October Wrap-Up

Liquid Driver
5 min readNov 9, 2022
Liquidity across the seven chains

It has been a while since the latest development update. The state of the pirate ship is strong, and we’re currently venturing to new seas. Read up on the recent developments and what is on the horizon.

cLQDR contract ownership transfer to DEUS Finance

Last March Growth DeFi launched cLQDR on the Fantom network. cLQDR is an interest bearing and transferable version (wrapped synthetic derivative) of xLQDR. Users can deposit their $LQDR into the contract in order to mint cLQDR. The $LQDR deposited into the contract is permanently locked as xLQDR on the back end, and the daily rewards are automatically compounded through the buyback and burn contract. As a result, cLQDR is appreciating over time against LQDR.

Growth DeFi, however, recently shifted its operational strategy and chose to terminate all of its operations on the Fantom network, including the development of cLQDR. This affected numerous retail and protocol stakeholders for whom LiquidDriver and Growth DeFi jointly agreed on a long-term solution with the relevant parties in mind.

In addition, the cLQDR contract is a strategic asset because it entitles its holder to:

  • Voting power in LiquidDriver’s governance proposals
  • (Upcoming) Voting power to redirect $SPIRIT emissions
  • (Upcoming) Voting power over $LQDR emissions thanks to the Master Gauges solution

Three major Fantom DeFi actors have shown a strong interest in the cLQDR contract takeover and DEUS Finance has finally won with more than 71% votes before Revenant Labs (14.7%) and Beethoven-X (13.6%).

cLQDR will be strategically leveraged by DEUS Finance with the upcoming Master Gauges Product that will enable it to set cross-chain incentives on top of its derivative products. DEUS Finance has notably committed to:

  • The development of a new UI for cLQDR — already live: https://app.dei.finance/clqdr
  • The development of a lending option for $cLQDR and $cLQDR LP tokens
  • Ensure cLQDR peg stability & deep liquidity for cLQDR
  • Eventually develop a bribing interface for cLQDR holders

LiquidDriver enters the Velodrome Race to kick-off its cross-chain operations

LiquidDriver successfully passed a $60,000 Treasury Investment proposal into $VELO. The transaction proceeds will be locked as veVELO in order to become a significant stakeholder in Velodrome Finance. Under the Velodrom “Lock Bonus” program, LiquidDriver will benefit from a global [35%;45%] discount paid out $OP, that will be utilized right away to increase the total veVELO acquisition. Overall, LiquidDriver expects to acquire ~1% of the total veVELO total supply.

This investment will be the first milestone in the LiquidDriver entry into the Optimism ecosystem, and will be accompanied by a proposal to establish farms on Velodrome. The “Cross-Chain Expansion Fund” launched in August has been seeded with 30% of $LQDR’s daily emissions in order to prepare for this expansion. Since then, the fund has accumulated more than $150,000 worth of $LQDR that are ready to be deployed to new farms. Additionally, until the full roll out of the Master Gauges, emissions redirected to the fund will become fully dedicated to the Optimism venture.

The overall strategy is to farm $VELO and lock a portion as veVELO in order to gradually grow LiquidDriver’s stake and eventually climb to the top 5 veVELO holders.

LiquidDriver becomes a launch partner of THENA on BNB Chain and will receive veTHE

THENA is a Solidly-inspired DEX that will be launched in the coming weeks on BNB Chain. As a launch partner, LiquidDriver will receive a veTHE NFT that secures sustainable $THE emissions through weekly gauge voting. With this new partnership, LiquidDriver continues its cross-chain expansion in a promising DeFi ecosystem. BNB Chain is backed by Binance, the biggest corporate player in the blockchain industry. The ecosystem is mature, users sophisticated, and the liquidity is sticky.

Furthermore, THENA is seeking to engage our community with a mix of veTHE/$THE airdrop. It is also in our interest to engage the most loyal users that will be likely to vote for $LQDR pools and participate in our goal of deep liquidity and new staking solutions on BNB Chain. In that regard, a snapshot will be taken in the coming weeks to reward the most loyal xLQDR and fNFT holders with THENA’s airdrop.

Master Gauges, cross-chain expansion, and the future of Liquid Driver

The Master Gauges model has not been deployed yet on Fantom due to lack of local demand for $LQDR emissions. Rolling out the entire infrastructure implies a switch in the global Liquid Driver’s model and the associated risk cannot be properly mitigated in the current DeFi environment on the Fantom network. As a result, a decision has been made to deploy the product directly cross-chain. Some technical adjustments still need to be implemented — such as mxLQDR, the cross-chain version of xLQDR. Cross-chain Master Gauges open up a global market for LiquidDriver that will unleash the full potential of the product.

In parallel, LiquidDriver focuses its efforts on the acquisition of strategic governance tokens such as veVELO and veTHE. Along with inSpirit and veHND, governance tokens acquisition aims to provide LiquidDriver with a substantial governance power over third party protocol emissions. These emissions enable:

  • $LQDR cross-chain deep liquidity
  • Passive income generation options for $LQDR holders
  • Diversification of the Fantom dependency

The core team is currently working on similar partnerships with other non-Fantom native DEXs. The objective is to sustain $LQDR’s intrinsic value and the overall utility of Master Gauges. Once deployed, xLQDR holders will be able to incentivize liquidity on-demand on any EVM compatible chain and benefit from the cross-chain use cases for $LQDR.

Pirates of the Month

  • @Fattson Assassin for his two consecutive articles published on his own Medium page: Shadowfarms on Liquid Driver & My Thoughts So Far
  • @jerAco for his constant reminders and endless efforts to keep the community updated about NFT giveaways & events

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