Hello AAVEngers,
Greetings from ShapeShift DAO!
We would like to propose that Aave adds FOX, our native token, to the platform.
As explored in more detail below, listing FOX on Aave would provide an opportunity to earn additional fees as FOX holders collateralize their assets and increase platform liquidity. FOX is a token with a growing presence in the broader DeFi ecosystem, and is tied to an open-source platform that reduces friction and creates a better experience for crypto users.
Useful Links:
I’ve reached the maximum number of links in this post, but in this document you’ll find all the links to ShapeShift’s community and FOX Token:
Project Background & Roadmap:
Where we’ve been…
Since ShapeShift’s formation in 2014, our purpose has been to empower the digital asset market in alignment with the ethos of financial sovereignty.
Seven years ago, we pioneered frictionless crypto trading with no user accounts, and no
custody of user funds. By late 2020, we began integrating decentralized protocols directly into the ShapeShift crypto platform to enable immutable, borderless trading with no intermediary, removing ourselves—and our prior business model—from the process. In mid-2021 we began to transition the organization to our current state as a fully decentralized organization.
Where we’re headed:
The roadmap for the ShapeShift DAO is ultimately driven by the community of FOX Token holders. Holding the token provides those holders with a number of benefits:
- The ability to vote on DAO proposals (FOX is ShapeShift’s governance token)
- Exposure to ShapeShift’s various value-accrual mechanisms:
- Revenue-sharing agreements with DeFi projects integrated into our platform, such as Yearn
- Revenues generated from commissions from validators operated on behalf of the DAO
- Revenues generated from allocating assets in the DAO’s treasury to DeFi strategies
Our newly-launched V2 platform is available at https://app.shapeshift.com. This version is open-source, supports multiple wallets, multiple blockchains (not limited to EVM-compatible networks), and is architected for complete decentralization.
The new ShapeShift, powered by a full open-source stack, will enable completely decentralized access to DeFi protocols across any chain. Additionally, the upcoming FOX Chain will provide backend node infrastructure for any interface that wants to be truly decentralized.
Through integrations with DEX and DEX aggregator protocols such as 0x, THORChain, and Osmosis (in-progress), ShapeShift enables users to seamlessly move crypto assets across chains with no KYC, custody, nor added fees. With the understanding that both the decentralized interface and blockchain data infrastructure are imperative to bringing DeFi to the masses, the ShapeShift community is actively coordinating to build this.
FOX was been airdropped and “fairdropped” to the largest number of eligible recipients in crypto history. ShapeShift has never sold these tokens, but instead rewarded users for interacting with the platform, and to other DAO’s that embody the open-source spirit of crypto.
Benefits for Aave:
Through the obvious mechanics, the addition of FOX to Aave would directly increase the platform’s usage and fees. The lending market for FOX is likely to increase over time; in addition to the aforementioned THORchain and Osmosis integrations, FOX is available on Rari Fuse. The Tokemak community also recently voted to give ShapeShift its own reactor, and in December 2021 the asset was added to Coinbase Pro. As such, it’s probable that demand for FOX in a borrowing-platform context will continue to grow in the months and years ahead.
Risk Mitigation:
In July 2021 a comprehensive audit of Fox Token was undertaken by BlockchainLabs.NZ. The token’s smart contract has been live since 2019 and has a track record of bug-free interactions with the Ethereum blockchain. The token’s source code is viewable here: GitHub - shapeshift/fox-token.
In case of any questions or proposals, our team would be glad to reply to them all.