Beethoven-x is now home to two mega liquidity pools for Statera - "Dante" the core pool, and "Maxi", and here I want to highlight this Statera Maxi Duet Pool. If you take nothing else away from this article, take this: The Maxi pool is designed for those of you who want to HODL Statera and retain your position LONG, yet at the same time, put your STAs to work volume farming and profiting from huge 400-1k% APRs.
Lets start with some basics..
What is the Statera Maxi Duet Pool?
The Statera Maxi Duet pool on is a liquidity pairing of WSTA and BEETS on the Beethoven-x decentralized exchange. The pool is perfect for someone who is bullish on Statera (and there are plenty of reasons to be bullish) and wants to HODL, but at the same time wants to put their Statera to work and earn from it.
What’s great is that the economics and weighting of the pool is designed to make it more Impermanent Loss proof:
Firstly, it has an 80% Weighting i.e. 80% of the pool is WSTA (wrapped Statera), and only 20% is BEETS. These larger weighting pools have been proven to protect against the impermanent loss of selling a token as it rises in price - i.e. if WSTA rises 2x in price a 50-50 pool would sell 50% of your holding. An 80% weighted pool only 20%.
Read more about IL proofing with 80-20 pools in this excellent article from Balancer CEO Fernando Martinelli
However, it gets even better, there is a HIGH fee of 2%. This further protects agains IL. Usual fees are 0.3%. Now lets imagine - with a 0.3% fee - there is a fast price increase in WSTA, say 2.1% - an arbitrage robot can make a trade, pay 0.3% in fees to the liquidity providers (you), and keep 1.8% as profit. However, now with the 2% fee; the WSTA price increases by 2.1% again, this time the arbitrage robot still makes the trade, but it has to pay 2% to YOU / liquidity providers, and pockets only 0.1% profit - it is still profitable, it still makes the trade but only 0.1% - these extra earnings in fees mean often less trade volume but higher % profit / earnings and so less IL.
TVL of the Statera Maxi Duet pool is now some $622K with one of the best APIs on the platform, which until recently was some 400%.
How come such a high APR?
Well, the Statera team has been “bribing” for votes in the Beets Wars. In simple terms this is "bribing" BEETS holders, for which pools should be allocated BEETS emissions every 2 weeks. Beethovenx BEETS emissions voting have been very good for Statera pools. Round 5 of the Beets wars saw the Dante Symphony receive 11.9% of votes i.e to recieve 11.9% of BEETS emissions for the next 2 weeks. The Maxi pool received 7.08% of the vote.
This is the major reason why the Statera maxi duet pool has been hitting those crazy APRs. And the Maxi pool has been doing 250-400% APR over the last 2 weeks from previous BEETS emissions rewards..
BUT IT GETS BETTER..
Beefy Finance (an auto-compounder) just added the Statera Maxi Duet Farm ;)
Beefy.Finance JUST added the Maxi pool as a farm which lets you auto-compound your rewards. I’ve been sitting this morning watching those gains compound! ;) The APY for this just obliterates the rest of the pack at a WHOPPING ~1,000%+!
So this is just another high yielding vault right? Wrong! There’s something much bigger going on here and that’s what I want to highlight.
You see, Statera is a volume farming project. It’s built into the smart contract that for every transaction that takes place, 1% of that transaction is burnt. This is something that I keep shouting about.
So with this new farm on Beefy Finance, there’s going to be some humongous buy pressure as the $100K+ or so BEETS rewards drips out over 2 weeks, 80% of which goes towards buying WSTA. This will not only compound the position, but create a constant WSTA buy pressure, far beyond usual daily levels.
How to Join the Beefy Finance Statera Maxi Duet Farm
- First head over to the statera maxi duet pool and invest in the $WSTA-$BEETS position. You’ll get some liquidity provision tokens
- Head over to the Beefy Finance Statera Maxi Duet farm and click on add liquidity.
- Add your chosen amount of the LP tokens and click deposit
- Profit! ;)
So I just wanted to give you a quick primer on how to join this pool and auto-compound on beefy finance so you can join the train before this whole thing blows up, the extra daily buy pressure being compounded really could lead to a 2x, 3x, 4x? WHO KNOWS?! in a few weeks time.
Keep an eye on $STA in the weeks to come. There is some serious magic going on here and it looks like it’s gearing up for a serious bull run!