Monthly Performance Report — February 2022
The moment you have all been waiting for, the music you have longed for, the event that brings attention to our efforts of the last month, The Monthly Performance Report.
This is the first time we have put together an official report to provide an in-depth overview of how the business is performing. The report aims to define the metrics of success for Beethoven X in a fun and easy to understand manner as well as offer insight and transparency to our users. Based on a monthly presentation given during the monthly Community Town Hall AMA the monthly report is a way that users can stay up to date with the more quantitative aspects of the protocol.
This article will cover the following topics:
- Underlying Numbers
- Top performing Pools
- BEETS performance
- Treasury Update
- Marketing perspective
Let’s dive straight in.
February was thunderous, it was wild and it was record breaking. It has been a month full of excitement, emotion and drama. Everything a composer could wish for when creating a masterpiece.
We can’t address February without mentioning the unfortunate events in Ukraine however despite the global uncertainty and the macro volatility within the market there has been an inflow of volume to the project.
Another significant driver for volume on the platform as well as the Fantom ecosystem as a whole has been the launch of Solidly. The large influx of TVL onto Fantom following its launch has had an indirect benefit to our trading volume and swap fees.
In general the protocol has exceeded our expectations and has outperformed all of our previous months on almost every single performance metric.
It was great to see use of our Liquidity Bootstrapping Pools (LBPs) in all of their glory as we watched the successful launch of the $OATH token from our “homies” at the Byte Masons.
Although not directly connected to financial performance, some other notable highlights worth mentioning that also had a net positive effect on the protocol as they markedly strengthened the value proposition to fBEETS holders are as follows:
- Boosted Pools
- NFT development
- Trail of Bits audit
- Olympus Bonding Program
- Symphony of the Week
- Emissions on Tarot
In terms of TVL growth we saw significant growth with an increase of close to $118m for the month bringing the closing balance to a grand total of $385m. If we take a quick snapshot for TVL growth, since the beginning of the year our TVL has grown by $289m which is absolutely amazing.
We are really pleased with the growth so far and we are hopeful that we can maintain this upward momentum / trajectory as we move into the rest of the year.
Swap Volume and Fees
In February we surpassed a total of over $4b in total volume to date through the platform.
Our swap volume for the month was $1.39bn. Although this is lower than the month of Jan (19%) it is still significantly higher than the previous month’s performance.
The total amount for swap fees for the month was $2.7m which brings up the value for swap fees for the year to a total of $5.7m.
We see the positive momentum from Feb carry through into March where we are currently sitting at $900k in swap fees month to date and total protocol swap volume has passed $4.8bn!
The graph below is a representation of the vault holdings.
These six assets make up roughly 70% of the total for the assets within our vault. The nature of these assets demonstrate that our vault is actually very healthy in terms of composition, LP providers are mainly depositing high quality assets into our protocol.
Top performing pools
The following infographic represents a snapshot of the pools that earned the protocol the most fees for the Month.
These ten liquidity pools account for a total of 67% of all the fees accrued by the platform and as a result represent pools that are particularly significant in terms of performance. When taken in isolation, the Fantom of the Opera pool brought in 25% of the swap fees for the protocol alone, other strong performers were Solid Beets and A Late Quartet.
The dominance shown by the Fantom of the Opera is a nod to the underlying pool architecture featured on Beethoven which provides flexibility through its 70:30 weighted composition as well as providing a great base to build on top of.
These results show again just how beneficial volatility can be for both liquidity providers and the treasury.
The month of February was strong in terms of growth for both market cap and price.
The price for the $BEETS token saw an appreciation of 146% for the Month and closed the month at $1.275.
As mentioned before the launch of Solidly a has a net positive impact on the TVL of the Fantom ecosystem as well as the price. This naturally brought up the price for many FTM native assets and consequently impacted market cap.
The market cap for BEETS saw a rise of 195% during February markedly outperforming our major competitors and market leaders with Spirit Swap seeing a rise by 12%, Spookyswap 1% and Curve a loss of -26%.
So while the Fantom network saw growth as a whole in terms of market cap, the strong performance seen by Beethoven can be largely attributed to the development of the protocol as a whole. Key events that took place:
- Boosted pools
- Onboarding protocols onto our Farms As A Service
- Use of our Liquidity Bootstrapping Pools infrastructure
- Value proposition of our gauge votes
Year to date the market cap growth has been $78m.
The Treasury is an important topic when it comes to the long term sustainability of the protocol and is an area we are focussed on growing
Protocol Owned Liquidity
Central to the attainment of a sustainable Treasury is an idea / concept called Protocol Owned Liquidity (POL). This in its simplest form is where the protocol seeks to, as much as possible, bypass the need for external liquidity provision. By owning liquidity the protocol can now develop sustainable, efficient models for the treasury which greatly impact the long term trajectory.
The recent growth in terms of protocol fees ($370k for the month and $715k for the year) has meant that the treasury has gained an impressive $185k in POL at the end of the month and the total now sits at $800k.
Through the use of our LBPs the Byte Masons successfully launched the $OATH token at the end of last month.
Some of the key statistics that developed from the launch are as follows:
- Total Swap Volume — $6.6m
- Number of Swaps — 2 508
- Nr. of Unique Wallets — 1 259
- Most number of trades by a single wallet — 36
This is really exciting for the treasury as the LBP launch earned 52k $FTM which, at the end of February, amounted to $90k.
The bonding program continues to be a success, allowing users to obtain discounted $BEETs while the Treasury not only grows its POL, but also diversifies its asset base .
The month of February has seen a total of 703k $BEETS bonded in exchange for 4 221 Late Quartet BPTs. This demonstrates just how successful the initiative was/is for the diversification of the Treasury as well as overall growth in terms of POL.
Since the conception of the Bonding initiative the total number (February End) of LQ BPTs accumulated by the Treasury amounts to a total of 5 256 BPTs which is the equivalent to $678k.
Based on TVL performance the Beethoven X protocol receives incentives on a monthly basis from the Fantom Foundation. This incentive is rewarded with the aim of supporting the growth of protocols building on the Fantom ecosystem.
Since the initiative began the focus for these rewards was to build up a runway to allow the protocol to cover the initial costs for team salaries as well as cover foundational infrastructure costs.
Following the positive growth of the protocol over the last couple of months it was decided that from the month of February onwards the incentives received from the Fantom foundation would be split based on the following model:
- 33% to the Team
- 33% to the a Marketing Fund
- 33% to the Treasury
The main idea behind this model is to support the key areas we believe are needed to facilitate the long term growth of the protocol. Consequently, the Treasury has received at the end of this month 167k $FTM which we feel will only help to continue the positive growth, development and momentum.
The marketing strategy is simple and effective. We believe strongly in our product and service and champion a strategy that focuses on long term, sustainable, organic growth. That coupled with limitless creativity, a focus on education and the keen insights from our financial team, we believe is a sure recipe for success.
In order to gauge the success of our marketing efforts we have tracked specific front funnel metrics that give an indication of our performance in this regard.
For the month of February we saw our twitter profile grow by 5000 new members bringing our total number of followers up to 23K. On top of that we saw the total number of social mentions increase by 50%.
Our Discord server also received similar growth and increased by 3000 new members bringing the total number of community members up to 9100.
We saw an increase of 5% in our website traffic for the month with the average session time lasting 10mins — an increase of 40%.
The total number of DeBank users increased in February by 40% bringing the total number of users up 46 000.
Contract interaction per 24hr also saw a significant increase rising to 53 000 which is a 100% growth.
The total users per 24hr increased by 10% to a total of 3 300 users and The NFT floor price saw a 40% growth to 1400FTM.
Beethoven X has seen a really strong start to 2022, on both the financial and non-financial metrics.
The team is proud of our protocol’s growth and increased levels of adoption of our different product offerings.
This would not be possible without an engaged community that cares for the protocol’s success and we are humbled to be able to share this with all of you.