Introduction
With over $30 million in funding, supported by notable institutions such as Haun Ventures, Apollo, and YZi Labs, the RWA star public chain Plume Network has attracted market attention regarding when its mainnet will launch since its TGE in January this year. Now, after months of waiting, the Plume mainnet officially went live on June 5, simultaneously initiating the second season's airdrop reward program. This article will guide readers through what projects can be participated in after the launch of the Plume mainnet and how to position for early reward opportunities.
(Note: If you do not understand what the Plume Network project is, you can refer to DA Labs' previous research report: (Beyond Ondo and Centrifuge: Why Giants Are Competing to Layout Plume Network?))
The entry point of the Plume ecosystem — Plume Portal
Even in the testnet phase, Plume attracted over 180 projects. After the mainnet launch, to facilitate user exploration of the RWAfi ecosystem, Plume launched a one-stop entry website "Plume Portal." Users can not only easily browse various RWA projects and bridge assets from other EVM public chains, but also view their participation status in the entire ecosystem in real time on the homepage and receive corresponding "Plume Points" and $PLUME tokens as rewards based on their participation level.
Figure 1, Plume Portal homepage, source: Plume Portal
Figure 2, List of projects in the Plume ecosystem, source: Plume Portal
Figure 3, Plume's cross-chain bridge, source: Plume Portal
Plume Points is the points system of the Plume ecosystem, designed to encourage users' long-term construction and participation, and can be seen as an important indicator for obtaining second season airdrop qualifications. There are mainly three ways to accumulate Plume Points:
Interact with ecosystem projects: Any meaningful on-chain operation can earn Plume Points, including staking, trading, providing liquidity, etc.
Complete tasks: Plume will regularly launch weekly tasks to help users learn more about RWAfi applications and explore new ecosystem projects. Completing designated tasks will earn Plume Points.
Roulette: Daily roulette offers opportunities to earn Plume Points and unlock other prizes.
Referral code: Earn 10% Plume Points for the first 10 invited users.
Although users can anticipate future airdrop shares through Plume Points, it is ultimately not an immediate reward measure. To further enhance the overall liquidity and participation willingness of the ecosystem, Plume has also launched a liquidity incentive campaign "Plume Royco Market" with $PLUME as rewards.
Plume's liquidity incentive program — Plume Royco Market
Regardless of how luxurious the project background is, Plume, as a public chain, still faces the fundamental issue of "liquidity" just like its competitors. Only with sufficient liquidity can the entire ecosystem thrive.
To this end, Plume collaborates with the automated liquidity market protocol Royco to launch multiple liquidity markets on the Royco platform, rewarding specific user behaviors, with a total of 150M $PLUME allocated as rewards, where users can obtain different degrees of APY based on their risk levels.
Figure 4, Liquidity markets of Plume Royco Market, source: Royco
In the first wave of agreements participating in Plume Royco Market, they can be divided into "native" and "non-native" projects. I will first introduce which native projects can participate:
Nest: A RWA staking vault developed by Plume, where users deposit stablecoins to receive yield-bearing tokens nToken and earn returns from underlying RWA assets. Plume Royco supports four types of yield-bearing tokens:
nALPHA: Composed of highly liquid diversified assets, including Invesco, Blackstone, Mineral Vault, and more.
nCREDIT: Primarily invests in institutional-grade public and private credit, including Superstate, Goldfinch Prime, and Midas.
nETF: Invests in a diversified ETF portfolio.
nBASIS: A delta-neutral capital preservation strategy consisting of basis trading from Superstate and Midas.
Optimizer: Supported by Nucleus, provides automated strategies to maximize capital efficiency while layering additional $PLUME rewards on top of base returns, offering two optimization strategies:
Looped nALPHA Optimizer: Funds will be automatically allocated to the nALPHA vault and undergo circular lending on the lending protocols Solera and Mystic to optimize returns:
Looped nBASIS Optimizer: Executes a circular lending strategy similar to nALPHA Optimizer, but changes the investment target from nALPHA to nBASIS.
Rooster: A DEX and liquidity protocol supported by RWAfi assets, where users deposit assets into liquidity pools to receive LP tokens YAP, which can then be deposited into the corresponding Plume Royco to earn dual rewards of liquidity and $PLUME. Five liquidity pools are expected to be opened:
nALPHA/pUSD
nBASIS/pUSD
PLUME/pUSD
pETH/ETH
pUSD/ETH
Solera: A protocol built on AAVE V3, serves as the underlying infrastructure for Plume, and has deployed an independent lending market in collaboration with Morpho, where users can deposit wPLUME and pUSD to receive dual incentives of lending and $PLUME.
Nest Optimizer Rooster Solera type RWA staking vault yield aggregator DEX lending liquidity pools available for participation: nALPHA, nBASIS, nCREDIT, nETF Looped nALPHA, Looped nBASIS nALPH/pUSD, nBASIS/pUSD, PLUME/pUSD, pETH/ETH, pUSD/ETH wPLUME, pUSD Total APY 13.22 ~ 23.81% Not yet launched 5.94 ~ 27.17% 3.03 ~ 13.43%
Other non-native projects include:
Tempest: A liquidity vault constructed for Ambient Finance, where users can deposit into the vault to receive dual rewards of liquidity and $PLUME, with two liquidity pools available:
PLUME/pUSD
PLUME/ETH
iZUMi: A one-stop liquidity service built using Uniswap V3 modules and automated incentive modules, opening two liquidity pools:
wPLUME/wETH
pETH/pUSD
Mystic: A lending protocol based on AAVE V3, like Solera, where users can deposit PLUME and pUSD to earn lending returns, $PLUME rewards, and Mystic points.
Tempest iZUMi Mystic type DEX DEX lending liquidity pools available for participation: PLUME/ETH, PLUME/wETH, wPLUME/wETH, pETH/pUSD, PLUME, pUSD Total APY - 2.53 ~ 148.61% Not yet launched Not yet launched
It should be noted that not all liquidity pools expected to launch Plume Royco Market have been opened yet, and more markets are expected to be opened for user participation in the future.
Additionally, we can see from the opened pools that Plume's native projects integrate Nest's vault nToken to bring RWA assets into DEX and lending application scenarios, aiming to serve as an interface between the real world and the on-chain ecosystem. In addition to the official token incentives, there are also real returns from RWA assets providing support.
Other non-native projects have not yet integrated RWA assets, and are more like a gateway for Plume to connect with other public chain ecosystems, mainly providing ETH, PLUME, and pUSD in asset exchange and lending, but without providing applications related to nToken.
Plume Participation Strategies
For users with different attributes, I will provide a few participation strategies for readers to consider:
Conservative Investors
→ Suitable for: Those unfamiliar with the Plume ecosystem but do not want to miss out on the potential bonuses of the RWA track.
→ Participation method:Deposit USDC into Nest's nBASIS or nALPHA vault to obtain returns from underlying RWA assets + additional PLUME incentives.
Convert stablecoins into pUSD and deposit them into the liquidity pools of Rooster and Tempest, or lend out funds in Solera to earn fees from the liquidity pools + PLUME rewards, but need to be cautious of impermanent loss and liquidation risks.
Senior DeFi Players
→ Suitable for: DeFi players who strive to maximize their portfolio returns.
→ Participation method:Deposit stablecoins into Nest's RWA vault, and then use nToken as collateral for circular lending on Morpho to enhance capital efficiency, but cannot earn PLUME as incentives.
Wait for the Optimizer to launch and then perform circular lending on Solera and Mystic, which can simultaneously amplify positions and earn PLUME token rewards.
Plume Ecosystem Builders
→ Suitable for: Those who are optimistic about the Plume ecosystem in the long term and are willing to participate deeply.
→ Participation method:Purchase PLUME and stake it to have the opportunity to unlock more future ecosystem participation opportunities in advance.
Complete daily tasks in the Plume Portal to try to enhance character levels and accumulate Plume Points, preparing for the second season's airdrop rewards.
Use PLUME to participate in Royco's liquidity market, and choose the market with the most PLUME rewards for participation, trying to accumulate more PLUME tokens.
Extended Thoughts and Summary
The main difference between Plume's liquidity incentive program and those of other public chains is that the former has real returns from RWA assets as a backing, while the latter mostly only offer official token incentives. Therefore, I believe users introduced through the incentive program are more likely to stay, as after removing token incentives, Nest's vault can still provide an APY ranging from 5% to 10%, serving as one of the tools for stable financial management.
However, based on my experience over the past few days, the APY provided by Plume upon launch is not as exaggerated as other projects. For some players pursuing high yields, Plume's stable returns may not be sufficiently attractive unless the price of $PLUME experiences a surge.
Therefore, although Plume is the first project to integrate RWA assets into the on-chain ecosystem without permission, whether these RWA assets can meet market demands still needs time to verify.
However, it cannot be denied that Plume has successfully released the liquidity of off-chain assets onto the chain. Whether the RWAfi ecosystem flywheel can turn requires continuous integration of native Web3 projects, and the key lies in whether RWA projects can combine blockchain technology to create innovative gameplay. Plume's subsequent development deserves continued attention.
This report is for informational sharing purposes only and does not constitute any form of investment advice or decision-making basis. The data, analysis, and opinions cited in the text are based on the author's research and public sources and may contain uncertainties or change at any time. Readers should make prudent investment judgments based on their own circumstances and risk tolerance. For further guidance, it's advisable to seek professional advice.
