The NFT finance protocol BendDAO is planning to enable ApeCoin (AOE) staking on its platform via a new yield aggregator product called BendEarn. A BendDAO community member vis.eth has put the proposal forward on Sept. 29 providing a detailed breakdown of how it would work.Â
The BendDAO team also estimated that it would take two to three weeks to build and implement this platform. If the community favors the plan then it will go to a vote, to be implemented as a result.
BendDAO has become popular among NFT enthusiasts who deposit blue-chip NFTs like BAYC and CryptoPunks to borrow ETH from the NFT lending platform. The DAO voted in May to bring Ape staking with the help of Horizen labs.
The ApeCoin staking platform is expected to go live by the end of October allowing APE holders to stake their tokens in four proposed pools. One pool will be dedicated to solo staking where users can stake their APE tokens alone.
The other three pools will involve pairing one of the three major Yuga NFTs namely Bored Ape Yacht Club, Mutant Ape Yacht Club, and Bored Ape Kernel Club. The pairing of these NFTs will be done with APE tokens.
The BendDAO developers are working on a two-stage plan for the creation of the BendEarn platform. The first stage will be the development of the smart contract for APE staking. On the other hand, the second stage will focus on building out the BendEnd contracts and distributing APE tokens and NFTs to the different staking pools.
BendDAO will also develop earning strategies on top of BendEarn which will act as a yield optimizer for APE staking. This way all Yuga NFTs utilized as collateral for obtaining loans on BendDAO can be staked on BendEarn. The same concept is also applicable to ApeCoin lenders on BendDAO.
Furthermore, BendDAO is likely to charge a 3% staking fee on the revenue generated by the platform but the DAO will have to agree on what to do with the funds. The decision will only be part of the motions voted on by the DAO to approve the implementation of the BendEarn staking platform.
Last week, BendDAO initiated a brand new proposal to reduce the liquidity threshold amid insolvency concerns. Consequently, lowering the collateral liquidations level from 85% to 70%. With the recent development regarding the ApeCoin staking platform, it can garner more people into reviving the protocol.
