In this week’s partnership spotlight, we’re sharing an update from BurpToken.com and taking a closer look at BURP’s migration to Polygon. We’ll cover the reasons behind the decision to migrate, as well as the operational implications for BURP holders. This will be the final partnership spotlight to focus on BURP. For future updates, make sure to follow @BigTownChef on Medium.
So, why the move?
We learned a lot from the creation of the staking portal and NFT raffle on BurpToken.com, but the most valuable thing we learned? Ethereum’s gas fees are a serious issue for driving user engagement on DeFi products, like ours. As you’ve probably heard by now, we’ve got BIG plans in 2022. The design of Big Town Chef is well underway, with new characters, buildings, and food trucks being created every day! BURP will play a key role in Big Town Chef, and for the game to succeed, microtransaction gas fees cannot be a barrier to entry or engagement. At the time of writing, the price of 1 MATIC (which is enough to pay the gas of around 1,000 transactions) is $2, so you could say that moving to Polygon is us laying the foundations for our part of the metaverse. Given the food-based nature of the game, we’ve decided to drop the “Coin” and simply rename the token, Burp ($BURP).
Migrating stakes to Polygon
The team discussed the approach for migrating stakes in a series of workshops. Our objective was to define a solution that prevents early-migrators from receiving extremely high yield at the expense of those who do not migrate immediately. Two distinct routes became apparent; we ask users to migrate their stakes themselves, or we migrate their stakes for them. We weighed up the pros and cons of each option and ultimately decided to prioritise a migration strategy that minimises effort and cost for our users. By migrating stakes from Ethereum to Polygon ourselves, we’ll save our users around $200 in gas fees (as of the time of writing) and we can enable staking on Polygon for all users at once, ensuring a fair APR for all.
Behind the scenes, we’ve been working on an upgrade to our staking v1 contract since September. When the time comes to migrate, we’ll disable the Ethereum staking smart contract, which means you won’t be able to create a new stake, add an NFT to an existing stake, rewards on Ethereum will stop (APR = 0%), and stake withdrawals will also be paused. We’ll then take a snapshot of the v1 contract on Ethereum, duplicate it onto the v2 contract and then deploy the v2 contract on Polygon. Finally, we’ll move all the BURP in the v1 contract (stake principals and stake rewards) into the v2 contract on Polygon and re-enable staking, which will be accessible via the Town Hall on Big Town Chef. Rewards will then continue at the same rate as before but in Polygon BURP. The staking v2 contract will behave similarly to the v1 contract, however there will be two noticeable differences. The first is the ability to compound your rewards, therefore allowing you to earn yield on a higher stake amount. The second is, unlocked stakes will need to be restaked in order to continue earning rewards. Any BURP that is in a stake will be migrated over to Polygon. If you so wish, any BURP that is not staked can remain on Ethereum, however it will need to be bridged over using the Polygon bridge before you can stake it in the Town Hall.
When’s it happening?
We’re currently working our way through the numerous changes that need to be made before we can launch Big Town Chef on Polygon. Most of the design work has been completed, including a new homepage on BigTownChef.com and a reskin of the staking and raffle pages in the style of the Town Hall. We’ve made some changes to the staking v1 contract in order for it to be compatible with the migration and as mentioned, we’ve been finishing off the staking v2 contract, as well. Both smart contracts will go to our two auditors for review in the next few days and we’ll then action any feedback. Last, but certainly not least, we’ve been updating our event monitor to capture and store the new events on the Polygon contract, which provides us with up-to-date information from the blockchain, as it happens. It’s too early to give a definitive date at this point in time, however we can say that it looks like the migration will take place late January/early February.
This will be the last update regarding BURP and Big Town Chef from the CoinBurp Medium account, so for future updates make sure to follow @BigTownChef.