Bancor General FAQ
The Bancor team literally invented the AMM model that was forked by Uniswap and eventually Sushiswap. The only exchange with single sided liquidity pools, and 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). This should propel it to be the #1 DEX and a bluechip Defi player
>What means liquidity blackhole?
TVL is growing faster than any other project the past few weeks and they’ve already captured over 40% of TOTAL Link trades. Between the rewards program lasting the rest of the year, 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 ~600m market cap. Uniswap, an objectively worse fork of Bancor, is around ~7b mcap. 10x is just catching up to its mutant child. As Defi grows, Bancor will continue to ascend.
>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 5000 BNT. More is better but staking now will greatly increase your stack over the course of the rewards program.
>Should I stake?
Yes. Rewards are insane for the time being, with APRs upwards of 80%. 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).