Abstract
With the planned release of the Horizon Protocol Perpetual Futures exchange, the beta release of the new V2 UI, and the upcoming deployment of the zUSD pool on Wombat Exchange (BNB Chain), the next goal for Horizon Protocol is to list this pool on Wombat’s voting gauge and providing 45,000 HZN bribes/week. The listing of this pool on the voting gauge will help zUSD pool LPs earn a portion of the WOM emissions which will contribute to increasing the Wombat TVL and volume, but also enable veWOM holders to earn yield from a new source of bribes.
Motivation
Horizon Protocol’s goal is to incentivize veWOM voters and zUSD pool liquidity providers to ultimately increase depth of liquidity and peg stabilization for zUSD. Horizon Protocol will provide a new source of bribe incentives via the HZN token, which can potentially be amplified in reach and higher APR for LPs through Wombat’s incentive system.
With an expected increase in demand for our zAssets (zUSD and zBNB) to coincide with our upcoming release of the Perpetual Futures Exchange, migrating our users, liquidity, and incentives to the Wombat ecosystem will create a mutually beneficial scenario for both platforms and its participants.
Specification
The proposal calls for the listing of the zUSD Pool on Wombat’s voting gauge on BNB Chain. Horizon Protocol will incentivize Wombat voters who back the pool.
Next Steps
If the voting process achieves its objectives, Horizon Protocol will then work with Wombat to proceed to deploy the zUSD pool on the Wombat Exchange voting gauge.
References
About Horizon Protocol
Horizon Protocol is a DeFi platform that enables on-chain trading and creation of synthetic assets representing the real economy. The protocol’s goal is to offer exposure to real-world asset risk/return profiles through blockchain-based smart contracts. Horizon Protocol ranked #26 based on TVL locked in the Derivatives category across all chains and #6 on the BNB Chain.
zUSD is the core Synthetic Asset of Horizon Protocol and is a stablecoin pegged to the US Dollar.
zUSD is important because the total value of all other synthetic assets backed on Horizon Protocol is evaluated and denominated in zUSD. zUSD is also the key entry point for getting exposure to 25+ synthetic assets listed on Horizon Protocol across many market sectors that represent the real economy. zUSD will also be the primary currency of margin for all trading in our upcoming perpetual futures exchange.
Horizon staking and synthetic asset trading will guarantee that zUSD is valued at $1.00, creating arbitrage opportunities between Horizon Protocol and Wombat Exchange should zUSD deviate from $1.00 on Wombat Exchange.