Overview
Dear Astar community, it is a pleasure to be here. I’m Seiya, Co-founder and CEO of Neemo Finance. We would like to apply for the Unstoppable Community Grant.
Our plan is to launch nsASTR, a Liquid Staking Token (LST) for the ASTR token, on the Astar EVM. This will involve creating a yield-bearing token that increases in price, allowing for seamless integration with lending platforms and other DeFi protocols without requiring extra connectors, as nsASTR is not a rebase token. This design simplifies adaptations and increases usability. Initially, we will return all revenues earned from our dApp staking protocol rewards to users, providing them with higher earnings. Furthermore, we will enable native staking and unstaking, allowing users to stake and unstake ASTR on other L2s and mint nsASTR, thereby enhancing the utility of ASTR across multiple L2 chains.
We are applying for Unstoppable Grants and dApp Staking, requesting 2M ASTR tokens to be staked on dApp staking on Neemo Finance (or if possible, ASTR token to be staked via Neemo protocol and mint nsASTR) from the community treasury.
Background of Neemo Finance
Neemo Finance is a spin-off protocol from Starlay Finance. As approved in discussions at Starlay Finance, we will develop LST on Astar. You can find the forum discussion (Forum discussion: New protocol Initiative for Starlay Finance - Discussion - Starlay Finance). Originally, we planned to integrate BTC L2 first and then proceed with ASTR, aiming to leverage BTC liquidity to positively impact the Astar ecosystem. However, after an internal team meeting, we saw significant potential in the Astar ecosystem. If our proposal is approved, we will shift our focus entirely to Astar, including stopping all BTC-related initiatives. With our experience from Starlay, Kagla, and Muuu, along with our new team members’ LST expertise, we are committed to enhancing DeFi on Astar.
Our Mission
Our mission is to build a robust DeFi primitive within the Astar ecosystem, upon which we will construct a further DeFi ecosystem. Neemo is composed of team members with extensive Web3 experience, including LSTs, lending, stable DEX, and yield optimization. Most of our team has long experience in developing LSTs in the Ethereum ecosystem, and we aim to replicate this on Astar by leveraging the unique dApp staking feature.
By adopting mainstream DeFi strategies, we create more utility on the chain. This will increase user numbers, which in turn will attract more dApps, boosting the entire ecosystem. Additionally, as we will later explain, we distribute votes to other protocols on dApp staking, supporting the overall DeFi ecosystem and making it stronger.
Project Overview
Neemo Finance plans to develop nsASTR (Neemo Staked ASTR), an LST token for ASTR, and launch it on the Astar EVM, with future implementations on other L2 chains. Our LST has unique selling points: Price increase (Yield bearing) structure, Dual staking modes, Native staking and unstaking on L2s, dApp staking reward distribution, Leveraged staking, Distribution of dApp staking votes to other DeFi ecosystems, Point mechanism, and Airdrop to LAY, muLAY, veLAY holders. We are also considering the development of ETH LST with native staking on L2.
Unique Selling Points
Price Increase (Yield bearing) Structure
Unlike the traditional model where staked assets often remain static in valuation, ASTR’s LST adopts a price increase structure similar to wstETH and LDOT. This approach allows seamless utilization in lending or any DeFi protocol without extra connectors since it’s not a rebase token, making adaptations easy.
Dual staking modes
Bonus Rewards Condition: dApp Staking bonus rewards from the Voting era have a unique condition: if the dApp balance drops below the Voting era balance, no bonus rewards are given. Since Neemo allows users to stake and unstake tokens at any time, massive unstaking could trigger the condition where no bonus rewards are earned. Given this condition, we build our dual staking modes address specific conditions related to dApp Staking bonus rewards during the Voting era. Standard Staking allows users to deposit their ASTR tokens and receive nsASTR tokens in their wallets. Time-locked Staking is available only during the Voting sub-period. It involves locking ASTR/nsASTR tokens in a separate smart contract and offers additional benefits
Native Staking and Unstaking on L2s
We allow users to stake ASTR on other L2s and mint nsASTR. This enables users to stake ASTR beyond the Astar EVM and use nsASTR in DeFi protocols without needing to change chains and bridge the ASTR LST. This also prevents TVL reduction on the chain side as the redemption happens on the same chain.
dApp Staking Reward Distribution
Initially, we will return all revenues earned from our dApp staking protocol reward to users, providing them with higher earnings.
Leveraged Staking
If you are not familiar with leveraged staking, I recommend reading this article first: LSTs and Leveraged Staking Strategies. We plan to launch a leveraged staking protocol. By simultaneously focusing on LST and leveraged staking, we can amplify the supply of LST without the initial constraints of DEX liquidity. Initially, we aim to employ a mechanism similar to DIA’s Fair Price Oracle mechanism for oracle services to mitigate the risk of liquidation, with plans to gradually shift to a market cap-based evaluation. This approach is beneficial for LST protocols with leveraged staking as it reduces the need for DEX liquidity in the initial phase.
Distribution of dApp Staking Votes to Other DeFi Ecosystems
We will distribute the dApp staking votes obtained through nsASTR to other protocols. Protocols utilizing nsASTR can receive a portion of the voting based on the amount of nsASTR deposited and borrowed, for example, in lending.
Point Mechanism
We plan to implement point distribution within the Astar ecosystem. In the future, these points will convert to Neemo Tokens.
Airdrop to LAY, muLAY, veLAY Holders
LAY token holders will receive our new tokens as a recognition of their pivotal role in our ecosystem. This is our way of giving back to Astar users who have supported Starlay. We aim to maximize returns for Astar users. Since our funding is sourced from the Starlay treasury, we will distribute our tokens accordingly. None the less to say, other Astar users will also receive points and airdrops, ensuring inclusivity beyond just LAY holders.
Team Members
The members of Neemo have experience in developing and operating DeFi, particularly in LST, lending, stable DEX, and yield optimization. The most of Starlay members have been replaced with stronger members in LST.
- Seiya Chida/Co-founder and CEO
- Seiya Chida has two years of operational experience as COO of Starlay Finance, Kagla Finance, and Muuu Finance on the Astar Network, covering sectors such as lending, stable decentralized exchanges, and yield optimization, respectively. Additionally, he brings three years of venture capital experience, with expertise in instruments such as SAFE, SAFT, and equity investments. During his career, Seiya has successfully invested in one unicorn company and various protocols in the crypto space, showcasing his extensive knowledge and strategic acumen in investment.
- Sagar Chaurasia/Co-founder and CTO
- With over four years in the LST/LRT ecosystem and previous roles as a tech lead (smart contract lead) in Claystack, a liquid staking protocol on Ethereum, Sagar Chaurasia is an adept Co-founder and CTO. He also has two years of experience in decentralized storage and DeFi applications. Sagar is known for his significant contributions, including authoring core code, which demonstrates his deep expertise and substantial experience within the LST/LRT ecosystem. His technical leadership and innovative coding skills have been pivotal in advancing projects in these specialized fields.
- Priyansh Saxena/Co-founder and CMO
- Priyansh Saxena has been in the cryptocurrency industry for over three years, managing content, marketing, and community for Claystack, a liquid staking protocol on Ethereum. He understands the core aspects of liquid staking and has a knack for identifying effective marketing strategies for crypto products. Priyansh has also provided consultation for several clients in the perpetuals market space, assisting in their go-to-market strategies. Before transitioning to web3, he was involved in web2 marketing. Priyansh holds a Master’s degree from Queen Mary University of London.
- Team Structure
- Alongside our founders, we have a robust team comprising six more members across the development, business development, audit, and design divisions. This interdisciplinary group brings a blend of expertise and creativity, essential for driving our projects forward and achieving innovative outcomes in our respective fields.
Security
We prioritize security and our security measures are divided into three layers, in addition to extensive internal testing:
- Audit Company
- We will have an audit from an audit firm as usual. This allows users to confidently utilize our protocol
- Peer Audit
- We have an auditor on our team who performs preliminary and continuous audits before engaging an external audit company. This provides us with extra security.
- Onchain Security to Prevent Malicious Activities
- By integrating SphereX (https://www.spherex.xyz/), we can address errors beyond the code itself. SphereX helps prevent exploitations caused by operational errors or other issues, ensuring a more secure environment for our operations.
Roadmap (UCG Commitment)
July
- Prepare all necessary documentation and codebases for peer audit and audit company
- Conduct a post-audit review and finalize the security measures
- Testnet launch on Astar EVM
- Integrate SphereX with nsASTR
August
- Officially launch nsASTR on Astar EVM mainnet
- dApp staking reward distribution module
- Integrate nsASTR into DeFi protocols
September
- Native staking and unstaking on other L2s
- Smart contract based and optimal marketing strategies to help drive TVL and widespread user adoption
Near Future Development
- Leveraged staking
- Distribution of dApp staking votes to other DeFi ecosystems
- Point mechanism
- TGE for our native token
- Airdrop to LAY, muLAY, veLAY holders
Conclusion
We have faced many challenges in the past but have continued to develop without giving up. This perseverance has allowed us to learn more and gather better team members. We promise to fully utilize our experiences to further develop the Astar ecosystem. The entire team is committed to building a better ecosystem, and we appreciate your support.
References
- Landing page: https://neemo.finance/
- Twitter: x.com
- Discord: Discord
- Medium: Neemo Finance – Medium
