[BIP-578] Engage Wonderland as a Service Provider

PR with Payloads

https://github.com/BalancerMaxis/multisig-ops/pull/882

Service Provider Name

Wonderland (defi.sucks)

Overview

We're a group of developers, researchers, and data scientists with one thing in common: we all love building cool sh*t. DeFi sucks, but we are here to make it better.

Our mission is to discover, partner with, and empower innovators to create open, permissionless, decentralized financial solutions. We pledge to stand by our partners, working with and supporting them in every way possible.

We’re partners with some of the most relevant and successful protocols in web3, including Optimism, Aztec, Connext, Yearn, Reflexer, and more.

We think of Balancer as the leader in AMM innovation, with a history of building features that many other protocols adapt later down the road.

Leader(s)

Wonderland comprises a team of 30+ experienced developers and researchers, with Matias Nisenson as CEO and 0xGorilla as CTO. Find the whole team here: https://defi.sucks/squad

Adhere to [BIP-372] and the SP standards:

Yes

Domains of Operation:

Wonderland is a proficient web3-first development team with a lot of experience in cross-chain, automation, oracles, and DeFi, with a strong focus on smart contracts, front ends, and system design. We’re the team behind:

• Connext optimistic roots: saving gas costs by 90% on the merkle tree.
• xERC20: a standard for bridged tokens.
• Keep3r Network redesign: we helped completely remove liquidity management devops costs.
• Hai Stablecoin: the money-god mandate is to be everywhere, so we made a highly complex protocol as developer-friendly as possible for others to build on top of it and fork it.
• Price: a permissionless and reliable oracle that provides safe token price quotes, showcasing what can be built on AMMs.

Our initial focus is on smart contract development for v3. We’ll bring every bit of the experience above to the table, helping Balancer lower its gas consumption and maintenance costs while having the best developer experience possible for those building on top of v3.

We understand Balancer has a mature ecosystem with multiple service providers and stakeholders committed to its success; we’d be more than happy to engage and collaborate with any of them in any aspect of the protocol where we can help.

Key Objectives & Success Metrics:

Development of Balancer v3:

For the past month, we’ve been working with Balancer Labs, getting to know the codebase and supporting some current developments around the upcoming v3 release. Some of the things we’ve done so far are:

• Optimizing current design for gas efficiency.
• Researching designs to support emerging token standards like the ERC4626.
• Improving the test suite to provide a test-oriented approach.
• Security patterns and helping reduce trust assumptions.
• Providing feedback on upcoming peripheral products.

We believe code is art; you want every line to have a raison d'être, which can make it more gas-efficient and helps security auditors, or even users, to go through it and have a sense of what’s happening quickly, among other things.

Balancer as the tip of the spear in innovation:

We believe there’s a lot of innovation going on in the AMM space, like with the recent boom of hooks after Uni v4, research around Loss-Versus-Rebalancing, or the increasing relevance of aggregators. This is all in the spirit of having the best and most efficient experience for the liquidity provider and the end-user.

We want to help Balancer stay at the forefront of innovation and experimentation as a customizable and advanced AMM.

Keep in mind that as our collaboration with Balancer extends over time, our goals will evolve to focus on what's most crucial for the success of the Balancer ecosystem.

What our current partners have to say

Don’t trust, verify. These are quotes from a few of our partners and founders who have worked with us for extended periods and can attest to our quality and commitment.

“Wonderland was wonderful to work with. They aren't cheap but they do excellent work. They went above and beyond their assignment and even found & fixed a bug in a related system, following our communication guidelines for risk mitigation at every step. 10/10 would recommend.”

Ameen, founder @Reflexer

"Wonderland is an incredibly talented technical team that takes a radically different approach to how they work with protocols. They are a close partner & core contributor to the Connext ecosystem, taking a proactive leadership role in not only building, but also helping determine what the future of the network will look like. I strongly recommend them to anyone looking for a high integrity, high quality partner."

Arjun, founder @ Connext

“The Wonderland team has been instrumental in helping us push the design space for Aztec and think better about the types of contracts that can be built on Aztec. They are knowledgeable, motivated, and efficient in their work.”

Joe, founder @Aztec

"Great working together, if I could, I would have them run the protocol full time, complete trust”

Andre Cronje

“I always enjoy collaborating with Wonderland. They have a wide understanding of the defi space, its needs and problems, and they have right skills to solve them. They've developed one of the most widely used plugins for Hardhat and are always willing to help the defi/Ethereum space.”

Patricio, founder @Nomic Labs

Length of Engagement & Budget:

We’re proposing a 4-year long engagement, starting March 14, 2024, with the following structure:

• $30,000/month in USDC.
• An allocation of 275,000 BAL tokens vested linearly over four years starting February 14.
• A call option with no expiry for 175,000 BAL with a 30-day TWAP strike price at the time of approval of this proposal, vested linearly over four years.
• Entity to exercise call options: OpCo / Foundation multi-sig at 0x3B8910F378034FD6E103Df958863e5c684072693.
• Specific terms and conditions apply as per real-world contract which will be drafted by the foundation.
• Quarterly updates under this thread for the duration of the engagement.

There will be a team of 4 full time developers working on Balancer, with additional support from Wonderland’s research team and the rest of the company.

Since our main expertise lies in code, that's where we shine brightest. However, our incentives are perfectly aligned, and we're fully committed to supporting in every way possible, including business development, communications, or security, whenever we have the capacity and it aligns with our capabilities. Rest assured, we're about going the extra mile for our partners, always ready to contribute beyond our core if we can.

Termination terms

Both parties may terminate this agreement at any time effective immediately upon 15-days prior written notice to the other party due to any failure of either party’s obligations under what’s stated in this proposal. In this case, Wonderland would receive a partial payout of the monthly USDC transfer, and the DAO would execute a clawback on the BAL vested, starting from the effective date of termination.

ETH Address to Receive Funds:

0x74fea3fb0ed030e9228026e7f413d66186d3d107

Link to SLA (if going through the Foundation/Opco):

N/A.

Technical Specification:

Monthly USDC Transfer

Description: The Balancer DAO will do a monthly 30k USDC transfer to Wonderland.

Transactions:

to: 0xa0b86991c6218b36c1d19d4a2e9eb0ce3606eb48 (USDC)
function: transfer(address to, uint256 value)
args:
	to: 0x74fea3fb0ed030e9228026e7f413d66186d3d107 (Wonderland)
	value: 30000000000 (30,000e6)

BAL Vesting

Description: The Balancer DAO will create a 4 year vesting of 275k BAL to Wonderland using Yearn's Vesting Escrow.

Transactions:

• First tx: Approve tokens to the Yearn Vesting Escrow Factory

  to: 0xba100000625a3754423978a60c9317c58a424e3d (BAL)
  function: approve(address spender, uint256 amount)
  args:
  	spender: 0x200C92Dd85730872Ab6A1e7d5E40A067066257cF (Yearn Vesting Escrow Factory)
  	amount: 275000000000000000000000 (275,000e18)
  

• Second tx: Deploy Vesting Contract

  to: 0x200C92Dd85730872Ab6A1e7d5E40A067066257cF (Yearn Vesting Escrow Factory)
  function: deploy_vesting_contract(address token, address recipient, uint256 amount, uint256 vesting_duration, uint256 vesting_start, uint256 cliff_length, bool open_claim, uint256 support_vyper)
  args:
  	token: 0xba100000625a3754423978a60c9317c58a424e3d (BAL)
  	recipient: 0x74fea3fb0ed030e9228026e7f413d66186d3d107 (Wonderland)
  	amount: 275000000000000000000000 (275,000e18)
  	vesting_duration: 126144000 (4 years)
  	vesting_start: 1707868800 (February 14th, 2024)
  	cliff_length: 0
  	open_claim: 0 (Only Wonderland can trigger the claim)
  	support_vyper: 0
  

Transaction for claw back execution:

to: <Address of the deployed vesting contract>
function: revoke()

Tenderly Simulation: https://dashboard.tenderly.co/explorer/fork/e8ea44be-0261-4e2b-8a5f-994c023f81b1/transactions

BAL Call Option

The call option is a real-world contract which will be drafted by the foundation.