Proposal for APX Finance ($ALP) Syrup Pool on Arbitrum
PancakeSwap Welcomes APX Finance ($ALP) to Syrup Pool on Arbitrum Again!
Dear CAKE holders, we’re excited to announce a new Syrup Pool with APX Finance, the partner for PancakeSwap Perpetuals V2 on Arbitrum!
APX Finance is a decentralized derivatives exchange that designed the Permissionless DEX Engine, which powers PancakeSwap Perpetuals V2 on BNB Chain and Arbitrum.
For an update on how the product has performed thus far, please refer to the section “Performance of Perpetuals v2 on Arbitrum” below.
The Syrup Pool:
Stake ALP tokens to earn CAKE tokens!
- Total Tokens: ~6,250 CAKE + 275,000 APX (converted into CAKE)
- Distribution duration: 25 days
- Start time: Approx. 0900 UTC on 27 Nov 2023
- Finish time: Approx. 0900 UTC on 22 Dec 2023
- Token rewards per second: CAKE (will depend on final CAKE amount)
The CAKE tokens used to fund this Syrup Pool will be provided by PancakeSwap and APX Finance equally. The final CAKE amount will depend on token prices at time of conversion.
On PancakeSwap’s side, the CAKE tokens will not come from increased emissions, but rather will be taken from our ‘Multichain Warchest’ allocation. The yield from the Syrup Pool will encourage more users to participate in PancakeSwap Perpetuals V2 on Arbitrum, increasing liquidity, which will ultimately lead to greater CAKE burn from increased volume and fees.
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| Image taken from our tokenomics page |
Max Stake per Wallet:
There will be no cap on how much CAKE a user can stake in the Syrup Pool. This is to encourage as much on-chain ALP liquidity as possible.
Performance of Perpetuals v2 on Arbitrum
Since the launch on 28 Aug 2023, PancakeSwap Perpetuals V2 on Arbitrum has achieved impressive results, surpassing $800 million in cumulative trading volume and attracting over 1000 users. Notably, our platform has consistently secured a prominent position among the leading derivatives protocols on Arbitrum in volume.
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| Image taken from our Dune dashboard |
Our previous Syrup Pool proposal successfully incentivized liquidity provision, which is crucial for facilitating trading on the perpetuals platform. We have currently attained more than $5 million in liquidity value of minted ALP tokens, of which ~$4 million are staked in our Syrup Pool.
Our goal is to establish a dominant position in the derivatives category within Arbitrum. This proposal seeks to expand the TVL in the ALP Pool to accommodate increased trading volumes.
We are excited to share our recent successes in launching innovative products on the BNB Chain, namely the MADBTCUSD Index and Dumb Mode.
MADBTCUSD has garnered remarkable traction, boasting an impressive $50 million in traded value to date. The MADBTCUSD Index is primarily based on the price of Bitcoin. It mirrors the general ups and downs of BTCUSD, but it does so at an amplified rate (expected volatility of 100%), resulting in an index with significantly more pronounced price swings.
The introduction of Dumb Mode caters to a growing market segment, offering a simplified trading experience tailored for those who seek minute-by-minute fluctuations in the underlying asset's value.
These products will be launched on Arbitrum in the coming weeks - we are committed to expanding our market reach on Arbitrum, fuelled by the introduction of such innovative products. We anticipate a surge in trading volumes, and the liquidity in the ALP pool will play a pivotal supporting role. We are excited to grow Perpetuals V2 on Arbitrum, with the goal of increasing protocol revenue and further supporting CAKE burn.
What is Perpetuals Trading?
Disclaimer: This information presented in this proposal does not constitute any form of financial advice or recommendation, please do your own research before making any investment decisions.
Perpetuals, perpetual swaps, or perps are a special type of futures contract without an expiration date.
Futures trading allows users to enter positions on margin (leverage) using borrowed funds to optimize capital. Using leverage allows a user to enter a position with a size that is larger than their account balance. For example, using 10x leverage, a user could trade 100 CAKE for the price of 10 CAKE. In this example, the initial margin would be 10 CAKE which is used to collateralize the leveraged position.
In PancakeSwap Perpetuals V2, we've streamlined our interface by removing the order book and market depth displays. Instead, our partner APX Finance has introduced the ALP pool, which now provides liquidity for all trading pairs, maximizing your capital usage. The ALP pool will actively participate in the market-making process for our V2 perpetual contracts.
More information can be found in the documentation pages of APX Finance and PancakeSwap.
What is $ALP?
From the team: “ALP is APX Finance’s liquidity provider token made up of a pool of assets (USDC, USDT, DAI, ETH, BTC). Users can become liquidity providers by using any of the specified assets to buy ALP. ALP pool is the direct counterparty of V2 on-chain perp traders.
The initial issue price of ALP is USD$1. The price of ALP is influenced by the profit or loss of the pool and income from trading fees, funding fees and liquidations.
In the future, APX Finance plans to support more utility of ALP on the platform such as earning transaction fee rewards, using ALP as margin for perpetuals trading, and participation in DAO governance and voting.
A step-by-step guide on buying, selling, and staking ALP can be found here”
To learn more, visit the project’s official channels:
- App: https://perp.pancakeswap.finance/en/futures/v2/
- Blog: https://blog.pancakeswap.finance/articles/ep-6-5-perpetuals-v2-trading-guide
- Twitter: https://twitter.com/APX_Finance
- Telegram: https://t.me/apolloxchange
- Discord: https://discord.com/invite/q5eH3zktcm
- Audits: https://apollox-finance.gitbook.io/apollox-finance/about-us/audit-reports
- Dune Dashboard: https://dune.com/apollox/alp-v2-arb
How do you stake $ALP to earn $CAKE rewards?
Follow this guide to staking in Syrup Pools:
⚠️⚠️⚠️BEWARE OF FOOD POISONING⚠️⚠️⚠️💀
The official ALP token contract address on Arbitrum One is:
https://arbiscan.io/token/0xbc76b3fd0d18c7496c0b04aea0fe7c3ed0e4d9c9
Any other ALP token will be a scam. Always verify the token address before buying tokens. If you receive an ALP token airdrop from another address, it’s probably a scam, and we advise you to ignore it.
Off-Chain Vote
✅ We want to earn CAKE tokens!
36.23M CAKEVOTE96%
❌ We don’t want to earn CAKE tokens!
1.52M CAKEVOTE4%
Timeline
Nov 24, 2023Proposal created
Nov 24, 2023Proposal vote started
Nov 25, 2023Proposal vote ended
Nov 25, 2023Proposal updated