Tulip Funding Proposal

Proposal Title

Proposal Information

Proposal description:
This proposal is to bring back and fund the Tulip Swarm: New Colony

Proposal Rationale
Last time a proposal for Tulip was posted it did not generate enough conviction. The abscence of a team behind Honeyswap is felt throughout the community and we recognize the advantages of having DeFi tools at our hands.

That’s why I have decided to put my time and resources available into continuing with the development of Honeyswap with a special focus on leveraging Gardens.

Important posts to look at regarding this:

We’ll be keeping track of meetings, hours and funds in the following Drive folder: Tulip Folder

Expected duration or delivery date (if applicable):
I expect this budgest to last about 1 month and a half. We’ll try to work on as much features outlined in the Roadmap as possible, priorities haven’t been discussed yet so feel free to comment on what we should focus our efforts first.

Team Information (For Funding Proposals)

Names, usernames, and/or relevant social links for team members (Twitter, Github, 1Hive Forum, etc.):
@hernandoagf, @striker, @D0SH, @saltorious, @solarmkd, @Efra, @eenti

Skills and previous experience in related or similar work:
We’ve all been involved in 1Hive for quite some time, in that list we have devs, designers, marketing and PM.

Funding Information (For Funding Proposals)

Amount of HNY requested:

Ethereum address where funds shall be transferred:

New Tulip Colony: 0x38Bbaf44428aC2752F039d30ef937a30C6B88CC4

More detailed description of how funds will be handled and used:

About payments: Payments will be made in HNY at its dollar value every week. Only the hours of completed issues will be paid, if the task is very large or was left in the middle, the contributor will be able to reach an agreement with the Swarm to receive compensation for their hours.

We’ll also distribute a portion of the HNY received from the protocol fee to our contributors if certain goals are met at the end of each month, if we manage to grow the protocol, payments will grow too.

About what’s going to be delivered: We are planning to accomplish a wide array of tasks including:

  • Limit Order/Stop Loss functionalities
  • Deactivating the lock option on the farms (this will give us some cooldown period to reallocate pairs without much hassle)
  • Double token rewards
  • Swarm-facing analytics to make more informed moves

Unfortunately Tulip didn’t work in the past, as it didn’t provide any demand for Honey, effectively wasting resources, partly due to poor organisation in the end but mainly due to competing with established defi platforms with significantly more capital and engineering/marketing capacity.

How will this create a return for Honey holders (which is particularly important right now considering the value of Honey)? Is there clearly a demand for these features?

None of the tasks specified at the bottom focus on Gardens/the support of new tokens eg allowing new Gardens to create farms for their tokens. Is there something there that I’m missing? Can you explain how this is a Gardens focussed development?

And can you expand on “Swarm-facing analytics”?

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Hey @willjgriff, thanks for your comments.

The annual average of inflows to the common pool is about 4.4k a month (from Nov. 2020 to Nov. 2021), and AFAIK Honeyswap is the only thing that turns HNY back into the common pool. IMO it only makes sense that we take care of the (currently) only protocol that is giving any amount of money back.

But to be more specific, the end goal is not to be a DeFi force, but to have Honeyswap at a level where we can actually take advantage of the benefits that a DEX bring to the table. We’re still the 2nd largest DEX on xDai by both TVL and Volume and hopefully we’ll take advantage of the influx of communities and funds that this Gnosis merge is going to bring, instead of missing out on the opportunity like we did when Polygon wanted us to move there.

One example is the recent partnership with the Shapeshift community, not only is holding FOX a great move for our treasury (as $FOX has risen in value), but we now have about $400k more in liquidity and I can safely say that all Shapeshift users on xDai are now Honeyswap users too, $FOX has constantly been on the top 10 tokens by liquity on Honeyswap since the partnership, all this without selling a single HNY. What’s missing for the parnterhip proposal? They were hoping to get a farm, which we couldn’t provide.

Another example is how we missed with DAOHaus, they wanted a spot on our farms we were able to provide, they now have $400k liquidity in Swapr and make up to the top 10 constantly.

Yes, double token rewards is highly requested, maybe not by the users per se but we’ve lost some partnerships opportunities due to the lack of that feature.

As per the Limit Order/Stop Loss, i’d also say there’s a fair amount of demand, it’s a feature the community has wanted Tulip to implement for a while (you can see other proposal’s posts for reference) and actually it’s a plugin from Autonomy, my understanding is that it’s a fairly easy thing to just hook the plugin up in Honeyswap. Plus is a feature no other DEX offers on xDai.

Yeah, you’re right, but as I said above the purpose now is to have the minimun features required to support various operations, being the $FOX example a good one we could repeat with other communities/Gardens like BRIGHT and the others that are to come.

Though if you look at the Ideas for a Honeyswap roadmap, I mention DIY Farms as something we’d want, it’s just that again, I’m just trying to keep it as simple as possible to begin with so things can get rolling.

The plan is to work on this rather minor details while the 120 locking days passes so in 4 months we can move the farms as we see fit.

This is more than anything a Dune board (Hernando actually started one a while ago Dune Analytics) where we can track important information about the usage of Honeyswap and the Farms so adjustments are made based on actual numbers.


Can you share the specifics about this? Presumably there is a monthly breakdown somewhere? I’m curious what the inflows are today.

Just because applications aren’t depositing Honey into the common pool doesn’t mean they’re not creating a demand for Honey and therefore creating a return.

What operations are you referring to? I don’t think this proposal is necessary for creating shared liquidity pools with other organisations.

Finally how much Solidity development is required to execute on the above proposal and how much is required for making the farms available for other organisations to deploy? And who of the team are Solidity engineers that will be able to complete this work? In the past it was me and @philogy who did the Solidity afaik.


Yes, there’s a board with information about our common pool, 1Hive Dune Board, over the last 3 months HNY brought back to the pool has averaged right around the 3k/month mark. Have in mind that the protocol fee makes 2x what we receive, it’s just that half is used for xcomb, which is still an investment we make to sustain liquidity.

Yes, my bad, I didn’t mean it like that but I think my point is still true to some extent, Honeyswap is presumably our top product for now. (Though I’m excited to see Gardens growing!)

Nope, but it’s meant to develop the tools needed for that kind of strategies, so far this has worked with communities that were already close to us and have been more flexible with what we could or couldn’t offer. I don’t think we’ll have that luck with others if we can’t at least offer double reward farms.

Plus shared liquidity is a risk we don’t want to take with everyone, I was thinking about having some tiered system to work with communities with various levels of risk like:
Tier 1: Shared liquidity + farms
Tier 2: farms
Tier 3: DIY farms

And about this, in all honesty we don’t have that figured out completely yet. @striker said he has a friend who may be down to put some work and Philogy expressed that he still wants to contribute to 1Hive in his free time. My other bet was that hopefully we’d find someone once we had funds, I’ve noticed some folks don’t want to commit to Tulip, presumably due to the uncertain situation it’s in, thus putting at risk their earnings.

I want to mention again how we’re going to handle payments, even though it’s hourly rates it’s only for finished tasks, worst case scenario we get done the stuff that doesn’t require Solidity and return the HNY back to the common pool if we can’t get anything else done. We can discuss the criteria under that funds should be returned (btw this is something we should include on all proposals IMO, we have a few HNY on dead multisigs).

We discussed using the already audited multiple reward furucombo contracts and have them forked for our farms with the help of @saltorious. The contracts for reference GitHub - dinngodev/trevi

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I’m not trying to sound defi ignorant, but how do partnerships and farms help the dex and the community?

Is xCOMB sustaining liquidity?

I’m just super-confused as to how any of this has helped.

I thought the idea was to work with DAOs for liquidity, but I don’t see this.

Also, what is our estimated cost to add Autonomy?

Edited to add:
What are the plans to find and bring in Solidity devs? And once they’re found what are the plans to keep them?

Thank you Enti.

Yeah, right I forgot about that.

Hmm well, it all goes down to having the right amount of liquidity on the right tokens. You as another community don’t want to miss out on a large investment because you don’t have enough liquidity nor want the price of your token go nuts everytime someone trades because of large price impacts.

On the same note, partnerships help us bring liquidity but also tighten ties between communities, which translates into having more users, which is volume, which is more fees.

We may not have increased our liquidity a lot, but it hasn’t go down either so I’d assume that it’s doing something, though I don’t have the data to back this argument, that’s one reason I want swarm facing analytics.

I honestly think the concept of the farms is pretty clever, we should always be looking into providing the best market conditions so it’s our duty to keep as much liquidity as possible on the most popular tokens (xDai, ETH, BTC, USDC, etc.) and so if we’re going to be investing constantly into attracting it we may as well just derivate a portion of what we generate to help us do that.

The biggest issue IMO was the locking, the way that locking is set up puts us in a position where it’s almost impossible to move them around and experiment.

Yeah, that’s I’m trying to get sorted and done; I’m particularly excited to see how the latest owned-liquidity partnerships seem to be working :slight_smile:

I’m honestly not sure, @striker was chatting with them to see how much time and effort will it take.

This is the hardest thing on my plate so far I think, would be lying if I tell you I’m 100% sure I know how we’ll get (good) Solidity developers but, Gardens had some conversations about rising rates, if they do we should too.

To keep everyone I’m thinking that a portion of the protocol fee should be distributed to them, I know it’s not much money right now but hopefully that encourages working harder to increase revenue.

I just got off a convo with Autonomy. Tons of support, nice guy, I am excited. Limits/Stops should happen. @eenti Youre doing a great job and putting in a lot of effort, thanks. @willjgriff asking the good questions, vital. I will put up a proposal so that this can happen. This is a no brainer, Limits/Stops.


Very happy that you’re putting in the effort to bring Tulip back to life enti & co. - I fully support this.

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I would love to see some improvements to Honeyswap on the UX side… “Add this token to metamsk” links and "Switch network to xDai and other little things like that would go a long way.

The xComb farming didnt work out, but i think offering farming as a service to new Gardens would be great… it’s a win win, gardens need liquidity (unless they opt to use the ABC instead of dynamic issuance).

Also, I would love to see Honeyswap be easy for gnosis safes to interact with:


Also… can we just confirm how the fees on the swaps work… is it buying HNY on the open market or is it buying xComb on the open market or both? or neither?

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Currently on gnosis
0.25% to LP providers
0.025% to buying $HNY (all sent to common pool)
0.025% to buying $xCOMB (half sent to burn address other half to fund future farms)


Great suggestions @griffgreen . The idea is to offer DIY farms so we can have multiple rewards.

About the Gnosis Safe, @hernandoagf deployed Honeyswap and now we have it as official Gnosis Safe app


Yah some day I was looking for the HNY token, can’t find, so i thought: “On honeyswap!” But it dont have there.

It really will be great to have. I think it’s possible to do to anothers token there, right?