NeoBase had supported Canto since its inception, being one of the first few teams to join as core contributors (alongside Plex & B-Harvest). From the start, we’ve helped the community by deploying critical infrastructure. Some of these contributions include
- Multi-sig (Gnosis Fork)
- Tooling for the community such as analytics dashboards, public RPCs, graph nodes, subgraphs and indexers, validator support, hackathon support, etc.
- NFT Marketplace
- Liquidity Coordinator (& respective LP Interface), an upgrade to the neofinance coordinator that takes inspiration from the veCRV (vote-escrowed CRV) model to allow incentivization of LPs of TOKEN/WCANTO pairs on the Canto DEX.
After the sequence of issues related to the v8 chain upgrade and following NOTE depeg described in the post-mortem, the future of Canto was very uncertain, with the community sentiment falling due to rising concerns about the stability of NOTE.
During this time, Plex & B-Harvest withdrew as core contributors, while NeoBase stepped in to help with maintenance to revive community sentiment in the lending market & overall ecosystem.
Over the last year, NeoBase took control of the domain canto.io (from Plex), with the Neobase team handling all maintenence efforts on canto, and the Gravity team operating in an advisory role.
Our focus over the previous year had been on fixing and improving UX & governance coordination -
In light of the large undercollateralized positions on the lending market, there was a fear of bad debt induced spiral on the NOTE stable coin and the canto network itself.
In order to provide much-needed transparency to NOTE collateral and the lending market, we’ve introduced a Positions Table. This new section provides real-time visibility into all live positions on the CLM w/ their health factors.
This table allows users to see which positions are at higher liquidation risk, offering a proactive way to monitor and manage assets on the platform.
Users can now liquidate positions that are undercollateralized directly from the dashboard. Note - the RWA positions are only liquidatable by the whitelisted set, while the rest can be liquidated by any user. To join the whitelist, you can contact either of the RWA providers.
This page also provides visibility as to the total backing of NOTE versus the amount currently in circulation.
Ultimately, the goal of this page is to give the Canto community a ground source of truth about the state of the lending market, allowing for good governance decisions, greater transparency, and user confidence.
In response to user feedback, we’ve implemented several fixes and optimizations to the Canto Bridge. These updates improve stability and reliability for assets moving between chains, ensuring more stable asset transfers.
We’ve also included a rescue patch for those users whose canto was stuck in limbo on the gravity bridge due to bridging bugs.
Our goal is to make cross-chain activity as seamless as possible, empowering users to transfer assets with confidence.
- Governance UI fixes
Governance proposals properly display their text and vote totals after the upgrade to Cosmos SDK v50.
Proposal
The only funding provided for these efforts was a 75K USDC retroactive public goods funding grant given in April 2024. Despite this, substantial opportunity cost & risk were undertaken by the NeoBase team to work on & restore Canto to a stable state where community members could choose to exit or continue to use the chain as they desired.
This proposal considers all the above-mentioned work that NeoBase has done for the ecosystem since last year April/May (previous grant) and all future contributions.
The proposal requests 500,000 NOTE for the time, expertise, and support given to Canto & its respective maintenance. This amount takes into account the illiquidity of NOTE, the time of support before this proposal was enacted, and a reasonable level of continued support until one year from the date this proposal passes.
Upon passing of the proposal, NeoBase will resume its support for Canto by reviving the block explorer & analytics dashboards. They will also be deploying a swap interface for the CantoDEX & continuing to help with the future roadmap, maintenance, & any bugs/fixes that might be required.
This represents about 30% of the NOTE in the Accountant contract after it was swept in Gov Proposal #210. The NOTE in this contract is the interest from liquid NOTE not currently held in the lending market. For example, if the NOTE rate is 5% and you hold 1 NOTE in your account for a year without putting it into the lending market 0.05 NOTE will accumulate to the Accountant contract.