SURF’s Up — Wave 1
Another day in paradise. Another day on SURF Beach.
It is a cold windy day. The harsh winds made evident by the huge waves and rough surf. You are however comfy. Wrapped in a warm blanket, you stare off into the horizon. Not a day for surfing, you think to yourself as you see a huge wave come rushing in to the shore.
You gasp. A lone figure can be seen atop the wave, riding it like a chariot. Some kind of SURF god. A green herculean man flexing his muscles as he rides the enormous wave. It is then that you realize. This is a Wave of Tiding.
As the huge wave comes crashing ashore it envelopes you. You tumble a bit relishing in the good fortune it is bound to bring, not wanting it to end. But end it does. The water recedes back into the ocean. The enormous wave and its buff rider already a dream.
Shaking yourself alert you look around. The Wave of Tiding has changed the The Beach. Time to explore. As you get up to discover what has changed, you can’t help but mutter to yourself with a slight grin, “We’re gonna make it”.
Welcome to SURF’s Up — Wave Article #1.
SURF’s Up Wave articles are supplementary articles to the SURF’s Up series about Ethereum DeFi project Surf Finance. Wave articles provide new information and updates on the Surf Finance ecosystem. The information in Wave articles are also used to update SURF’s Up — The Beach. The Beach is the dynamic base article to the SURF’s Up series, and is continuously updated with, and in between, Waves.
If you are new to SURF Finance, you may want to start by going to SURF’s Up — The Beach. Any relevant information in here will have been transcribed to The Beach as well. If you are not new, here’s what’s new.
This Wave article follows the same general format as The Beach. This makes it easier to transcribe and cross reference information. Here is what today’s Wave article covers.
The Cabana (Surf Finance Ecosystem)
- SURF Finance Tokens
- Bullet item information update
Estuaries (Ancillary DApps)
- 🐉 AEGIS DAO
SURF Shells by the SURF Shore (Surf Finance Analytics)
- Updated Value & Locked Liquidity Rating Chart
- Value & Locked Liquidity Rating Categories
- Charts & Infographics
Making Waves (Links to Wave Articles)
Road Trip (Other Related Links)
- New links and primary links only
The Cabana (Surf Finance Ecosystem)
Surf Finance Tokens
There are currently four different tokens in the Surf Finance ecosystem: Leviathan, SURF, S3D, and SURF Board:
Leviathan: See 🐉 AEGIS DAO in the Estuaries (Ancillary DApps) section below.
Update to amount of SURF burned: (Information update: bullet item two of three.)
- DApps within the SURF Finance ecosystem will burn SURF tokens, permanently reducing the 10 million token supply. Burned tokens are located at the SURF token address here. As of December 19, 2020, there were 37,924 SURF tokens in the burn address.
Estuaries (Ancillary DApps)
The Surf Finance ecosystem is expected to grow through the integration of ancillary DApps from the dev team and partners. Any ancillary DApps are listed and described below under the following categories: Dev Team DApps, Aegis DAO, Other Partner DApps, and Prospective DApps
As of December 15, 2020, the following DApps have been integrated into the Surf Finance ecosystem:
Dev Team DApps
As of December 18, 2020, the WhirlpoolManager owned 837,950.64 S3D. The estimated floor value (basis) of the WhirlpoolManager’s S3D is 511,809.95 SURF. In addition to community locked liquidity, SURF has been deposited into the WhirlpoolManager by two ancillary DApps: the Aegis DAO Harpoon and Stacker.
SURFstacker: SURFstacker allows users to “stack” SURF into a SURF redistribution machine. The benefit to stacking SURF is a 115% payout of the deposited SURF, once the user is pushed through the front of the line. The benefit to SURF, is the way SURFstacker redistributes SURF back through the Surf Finance ecosystem.
SURF is processed through SURFstacker as follows:
- Users make an up to 10,000 SURF deposit into the SURFstacker contract.
- 61.8% of SURFstacker deposits go to the first user in line until that user gets back 115% of their deposit. The other 38.2% buys S3D on behalf of the Whirlpool Manager.
- The Whirlpool Manager never sells its S3D tokens, and pays 80% of dividends to the Whirlpool, 10% to SURF Board NFTs, and 10% are burned.
In a sense, SURFstacker issues bonds to its users, with the promise of returning principal plus 15% interest when the deposit amount plus interest is pushed through the front of the line.
The risk to the user is the uncertainty of when their deposit will get pushed through the front of the line. Some factors to keep in mind with SURFstaker are:
- The remaining payout to users of SURFstacker increases with every deposit. Historically, SURFstacker has had a consistent remaining payout equal to 53.2% of total deposits.
- SURF deposited into SURFstacker is immediately redistributed.
- There is no limit to how long the SURFstacker line can get, however, there is also no end to potential deposits that can be cycled back into SURFstacker.
- SURFstacker’s redistribution of SURF is arguably beneficial to the SURF ecosystem as a whole. This means that SURF from locked liquidity and other ancillary DApps are likely to continue feeding SURFstacker.
🐉 Aegis DAO
Although technically an Other Partner DApp, Aegis DAO’s involvement and seamless integration with SURF makes them practically synonymous with Surf Finance. Aegis DAO sits within the umbrella of the Aegis ecosystem, with Aegis DAO being the primary provider of a growing suite of second layer DApps to the SURF ecosystem.
Aegis DAO Tokens
Aegis DAO has a token called the Leviathan. The Leviathan exists as both an ERC-721 token (NFT), and a wrapped ERC-20 token called WLEV. A total of 333 Leviathan NFT tokens were minted. As of 12/18/2020, only 176 Leviathans existed as NFTs; the other 157 were in the form of WLEV (Wrapped Leviathans).
Leviathan (ERC-721): Each Leviathan NFT receives 1/333rd of all SURF received by the LeviathanClaim contract. The LeviathanClaim contract currently receives SURF from the following sources:
- 3 SURF Board NFTs.
- 333 SURF-ETH LPs permanently staked in the Whirlpool.
- A proxy farming contract called Harpoon that converts yields to SURF via Uniswap and sends them NFT holders.
There are also plans to bridge the lore of Ethercraft and Leviathan, that will use SURF as a consumable resource (burning it).
WLEV (ERC-20): WLEV is the wrapped ERC-20 version of the Leviathan NFT. WLEV can be traded on Uniswap. Users who accumulate 1 WLEV have the ability to convert that 1 WLEV into a Leviathan NFT. Current WLEV holders can be seen here.
Important Note: WLEV tokens do not receive an allocation of SURF rewards. This causes the divisor used to allocate SURF rewards to Leviathan NFT’s to be reduced from 333 to the number of Leviathans existing as NFTs. This means that a little under half of all Leviathans are ‘inactive’ in terms of rewards, effectively doubling SURF rewards for NFT holders.
Aegis DAO DApps
Harpoon contracts: The Harpoon contracts are currently using assets derived from 2,000 SURF-ETH LPs to proxy yield farm and convert earnings into SURF. The SURF is then deposited into SURFstacker.
Harpoon will eventually release HarpoonLauncher, which will allow users to deploy preconfigured proxy farm contracts. The HarpoonLauncher UI is currently being built. (See the below chart from Aegis DAO for details on HarpoonLauncher and other upcoming Aegis DAO DApps.)
Aegis DAO Prospective DApps
Other Partner DApps
(See Prospective DApps)
BetGalaxy: SURF Finance has partnered with Topia Network and their upcoming crypto casino BetGalaxy, launching December 20, 2020.
SURF will be a fully playable asset on BetGalaxy at launch. Users will need to pay the 1% Whirlpool transfer fee to deposit or withdraw SURF on the site, but since the casino is off-chain, there will not be a 1% transfer fee each time users wager with SURF.
The SURF team used 50 ETH from the community locked liquidity pool to purchase 61,000 uTOPIA tokens. This represents 6.1% of the total supply, and will be earning ETH dividends from the casino for the Whirlpool.
SURF Shells by the SURF Shore (Surf Finance Analytics)
Updated Value & Locked Liquidity Rating Chart
Value & Locked Liquidity Rating Categories
Burned (Out of Circulation): Tokens that are burned are removed from circulation by being sent to the burn address here. As of December 18, 2020 there were 37,924 SURF tokens in the burn address. The VLLR for Burned (Out of Circulation) is 100%
Locked LPs/SURF (Permanently Locked): SURF tokens can become permanently locked in the contract of a DApp in the Surf Finance ecosystem. There are currently two sources for permanently locked SURF:
- SURF used to purchase S3D for the SURF3D WhirlpoolManager. SURF has been used to buy S3D for the WhirlpoolManager from Community Locked Liquidity, Harpoon, and SURFstacker. As of December 18, 2020, the WhirlpoolManager owned 837,950.64 S3D. The estimated floor value (basis) of the WhirlpoolManager’s S3D is 511,809.95 SURF.
- SURF attributable to the 333 SURF-ETH LPs permanently staked in the Whirlpool by the LeviathanClaim contract.
The VLLR for Locked LPs/SURF (Permanently Locked) is 85%.
Locked Liquidity (In TITO Contract): When SURF-ETH LPs are unstaked from the Whirlpool there is a 20% fee. 75% of the unstaking fee (15% of the unstaked amount) gets transferred into community locked liquidity. Community locked liquidity can be used for buy backs, token burns, and more. The VLLR for Locked Liquidity (In TITO Contract) is 50%.
Deployed/Dev (Deployed to Ecosystem): This represent SURF from Community Locked Liquidity that has been deployed into the SURF ecosystem. Currently, deployed SURF is being used by Harpoon contracts to proxy yield farm, and convert earnings into SURF, which is deposited into SURFstacker. SURF and SURF-ETH LPs can also sit in the Dev wallet to be used for various reasons. Most recently, SURF transferred to the Dev wallet was used to purchase 61,000 uTOPIA tokens, which will feed additional rewards into the Whirlpool. The VLLR for Deployed/Dev (Deployed to Ecosystem) is 50%.
Staked LPs (20% Withdrawal Fee): This represents SURF-ETH LPs staked to the Whirlpool. The VLLR for Staked LPs has a variable value derived from a projected reallocation of the 20% unstaking fee. The VLLR for Staked LPs has a variable value ranging from 12% to 12.61%.
Whirlpool/SURF3D (Pending Payout): This is SURF awaiting distribution or claiming. The VLLR for both of these two categories equals (SURF in Staked LPs/(SURF in Staked LPs + SURF Other))*(Staked LPs VLLR)
Other Supply (Circulating): This is the SURF Other tokens, and is simply 10 million minus the total tokens in all other categories. Although these tokens could be locked in something outside the Surf Finance ecosystem, they are considered freely circulating, and have a VLLR of 0%.
As of December 19, 2020 the SURF token supply breakdown was charted as follows:
Charts & Infographics
Additional infographics and charts for Surf Finance as of December 18, 2020 are as follows:
The consistent uptrend in Value & Locked Liquidity shows the gradual migration of SURF out of general circulation. The VLLR x Price has had less of an upward trend due to the price of SURF remaining stagnant. This is actually bullish price action given the amount of SURF being paid out of the Whirlpool on a daily basis.
The most transitional event in the SURF Token Lock ‘n Burn chart is the upswing in both locked and burned SURF on December 9, 2020. This corresponds to the release of SURFstacker.
All Other SURF (Circulating) continues its downward trend in waves.
The staking and unstaking of SURF-ETH LP tokens in the Whirlpool is a core piece of the Surf Finance ecosystem. The u-shaped sideways action portrayed in this chart has meant significant rewards to stakers and SURF-ETH LP tokens transferred to Community Locked Liquidity.