Deploy Venus on Base

I. INTRODUCTION

We propose deploying the Venus Protocol on Base Chain. As a part of the OP Stack and the Superchain, the Base ecosystem is currently witnessing significant growth in liquidity and users. We believe Venus tech can bring new value to Base and capitalize on the sizable DeFi user base.

II. ABOUT BASE

Base is an Ethereum L2 developed by Coinbase. It’s powered by an Optimistic Rollup stack, offering fast transaction speeds and low fees, making it ideal for DeFi. Because of its proximity to Coinbase, Base chain is regularly onboarding first-time DeFi users from the Coinbase CEX. It serves as a gateway for millions of users to access DeFi. By deploying Venus on Base, we can bring an innovative lending solution that provides Base chain with a high caliber user experience.

III. RATIONALE

1. Users - Base boasts nearly 2MM daily active addresses
2. TVL - Base chain has 2.4BB in TVL, up from ~300MM one year ago
3. Gateway to consumers - Coinbase is a top CEX introducing thousands of new users per month to Defi via Base chain
4. Altcoins - While protocols like Aave and Compound are already live on Base, they are more conservative with their approach at listing assets. This poses a great opportunity to create lending markets for high volume tokens that may not make the “blue chip” cut on other money markets.
5. Revenue - high user activity equates to a significant revenue opportunity for Venus.
6. Incentives - In theory, Base incentives are just around the corner. With the Venus tech stack and track record, we have a strong chance at securing a slice of the incentives pie that can be distributed to new and existing Venus users.

IV. BASEPLAN

As mentioned in the Base DeFi mandate: (outlined here)

• Incentivize new DeFi protocols to launch on the Superchain and Base and grow their TVL of high quality assets

The sooner Venus Protocol is live on Base, the more impact it will have to use as leverage for a greater share of incentives.

We propose the following assets

• ETH
• USDC
• cbBTC
• cbETH
• wstETH
• ezETH
• AERO
• weETH
• WBTC
• Brett

V. Next Steps

We suggest the following next steps based on prior deployments:

1. Base Audits: Any additional audits if necessary, as Base is used by Aave, Morpho and Compound and pretty secure as a chain.
2. Secure Support or Commitments from Base ecosystem and Base team (since we are close with the Base team, we are happy to facilitate these introductions)
3. Start Co-Marketing Campaigns (Market the deployment from the Venus account, and establish co-marketing channels with the Base team)
4. Coding integrations for Venus deployment on Base

VI. Why Us?

AlphaGrowth is a DAO service provider primarily working in the realm of DeFi growth through grants, BD, growth-marketing, and DeFi Operations. Some of our partners include Compound.Finance and Rocket Pool. After speaking with members and stakeholders of the Venus DAO, we saw the Base deployment as a high value opportunity that we could present to the community.

Current lending industry is very skewed with the dominance of a single protocol. We believe the only way to safeguard decentralization is by creating tides that lift up more ships. In the coming months, AlphaGrowth is excited to bring more growth opportunities to the Venus DAO.

VII. Conclusion

Base presents a golden opportunity for Venus Protocol to tap into millions of new Defi users. We’re eager to hear the community’s thoughts on this growth proposition.