Overview
This is a proposal for Synapse to deploy a bridge to connect Humanode EVM to the rest of the EVM chains it interconnects. Taking into consideration Synapse's desire to go to zero emissions, Humanode will enable this connection by launching two pools: ETH and USDC as well as supporting these pools with HMND rewards.
The upcoming upgrade of the Humanode network aims to introduce EVM-compatibility to the chain in August 2023. Synapse supports the chains that we’ll need for cross-chain messaging in the future and our tech team was very pleased with the results of technical due diligence. Synapse bridge will become the main and official bridge for all Humanode users and Dapps.
Motivation
Humanode stands as the pioneering crypto-biometric network, where each human is represented by one node. Rather than relying on PoW or PoS, Humanode’s foundation is built on Proof-Of-Uniqueness and Proof-of-Existence, ensuring that each validator is a distinct human entity.
The main distinctive feature of Humanode is a Sybil-resistance layer based on confidential facial recognition. Simply put, our decentralized private biometrics can make sure that one person can only register one EVM account in the biomapping smart contract without revealing any personal data. This opens up a lot of opportunities in DeFi: from undercollateralized loans, new insurance schemes, retroactive rewards based on onchain data to novel LP staking schemes that will be launched on Humanode EVM once the bridge becomes available.
Both the bridge and LP staking scheme will be supported by HMND rewards as well as Market Makers to bootstrap decentralized liquidity.
Some Key Statistics:
Nakomoto coefficient higher than in any PoS network 174;
Human nodes 350;
Verified unique humans 220,000 in Q2;
Average biometric session time: 6.5 seconds;
Mainnet deployed in November 2022 with zero outages.
You can learn more about quadratic LP staking which can be potentially applied to Synapse pools as well here: https://forum.balancer.fi/t/rfc-deploy-balancer-to-humanode-evm-to-enable-crypto-biometric-quadratic-lp-staking/4980
Implementation
The target TVL for both pools will be 300,000 USD. Given the monthly average price of HMND at $0.05 and 10% minimal target APY, Humanode Foundation will deploy the incentives of 600,000 HMND for nETH/ETH and 600,000 HMND for nUSD/USDC pool, totalling 1,200,000 HMND. Humanode will also allocate the development efforts to make this happen.
The fee structure for the new pools will be 5 bps for bridge and 1 bps for swap.
