Try Quests to earn cryptoDo Incentivized wAssets Impact Transfer Volumes On Axelar?
Examine the impact of “bootstrapping” proposals on Axelar bridge volumes and fees paid. Did they sufficiently incentivize users to transfer external assets into Osmosis via Axelar’s bridge, or were the assets deposited into the respective pools already on Osmosis. Analyze the results in aggregate and by asset. Goal: Identify if Axelar should work with Osmosis to incentivize more wrapped assets, in order to increase volume over Satellite and Squid.
What Is The Cosmos Ecosystem?
Osmosis is a DEX and AMM protocol for the Cosmos ecosystem, which is an overarching ecosystem of blockchain networks. Cosmos aims to create an "internet of blockchains" where interoperable dApps on various networks can communicate and exchange tokens and data through the Inter-Blockchain Communication (IBC) Protocol.
The Cosmos Hub serves as the mainchain and primary blockchain protocol for connecting with other blockchains in the Cosmos Network. It is a Proof-of-Stake (PoS) blockchain that uses ATOM as the native token for voting, staking, and transactions. Cosmos also provides an SDK to enable teams and projects to build on its network.
What is Axelar?
Axelar is a cross-chain communication platform for Web3 that delivers secure communication using proof-of-stake, the same approach used by Avalanche, Cosmos, and Eth2. With cross-chain communication, users can interact with any asset or application on any chain with just one click.
What Is Osmosis?
Osmosis is a DEX protocol that employs smart contracts to determine the price of digital assets, generate liquidity through peer-to-peer methodology, and enable trades between users. This type of exchange platform is called an AMM, which prices crypto assets in liquidity pools.
This analysis aims to provide a comprehensive overview of the impact of bootstrapping liquidity incentives proposals on the inflow of wMATIC, wBNB, and wAVAX from Axelar to Osmosis in recent months. The analysis will be divided into five main parts, each of which will examine a different aspect of the impact of these proposals.
The first part of the analysis will focus on the proposals themselves, examining the proposals and their votes over time. This will provide insights into how the community has responded to these proposals and how they have evolved over time.
The second, third, and fourth parts of the analysis will examine the impact of the bootstrapping liquidity incentives proposals on wMATIC, wBNB, and wAVAX token transfers from Axelar to Osmosis, respectively. In each of these parts, we will look at three metrics: the incentivized pool liquidity, generated fees, and the impact on the daily transfer volume. By examining these metrics, we will gain insights into the impact of the proposals on the liquidity and fees of the incentivized pools.
Finally, the fifth part of the analysis will compare the impact of the bootstrapping liquidity incentives proposals on the three tokens, providing a comprehensive overview of how these proposals have affected the inflow of wAssets from Axelar to Osmosis, the incentivized pool liquidity, and generated fees.
By examining these various aspects of the impact of the bootstrapping liquidity incentives proposals, we will gain a deep understanding of how these proposals have affected the inflow of wMATIC, wBNB, and wAVAX from Axelar to Osmosis. This analysis will be a valuable resource for anyone interested in understanding the impact of bootstrapping liquidity incentives proposals for wAssets.
To conduct this analysis, the primary tables used were osmosis.core.fact_transfers. Additionally, the osmosis.core.dim_prices table was utilized to gather information on the prices of wMATIC and wBNB, while the crosschain.core.fact_hourly_prices table was used to obtain information on the vAVAX price over time.
In order to identify the transfers for each wAsset, the corresponding token addresses were used as a CURRENCY in transfers. Specifically, the following token addresses were used:
- wMATIC =>
ibc/AB589511ED0DD5FA56171A39978AFBF1371DB986EC1C3526CE138A16377E39BB - wBNB =>
ibc/F4A070A6D78496D53127EA85C094A9EC87DFC1F36071B8CCDDBD020F933D213D - wAVAX =>
ibc/6F62F01D913E3FFE472A38C78235B8F021B511BC6596ADFF02615C8F83D3B373
To retrieve transfers from Axelar into Osmosis, the following conditions were used: TRANSFER_TYPE='IBC_TRANSFER_IN', SENDER ilike 'axelar%'
and RECEIVER ilike 'osmo%'