Add USDap and BAG to the SushiSwap default token list

Summary

We propose to add USDap and BAG to the SushiSwap default token list. This will ease operations with BondAppetit tokens for SushiSwap users and strengthen the reputation of the BondAppetit protocol.

Abstract

What is BondAppetit?

BondAppetit.io is a DeFi protocol for business loans. Businesses can borrow money (in fiat as well as in crypto) from the protocol, providing bonds with fixed income as collateral. A loan can be made in two ways: through loan agreement, and through a sale and purchase agreement. BondAppétit is a part of the Ethereum ecosystem.

BondAppétit issues two native tokens — the BondAppetit USD (USDap) and the BondAppetit governance token (BAG).

What is USDap?

USDap (BondAppetit) is the native stablecoin of BondAppetit. It is built on Ethereum and is fully backed by yield-generating bonds. The bonds are stored by Wise Wolves Finance, a Cyprus-based Investment Firm (CIF) regulated by the Cyprus Securities and Exchange Commission (CySEC) with license number CIF 337/17. Anyone can check their availability any time online at BondAppetit. The information is transmitted from the custodian and is digitally signed making data spoofing impossible. Neither USDC, nor USDT have this level of transparency.

What is BAG?

BAG (BondAppetit) is a governance and a reward token, which is used to vote on-chain and to collect the bonds’ interest in dollars. Technically, it is an ERC-20 token and is based on the Compound Governance system — a recognized industry standard with the highest rate of transparency and security. Any member of the BondAppetit community with more than 1 million BAG tokens can initiate a governance proposal.

BAG had a gradual and fair launch. 100 million tokens will be distributed within two years. 65 million of them are reserved for the community.

There are two ways of making money on BAG tokens. The first way is to profit on the growth of its market value. The second way is to stake tokens in the staking contact and receive regular interest income from bonds that back the USDap. The interest is paid every quarter. The first payment has been made September 2021.

Team

The protocol was built by a team of coders, lawyers, and financiers, who worked at and with the most well-known global corporations. The key founder is Artem Tolkachev (https://www.linkedin.com/in/artemtolkachev/), a former head of the Blockchain Lab at Deloitte. One of our advisers is Sasha Ivanov (https://twitter.com/sasha35625/), CEO of Waves.

Project history and plans for the near future

BondAppetit was launched on April 5, 2021. In the first few days since launch, the volume of locked funds reached $10 million.

Over the ensuing several months, BondAppetit reached several key milestones:

  • BondAppetit established its first partnership to help increase the emission of the USDap stablecoin. The partner is the EAST.Finance, the first protocol targeted at large businesses. EAST is a part of Waves, a massive crypto ecosystem with a market cap over $2 billion. The EAST token is partially backed by USDap.

  • BondAppetit acquired a portfolio of corporate bonds to fully back the USDap. The USDap is currently backed by bonds of the following companies: Nexa Resources, Ecopetrol, Delta Air Lines, Ford Motor, Xerox Holdings, American Airlines. These are bonds rated BB / BB +, with maturity dates for 2026–2029 and coupon yields ranging from 5.38% to 7.38%: BondAppetit

  • BondAppetit started to distribute profits generated by its bonds’ portfolio among BAG token holders. To be eligible for receiving payments, token holders have to stake their tokens in a special contract for 3, 6 or 12 months. The income is accrued for each block and distributed in USDC (in the future, the protocol will transition to making payments in USDap). The current APY is above 8%.

  • BondAppetit has distributed more than 10% of all BAG token emissions among its liquidity providers. To become fully decentralized, the protocol has committed to distribute 65% of total BAG supply among the community: BondAppetit

  • In October 2021, BondAppetit raised $350,000 from the Digital Fortress investment fund. The fund retains an option of acquiring more BAG tokens throughout the year.

References

What is BondAppetit? What is BondAppetit? - YouTube

What is USDap? What Is USDap? - YouTube

What is BAG? What Is BAG? - YouTube

Project: https://bondappetit.io/

Whitepaper: BondAppetit

Github: bondappetit · GitHub

Developer docs: BondAppetit

News channel: Telegram: Contact @BondAppetit

Community chat: Telegram: Contact @BondAppetitEn

Twitter: https://twitter.com/DeFiBonds

Security audit by HashEx: public_audits/BondAppetit report.pdf at 32a680c5b8f3a784ef3273c324e0841341f3abc2 · HashEx/public_audits · GitHub

Security audit by MixBytes: audits_public/BondAppetit at 4fc7d333e3df57586e0f96cc551819e2c93f3ae9 · mixbytes/audits_public · GitHub

USDap token contract: 0x9a1997C130f4b2997166975D9AFf92797d5134c2

BAG token contract: 0x28A06c02287e657ec3F8e151A13C36A1D43814b0

Motivation

Until very recently, the value of the BondAppetit protocol was based on expectations. Now, as the protocol proved its business model, has stable cash flows, acquired collateral to fully back its stablecoin, started distributing profits to token holders, and secured the first investment round, BondAppetit is ready scaling. The key task now is to grow the supply of USDap. The protocol plans to achieve this in part by establishing partnerships and attracting investments.

The demand for decentralized stablecoins with robust and transparent collateral is insatiable. Many institutions and protocols are in need of such assets.

The stablecoin market is currently led by two mainstays: Tether and Circle. Tether is centralized and notoriously opaque. The large portion of their assets consists of commercial bonds. But no one knows for sure whether USDT is fully backed and if underlying assets even exist. Tether has been a source of FUD for many years.

Circle is more transparent and willing to comply with regulators. Its stablecoin is perceived as less risky than USDT, but the impression is deceptive. Circle strives to become a de-facto U.S. parastate entity. Circle openly admitted that they can freeze any USDC account with a flip of a switch.

For its own good, the crypto market needs to shift to decentralized stablecoins. Centralized stablecoins are too much of a risk.

A few words on market size. The market for business loans is enormous. The corporate loans and short-term liquidity markets are worth tens of trillions of dollars.

Some TradFi companies are already looking for ways to connect decentralized finance and traditional debt instruments. Back in September, Société Générale applied for a $20 million MakerDAO loan using bonds as collateral:

BondAppetit seeks to become a bridge between DeFi and the traditional debt financing market. The protocol has the necessary infrastructure and is now poised for scaling.

For

Add USDap and BAG to the SushiSwap default token list

Against

Do not add USDap and BAG to the SushiSwap default token list

Poll

  1. Add USDap and BAG to the SushiSwap default token list
  2. Do not add USDap and BAG to the SushiSwap default token list

0 voters

1 Like

Adding a token

To request that we add a token to the list: