Everclear, a Clearing Layer project focused on solving the problem of cross-chain liquidity fragmentation, announced today that its DAO organization has approved several key proposals, including the introduction of a new token economic system and the migration of tokens from NEXT to CLEAR. These decisions come at a time when the mainnet Beta has achieved strong performance.
With the rapid development of modular blockchain, more than 250 chains have been launched on Everclear, and more chains are being launched. However, this rapid expansion has also brought about highly fragmented problems of liquidity and user experience. Since the launch of the beta version of its main network, Everclear has achieved cross-chain transaction fees as low as 0.02% (2 basis points), net settlement transactions accounted for 50%, and monthly transaction volume has tripled. As the main network transaction volume further increases, it is expected that the net settlement rate will continue to increase and transaction costs will also be further reduced. These results fully demonstrate that Everclear can not only significantly reduce the cost and complexity of cross-chain operations, but also utilize liquidity provider funds more efficiently than existing protocols.
Challenges of Chain Abstraction
The challenge of chain abstraction lies in the need for liquidity providers to maintain liquidity in the ever-expanding Rollup ecosystem. Currently, newly launched Rollups must establish independent relationships with their respective cross-chain bridges, leading to inefficient system scaling. The vbCLEAR model significantly reduces the complexity of obtaining bridging support by creating a market that allows each chain to directly incentivize resolvers on any platform. By allowing chains to lock CLEAR tokens and allocate incentives to their ecosystems, this model provides resolvers with the motivation to allocate funds in advance before the natural trading volume forms on new chains, effectively solving liquidity issues during the startup phase.
Arjun Bhuptani, founder of the Everclear Foundation, stated: "The strong performance of the mainnet Beta validates Everclear's unique approach to building the first Clearing Layer to address liquidity fragmentation. The DAO's approval of these proposals marks a critical step towards creating a sustainable decentralized system capable of efficiently coordinating global settlements and rewarding ecosystem participants."
CLEAR Token Migration
The DAO-approved CLEAR token migration introduces a brand new token economy system, the vote-bonding system, which aims to incentivize ecosystem growth and reward active participants. In this new model, CLEAR holders can stake their tokens for up to two years, thereby participating in protocol governance and sharing protocol revenue. This system allows participants to allocate incentives to specific blockchains, ensuring optimal liquidity distribution within the ecosystem while creating a market for blockchain to incentivize liquidity providers' support, addressing the liquidity shortage issue for new chains during the initial phase.
The approved proposal also establishes a comprehensive reward program, which will launch at 9 PM Beijing time on December 6, 2024, lasting for three months. The total reward pool includes 70 ETH and 6.25 million CLEAR tokens, aimed at driving early participation and fostering ecosystem growth. Reward tokens will be distributed to liquidity providers based on settlement activities to ensure that active contributors are rewarded for expanding liquidity.
The protocol has attracted several well-known ecosystem participants, including Synapse Protocol, Router Protocol, Tokka Labs, and Aori, who actively engage in coordinating the settlement market of the system, serving as fund allocators and liquidity providers. Everclear's vision and expertise have also garnered the support of top investment institutions, including Polychain Capital, Pantera Capital, NGC Ventures, 1kx, Polygon Ventures, Coinbase Ventures, and Ethereal Ventures.
Token migration will begin at 9 PM Beijing time on December 6th. Users holding NEXT tokens on any Layer 2 (such as Arbitrum, Optimism, Polygon, BNB, Gnosis) will be automatically upgraded to CLEAR without any action required. Ethereum mainnet NEXT holders can manually migrate their NEXT tokens to CLEAR at a 1:1 ratio through a simple process provided in the Everclear official announcement. After migrating to CLEAR, mainnet users can stake their tokens to receive voting-bound CLEAR, thus participating in governance decisions and sharing protocol fees and rewards in Q1.
About Everclear
Everclear is the first Clearing Layer of Web3, addressing the fragmentation of modular blockchains through the coordination of global settlements of inter-chain liquidity. Through its innovative net settlement and clearing methods, Everclear reduces the costs and complexities of cross-chain operations while achieving seamless liquidity flow and permissionless chain expansion. The protocol serves as the foundation of the chain abstraction stack, driving the realization of next-generation blockchain interoperability.
