Boosted Pools
Efficient. Sustainable. Unlock the power of innovation.
Sit back, relax and let your assets get put to work in the most capital-efficient Liquidity Pool in DeFi. Boosted Pools are revolutionizing capital efficiency and redefining sustainability. Did you know that up to 90% of capital within liquidity pools sits idle, lonely, and underutilized? For the first time ever, Boosted Pools utilize the majority of capital within a pool, offering users a source of sustainable, efficient, BOOSTED yield.
How do they work?
In short, Boosted Pools link underutilized capital with other yield-generating protocols and feed that back to the liquidity providers. The constructs that form a boosted pool also ensure a seamless and interconnected flow of swaps for traders.
Boosted pools are built on three core pillars:
- Linear Pools
At the base layer, it all comes down to linear pools. This unique pool type hosts a token and an interest-bearing version of the same token that generates it's interest via utilizing another yield-generating protocol. How is this done? A portion of the idle liquidity within the pool is wrapped and deposited into protocols such as Aave or Yearn. Thus, when users enter a boosted pool, they expose themselves to an additional source of yield generation.
- Nested Pools
Linear Pools can be nested together to form the basic structure of the Boosted Pool. Through the process of nesting, an interconnected pathway is created to facilitate trades all tokens in the pool. More specifically, nesting pools mean Beethoven X no longer needs to have a specific token mapped to a stable token for each individual liquidity pool. Instead, a stable master pool (Stable USD Pool) can be created that efficiently trades between all of the tokens types contained within the nested linear pool (Ex. USDC / DAI / USDT ). This singular master pool, Stable USD, can be mapped to any liquidity pool created.
- Phantom BPTs
At a boosted pool creation, half of all the pools BPTs are minted. This mechanism allows for a concept known as Phantom BPTs, where the pool utilizes a swap rather than a mint/burn mechanism. This is a faster, more gas-efficient process and significantly reduces the cost of issuing/reclaiming BPTs for liquidity providers. Requiring less gas per transaction means even greater capital efficiencies in the form of transaction cost savings.
Key benefits
Innovative
Gone are the days when technical limitations impact a user's ability to earn. Boosted Pools unlock the full potential of liquidity provision. For the first time, the majority of capital in a Liquidity pool is utilized via wrapping and routing liquidity through another yield-generating protocol!
Interconnected efficiency
Boosted Pools are one of the most capital-efficient pools in DeFi. Rather than enter a standard liquidity pool, why not gain exposure to additional, sustainable yield? Any asset integrated into other yield-generating protocols can now generate additional incentives for Liquidity Providers.
Sustainable
All DEXs are confined in their ability to generate sustainable liquidity mining rewards and usually offer volatile tokens as rewards. Boosted Pools change this. Users can now leverage sustainable sources of yield without relying on volatile incentives, instead, the yield is generated via the tokens they choose to invest with.
Set and forget
Boosted Pools offer investors a simple solution to passive portfolio management. Compared to other liquidity pools that require active management to ensure profitability, users can sit back, relax and rest assured that their assets are in the most capital efficient Liquidity Pools in DeFi.
Seamless composability
Boosted pools are a shining example of composability within DeFi. Via nesting pools, Beethoven X ensures traders can utilize an efficient and seamless pathway for swaps. Stable Boosted pools can be nested within any pool, unlocking a fluent route for assets and all stable pairs.
Future proof
Look to the future. Staked derivatives and interest-bearing tokens are assets in their most capital-efficient form. As we shift into the next evolution of DeFi, we believe Interest-bearing assets will play a pivotal role. Beethoven X is one of the DEXs that leverages the boosted pool technology, and with it, we have the potential to become the interest-bearing hub of DeFi.