Today, Beanstalk Farms is pleased to announce the formal proposal of BIP-21—the path to Replanting and Unpausing Beanstalk—on Snapshot. Stalkholders can now vote on BIP-21 here.
After suffering a governance exploit on April 17, 2022, Beanstalk has been Paused and many contributors have worked tirelessly to prepare Beanstalk to Unpause in a safe manner in line with the will of the Beanstalk DAO. This has included:
Voting on BIP-21 has begun and will end on August 5, 2022 at 9:00am PT / 12:00 pm ET or when a two-thirds supermajority is reached. If BIP-21 passes, Beanstalk will be Unpaused on August 6th, 2022 around 16:00 UTC.
Read more about the Replant timeline here. For more information on how Beanstalk governance works, visit our governance documentation.
BIP-21 has three primary objectives:
- Executing a series of transactions to Replant Beanstalk;
- Committing a series of upgrades to Beanstalk; and
- Unpausing Beanstalk.
Below is a summary of some of the major upgrades to Beanstalk proposed in BIP-21:
- Oracle Whitelist (f.k.a. Generalized Minting): The Oracle Whitelist allows Beanstalk to mint new Beans and Soil based off of the sum of shortages and excesses of Beans in any number of whitelisted liquidity pools that Beans trade in. At Unpause, the only pool on the Oracle Whitelist will be the new BEAN:3CRV pool, but liquidity pools can be added to the Oracle Whitelist via governance.
- Convert Whitelist (f.k.a. Generalized Convert): The Convert Whitelist is a whitelist of possible Conversions within the Silo, where each Conversion has a token being Converted From, a token being Converted To, and condition in which the From token can be Converted to the To Token. This is a more generalized architecture to support future Conversions than the architecture before the exploit. Conversions can be added to the Convert Whitelist via governance. Check out BIP-21 to see the updated Convert Whitelist.
- Sub-optimal Conversion: Previously, when a Silo Member Converted a Deposited LP Token to a Deposited Bean, Stalk from BDV could be lost if the current BDV of the Deposit at the time of Conversion is lower than at the time of Deposit due to impermanent loss. This made Converting unattractive at the exact instance where Beanstalk wanted to encourage Conversions. With BIP-21, Silo Members retain Stalk from BDV for a given Deposit if its BDV decreased since the time of Deposit.
- FarmFacet: The FarmFacet allows Farmers to compose transactions in Beanstalk together in a single transaction. This architecture can support a generalized transaction builder in the UI that non-technical Farmers can use to compose together arbitrary transactions in Beanstalk.
- Depot and Curve Pipeline: The Depot is an extension of the composability of the FarmFacet to the rest of the Ethereum network. Any protocol with a Pipeline to the Depot can be used via Beanstalk. Pipelines can be added to the Depot via Beanstalk governance. The Curve Pipeline is the first integration of this functionality between Beanstalk and another protocol, allowing Farmers to use certain Curve functions from within Beanstalk across multiple interactions in a single transaction.
- Withdrawal Freeze: Assets that are Withdrawn from the Silo are now Claimble at the end of the Season they were Withdrawn in, rather than 4 full Seasons later. This reduces the friction Farmers face when interacting with Beanstalk and the efficiency of Beanstalk markets.
- Division of Silo Reward Claiming: Previously, Farmers would Farm their Grown Stalk, which would also claim all other Silo rewards in a single transaction, even when it may not have been gas-efficient to do so. Now, Farmers can separately Mow their Grown Stalk and Plant their Plantable Seeds, which gives Silo Members more customizability in their transactions with the Silo.
- Deposit transferability: Deposits being non-transferable is an inefficiency for Silo Members. Deposits are now transferable—this also lays the foundations for a future Deposit Market, which would allow Farmers to trade Deposits in a decentralized, trustless fashion.
Beanstalk is a decentralized protocol that allows anyone to realize the value of an open, permissionless fiat stablecoin. The Beanstalk community of lenders, borrowers and savers secures a protocol-native stablecoin, Bean, with the goal of creating the world’s most accessible digital money system. By eliminating collateral requirements, Beanstalk can be the catalyst for a trustless money that unlocks the potential of decentralized finance for everyone.