Cove Partners with Bazaar for Pioneering $COVE Token Auction to Decentralize and Bootstrap Protocol Liquidity
San Francisco, United States, April 16th, 2024, Chainwire
Cove, the first onchain portfolio manager that aims to eliminate loss-versus-rebalancing, has announced a strategic partnership with Bazaar, the decentralized and chain-agnostic launchpad. This collaboration is looking to revolutionize the way Cove engages with its community by offering a fair and accessible opportunity to participate in the $COVE token launch.
$COVE is at the heart of the Cove ecosystem, which also includes Boosties, the first dedicated liquid locker and staking platform for Yearn. Storm Labs, the company initially developing the protocol, recently announced $3M in a pre-seed fundraising round led by Electric Capital, with participation from Accomplice, Robot Ventures, and Daedalus. The main Cove Protocol is expected to launch in Q3 2024.
The auction for 9.5% of the $COVE supply is designed to democratize access to token distributions, ensuring an equitable and transparent process that stands in stark contrast to the often criticized first-come, first-served models. In an uncapped batch auction, participants receive a proportional share of tokens based on their contribution relative to the total amount pledged. This aims to ensure fairness for all users, though the exact proportion is uncertain beforehand.
The auction, scheduled to run for 3 days and begin on April 22nd, 2024 at 12 PM EST, is a pivotal moment for Cove as it seeks to bootstrap protocol-owned liquidity by acquiring YFI and further decentralize governance. Bazaar’s platform will facilitate this uncapped batch auction, allowing participants to bid on $COVE tokens in exchange for ETH. Tokens distributed in this auction will vest linearly over 1 year, versus over 2 and 3 years for investors and the team respectively.
Bazaar, with its commitment to transparent and community-driven project launches, provides an ideal platform for this auction. The protocol’s support for liquidity bootstrapping pools and batch auction capabilities align perfectly with Cove’s ethos. Bazaar’s competitive fee structure and support for high-quality launches make it a fitting partner for Cove’s expansion efforts.
The partnership is a response to the challenges faced in crypto capital formation, addressing issues such as inequitable access and fragmentation in a multi-chain world. Bazaar’s solution offers a seamless experience for users, with one-click cross-chain swaps and universal liquidity across multiple networks, including Ethereum, Optimism, Arbitrum, Base, Polygon, and ZkSync Era.
About Cove
Cove is the first onchain portfolio manager. The Cove ecosystem also includes the $COVE governance token and Boosties, the dedicated liquid locker and staking platform for Yearn, built with Yearn V3. Cove is optimized by Gauntlet and audited by Trail of Bits, Quantstamp, and yAudit.
Users can find out more at: https://www.cove.finance
About Bazaar
Bazaar is a decentralized, chain-agnostic launchpad providing crypto-natives with a fair, community-centric approach to fundraising. Bazaar offers the most competitive fee structure for both users and projects, while incentivizing high-quality launches and community-led curation.
Users can find out more at: https://bazaar.money/
About Storm Labs
Storm Labs is the software development studio building the initial version of the Cove Protocol. The company is backed by Electric Capital, Accomplice, Robot Ventures, and Daedalus. Storm Labs is advised by Tarun Chitra, the founder and CEO of Gauntlet, and Joey Santoro, author of ERC-4626 and previous founder of Fei Protocol.
Users can find out more at: https://www.storm-labs.xyz
