Original: Vorpaxis

Compiled by: TechFlow

An overview of $TROVE, the upcoming Camelot token.

Project: Nitro Cartel

Category: DAO

Blockchain: Arbitrum

Date: February 17, 2023

Overview

Nitro Cartel is a decentralized autonomous organization (DAO) that aims to bootstrap adoption and TVL across the Arbitrum ecosystem. They are developing two products called “Arbitrove” and “Hyperplane Bridge” to achieve this goal.

 

Arbitrove is Arbitrum’s asset index with a yield-generating strategy. Its first launched index is called ALP.

 

The Hyperplane Bridge is tentatively planned for future development of the protocol — but the idea is a cross-chain bridge solution with incentives to attract more new users to Arbitrum.

 

The Nitro Cartel DAO is governed by holders of the Passport NFT, which was launched in December 2022.

 

 

Nitro Cartel Passport

The Nitro Cartel Passport was created to fund the project's initial coin offering and treasury. These funds will allow developers to pay for audits of future products such as Arbitrove. Passport holders are able to influence the direction of the protocol through governance. To reward early supporters, Passports holders will receive token airdrops of future products (such as $TROVE).

 

 

Casting Details:

  • The total supply is 1000, and the team can mint up to 200 NFTs

  • Price: 0.4E

  • Date: December 4, 2023

  • The Passport held by the team is permanently locked, and only the income generated by holding the Passport can be collected

 

 

Casting result:

  • Only 509 NFTs were minted

  • 390 NFTs listed on Opensea

  • Current reserve price (23:00, February 14): 3.65E

 

The DAO Treasury wallet is a multi-signature that requires 4/7 signers to execute a transaction. The signers are:

  • Nitro Cartel Team Members(4)

  • JonesDAO (Nach211)

  • Camelot DEX (Merlin)

  • Vesta (Floflo1904)

 

Multi-signature address: 0x72f9b18f1091b1F8A0981Afe44aD0123Ae32524A

 

 

Arbitrove

Arbitrove is the first major product released by Nitro Cartel. It aims to provide users with a convenient way to get exposure to the Arbitrum protocol. In the long term, Arbitrove will launch various indices - some may be yield-generating (assets), new protocols, NFTs, and even subcategories such as GamaFi, liquid staking derivatives, etc. The first index released by Arbitrove is called ALP, which will cover blue-chip assets on Arbitrum, such as $GMX, $GNS, and yield strategies around tokens such as $GRAIL, $JONES, $MAGIC, etc.

 

The full list is as follows:

Composition of ALP

 

ALP works based on the minting/redemption functionality. Currently, users can mint ALP with ETH, charging a 0.5% fee for minting or redemption. The protocol then acquires the assets and executes the yield-generating strategy. It automatically rebalances as needed.

 

DAO hopes to boost the overall liquidity of Arbitrum by using some assets in the liquidity pool on DEX. Nitro Cartel has also cooperated with Vesta, and ALP may also become collateral for loans in the future.

 

 

$TROVE

$TROVE is the liquidity governance token for the Arbitrove product. $TROVE holders will influence the product direction through decentralized governance. The public sale is coming soon, here are some key details:

  • Time: February 17, 2023 2:00 PM (UTC) - February 20, 2023 2:00 PM (UTC)

  • Location: Camelot Launchpad

  • Required token: ETH

  • Starting price: 0.0025 USD

  • Circulation: 200,000,000

  • Initial FDV: $2.5 million

  • Hard Cap: Maximum raised USD 2.5 million (0.0125 USD per TROVE, USD 12.5 million)

  • Attribution: No

  • Amount limit for each wallet: Unlimited

  • Investors will all receive the same price – the final price at the close of the sale

 

Trove also has a form of escrow, esTROVE, which is non-transferable. However, it may have the ability to earn protocol income through staking. The Nitro Cartel DAO will vote on this proposal in March. esTROVE can be redeemed (with 1-year linear redemption, which will start in September 2023) to TROVE, however the redeemed tokens will not be eligible for yield.

 

 

 

$TROVE Token Economics

 

The total supply of TROVE is 1,000,000,000. However, some of it will initially appear as esTROVE and will not be immediately tradable. Liquidity supply will be:

  • 200 million – LaunchPad sales

  • 10 million — xGRAIL holders airdrop

  • 90 million — Treasury (60 million will be used for protocol-owned liquidity)

  • 220 million - Liquidity incentives (will last for 8 years)

 

The remaining tokens (330 million will go to Passport holders, 150 million will go to the team) will be distributed as esTROVE. These tokens are illiquid, have a 6 month cliff unlock period (although they can be staked and earn a yield), and then can begin a redemption period (1 year).

 

 

 

Other details

30% of the ETH raised will be paired with TROVE, the Treasury bond, to provide liquidity on Camelot. The rest (70%) of the raised funds will be used for the growth of Nitro Cartel, Arbitrove, and future products.

 

 

Hyperplane Bridge

There isn't much information available about this product. They also note that it may be delayed in favor of other products (based on community feedback). I understand their goals for this product to be:

  • Deployment of a bridge solution to Arbitrum using LayerZero technology

  • Ensure low cost and very simple user experience

  • Providing native token incentives to users bridging to Arbitrum

  • Hopefully there are synergies with other products like Arbitrove (e.g. a bridge + automatic ALP purchases might emerge)

  • Is it community owned and managed by a DAO?

 

At the moment they are cautious because cross-chain bridges carry a high security risk and they want to make sure they are using the best technology.

 

 

team

The team is anonymous, but there are some details about them in the document:

4 core developers

3 team members dedicated to growth and business development

 

Their experiences include different backgrounds. Some details are:

  • Machine learning engineers from FAANG companies;

  • A systems engineer from a large financial institution;

  • Former founder of a leading NFT project;

  • Blockchain analyst from a prestigious university;

 

 

in conclusion

Nitro Cartel is about to launch their first index on Arbitrove, called ALP. The index will provide users with a great way to get diversified exposure to Arbitrum while generating some yield. Arbitrove's governance token $TROVE will be launched on Camelot on February 17th.

 

 

Translator adds:

Although we have seen a lot of DeFi innovations on Arbitrum, such as Rage Trade and Camelot, after the innovation wave passed, forks became more numerous again, and many protocols began to follow suit and launch GLP-related Delta neutral strategy vaults. The crowded track will make the competition more intense, and the final winner may only be GMX itself. If GMX is a shark parasitized by a remora, then Arbitrove has the potential to become another shark. I am also looking forward to more protocols based on ALP in the future.

 

Original link: https://mirror.xyz/primapes.eth/hNKmnmsaBPp9VmMaz0lIQ4XPBDgCOiqhGW3XTAZ7njE