Bancor General Newbie FAQ
this was written by one person with opinions
The Bancor team invented the AMM. The only exchange to offer single sided liquidity pools, with huge rewards. The only exchange to solve impermanent loss. v2.1 brings Vortex, allowing you to leverage against your staked BNT for degen plays. Bancor will deploy Arbitrum soon (testnet since early Jan, 50x gas fees improvement) and on Polkadot (announced, crosschain swaps). It will become the #1 DEX.
>What means liquidity blackhole?
TVL is growing faster than anyone else and they’ve already captured over 40% of TOTAL Link trades. Between the rewards, vortex leverage, and best of all the IL protection, this is the best place to put your liquidity, period. It will inevitably gobble up the liquidity for the pools it offers.
Bancor is currently around ~700m market cap. Uniswap, an objectively worse fork of Bancor, is around ~8b mcap. 10x is just catching up to its mutant child. As Defi grows, Bancor will lead the pack. $40 is FUD.
>Is this the next LINK?
No, Link is the next Link. This is good though.
>What is make it/suicide stack?
IMO, you’ll probably want around 500 BNT to be worth staking. Make it stack it probably around 3000 BNT. More is better.
>Should I stake?
Yes. Rewards are insane for the time being. Stake your BNT in the LINK, ETH, or wBTC pools as those rewards are likely to be renewed and they have the highest volume. Stake your non-BNT tokens in their available pools. Yes, gas to stake will be expensive ($200-$300).
>If I stake LINK, ETH, etc, do I get more of that token?
Partially. Rewards are paid in BNT, swap fees are paid in the native token.