Mound (MND) Update as-of 05-Dec-2021
Hello Mound Fam,
For this week, I am trying to estimate how much BUNNY we can actually burn using the fees from Prediction Market, the no-loss pots and the Busy Bunnies NFT minting event. My rough calculation shows that as-of now, we can burn around 200,000 BUNNY!!!
For more details, please read my estimation in the “BUNNY/PolyBUNNY/QBT Status” section.
- In-Chain Multiplexer (Leveraged Farming) on PCB will be launched before 12th Dec 2021 -> Link
- Bunny x Trefethen NFT2.0 Collaboration. Bidding for 9 Ultra-Rare “Wine” NFTs next week!!! -> Link
- BUNNY Arcade : “Stake BUNNY earn REVV” and “Stake BUNNY get BUNNY car” will be ended on 2021-12-10 06:00UTC -> Link
MND Status as-of 05-Dec-2021
TVL (Total Value Locked) = 10.845 Million USD
BUNNY tokens = 3 Million tokens
QBT tokens = 100 Million tokens
polyBUNNY tokens = 1 Million tokens
Total MND Staked = 2.246 Million tokens (82.646% of total supplies)
Effective value of MND token (TVL / MND tokens) = 3.99 USD
Current Market Price = 2.16 USD
Pay BUNNY Rewards = 0.0025 BUNNY/MND/day
Pay QBT Rewards = 0.0099 QBT/MND/day
Pay polyBUNNY Rewards = 0.0624 polyBUNNY/MND/month*
MND/WBNB PCS Liquidity Pool Statistics:
- MND tokens = 11,340 MND
- WBNB tokens = 42.79 WBNB
- APR% = 88.73%
BUNNY/PolyBUNNY/QBT Status as-of 5 Dec 2021
- PCB SAV TVL = 144M USD / Qubit TVL = 442.6M USD
- The ratio of PCB SAV TVL / Qubit TVL = 32.53%
- bQBT = 32.783M Tokens / total qScore = 40.648M scores
- The ratio of bQBT / total qScore= 80.65%
- QBT in Supply Market = 95.912M tokens
- BUNNY Prediction Market : Treasury Amounts = 5.33BNB. At the time I am writing this article (5 Dec 2021 13:00UTC), the BUNNY Price is 1.871 USD & the BNB price is 575.75 USD. So, we can burn around 5.33 x 575.75 / 1.871 = 1,640 BUNNY
- Cantata : Busy Bunnies minted = 3,121 items x 0.2 BNB = 624.2BNB. At the time I am writing this article (5 Dec 2021 13:00UTC), the BUNNY Price is 1.871 USD & the BNB price is 575.75 USD. So, we can burn around 624.2 x 575.75 / 1.871 = 192,080 BUNNY
- Last time, on 14 Sept 2021, we burned 11,281 BUNNY using the 2.5months accumulated fees from the no-loss pots. So, for this time, I’m guessing that 3months accumulated fees from no-loss pots could burn approximately 10,000–15,000 BUNNY.
- polyBUNNY in MND Vault : 19-days Accumulated Rewards = 44,899 + 45,109 = 90,008 tokens
MND Valuation as-of 5 Dec 2021
The underlying assets in the Mound Vault are as follows:
- BUNNY = 3,000,000 tokens @ 1.87 USD : 57% APR
Note: Since 19 Aug until now, the Bunny Maxi pool hasn’t got the performance fees to boost its APR because the FRE mechanism is now using all fees to buy back BUNNY from the market instead of minting new ones
Need to understand BUNNY FRE -> Read my FRE article here
- QBT = 100,000,000 tokens @ 0.031 USD : 5.28% APR
Note: After monitoring the results, the QBT reward rate has been declined from 0.0111 QBT/MND (21 Nov 2021) to 0.0103 QBT/MND (28 Nov 2021) and my model indicates that the reward rate could keep being declined to 0.0065 QBT/MND or 5.28% APR.
- polyBUNNY = 1,000,000 tokens @ 0.45 USD : 175% APR
Note: The polyBUNNY maxi APR rate keep declining, it seems to me like the polyBUNNY accumulated rewards in the pool will be empty soon. Since the FRE mechanism is now using all fees to buy back polyBUNNY from the market instead of minting new ones, so we haven’t had remaining fees to fill-in rewards to the polyBUNNY maxi pool.
the MND vault’s asset values = (3,000,000 x 1.87) + (100,000,000 x 0.031) + (1,000,000 x 0.45) = 9.16 millions USD
So far, there are only 2.246 Million MND tokens staked in the Mound Vault and less than 20,000 MND tokens in form of MND/WBNB LP. However, to be conservative, we will assume that there will eventually be around 2.3 Million MND staked to the vault.
MND NAV per token = 9.16 / 2.3 = 3.98 USD
And for every 1 MND token holding, it equals to hold 3 tokens as follows:
- 3 / 2.3 = 1.304 BUNNY
- 100 / 2.3 = 43.478 QBT
- 1 / 2.3 = 0.4347 polyBUNNY
The current daily rewards in Mound Vault will include:
BUNNY daily rewards = (3,000,000 x 1.87) x (57% / 365 days) = 8,760 USD
= 4,684 BUNNY tokens per day
= 4,684 / 2,300,000 = 0.00203 BUNNY/MND/day
= 2.03 BUNNY per 1,000 MND per day
QBT daily rewards = (100,000,000 x 0.031) x(5.28% / 365 days) = 448 USD
= 14,465 QBT tokens per day
= 0.00628 QBT/MND/day
= 6.28 QBT per 1,000 MND per day
polyBUNNY daily rewards = (1,000,000 x 0.45) x (175% / 365 days) = 2,157 USD
= 4,794 polyBUNNY tokens per day
= 4,794 / 2,300,000 = 0.00208 polyBUNNY/MND/day
= 2.08 polyBUNNY per 1,000 MND per day
= 62.4 polyBUNNY per 1,000 MND per 30 days
Daily rewards per MND token = (8,760 + 448 + 2,157) / 2,300,000 = 0.00494 USD
APR vs MND effective value = (0.00494 x 365 days) / 3.98= 45.30%
APR vs MND market price = (0.00494 x 365 days) / 2.16 = 83.47%
MND Vault Reward Prediction next week
Using the 30-days-amortization reward distribution method, we can then predict the reward per MND during 6–12 Dec 2021 as shown in the table below.
In simpler term, if we have 1,000 MND staked in the MND Vault, we should get around:
06-Dec-21 = 2.5 BUNNY + 9.9 QBT
07-Dec-21 = 2.5 BUNNY + 9.8 QBT
08-Dec-21 = 2.4 BUNNY + 9.8 QBT
09-Dec-21 = 2.4 BUNNY + 9.8 QBT
10-Dec-21 = 2.4 BUNNY + 9.8 QBT
11-Dec-21 = 2.4 BUNNY + 9.7 QBT
12-Dec-21 = 2.4 BUNNY + 9.7 QBT
16-Dec-21 = 2.4 BUNNY + 9.6 QBT + 62.4 polyBUNNY**
** According to the PolyBunny Farming & Reward Distribution Mechanism mentioned in the team’s article, the polyBUNNY monthly rewards will be distributed around 16-Dec-21.
**Since the In-Chain Multiplexer feature was postponed to launch by next week (before 12 Dec 2021), I will then re-run my thought from last week**
For the next week, the most interesting thing is about the “BUNNY In-Chain Multiplexer” feature.
My assumption is that the PancakeBunny platform itself will open the new LP pools (Quite similar concept as their Qubit Single Asset Vaults) so it will post the LP as collateral and then borrow the assets to reinvest more LPs back to the pool.
If this is the case, I’m guessing there will be positive impacts to BUNNY, bQBT, QBT and MND as follows:
- To bQBT : The more pools on PCB, the more deposit & borrowing powers, the more QBT rewards shared to bQBT & bQBT/BNB stakers
- To BUNNY : It seems like the In-Chain Multiplexer could charge the protocol fees for buying back and burn the BUNNY tokens
- To QBT : The more deposit & borrowing powers, the more TVL & protocol fees being generated
- To MND : If the In-Chain Multiplexer charge the protocol fees, the MND vault should receive a portion of the fees as well (according to the MND Vault Introduction : Item 2.1)
IMPORTANT : These are my assumptions that could be wrong. So, please wait for the official announcement of this feature.
Thank you for reading this long article. You may notice so many assumptions and calculations in this weekly update. So, please don’t treat these as financial advices and try to DYOR, I will try my best to not being too optimistic or pessimistic as well.
Lastly, please feel free to share any facts or thoughts regarding Mound here so we can strengthen this and upcoming articles to be more helpful for our family.