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S1E8: Farm Tour Part 4: The Future of Beanstalk

Date
May 13, 2022
Timestamps
• 0:00 Intro • 0:51 What is the future of Beanstalk • 2:00 BIP-12 first step of generalizing Beanstalk • 4:25 The Farm • 9:08 Closing statements
Type
The Bean Pod

Recordings

Notes

BIP-12: First step of generalizing Beanstalk

  • Beanstalk was first designed and coded in a way to facilitate the proof of concept, given the vast difficulty that protocols have had bootstrapping a non-collateralized stablecoin.
  • Originally, you could only deposit Beans and BEAN:ETH LP tokens for the Uniswap v2 pool, but now you can deposit BEAN:3CRV LP tokens and via BIP you could add other assets to that list as well.
  • The composability of Beanstalk will be increased as you can start with arbitrary assets across DeFi and interact with the Field or Silo.

The Farm

  • Beanstalk functions will be generalized so users have the ability to interact with Beanstalk using any arbitrary asset and even outside protocols.
  • The hope is to make Beanstalk a core way that everyone interacts with DeFi because of how simple, cost effective, and economically efficient it is.
  • We’re trying to make it as simple and seamless as possible to build on top of Bean and Beanstalk.

Transcript

welcome to the beanpod a podcast about decentralized finance and the beanstalk protocol i'm your host rex before we get started we always want to remind everyone that on this podcast we are very optimistic about decentralized finance in general and beanstalk in particular with that being said three things first always do your own research before you invest in anything especially what we talk about here on the show second while you're doing that research try to find as many well-developed opposing viewpoints as possible to get the best overall picture and third never ever invest money that you can't afford to lose or at least be without for a while and with that on with the show [Music] okay so through our tour of the farm we talked about beans we've talked about the field we've talked about the silo and now we're at a spot where we can start to look to the future is that a part on the farm wrecks is the how do we get to the future how do we go to the future rex can you take us there i'm just gazing out onto the horizon and seeing just a beautiful spring evening where there's no snow anymore because i'm sick of snow and we can just wax eloquent about what's to come well i think uh point taken will have to update the winter theme on the website you're right it is it is middle march so uh with that in mind we'll we'll let the the ui team uh the ux team know uh we gotta get cracking on that but um jokes aside yeah there's there's a lot of exciting stuff happening in the not too distant future and so uh bib 12 was really the first step in generalizing beanstalk so what does that mean well beanstalk when it was originally uh implemented was really designed and coded in a way to facilitate the the proof of concept uh given the vast difficulty that protocols have had bootstrapping a non-collateralized stablecoin it made sense to really focus on uh just convincing people that the model worked building out the core model writing a whitepaper that focused exclusively on the peg maintenance model and didn't have so many bells you know the protocol didn't have so many bells and whistles however now that beanstalk is over seven months old and is doing a really good job of peg maintenance uh now there's the opportunity to focus on taking that proof of concept and taking all of these benefits we've described from uh going from a collateralized model to a credit-based model and answer the question well how can you leverage that to the max how can you leverage composability to the max in this case and so beanstalk and the silo but being stuck as a whole is being generalized to facilitate really seamless interaction with beanstalk across uh all of d5 effectively so what does that mean so bip 12 was the first step in this direction it facilitated deposits into the silo based on a white list uh originally you could only deposit beans and lp tokens for the bean eat unisron v2 pool but now you can deposit bean three curve lp tokens and via bip you could add other assets to that list as well and beyond that when beanstalk was launched you were able to go from ethereum into the field or where beanstalk would take the ethereum buy beans on your behalf and lend beans to beanstalk and then return you the pods or take your beans buy them into beans and then deposit them in the silo or buy half of it with beans add lp then deposit the lp tokens in the silo you could do all of that in a single transaction uh that ability is going to be generalized to be even more modular so you'll be able to start from arbitrary assets basically across d5 and then end up in arbitrary positions within beanstalk so in the field in the silo pick your asset allocation within the silo and more than that beanstalk and the bean farm are going to be generalized so that in your transactions with beanstalk you can actually also interact with other protocols as well so let's take the example of i'm currently holding beans in my wallet or maybe they're wrapped within beanstalk because you don't necessarily ever need to take delivery from beanstalk on any of your assets you'll be able to take your beans uh sell your beans into ethereum uh take that east deposited in a liquidy trove mint lusd against your trove sell that lusd into beans and then sew those beans in the field for example or uh take that l usd add it to a theoretical l usd bean uh liquidity pool and then deposit those lp tokens in the silo and then also if stock is liquid you can roll over your stock take the stock and roll over the stock potentially all in the same transaction now the stock liquidity might be a little bit more tricky uh so don't quote me on that one but certainly you'll be able to go from arbitrary assets within beanstalk leverage things like liquidy trolls or die cdps within your transaction and then uh add those assets to being stock in arbitrary fashion so uh that's that's the hope is to really make beanstalk a core uh way that everyone interacts with d5 because of how simple cost effective and economically efficient it is yeah so it sounds like what you end up with is on one side you've got a stable coin that has significant utility that is stable and can be used for for transactions and you know common monetary purposes and on the other side you've got this increasingly robust investment platform not even an investment platform just an interface across d5 where you can do arbitrary things like if you think about right if anything we go back to the the apple uh idea we were talking about before where you have this marriage between the iphone and the ios software that facilitates incredible things in the case of beanstalk you have the bean which has high utility uh and then you also have beanstalk the software that facilitates incredible things on top of bean and so that's where that's where things get potentially excited and as developers of beanstalk the way we're thinking about development is just how can we make it as simple uh and seamless as possible to build on top of beanstalk and on top of bean and to use beanstalk uh to do so yeah that that's a great point because you know as as we have talks inside of the community team i mean we're talking about building out our metaverse team and we're talking about gamification that wouldn't be a specific investment but it's a utility component where folks could you know maybe have something like a you know a settlers of katan experience and using just the utility of that which is built on top of the beanstalk platform and find a whole new way to interact with each other and to have fun and and you know not even an investment component but still just a new type of utility and as as again as we look out onto the spring setting sun across the field at the farm it's hard not to see all those different opportunities out on the horizon uh we would not disagree with that and so very excited to be a part of this uh this exciting movement you know and very excited to have to be surrounded by so many awesome self-motivated individuals like yourself rex who are uh have have found beanstalk and now want to make it their own and make it success their success and uh that's that's the name of the game here so want everyone to be well aligned and uh in it in it for themselves in a way that benefits everybody and that's the magic here yep completely agreed thank you again publius always appreciate your time i think we're going to have you come back in and visit as more improvements are made to the protocol to talk us through some of the things that are going on and in between now and then we're going to look outwards and find guests that will be able to come in and talk with us a little bit about their involvement with the project or other projects that beanstalk is interacting with and just find new ways to grow our community and keep learning from each other and with that uh thank you very much thank you for having us rex happy to come back anytime