Overview
Quasar’s primary function revolves around its non-custodial, yield-generating vehicles known as vaults. These vaults aggregate assets provided by users and execute automated financial strategies. Each vault is implemented as CosmWasm smart contracts with composable and interchangeable strategy components. This design provides Quasar with an adaptable ecosystem for strategists and teams to manage Interchain strategies.
Quasar’s Unique Features
Vaults
At the core of Quasar’s operations are its vaults, which are designed as multi-party smart contracts capable of aggregating assets from multiple discrete blockchains. Vaults adaptively employ what Quasar calls “strategies” — composable financial strategies that dictate how capital is deployed. By joining a vault, users subscribe to the vault’s active strategy to deploy their assets in a non-custodial and automated manner. Users can also participate in vault-specific governance to select strategies.
Inter-Blockchain Communication (IBC)
Vaults and strategies use the Inter-Blockchain Communication Protocol (IBC) to interact with independent blockchains, enabling interchain asset transfers and strategy execution. This efficient architecture allows integration with exchanges, automated market makers, lending/borrowing platforms, and other asset management protocols.
OSMO PRO
One of Quasar’s flagship vaults is OSMO PRO, which allows users to single-side deposit into multiple auto-compounding and incentive-generating Osmosis pools with just a single click. When users join the PRO vault, they gain exposure to multiple liquidity pools simultaneously.
Governance and Token Allocation
Quasar operates with a decentralized governance model that involves the use of the QSR token. The QSR token is set to be released in Q2 2023, which will be used in a variety of capacities, including securing the chain. Quasar’s governance structure also includes vault-specific governance, where users can participate in selecting strategies for their respective vaults.
The token allocation plan for QSR is detailed in Quasar’s litepaper, with the initial release connected to two different LBPs on Osmosis that will allow the public to seed QSR liquidity with OSMO and ATOM.
Interchain Grants and The Quasar Foundation
As part of its growth and development plan, Quasar has outlined its intention to initiate the first-ever Interchain Grants and to establish the Quasar Foundation. These plans are in line with its vision of fostering a more interconnected DeFi landscape.
Community Support and Validation
Quasar’s launch was supported by a record-breaking vote from the Osmosis community, with a support rate of 77% of all staked OSMO. The Osmosis governance proposal #466, which enabled ICQ messages, was crucial for the functioning of Quasar’s vaults. This level of community support underscores the potential impact and value of Quasar in the Cosmos ecosystem and beyond.
Future Prospects
Quasar continues to innovate and explore new features, including in-vault governance, superfluid staking strategies, and a flagship Cosmos ETF. With its unique blend of decentralized asset management and interchain capabilities, Quasar is poised to revolutionize the way users interact with DeFi protocols and their primitives.
