Midas Capital - Permissionless Lending & Borrowing Platform. Infrastructure for DAOs, Treasuries & Individuals

Funding Proposals Grants
1

Name of Project

Midas Capital

Proposal Overview

Midas Capital is a task force of Rari/Tribe DAO looking to deploy Rari Fuse pools, a permissionless lending and borrowing platform, to the Harmony One ecosystem. The Rari Fuse pools have $700M+ TVL on Ethereum Mainnet and Midas will port the protocol to other chains, while introducing a set of novel tokenomics.

About Midas:
The Midas Capital team is planning to not only deploy but to expand upon the Rari Fuse pools to build an all-encompassing DAO/treasury solution on Harmony One. This will take the form of a permissionless money market with customizable settings allowing users to create borrowing and lending pools that fit their needs. The permissionless nature of these pools allows users to lend and borrow assets that aren’t available for lending and borrowing on other platforms, which can allow DAOs and protocols to maximize utility of their treasuries without diluting their native token. This will be an all encompassing treasury solution that will enable: (i) effective utilization of treasury assets, (ii) liquidity mining campaigns, (iii) lending/borrowing of any asset. The Midas team will be partnering with the major DeFi projects on Harmony One to help onboard and take advantage of the Fuse pools to have a competitive edge in the multi-chain DeFi ecosystem.

Longer term, the Midas Fuse pools will serve as critical infrastructure to the Harmony One DeFi ecosystem which will allow users to deploy a wide array of strategies. As new protocols develop within Harmony One, users will be able to take advantage of the permissionless and customizable nature of Fuse pools to develop complex strategies that wouldn’t otherwise be available. This type of money lego and ability to lend and borrow any asset will help to attract users and TVL to the broader Harmony One ecosystem.

How Midas Fuse pools works:
Users of Midas Fuse utilize existing pools or create new pools to borrow and lend any asset.

Utilizing Existing Pools
Users can lend their assets to existing pools and earn interest on supplying assets to the pool. This allows users to earn interest on any asset assuming that there is borrow demand for the asset. Once a user supplies assets to a pool, they can also borrow other assets against their collateral to fund additional investments or use however they like.

Creating New Pools
Users can create new pools to enable lending and borrowing of any assets. Many borrowing and lending protocols limit the types of assets that can be used, but with Midas Fuse, users will be able to lend, collateralize, and borrow any asset. Pool creators are also able to customize a wide range of features including: oracle source, whitelisted addresses, close factor, liquidation incentives, and pool fee.

Timeline & Deliverables
Q1 2022

  • Deploy to Harmony One, BSC, Aurora, and EVMOS
  • Partner with major DeFi projects to leverage Midas Fuse pools as their treasury solution to deploy capital, generate yield, etc.

Q2 2022

  • Deploy to Neon, Moonriver, and Moonbeam
  • Launch token
  • Enable liquidity mining and liquidity bonding feature for DAOs
  • Enable per-chain gauge voting for assets and pools

Q3 2022

  • Add cross-chain vote-escrow based emissions
  • Add integrations with Fei and Turbo

Q4 2022 & Beyond

  • Deploy cross chain vaults across Midas/Rari Fuse network to find best yield
  • Upgrade protocol to use Fuse v2.0 in partnership with Tribe DAO

Proposal Ask

The team is requesting $250K in equity-free contribution to fund developments of our project with: (i) $100K grant awarded upon mainnet launch and (ii) $150K worth of grants awarded based on milestones achieved.

The $100K grant awarded upon mainnet launch will go towards the incurred development costs and provide our team a runway to fund future developments. While this project originated as a fork of Rari Fuse, the original codebase was hard coded for Ethereum so the SDK needed to be reworked to allow for deployment on other chains. Additionally, we are adding and expanding upon the features of Fuse.

The remaining $150K will be gated by milestones that measure the success of our protocol and the value our protocol brings to the Harmony ecosystem. These funds will go towards further developments of our protocol.

Metrics for success

As a lending and borrowing protocol, the protocol’s utilization is the true metric of our success so we have selected Total Value Locked (TVL) and Total Value Borrowed (TVB). Achieving these metrics will demonstrate the value our protocol brings to the Harmony ecosystem.

TVL Milestone | Grant Awarded
$1M | $15K
$5M | $15K
$10M | $15K
$25M | $15K
$50M | $15K

TVB Milestone | Grant Awarded
$100K | $15K
$500K | $15K
$1M | $15K
$2.5M | $15K
$5M | $15K

2

Fuse pools are such a great tool and have added a lot of value to the Ethereum ecosystem. It’s great to see a team bring this product to other chains. This product has some great applications like helping treasuries utilize their native token without adding sell pressure to their native token, which adversely affects existing token holders.

3

Hello Midas Capital Team, welcome to Harmony. This proposal does fit a Port grant based on the guidelines at Apply for Grants or DAO as Rari is a thriving community in terms of involvement, product-market fit, transaction volume, TVL and TVB on Ethereum.

Pointers:

  1. The milestones do not meet our guidelines – we recommend $50-250K over a 4-8 weeks period. For these projects already live on other chain’s mainnet, Harmony’s Port Grant can boost their reach of users and engagement.

As grants, we give

  • $50K for porting to our mainnet
  • $25K for forming Midas DAO on Harmony
  • five additional $35K grants, each for running joint campaigns to double the key user metrics.

  1. The TVL and TVB milestones seem rather low. The Harmony community is highly engaged and thriving. We’ve seen DeFi protocols achieve the first 3 milestones at a much higher TVL and TVB within days.

  2. How does this proposal relate to deployments on NEAR/Aurora, BSC and Cosmos (EVMOS) in Q1 followed by Polkadot (Moonriver/Moonbeam) and Solana (Neon) in Q2, all of which are not easy tasks. How does this affect your bandwidth and focus on launching on Harmony? Also, are any of them providing grants or investments for the Midas team to supplement for those efforts? As part of the grant, we ask for a 3 month exclusivity.

Let’s discuss this further.

4

Solid and well written proposal from a strong team, Midas Capital. The timing to launch this Rari Fuse fork on Harmony may be a bit early. We’d like to continue focusing on bringing in enough critical mass in transaction volume in DeFi, especially in lending, before introducing this.

Let’s revisit this in a couple of quarters, hopefully sooner than later. Thank you for looking into Harmony.

5

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