OlympusDAO Hacker Returns $300K Hours After Attack

October 21, 2022 The Crypto Briefing

OlympusDAO Sheds 30% Triggered by Whale Sell-Off

January 17, 2022 The Crypto Briefing

OlympusDAO Plummets 25% Amid Market Decline

January 11, 2022 The Crypto Briefing

$139M Terra proposal to ‘bring awesome UST use-cases’ to DeFi projects

January 7, 2022 Coin Telegraph

Coin Telegraph

Terra would provide over $139 million in UST and LUNA to several leading DeFi projects on Ethereum, Solana, and Polygon for at least the next six months.

Decentralized stablecoin issuer Terra issued an ambitious proposal to expand the interchain deployment of its UST stablecoin across five projects on Ethereum, Polygon, and Solana.

Terra’s Jan. 6 Research post UST Goes Interchain: Degen Strats Part Three provides details about how $139 million of UST and its native stablecoin LUNA would be utilized and on what platforms if the proposal is passed.

Terra is a blockchain that supplies algorithmic stablecoins and LUNA has market cap ($28.5 billion).

In each proposed deployment, Terra would deposit UST in varying amounts from $250,000 to $50 million to boost the stability of each of the new partner projects. The main aim is to “bring awesome UST use-cases to Ethereum DeFi.” A vote for governance participants to approve the proposal will be held at a later date.

Terra founder Do Kwon made it clear in a Dec. 21 tweet that he wishes UST to be the dominant stablecoin in the crypto market. The distribution aims to help Terra accelerate its efforts in growing its market cap. Currently only stablecoins BUSD ($14 billion), USDC ($43 billion), and USDT ($78 billion) have a higher market cap than UST ($10.3 billion).

DeFi liquidity provider and market maker Tokemak on Ethereum would receive a $50 million deposit in UST for at least six months if the proposal passes.

Permissionless lending and borrowing platform Rari Fuse would receive $20 million UST for six months. The funds would be deposited into three pools on Fuse to help UST become “cheapest stable to borrow” on Fuse.

Yield aggregator Convex Finance on Ethereum would receive $18 million for 6 months. Terra would inject greater LUNA incentives for liquidity providers in several pools across the platform that use UST. Convex is one of the largest DeFi yield aggregators with a market capitalization of $1.9 billion.

Decentralized reserve currency protocol OlympusDAO (OHM) is already partnered with Terra, and will be releasing gOHM, a wrapped version of OHM, on Terra. The proposal for Olympus includes a $1.425 million commitment to its $694 million treasury through $1 million in UST bonds to remain in the treasury “forever” and $425,000 in LUNA incentives for 3 months.

“Bond $1m UST with Olympus and 3,3 the OHM forever”

https://t.co/eCDH9fG0Wt
— OlympusDAO (@OlympusDAO) January 6, 2022

InvictusDAO (IN) is a fork of OlympusDAO on the Solana network. Terra would increase its expansion onto Solana by contributing $250,000 in UST to create IN/UST bonds. Frax Finance (FRAX) will match Terra’s bond contribution with $250,000 in FRAX according to a Jan. 6 AMA,.

USDC and USDT, the two largest stablecoins by market cap, are currently the project’s main holdings in its $71 million treasury. The IN team seemed optimistic about the partnership with Terra and said in the AMA:

”Holding UST helps solve structural treasury problems because we don’t want to increase our USDC and USDT holdings as it comes with centralized risk. UST helps grow the treasury and the amount of bonds we can sell.”

A representative from InvictusDAO told Cointelegraph that the proposed partnership would help the Solana ecosystem: “With the chain being so dominated by centralized stablecoins USDC/USDT, I believe the introduction of cross chain quality stables will benefit the ecosystem immensely.”

At the time of writing, the proposal appeared to have strong support from governance participants on Terra.

Crypto Trader Tyler Swope Is Bullish on Several Altcoin Projects As End of 2021 Approaches

November 27, 2021 The Daily Hodl

Investors rug-pulled after pouring $57M into dog-themed OlympusDAO fork

November 1, 2021 Coin Telegraph

Investors rug-pulled after pouring M into dog-themed OlympusDAO fork

0xsisyphus

Hong Kong police have reportedly been notified of the incident, with the primary suspect having filed a police report and handed a computer over to authorities.

After launching via a Discord channel on Oct. 28, AnubisDAO went on to raise roughly 13,256.4 ETH using Alchemistcoin’s liquidity bootstrapping protocol (LBP) Copper. However, the funds were unexpectedly sent to a different address roughly 20 hours into the LBP.

CNBC spoke to one investor who claims to have lost almost $470,000 to AnubisDAO. The investor, Brian Nguyen, conceded to subscribing to a “buy first, do research later mentality,” describing the loss as “pretty painful.”

Nguyen noted that he was attracted to AnubisDAO because of its canine-themed branding amid the meteoric gains recently reaped by some dog-token investors after seeing Anubis promoted on Twitter by prominent pseudonymous DeFi advocate “0xSisyphus.”

Anubis is the Greek name for the Egyptian god of death and the underworld, with Egyptian imagery depicting the god as donning the body of a human and the head of a dog.

Investors appear to have lost roughly $57 million worth of Ether in what many are describing as a rug-pull executed by the upstart canine-themed OympusDAO fork, AnubisDAO.

0xSisyphus has published a detailed timeline outlining AnubisDAO’s formation and launch, and claims to have engaged law enforcement in both the United States and Hong Kong. 0xSisyphus has also offered to cease the civil proceedings should the perpetrator return the stolen finds minus a 1,000 ETH bounty.

In lieu of a case number which can be released to the public (hopefully this is available tomorrow), please see below for confirmation I am actually in touch with authorities https://t.co/jCgOwaq129
— Sisyphus (@0xSisyphus) October 31, 2021

Inside job?

According to 0xSisyphus, the idea for an OlympusDAO fork inspired by Shiba Inu’s branding arose from discussions among members of the PebbleDAO project during Oct. 26 and Oct. 27.

A Telegram for the project was created on the 27th, with its six original members all hailing from PebbleDAO. The following day it is decided that the pseudonymous founding member “Beerus” would be tasked with deploying the LBP — a decision that 0xSisyphus now describes as a “critical mistake”:

“This was the critical mistake. This should have been done from the original multisig wallet.”

With just hours left until LBP was scheduled to close on Oct. 29, Beerus claimed “to have opened a malicious link from a PDF” and exposed the private keys used for the LBP launch. 13,556 Ether was then pulled from the LBP shortly after, however Beerus’ personal wallet funds appear to remain “intact and under his control.”

0xSisyphus also notes that “security researchers provided the PDFs from phishing emails” distributed during the day Beerus claimed to have clicked the malicious link, noting at “at this point, none have found any malicious content contained in the PDFs.”

Beerus’ real-world information is also collated and partially published to Twitter and Hong Kong authorities are contacted on Oct. 29. Beerus filed a report and turned one computer over to Hong Kong police the following day.

0xSisyphus also notes that wallets associated with the incident have since sent ETH to Coinbase, adding that the exchange has been notified of the transactions.

OlympusDAO developer launches protocol enabling one-to-one stablecoin swaps

October 26, 2021 Coin Telegraph

bonding

Developer 'Ohmzeus' has launched a new protocol allowing stablecoins to swapped at fixed price of exactly one-to-one.

A developer working on DeFi darling OlympusDAO has launched a new protocol that seeks to facilitate stablecoin swaps without price curves.

On Oct. 26, OlympusDAO developer “Ohmzeus” announced they had launched an experimental project dubbed Range comprising decentralized stablecoin pools that do not use a price curve. The programmer described Range as an “optimistic stablecoin swap protocol” designed to “abandon a pricing curve altogether.”

Introducing Range, an optimistic stablecoin swap protocol.

(Note: Range is unaudited. Use at your own risk with money you can afford to lose.)

Let's run through what it does
— Zeus Ω (3, 3) (@ohmzeus) October 25, 2021

The protocol uses “Range Pools,” which assume both of the tokens in a pool are worth an equal value. There are currently six live pools for DAI, LUSD, FRAX, USDC, USDT, and MIM, though the developer has emphasized that they are unaudited and users should not deposit more than they can afford to lose.

On Discord, they noted deposits to the USDC/USDT pool have been suspended due to a decimal place error.

Tokens trade within a pre-defined range in the protocol. In the example of a Range 20/70 pool in which DAI is one of the pairings, Ohmzeus stated that as the range for the stablecoin in the first pool is set to 20% to 70%, DAI must comprise at least 20% of the pool and not exceed 70% — with any attempted trade outside of those limits being rejected.

The protocol’s maintenance of price parity between stablecoins appears to offer arbitrage opportunities to users as stablecoins rarely trade at exactly equal value on centralized trading venues and decentralized exchanges.

Ohmzeus claimed the system offers a number of advantages over swapping stablecoins using traditional automated market makers, citing one-to-one stablecoin swaps, low gas fees, and capital efficiency. They commented:

“My expectation is that (at least early on) the pool swings from range extreme to range extreme as the pooled tokens fluctuate around peg. This should produce heavy fee volume from arbitrage.”

Ohmzeus suggests that Range could be used to mobilize stablecoin reserves held by Decentralized Autonomous Organizations (DAOs), noting the protocol enables OlympusDAO to “productively deploy its reserves in an isolated environment where its exposure to different assets is defined and controlled.”

Rari Capital doubles TVL to $1B in just two weeks thanks to high yields

October 13, 2021 Coin Telegraph

Rari Capital doubles TVL to B in just two weeks thanks to high yields

Coin Telegraph

The billion-dollar TVL has been driven by massive yields on the DeFi aggregation platform.

The total value locked on the decentralized finance protocol Rari Capital has surged past $1 billion.

The DeFi lending, borrowing, and yield generating protocol has surpassed the key milestone in TVL according to the app dashboard, and DeFiPulse confirms the all-time high TVL figure, reporting it at $1.09 billion.

On Sept. 30, Cointelegraph reported that Rari’s TVL had topped $500,000 so the doubling of collateral has taken around a fortnight. (DeFi Llama meanwhile, estimates TVL at $889M but going up fast.)

Rari launched in July 2020 to automate DeFi by optimizing and moving users’ funds to the highest yielding incentives at the time. It gained a certain amount of attention at the time as it was launched and run by teenagers and those just out of their teens.

Recent momentum has been driven by a number of liquidity pools offering higher than industry typical returns. It is currently offering a 21.67% annual percentage yield on USDC deposits and 26.43% APY in the DAI pool.

Its Fuse protocol has been extremely popular as it allows users to create custom lending and borrowing money markets with any assets and unlimited parameters.

The top pool called “Tetranode's Locker” has $655 million supplied, or 62% of the total, across 18 crypto assets earning various yields. Within that pool, the OlympusDAO sOHM token is currently yielding a whopping 7,594% APY.

OlympusDAO is an algorithmic currency protocol that allows users to supply crypto assets such as ETH or DAI to create bonds that back its native currency OHM. The complex bonding process acts as a hybrid fixed income product and a derivatives contract with quotes provided in OHM for trades at a future date.

Rari Capital thanked the “Ohmies” for helping propel its TVL to record levels.

Thank you Ohmies https://t.co/EL5M4yzeI4
— Rari Capital DAO (@RariCapital) October 12, 2021

Rari also offers permissionless pools which allow any user to create any pool of assets including NFTs offering any interest rates.

Venture Partner at 3SE Crypto, David Silverman, congratulated the young team on the achievement:

“Huge congrats to @JackLipstone @jai_bhavnani @davidslucid and the whole @RariCapital team!”

The Rari protocol, like most in the DeFi sector, has its own governance token called RGT which has also been performing well recently.

RGT hit an all-time high on Monday, Oct. 11 when it surged to $34 according to CoinGecko. It has gained 50% over the past fortnight and is up 93% over the past 30 days. At the time of writing, RGT was changing hands for $29.77.

Rari Capital was exploited for $11 million in May which caused token prices to crash to $4.80 following the hack.