Mound (MND) Update as-of 18-Dec-2021
Hello Mound Fam,
The In-chain Multiplexer (Leveraged Farming) pools have already been launched on PancakeBunny and we’ve already got 3 Millions USD TVL within 2 days after launch.
For the Qubit — X-Collateral feature, the launch date is postponed to 20th Dec 2021 05:00 UTC. Hopefully, this feature will be aggressively advertised to those ETH investors.
News
- In-Chain Multiplexer (Leveraged Yield Farming) on PancakeBunny has already been launched on 16 Dec 2021 with great APYs-> Link
- Qubit — X-Collateral, the game changer feature will be launched on 20th Dec 2021 05:00 UTC -> Link
MND Status as-of 18-Dec-2021
TVL (Total Value Locked) = 6.471 Million USD
BUNNY tokens = 3 Million tokens
QBT tokens = 100 Million tokens
polyBUNNY tokens = 1 Million tokens
Total MND Staked = 2.249 Million tokens (82.756% of total supplies)
Effective value of MND token (TVL / MND tokens) = 2.38 USD
Current Market Price = 1.44 USD
Pay BUNNY Rewards = 0.0023 BUNNY/MND/day
Pay QBT Rewards = 0.0084 QBT/MND/day
Pay polyBUNNY Rewards = 0.0619 polyBUNNY/MND/month*
MND/WBNB PCS Liquidity Pool Statistics:
- MND tokens = 13,580 MND
- WBNB tokens = 36.32 WBNB
- APR% = 84.48%
BUNNY/PolyBUNNY/QBT Status as-of 18-Dec-2021
- PCB SAV TVL = 109M USD / Qubit TVL = 329M USD
- The ratio of PCB SAV TVL / Qubit TVL = 33.13%
- bQBT = 36.612M Tokens / total qScore = 44.898M scores
- The ratio of bQBT / total qScore= 81.54%
- QBT in Supply Market = 113.470M tokens
- polyBUNNY in MND Vault : Accumulated Rewards since 16th Dec 2021 until now (18th Dec 2021 14.30UTC) = 10,877 tokens. For 30 days, we should get around 140,000 tokens.
- 25 million QBT tokens (belong to the MND vault) within the QBT Deposit market.
- BUNNY Supply Net Rate = 62.13%, Borrow Net Rate = -26.40%
- 74.15K / 141.52K = 52.39% BUNNY tokens are borrowed.
Accumulated BNB for buying back & burn BUNNY
So far, we have had 4 income streams for accumulating the BNBs for buying back and burn our beloved BUNNY tokens as follows:
- Cantata : Busy Bunnies minted = (3,121 minted items — 856 items for marketing purpose**) x 0.2 BNB = 2,265 x 0.2 = 453 BNB
**Thanks to Mitten for providing Busy Bunnies Contract so we can track the accumulated BNB accurately.
- 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 3 months accumulated fees from no-loss pots could burn approximately 10,000–15,000 BUNNY or around 28–42 BNB.
- For now, the Auction Lowest Bid for each Wine NFT = 1.40 BNB, so we will collect 1.40 BNB x 9 Wine NFTs = 12.60 BNB.
- BUNNY Prediction Market : Treasury Amounts = 5.59BNB.
My estimation shows that the accumulated BNB in our treasury
= 453 + 28 + 12.60 + 5.59 = 499.19 BNB
At the time I am writing this article (18-Dec-2021 14:50UTC), the BUNNY Price is 1.165 USD & the BNB price is 531 USD. So, we can burn around 499.19 x 531 / 1.165 = 227,527 BUNNY
Accumulated reserved assets on Qubit Platform
As-of 18th Dec 2021 15:45UTC, the Qubit protocol fees are around 810,000 USD and can be separated as the following assets:
- 556.20 BNB or around 300,000 USD
- 16.05 ETH or around 63,000 USD
- 61,313.78 BUSD
- 8,669.88 DAI
- 63,731.19 USDT
- 41,818.90 USDC
- 3.32 BTCB or around 155,000 USD
- 8,935.13 CAKE or around 115,000 USD
- 17,446.79 MDX or around 7,000 USD
- 195,797.40 QBT or around 2,500 USD
- 197.31 BUNNY or around 200 USD
According to the latest Qubit Roadmap, the “Protocol Fee Sharing” will be enabled before the end of 2021 Q4. So, wait and see how & when these fees will be shared to the Qubit locker!!!
MND Valuation as-of 18-Dec-2021
The underlying assets in the Mound Vault are as follows:
- BUNNY = 3,000,000 tokens @ 1.165 USD : 54% 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 @ 0.013 USD : 5.28% APR
Note: After monitoring the results, the QBT reward rate has been declined from 0.0089 QBT/MND (12 Dec 2021) to 0.0084 QBT/MND (18 Dec 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 @ 0.36 USD : 154% 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 1.165) + (100,000,000 x 0.013) + (1,000,000 x 0.36) = 5.155 millions USD
So far, there are only 2.249 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 = 5.155 / 2.3 = 2.24 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 1.165) x (54% / 365 days) = 5,170 USD
= 4,438 BUNNY tokens per day
= 4,438 / 2,300,000 = 0.00193 BUNNY/MND/day
= 1.93 BUNNY per 1,000 MND per day
QBT daily rewards = (100,000,000 x 0.013) x(5.28% / 365 days) = 188 USD
= 14,465 QBT tokens per day
= 14,465 / 2,300,000 = 0.00628 QBT/MND/day
= 6.28 QBT per 1,000 MND per day
polyBUNNY daily rewards = (1,000,000 x 0.36) x (154% / 365 days) = 1,518 USD
= 4,219 polyBUNNY tokens per day
= 4,219 / 2,300,000 = 0.00183 polyBUNNY/MND/day
= 1.83 polyBUNNY per 1,000 MND per day
= 54.9 polyBUNNY per 1,000 MND per 30 days
Daily rewards per MND token = (5,170 + 188 + 1,518) / 2,300,000 = 0.00299 USD
APR vs MND effective value = (0.00299 x 365 days) / 2.24= 48.72%
APR vs MND market price = (0.00299 x 365 days) / 1.44 = 75.78%
MND Vault Reward Prediction next week
Using the 30-days-amortization reward distribution method, we can then predict the reward per MND during 19–25 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:
19-Dec-21 = 2.3 BUNNY + 8.3 QBT
20-Dec-21 = 2.3 BUNNY + 8.2 QBT
21-Dec-21 = 2.3 BUNNY + 8.2 QBT
22-Dec-21 = 2.3 BUNNY + 8.1 QBT
23-Dec-21 = 2.2 BUNNY + 8.0 QBT
24-Dec-21 = 2.2 BUNNY + 7.9 QBT
25-Dec-21 = 2.2 BUNNY + 7.9 QBT
…
16-Jan-22 = 2.1 BUNNY + 6.9 QBT + 61.9 polyBUNNY**
* According to the PolyBunny Farming & Reward Distribution Mechanism mentioned in the team’s article, the polyBUNNY monthly rewards will be distributed on 16th of each month.
Thoughts
According to the latest article regarding Leveraged Yield Farming (In-Chain Multiplexer), both 3% performance fee and 5% liquidation penalty will go to the Bunny reward pool aka Bunny Maxi pool.
The implications are as follows:
1) All fees from In-Chain Multiplexer will go to Bunny Maxi pool directly
2) No fees will go to the MND vault directly
3) As the MND Vault get rewards from Bunny Maxi pool every 2 hours, that means MND vault indirectly get the fees from In-Chain Multiplexer thru the Bunny Maxi rewards.
Right now, the PCB platform have got performance fee around 1,154,912USD per month which is around 38,450 USD per day.
I will try to calculate the performance fee we will get from these Leveraged Yield farming pools as-of now (Current TVL = 3M USD).
- CAKE-BNB Leverage APY = 116.50% -> APR = 77.32%
(126,504 x 77.32% / 365 days) x 3% = 8 USD per day - USDT-BUSD Leverage APY = 17.43% -> APR = 16.07%
(2,943,135.18 x 16.07% / 365 days) x 3% = 38.87 USD per day - ETH-BNB Leverage APY = 39.63% -> APR = 33.40%
(128,105.96 x 33.40% / 365 days) x 3% = 3.51 USD per day - Total Performance fee = 8 + 38.87 + 3.51 = 50.38 USD per day
So, with TVL = 3M, the performance fee will be around 50.38 USD per day and the ratio will be
= 50.38 / (38,450 + 50.38) = 0.13% compared to total PCB revenue
If the TVL = 30M, the performance fee will be around 500 USD per day and the ratio will be
= 500 / (38,450 + 500) = 1.28% compared to total PCB revenue
If the TVL = 100M, the performance fee will be around 1,666 USD per day and the ratio will be
= 1,666 / (38,450 + 1,666) = 4.15% compared to total PCB revenue
As above calculation, hopefully, we can attract more whales to invest on these Leveraged Yield farming pools so that we will have large enough fees to boost the Bunny Maxi APY up to 100%. Plus, these pools don’t pay BUNNY to the investors, so the BUNNY tokens won’t be dumped after claiming.
The Leveraged Yield Farming pools seem to be a win-win solution for everyone, isn’t it?
P.S. For anyone who would like to officially support my Mound weekly article, I have just created my weekly article as the NFT listed on Opensea. You will get the NFT as souvenir while I will use all these funds to buy and stake MND in the Mound Vault.
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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.
Regards,
Hope