ThenaFi

With $6 billion in TVL, the BNB chain is positioned to become a dominant force of DeFi. But, it still lacks truly decentralised and efficient infrastructure.

ThenaFi is a promising project launching imminently that aims to change this.

In this article, we will break down:

• What is ThenaFi?

• Tokenomics

• Upcoming Airdrop

• Revenue sharing NFTsSubscribe now

What is ThenaFi?

With nearly $6 billion held on the chain, and highly scalable $BNB chain certainly has traction. But it's a long way off being the DeFi hub. Efficient onboarding of new Decentralised projects is paramount

Thena hopes to offer the ecosystem something it desperately needs. The AMM aims to become the native, decentralised liquidity layer within the BNB ecosystem. How?  The protocol offers highly capital-efficient means for protocols to bootstrap and incentivises their own liquidity.

Thena draws inspiration from the Solidly model. Solidly was short-lived on Fantom due to poor execution, but has seen impressive success on iterations of the model on Optimism with @VelodromeFi. So, what is the model?

Solidly is a low-cost, near-zero slippage AMM that intertwines a mixture of both the Curve and the Olympus model

Curve - Vote escrowed model to strengthen incentives for long-term token holders

Olympus DAO - Staking/Rebasing/Bonding or (3,3) game theory

Compared to other AMMs, all pool fees flow to gauge voters, rather than Liquidity providers. Incentivising users to vote for the most productive pools, and aligning protocol emissions directly with fees generated, not liquidity.

Thena, however, differentiates itself from solidly due to a few key factors:

1) The fee structure has been altered. 

Thena aims to ensure the ultimate sweet spot between long-term revenue generation and highly competitive trading prices

2) The bribing market has been redesigned.

To be resilient against mercenary capital and instead promote cooperation, veTHE holders receive rewards at the end of the epoch in the form of a claimable lump sum.

3) To avoid protocols acting as a Convex layer on top of Thena and dominating the distribution of $THE, the farming boost has been removed. 

This offers a decentralised distribution, allowing many protocols to partake in its governance.

Thena is a protocol that aims to act in the best interest of all the main stakeholders of a typical AMM.

1. Token holders

2. Users

3. Protocols.

Protocols:

Users are incentivised to vote for either the highest volume pools or the ones being bribed by protocols seeking to bootstrap liquidity. As volume increases, protocols can create a highly efficient liquidity flywheel. They can also incentivise their liquidity via bribes offered to veTHE holders to compensate for any lack of trading activity.

Users:

LPs are incentivised with emissions driven by 3,3 game theory and liquidity flywheels. Traders benefit from the low slippage thanks to the increased liquidity provided, culminating with efficient vAMM / sAMM tech.

Tokenomics

Similar to Curve, Thena hosts both a native emission token and a vote escrowed version.

THE - native emission token

veTHE - vote escrowed version of THE

THE:

THE are emitted as farming rewards to incentivise deep liquidity provision. THE can be used to take part in the governance for the continuous development of the platform.

veTHE:

Users can lock their THE tokens for up to 2 years to get veTHE to decide which pools receive $THE emissions. The longer the lock, the higher the veTHE received.

Protocols need to hold at least 0.1% of the total veTHE supply to open a gauge. veTHE is an ERC-721 governance token in a form of an NFT (non-fungible token), making it transferable. It can be fractionalized and sold on a secondary market despite the lock.

veTHE holders can vote for gauges (pools) every week, and access the fees and the bribes generated by the associated pool. veTHE holders can take part in and cast votes for the protocol improvement proposal

Thena has yet to launch, the initial distribution of THE is outlined below:

• 36% airdropped to users.

• 25% dedicated to an Ecosystem fund

• 18% distributed to the team.

• 17% airdropped to partner protocols.

• 4% paired with BUSD and/or BNB

The weekly rebase and emissions are as follows:

• Weekly emissions: 2,600,000 THE

• Weekly emissions decay: 1.1%

• Weekly dev allocation: 4%

• Weekly veTHE max rebase: 30%

• Weekly emissions for LPs: 66%

Did someone say Airdrop?!

Users from each partner protocol will qualify for the veTHE/THE airdrop, early Thenians will also be a part of it. In total, it's expected over 10,000 users to be airdropped with a mix of locked and unlocked tokens.

The final amount airdropped will be based on a DeFi scoring system.

1. Minting theNFT (highest number of points)

2. Address on the partner list

3. Volunteer/contributor role

4. THE list role (wallet linked)

The partner list is as follows:

Revenue sharing NFTs

Thenian NFTs are a limited collection of only 3,000, that offers:

• A share of trading fees from THENA

• 2% in royalties from secondary sales

• Stakers earn an additional 1% in royalties

• Unlocks private delta-neutral strategies

• Guaranteed THENA airdrop

Not only do they unlock a plethora of revenue opportunities, but they look pretty badass. There are a total of 300 unique AI-engineered designs, each with a different class and rarities.

This unique fundraising approach allows Thena to raise capital without affecting the $THE markets. 100% of the funds raised from the NFT sale go back to THENA with 60% used to incentivise locking and bribing. 40% will be used for protocol runway

But, how much of the trading fees do theNFTS receive?

20% (decreasing 5% every 3 months until it is 10% in perpetuity) of all collected go to theNFT staking pool. As trading activity increases, it directly increases the fees generated; it's likely the price of these NFTs will increase alongside.

theNFT mint details are as follows:

• Total mint size: 3,000

• Mint price: 2.5 BNB

• First round: Friday 2nd November

• The designs and attributes are revealed 7 days after the mint.

Of course, buying one of these NFTs currently valued at just under $800 is a speculative bet on the future success of the protocol. It is your decision whether you believe it is a worthy venture.

To be illegible to mint one of these NFTs, you must be whitelisted. You can see the details on WL below:

Thena aims to offer new decentralised and capital-efficient liquidity tools for the $BNB chain. It builds on the success of the solidly model, as well as adding in some intriguing new mechanisms.

I'll be following their journey, will you?