Synonym BIPS Program: Season One

Synonym Finance
4 min readApr 9, 2024

Tired of airdrops yet? We didn’t think so! That’s why we’ve been crafting a brand new points program behind the scenes: Synonym BIPS.

Similar to other points programs, our objective with BIPS is to reward loyal and early users of our product — but unlike other programs, BIPS will be the gift that keeps on giving.

What Are BIPS?

BIPS are Synonym ecosystem points that give you access to all emissions on Synonym — the more BIPS you have, the more you’ll be rewarded. On one hand, BIPS will serve as a program to receive future airdrops and other rewards for loyal Synonym users. However, it also redefines and simplifies our tokenomics structure.

Currently, BIPS earners will be the beneficiaries of SYNO emissions, but as Synonym receives future airdrops and incentives from our ecosystem of partners, we plan on passing a portion of those tokens along to BIPS earners as well (use your imagination 😉). For example, our first distribution (outside of SYNO tokens) will be the 400,000 W tokens that Synonym received via the Wormhole airdrop!

In essence, BIPS are more than an airdrop points system — they’re the gift that keeps on giving, which will benefit from all emissions/airdrops within the Synonym ecosystem.

How To Earn BIPS

BIPS can be earned by taking certain actions on the app, which will be reflected in your Dashboard.

Synonym Actions

Synonym users will earn BIPS for taking certain actions on the platform.

For example, simply depositing and borrowing on Synonym will generate BIPS — the larger your position and the longer it’s active, the more BIPS you earn:

  • Deposit rewards = 1 BIP per $ per day
  • Borrow rewards = 2 BIPS per $ per day
  • vlSYNO Boost (We love LPs!)
  • 0.5 BIP per vlSYNO per day if your $ vlSYNO > 5% of your deposits
  • 0 BIPS per vlSYNO if your $ vlSYNO < 5% of your deposits

Additionally, some assets may have a BIPS multiplier. For example, if USDT positions have a 2x boost, and USDC positions have a 3x multiplier, BIPS will be accrued at the following rates:

  • USDT deposits = 2 BIPS per $ per day | USDT Borrows = 4 BIPS per $ per day
  • USDC deposits = 3 BIPS per $ per day | USDC borrows = 6 BIPS per $ per day

All multipliers will vary depending on activity levels and will be subject to change. You can always view all current multipliers on the Synonym markets page.

Based on the boosts described above, if you deposit 100 USDT and borrow 50 USDC, you’ll earn the following totals per day:

  • USDT deposits: 200 BIPS (100 USDT x 2 (BIPS multiplier boost)
  • USDC borrows: 300 BIPS (50 USDC x 2x (for borrows) x 3 (BIPS multiplier boost))

Of course, vlSYNO lockers will earn BIPS as well. When you lock WETH-SYNO BPTs to receive vlSYNO, you’ll get to choose a rewards multiple — the higher the multiple, the more vlSYNO you receive (BPT x Multiplier = vlSYNO amount). For more information on how to lock, click here.

  • 0.5 BIP will be earned per 1 vlSYNO per day (e.g., if you hold 100 vlSYNO, you’ll earn 50 BIPS per day)
  • Additionally, vlSYNO = multiplier x SYNO — ETH Balancer Pool Token
  • In return for locking liquidity, the BPT gives you the highest overall return per $

Important Note: To activate your vlSYNO Boost, your vlSYNO amount (in USD) should always be above 5% of your Money Market Deposits. We recommend a safe buffer of 10%.

Lastly, we will be introducing new assets soon and those might be boosted even further. Stay tuned!

Discord Roles

As the BIPS system progresses, members in our Discord will also benefit by earning certain roles. As you earn more BIPS, you’ll also work your way up our Discord role ladder. In the future, this could lead to certain perks such as potential NFT-based rewards — more to come on this later!

Finally, all weekly emissions will be distributed based on the total BIPS you’ve earned for that week. This is in line with Synonym’s 1-week epoch time. We’ll also have a live leaderboard where you can monitor the cumulative total amount of BIPS that you’ve earned as well as your rank among all Synonym users.

BIPS: The Ultimate Multichain Rewards Machine

Synonym Finance is at the intersection of various protocols and technologies. As a result, it’s built a strong network of partners. From these partners, Synonym has earned (and should continue to earn) token allocations from different projects within our ecosystem. We plan on allocating distributions that we’ve already received from these protocols, as well as any allocations we receive in the future.

The BIPS system will serve as the distribution mechanism for all rewards allocated to Synonym, making it the ultimate play for exposure to the rapidly expanding cross-chain infrastructure landscape.

For example, we are positioned to receive & distribute potential airdrops from our infrastructure partners. This includes tokens received by Synonym in the recent Wormhole airdrop, and the list will potentially expand to more of our partners including Arbitrum. Again, this is all in addition to existing $SYNO emissions and all potential yield opportunities that go-live on current and future chain integrations (more news coming on our next 2 spokes soon!). The BIPS system will create one of the most compelling, long-term rewards systems in cross-chain DeFi.

Get started today

What are you waiting for, anon? Check out our BIPS leaderboard page, and start earning BIPS today! If you have any questions, be sure to let us know on Discord.

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