[Proposal] Arctic <> Aurora Token Swap and Aurora+ Collaboration

Arctic background

Arctic is a leading ecosystem-DEX designed to bring Aurora projects together, provide deeper liquidity, and maximize capital efficiency. With the innovation of DLAMM (Discretized Liquidity Automated Market Maker) mechanism, Arctic can provide 3500x higher capital efficiency than standard AMM with the Concentrated Liquidity Provision. That means Arctic will capture more fees and a higher APR under the same TVL.

During the last launch campaign, Arctic had the highest $3.64M and $541K daily trading volume, which put us as the second-largest DEX in Aurora Ecosystem. Arctic had reached 56% trading volume with only 4% TVL compared with other DEX on Aurora. Take AURORA pool specifically, Arctic used only 62% TVL to get much better liquidity depth and far more trading volumes than traditional AMM.

Arctic rewards liquidity providers and active governance participants through $ARC and $veARC distribution. Liquidity providers (LPs) receive $ARC emissions and trading fees. Vote-escrow $ARC ($veARC) holders vote on which liquidity pools receive $ARC emissions. In return, voters receive the trading fees and bribes collected by the pairs they vote for. Essentially, this is how Arctic DAO works.

Arctic has built a great partnership network with AURORA/NEAR ecosystem supporters since day 1. The Arctic token swap process has already been conducted with some important Arctic DAO players from the ecosystem for a while, including REF, TRISOLARIS and AURIGAMI. Arctic will keep onboard new valuable members into the DAO.

Proposal

This proposal seeks to strengthen the relationship between Arctic and Aurora communities via a token swap program. It includes the following:

  • Token Swap 450k USD equivalent value of AURORA token (execution price will be determined using 7d MA) with Arctic token (execution price based on the private round valuation of 15M USD in forms of $veARC, which will lock with 4 years length for the best voting & boosting power).
  • Arctic users will enjoy 0 gas fees while using Arctic service by directing users to sign up Aurora+ account.

Direct benefits to Aurora

  • By holding $veARC and actively participating in Arctic DAO governance, the Aurora community will capture the outcomes of Aurora eco-dex growth. Meanwhile, Aurora community is also able to play an important role in the development of Arctic for the best interest of the whole ecosystem.
  • By receiving $AURORA, Arctic will use it as the liquidity to the $AURORA relative pools on Arctic, hence which will play as the top central AURORA trading marketplace. With the merit of high capital efficiency and great trading depth, Arctic will be able to drive the Aurora ecosystem forward as a solid Aurora native infrastructure.
  • By collaborating with Aurora+, Arctic will work as the Aurora central fully on-chain order-book of AMM DEX, which is 100% transparent of collaterals. Users with 0 gas fees will help Arctic to onboard more active users into the Aurora ecosystem.
6 Likes

hi

can you give a proper link to know about ARC token?
coinmarketcap doesn’t help me now, for the first time,.

– could you give here some more details?
how, where and when does arctic dao governance happen? and why it has to be interesting for us? )

honestly, I expect for this proposal the same destiny, as this one had,
not sure at all, that community will support it
but let’s see :wink:

1 Like

Hi Johanga,

Arctic’s $ARC TGE has not launched yet, but veToken is being conducted with core DAO partners.
The tokenomics link is as follow,

*We have a total 4% allocation using for token swap with eco partners, which comes from Aurora Eco Protocols (6%).

Active participating: “Vote-escrow $ARC ($veARC) holders vote on which liquidity pools receive $ARC emissions. In return, voters receive the trading fees and bribes collected by the pairs they vote for”

IMO, Aurora DAO can decide and vote for the pools by holding the veToken. In the end, the fees and bribes received can be kept in the DAO treasury or distribute to AURORA stakers on Aurora+, just like Bastion, Aurigami and Trisolaris streams. It’s up to community’s decision.

Arctic DAO governance will begin when $ARC TGE launched and emission gauge starts. The benefits has been stated in the proposal. We share the same philosophy with Aurora+, which is only the ecosystem grow the community can benefit from it. As the Aurora native defi infrasutracute Arctic is working on achieving the backbone for contributing on both the community economics and ecosystem growth.

yep, thanks for your reply, i can understand the mechanics, even your fundamental purposes.
Still, as a representative of the community, being a usual member, I can’t find any interest in all this.
i want Aurora to be strong, but not to swap it to Arctic,
that’s even not launched yet

1 Like

Greetings friends, good to see Arctic on our forum
Your projects just recently held a launch party — great event.
I would be glad to see more such activities from projects in our ecosystem.

As i remember Aurora has allocated 25 million of its treasury tokens to Proximity Labs to further support the growth of the Aurora DeFi ecosystem.
I understand that the project needs normal liquidity for optimal performance.
But I assumed that Proximity solves it…

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Hello,Arctic team. It seems you are not very active on this forum :zipper_mouth_face:. I hope this is because you have a lot of work on the project. And btw, look at your mailbox, I wrote a couple of questions there for the Aurora Weekly Digest podcast from Aurora Hunters

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That would be nice to have some liquidity in the farm section of Arctic :melting_face:

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It’s truly necessary to build a solid defi engine in Aurora as the fundamental infrastructure support. If we take a look at our ecosystem, the current dexs on Aurora are running on uniswap V2 which is lagging behind the pace of the DEFI trend and I think V2 would be hard to last without incentives especially after USN wind down. Arctic might be the best shot of what we have in ways of V3 model with good efficiency.

BTW, We do need a series of Aurora native brands to keep outputting Aurora’s voice&impact. Aurora is coupling with NEAR, whose TVL dropped to 86M as of today. We need attention from outside of the eco.

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In my opinion, because the DAO mechanism is still not alive, we need to have a look at the results of collaboration with other projects first.

1 Like