Badger Finance is a community-run DAO that aims to build the products and infrastructure needed to bring more Bitcoin into the DeFi ecosystem.

 

Badger’s first product is called Setts, which are essentially automated DeFi vaults similar to the Yearn vaults but focused solely on tokenized BTC assets. At launch, for a limited time, users can earn both the underlying yield being offered by the Sett as well as additional rewards in the form of Badger tokens.  While you can withdraw at anything, there is a 0.5% fee upon withdrawing as well as a 20% performance fee (Not applicable to Badger or wBTC<>Badger Setts). Get the full breakdown of fees associated with Badger Finance in their Gitbook FAQ

The project has been quietly building their community and formulating their launch plans in the last few weeks. It claims to have been truly a “fair launch” with 0 private investors and airdrops of the BADGER token to various integral DeFi communities. As seen in the tweet below, the Badger team incentivized active governance participants of well-established DeFi projects such as Yearn and Sushiswap. Badger seems to have all the makings of an all-star DeFi project run by anons, but surprisingly there are actually four public individuals that are helping to run  Badger Finance until control of the project can fully be handed over to the community. You can check out their team members here.

Badger Finance is currently running it’s liquidating mining program and the only way to earn Badger is by using their Bitcoin Setts (vaults) or through the airdrops mentioned above. Currently, the 4 BTC vaults that users can deposit into for BADGER rewards are as follows:

  1. sbtcCRV LP 
  2. tbtcCRV LP
  3. Harvest Finance renbtcCRV LP
  4. renbtcCRV LP

Anyone that is already holding BADGER from the airdrop can also stake their tokens in the Badger vault to earn additional BADGER rewards and a share of the BTC vault fees. Week 1 BADGER token emissions are pictured below and the plan is for the enlarged community to vote on what liquidity mining rewards should look like going forward.

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Audits & Security

At the time of this writing, the Badger Finance smart contract audits from Zokyo have yet to be completed. However, you can already purchase smart contract cover on Badger to hedge your risks via Cover Protocol. There is also ongoing shield-mining rewards for those that provide coverage liquidity for Badger Finance.

Keep up with Badger by following their Twitter.