Balancer is a community-driven protocol, automated portfolio manager, liquidity provider, and price sensor that empowers decentralized exchange and the automated portfolio management of tokens on the Ethereum blockchain and other EVM compatible systems. Developed on the Ethereum blockchain and launched in March 2020, Balancer was able to raise a $3M seed round by Placeholder and Accomplice.
Balancer Labs is the organization founded to start the implementation and evolution of the Balancer Protocol. Since its inception, the code has been open-sourced under the GPL3.0 license. Balancer Labs’ mission is to create a network and community strong and reliable enough to dissolve the company and hand responsibilities to the Balancer Community.
Balancer adopts powerful features to slash gas costs, super-charge capital efficiency, unlock arbitrage with zero-token starting capital, and open the door to custom AMMs. The balancer protocol is an automated market maker (AMM) protocol built on Ethereum that facilitates trades as a decentralized exchange and supports liquidity providers by allowing anyone to create and supply trading pools. Through this protocol, users earn profits through BAL tokens by contributing to customizable liquidity pools. The protocol is beneficial to all participants of the liquidity ecosystem, encompassing a self-balancing portfolio for liquidity providers, a deep liquidity source for traders, and a flexible platform for developers.
On the platform, pools are the fundamental building blocks of the Balancer Protocol. Pools are smart contracts that define how traders can swap between tokens on Balancer. Their limitless flexibility makes them unique from those of other protocols and the balancer platform can accommodate pools of any composition and underlying math, while other exchanges have pools with constrained parameters.
As regards the governance module, balancer Governance is the heart and brain of Balancer Protocol. Anyone can be part of the Balancer Governance Process, and anyone with BAL voting power can vote on proposals. In governance, participants make decisions about new features and directions of where the Balancer Protocol should go.
The Balancer Governance Process tracks an initiative from the discussion to the proposal, to a vote, to enactment. It is designed to be an open, transparent, and intuitive way to progress the future of the protocol.
BAL is the governance and utility token of Balancer. Voting power for the Balancer Protocol is derived from the Balancer Governance Token (BAL). BAL holders, also called Balancer Governors, vote on proposals relevant to the protocol. These proposals are wide-ranging, from Governable Protocol Fees to how BAL Tokens themselves are distributed into the future.
Who Are the Founders of Balancer (BAL)?
Balancer Lab was founded by Fernando Martinelli and Mike McDonald.
Fernando Martnelli is an entrepreneur and Maker community member with many years of work experience outside of Balancer. He has also co-founded other projects before balancer.
Mike McDonald is the co-founder and Chief Technology Officer (CTO) at Balancer. He is currently the security engineer and the creator of MKR.tools.
Kristen Stone is the COO at Balancer and has worked in the crypto industry for a long time. She was the product manager at Coinbase.
Timur Badretdinov is the frontend developer and has worked on several projects before working at Balancer. One of these companies is “Longcaller,” a platform developed to provide m cryptocurrency reviews and educational blockchain content.
What is Balancer (BAL) used for?
Staking
The auto staking features allow BAL token holders to stake their tokens for returns. This feature requires little to no technicalities and assures users profits into their wallets.
Earn reward
BAL tokens can be awarded to participants.
Provide liquidity
The automatic liquidity function on the platform serves as a benefit by nurturing a stable floor price when it collects tokens from buyers and sellers and also discouraged arbitrage.
What is the Unique Point of Balancer (BAL)?
Although there are no implementations on Tron, Balancer is deployed on Ethereum, Polygon, Arbitrum, Kovan, Goerli, and Ropsten testnets and also has a friendly fork on Fantom. In addition, Balancer Labs has awarded grants to teams developing on Near and Algorand; however, these are exploratory grants and do not imply that there are working versions of Balancer Protocol on these systems.
Concerning validity, the team behind the Balancer Protocol (Balancer Labs) has been in the DeFi space for a while and started Balancer as a research project in early 2018. The team has proven they can maintain a successful DeFi product that is driven by decentralized governance and has shown that they respect and care about the ethos of the industry. This collaborative mindset and strongly upheld values made them build Snapshot, an open-source tool that allows for gasless voting which became the de-facto standard for decentralized governance voting with 800 projects using it as of writing.
How Many Balancer Tokens (BAL) Are There in Circulation?
There were over 100,000,000 BAL tokens in circulation; currently, there are 6,943,831 BAL in circulation.
How Is the Balancer Network Secured?
The developers of Balancer take security as the topmost issue and have enforced effective methods to protect its participants. The balancer protocol has fully audited its platform three times by Trail of Bits, ConsenSys, and OpenZeppelin. The balancer has also run a continuous bug bounty program for the V2 release of the Balancer core contracts.
Balancer also launched a bug bounty program. The bug bounty covers any of the core smart contracts deployed on the Ethereum mainnet. The bounty program will pay out rewards according to the severity of a vulnerability. The final reward to whoever succeeds will be paid in the specified sum of either USD or ETH.
In balancer, there are no admin keys or backdoors, making it trustless, safe, and dependable as the balancer pools are not upgradeable. In addition, balancer does not support tokens that do not conform to the ERC-20 standard, although they can be used in some pools.
How do I buy Balancer (BAL)?
Balancer’s architecture allows anyone to develop their pool type, opening the door for customized pricing functions in trading pools. The BAL token can be used for a wide range of uses like staking.
BAL tokens can be easily purchased by the following steps.
* Open an account with the crypto trading platform.
* Transfer the specific amount of your fiat currency to your account.
* Wait for your deposit to be confirmed and buy BAL through your trading account.
Which Cryptocurrency Wallet Supports Balancer (BAL)?
The PTPWallet platform supports many cryptocurrencies simultaneously, such as Balancer Shiborg. Because of its vast use case, it has grown to become one of the most used platforms, as it serves as an exchange and an engine to discover other cryptocurrencies. Users can easily use PTPWallet as their BAL wallet because it offers a simple and interactive interface, making it easy for people to navigate its system.
