Kusama Treasury Fund Step 2

Background

This proposal outlines the 2nd Step of our Kusama Treasury Fund Roadmap https://bifrost.subsquare.io/post/4
Step 1: https://bifrost.subsquare.io/post/5
Original Kusama Treasury Proposal: https://kusama.polkassembly.io/post/1606

Due to many unforeseen factors and conditions within the past few months, the initial proposed use cases of our initial Kusama Treasury loan have had to be evaluated and adjusted to reflect what makes the most sense for KSM liquidity and the product development and growth. As a result, further steps in the Kusama Treasury Fund Roadmap will shift away from the original proposal, to ensure that we prioritize concentrating vKSM-KSM for utility scenarios and cross-chain interactions. The next step to our Kusama Treasury Fund roadmap is outlined below.

KSM-vKSM Use Case 1: MangataX liquidity Pool KSM-vKSM

About Mangata

Mangata is a next-generation DEX that makes tokens from all ecosystems tradable on a single exchange. It features gasless swaps, prevents front-running and MEV without additional fees, and secures the network with the revolutionary proof-of-liquidity consensus. As a Layer 1 app-chain, it is not bound by legacy restrictions and can optimize from the ground up for capital efficiency and fairness. Mangata X is THE upcoming Kusama DEX that broke records when closing its crowdloan within 50 minutes.

Project Website & Documentation:

https://x.mangata.finance/

Liquidity and Incentive Scheme

Initial Liquidity provided by Bifrost: $50,000

Incentive provide by Mangata: 8,250,000 MGX, 20.44% APR for the first two weeks, then it will be adjusted every 2 weeks.

Managing the Funds

Removing $50,000 liquidity (Mangata vKSM-KSM Pair) from Zenlink DEX, and deposit to destination chain (MangataX).

Bifrost side:

1. Dispatch Bifrost Treasury (eCSrvbA5gGNYdM3UjBNxcBNBqGxtz3SEEfydKragtL4pJ4F) to initiate withdraw $50,000 liquidity from Zenlink vKSM-KSM LP, to Bifrost Foundation (dmTEFZ77m7WtJmd7PY6pMh111uTtW9jpwfwasTGsWKUGp5M)

LP Balance before withdrawn: 24,290,058,936,530,348 (23,808 vKSM, 25,000 KSM)

Value to withdraw: 661,855,525,902,579 = $50,000 worth LP (at current price KSM $36.7)

• 626197400000000 vKSM (12 decimals)
• 705422100000000 KSM (12 decimals)

1. Dispatch Bifrost Foundation and XCM Transfer Tokens to destination chains.

To MangataX:

• 626197400000000 vKSM (12 decimals)
• 705422100000000 KSM (12 decimals)
  (Amount above might change during the proposal in voting, withdrawn received amount will be the actual amount)

MangataX Side

1. BIfrost Foundation provides liquidity to vKSM-KSM Pool;
2. Deposit vKSM-KSM LP into farming pool;
3. Reinvest farming reward to BNC-MGX farming pool.

*All transaction details will be posted in this post’s comment.