), the team also can

be found in Discord. Governance discussions are generally held on the Discourse forum. The Idle DAO Team (Leagues) can also be found on the team board.

Governance decisions and proposals are managed on-chain and off-chain:

• 🗳 Official Governance portal for on-chain proposals: https://idle.finance/#/governance

• 🤝 Official Governance forum for off-chain discussions: https://gov.idle.finance

• ⚡️ Official Governance off-chain signalling tool (Snapshot): https://signal.idle.finance (or https://snapshot.page/#/idlefinance.eth)

Protocol development can be found on Github.

Available Audits

• Idle protocol contracts audits:
• Quantstamp Audit - https://certificate.quantstamp.com/full/idle-finance
• Idle governance contracts audits:
• Quantstamp Audit - https://certificate.quantstamp.com/full/idle-finance
• Consensys Diligence (in progress)

Market and Trading Data

• IDLE Price: $4.64 (as of post)
• All-time high: $30.65 (Feb 13, 2021)
• All-time low: $0.78 (Dec 4, 2021)
• IDLE is currently launched on:
  • Sushiswap (date listed: Dec-11-2020)
  • Uniswap (date listed: Nov-26-2020 1)
  • Balancer (creation date: Feb-3-2021)
  • Hotbit (date listed: Dec-3-2020)
• Market cap: ~$6,000,000
• 24-hour spot volume: $140,000
• Token holders: 3,071
• Circulating supply: 1,742,607 / 13,000,000
• Token distribution: Token Distribution - Idle

Benefits for Bancor

• Whitelisting a solid DeFi project like Idle will capture the attention of the existing Idle and DeFi community.
• The whitelisting of $IDLE will allow some of the existing $IDLE HOLDers and LPs to participate in providing liquidity and generate passive yield.

Learn more about IDLE

• Official Website
• Technical Documentation
• Analytics dashboard
• Official Blog
• Governance Forum
• Defi Pulse
• Defi Lama

Big thank you to the Bancor community for supporting this proposal 🙏

cc @ccc @glenn @tenzent @mbr