View source for KeeperDAO (ROOK)

== Basics ==
* Founded in:
* [[Mainnet]] release: [https://medium.com/keeperdao/keeperdao-v1-is-live-5750b843049 18-7-2020]
* Based in:

* [https://ethhub.substack.com/p/ethhub-weekly-123?token=eyJ1c2VyX2lkIjoxMzk3OTAwLCJwb3N0X2lkIjo3MzQ2NTMsIl8iOiIwb3pkOCIsImlhdCI6MTU5NTM2MjM5NiwiZXhwIjoxNTk1MzY1OTk2LCJpc3MiOiJwdWItMzkxMCIsInN1YiI6InBvc3QtcmVhY3Rpb24ifQ.YXyK53gl1fExkovhGR3grFERUTk6QLfrYKLRUzLZ9bI From] [[EthHub]] #123 (20-7-2020):
"''KeeperDAO is a protocol that economically incentivizes pooled participation in keeper strategies which manage liquidations, rebalances and [[arbitrage]] on [[DeFi]] applications spanning trading, exchange, and lending."''

== History ==
* [https://www.theblockcrypto.com/post/73545/defi-project-keeperdao-seed-round From] [[The Block]] (31-7-2020):
"''The KeeperDAO project was first [https://medium.com/keeperdao/introducing-keeperdao-an-on-chain-liquidity-underwriter-dbb63731f4a5 revealed] in December, as a joint effort between [[Amber Group]] and [[Talo Systems]]. Amber is Kullander's crypto trading and market-making firm, and Talo is a [[blockchain]] research firm run by [[Taiyang Zhang]], who is also the CEO of DeFi protocol [[Ren]]. Kullander and Zhang jointly manage the KeeperDAO project."''

== Audits & Exploits ==

*[[Bug bounty]] program can be found [insert here].
*From the [https://keeperdao.com/#/risks website] (3-3-2021):

''"KeeperDAO [[Smart Contract|smart contracts]] have been designed to prioritize security, and have undergone 3 separate audits with third party auditors and independent consultants. Prior to any upgrade to the protocol in the future, we will undergo security audits as well ahead of any new deployment."''

=== Bugs/Exploits ===
== Governance ==

*[https://newsletter.banklesshq.com/p/keeperdao-rook-takes-knight?token=eyJ1c2VyX2lkIjoxMzk3OTAwLCJwb3N0X2lkIjozMjY4OTE2MywiXyI6InBldXBkIiwiaWF0IjoxNjEzOTc4ODMwLCJleHAiOjE2MTM5ODI0MzAsImlzcyI6InB1Yi0xNjAxNSIsInN1YiI6InBvc3QtcmVhY3Rpb24ifQ.FnnFVdOOrc0ddG4AJ7 From] [[Bankless]] (19-2-2021):

''"KeeperDAO governance isn’t live yet and is slated to be released next quarter."''

* As of 3-3-2021 governance is speculated to go live in Q2 of 2021 [https://discord.com/channels/732921100702318723/734027095306666014/816490888251441152 according] to the [[Discord]].

=== Admin Keys ===

* From the [https://keeperdao.com/#/risks website] (3-3-2021):

''"KeeperDAO is [[non-custodial]], and does not have access to user funds. However, we do hold an [[Admin Key|administrative key]] with strong privileges that allow us to pause and amend the [[contracts]] in [[case]] of an emergency. We plan on introducing a [[Timelock|time-lock]] in order to give enough notice such that the community can monitor any changes before they happen. We are big fans of [[On-Chain Governance|decentralized governance]], but also realize the limitations of rushing towards [[decentralization]] too fast. Over time, we will be working towards gradually developing KeeperDAO into a fully autonomous, self-iterating system."''

*[https://discord.com/channels/732921100702318723/769092121185091584/816962358365782036 From] the [[Discord]] (4-3-2021):

''"no time-lock in price but keys are held in [[Multi-Signature|multi-sig]]"''

=== DAO ===
=== Treasury ===

*[https://blog.bancor.network/nexus-mutual-joins-30-daos-adopting-bancors-dao-treasury-management-solution-2eb60b762259 Plans] to [[stake]] their treasury (or parts of it) in [[Bancor Token (BNT)|Bancor]] V3 (9-3-2022).
*[https://ournetwork.substack.com/p/our-network-issue-46?token=eyJ1c2VyX2lkIjoxMzk3OTAwLCJwb3N0X2lkIjoxODA3NTY0NiwiXyI6ImM5eFJuIiwiaWF0IjoxNjA0OTA5NzcxLCJleHAiOjE2MDQ5MTMzNzEsImlzcyI6InB1Yi0yMTM2MiIsInN1YiI6InBvc3QtcmVhY3Rpb24ifQ.RZRBWJOIoRUCRQoSyDSSf4rRi9SH2DChGUvw3aW8giE From] [[Our Network]] (23-1-2021):

''"The system centers around a (i) pool where [[LPs]] deposit assets for keepers to take [[Flash Loan|flashloans]] out from, and (ii) a Treasury where keepers deposit part of their profits for the [[Decentralised Autonomous Organisation (DAO)|DAO]] to utilize, via ROOK enabled governance.''

''So far the Treasury has grown to $11.2M+ within 2.5 months — which maps to approx. $300k contributed per monthly active keeper. ([https://duneanalytics.com/eliasimos/keeper-dao-eliasimos- Source])"''

* A 40+million treasury by [https://discord.com/channels/732921100702318723/734027095306666014/813945923678765067 24-2-2021].
*[https://discord.com/channels/732921100702318723/734001314970861661/813641716611022848 From] their [[Discord]] (23-2-2021):

''"The team has decided that putting the [https://gnosis-safe.io/app/#/safes/0x9a67F1940164d0318612b497E8e6038f902a00a4/balances KeeperDAO treasury] into the [[LP]] pool is the best action to take at this time. Putting the treasury to work internally minimises risk and reduces reliance on LPs. This is necessary as emissions will continue to drop with each passing quarter. This also reduces effective ROOK inflation in the meantime as the accrued ROOK will be held until the community decides what to do with it later. Depositing the treasury, currently worth US$26 million, gives about 165k in deposit [[fees]] (0.64%) to existing LPs. It also is a way for us to bet on ourselves and the future of KeeperDAO."''

*[https://discord.com/channels/732921100702318723/734027095306666014/816650363250933800 From] [[Discord]] (3-3-2021):

''"0% of profits get diverted to Treasury these days anyway because the choice is optional for Keepers. They have a choice when they borrow from the LP. It is in the smart contracts that they use. There's no obligation to give any of the profits back to KeeperDAO, this is not important to us at this time."''

== Token ==
=== Launch ===
=== Token allocation ===

* From their [https://medium.com/keeperdao/caro-kann-introducing-rook-liquidity-mining-arbitrage-mining-adbe319905fd blog] (2-11-2020):

''"The initial total token supply is set at 1,000,000 ROOK. All ROOK [[tokens]] are unrestricted upon launch and should be counted as part of circulating supply. However, since ROOK will [[move]] to an [https://medium.com/keeperdao/rook-distribution-emission-schedule-b89c75783510 inflation model] in the future, the exact total supply can not be determined at this stage. The plan is for future ROOK rewards to be altered via governance so that protocol participants can find its own inflation parameters as the protocol evolves."''

=== Utility ===
* As of [https://discord.com/channels/732921100702318723/734027095306666014/816553838379139102 3-3-2021] ROOK can be [[staked]] within [[Bancor Token (BNT)|Bancor]]. In the future it will be used for Governance and incentives. 
*From their [https://medium.com/keeperdao/caro-kann-introducing-rook-liquidity-mining-arbitrage-mining-adbe319905fd blog] (2-11-2020):

"''ROOK is an [[ERC20]] asset allowing token-holders to propose and vote on all protocol upgrades, as well as administering the profit share between [[LPs]] and keepers, alongside new system proposals."''

* [https://newsletter.banklesshq.com/p/keeperdao-rook-takes-knight?token=eyJ1c2VyX2lkIjoxMzk3OTAwLCJwb3N0X2lkIjozMjY4OTE2MywiXyI6InBldXBkIiwiaWF0IjoxNjEzOTc4ODMwLCJleHAiOjE2MTM5ODI0MzAsImlzcyI6InB1Yi0xNjAxNSIsInN1YiI6InBvc3QtcmVhY3Rpb24ifQ.FnnFVdOOrc0ddG4AJ7 From] [[Bankless]] (19-2-2021):

''"In terms of incentives, LPs can [[earn]] ROOK by depositing any of the supported assets to the protocol. By depositing capital into KeeperDAO, depositors earn a portion of the profits from strategies plus a subsidy in ROOK.''

''ROOK currently represents '''no economic rights''' over the protocol. However, with governance going live in the next few months, it’s not out of the question for the community to propose & pass a proposal to implement fee rights for token holders."''

* As of 3-3-2021 governance is speculated to go live in Q2 of 2021 [https://discord.com/channels/732921100702318723/734027095306666014/816490888251441152 according] to the [[Discord]].

=== Token Details ===

* ROOK is an [[ERC20]] 

=== Stablecoin ===
== Coin Distribution ==
== Tech ==

* [[Whitepaper]] can be found [https://github.com/keeperdao/whitepaper/blob/main/whitepaper.pdf here] (2-11-2020).
* Code can be viewed [https://github.com/keeperdao here].
* Built on: [[Ethereum]]

=== How it works ===
* From their [https://keeperdao.com/#/faq website] (3-3-2021):

''"Keepers are on-chain actors which manage liquidations, rebalances and arbitrage on [[DeFi]] applications spanning trading, lending, and exchange. [[Transactions]] which borrow funds from the [[liquidity pool]] are contingent upon a return within the same [[block]]. Therefore, LPs bear no risk to underlying Keeper strategies."''

*From their [https://medium.com/keeperdao/introducing-keeperdao-an-on-chain-liquidity-underwriter-dbb63731f4a5 own blog] (27-12-2019):

''" An [[on-chain]] liquidity underwriter for [[decentralized finance]], built on top of the [[Ethereum]] [[blockchain]].''

''[https://keeperdao.com/ KeeperDAO] is a protocol that economically incentivizes pooled participation in ‘keeper’ strategies which manage liquidations and rebalances on applications spanning margin trading, lending and exchange. This allows participants to earn passive income in a [[Game Theory|game-theory]]-optimal fashion whilst ensuring [[decentralized]] finance applications remain liquid and orderly.''

''At a high level, KeeperDAO enables users to pool capital into Ethereum [[smart contracts]] to collectively profit from on-chain arbitrage and liquidation opportunities. Capital [[staked]] in these pools, such as [[USDC]] and [[DAI]], is then used to exploit on-chain profit opportunities presented by protocols such as [[Compound]], [[dYdX]], [[MakerDAO]] and [[DDEX]]. These opportunities are not always present and occur often in times of high volatility. To mitigate having a large pool of capital being underutilized, all assets held by the liquidity pool are also constantly loaned out on markets such as Compound and dYdX.''

''KeeperDAO is maintained by a network of [[off-chain]] bots, who constantly watch the Ethereum [[mempool]] for opportunities and if found, will initiate an Ethereum [[transaction]] to participate in a Priority Gas Auction (PGA), competitively bidding up [[transaction fees]] in order to obtain priority ordering within Ethereum [[blocks]]. When KeeperDAO wins a PGA, funds are rebalanced through an on-chain rebalancer network."''

* [https://newsletter.banklesshq.com/p/keeperdao-rook-takes-knight?token=eyJ1c2VyX2lkIjoxMzk3OTAwLCJwb3N0X2lkIjozMjY4OTE2MywiXyI6InBldXBkIiwiaWF0IjoxNjEzOTc4ODMwLCJleHAiOjE2MTM5ODI0MzAsImlzcyI6InB1Yi0xNjAxNSIsInN1YiI6InBvc3QtcmVhY3Rpb24ifQ.FnnFVdOOrc0ddG4AJ7 From] [[Bankless]] (19-2-2021):

''"KeeperDAO is a liquidity underwriter in DeFi. Anyone can deposit capital and earn a profit in return for allowing the protocol to borrow that capital to execute liquidations, rebalances, and arbitrage opportunities in the DeFi ecosystem. All profits from these opportunities are split amongst the protocol’s [[Liquidity Provider (LP)|liquidity providers]] and Keepers—the actors who initiate the transactions. The protocol currently allows deposits for a range of supported assets including ETH, [[WETH]], USDC, renBTC, and DAI.'' 

''Keepers are on-chain profit seekers that use the protocol’s capital to execute arbitrage and liquidation opportunities. And similar to [[LPs]], Keepers can be anyone, albeit it’s a bit more complicated as you need to design and program a strategy that can earn a profit in a single [[transaction]]—like monitoring an arbitrage opp between [[Kyber]] and [[Uniswap]] between a specific pair. In theory, KeeperDAO can execute any on-chain opportunity on Ethereum. Examples include liquidating positions on Compound or [[Aave (AAVE)|Aave]], taking over [[Maker]] Vaults, or capitalizing on arbitrage opportunities between [[DEXs]] like Uniswap and [[Balancer]]. It’s ultimately up to people to design Keeper bots to execute the opportunity at hand."''

* [https://thedefiant.io/ethereums-value-extracting-bots-explainer-and-project-map/ From] [[The Defiant]] (17-5-2021):

''"There are two stakeholders in the KeeperDAO ecosystem: Keepers and Liquidity Providers. The keepers take part in the strategies to realise the value arbitrage and liquidation opportunities, and [[liquidity providers]] provide the funds to take advantage of these opportunities.''

''Let’s take an example to understand how it works. Say you notice an arbitrage opportunity, you can get a zero-interest [[flash loan]] from the liquidity pool. You take the loan, perform arbitrage/rebalancing and once this opportunity is realised, the funds+profits are returned to the protocol. You receive a share of the profits in the form of $ROOK, the [[native token]] for the KeeperDAO ecosystem."''

=== Fees ===

=== Upgrades ===

* Profit sharing with [[LPs]] has been [https://discord.com/channels/732921100702318723/734027095306666014/816646619939733534 turned off] and now profit is only split between Keepers (the one who create strategies) and ([https://discord.com/channels/732921100702318723/734027095306666014/816650363250933800 if the Keepers chose so]) the treasury (3-3-2021).

=== Staking ===

=== Liquidity Mining ===

* [https://ournetwork.substack.com/p/our-network-issue-46?token=eyJ1c2VyX2lkIjoxMzk3OTAwLCJwb3N0X2lkIjoxODA3NTY0NiwiXyI6ImM5eFJuIiwiaWF0IjoxNjA0OTA5NzcxLCJleHAiOjE2MDQ5MTMzNzEsImlzcyI6InB1Yi0yMTM2MiIsInN1YiI6InBvc3QtcmVhY3Rpb24ifQ.RZRBWJOIoRUCRQoSyDSSf4rRi9SH2DChGUvw3aW8giE From] [[Our Network]] (23-1-2021):

''"KeeperDAO is in the process of wrapping up its liquidity [[mining]] program to distribute ROOK tokens to LPs and keepers (on a ratio of 1:3) and is expected to end in early February. ROOK claims have totaled ~160k ROOK (~$50M at current ROOK/USD and 50% of liquid mcap), with the Top-20 claimants ranging from 2k to 17k ROOK.  ([https://duneanalytics.com/eliasimos/keeper-dao-eliasimos- Source] 1 & [https://www.coingecko.com/en/coins/keeperdao 2])"''

=== Interoperability ===
=== Other Details ===
== Oracle Method ==
== Privacy Method ==
== Compliance ==
== Their Other Projects ==
== Roadmap ==
* Can be found [Insert link here].

* [https://www.theblockcrypto.com/post/73545/defi-project-keeperdao-seed-round From] [[The Block]] (31-7-2020):
"''KeeperDAO is also planning to issue its own [[governance]] [[token]] to use it as a balancing mechanism to manage incentives between keepers and liquidity providers. The token will be launched with an incentive program, Kullander told The Block, without disclosing a specific timeline."''
== Usage ==
* [https://www.theblockcrypto.com/post/73545/defi-project-keeperdao-seed-round From] [[The Block]] (31-7-2020):
"''There are currently 208 unique depositors to KeeperDAO's liquidity pool, and the pool is currently sized at 4,474 [[ETH]] (worth about $1.5 million), [https://explore.duneanalytics.com/public/dashboards/RVyXbw2l5EuqnnDw5tDmbXdW3Pf9bgKgxtZdzXIh according] to a [[Dune Analytics]] dashboard shared by Kullander."''

* [https://ournetwork.substack.com/p/our-network-issue-46?token=eyJ1c2VyX2lkIjoxMzk3OTAwLCJwb3N0X2lkIjoxODA3NTY0NiwiXyI6ImM5eFJuIiwiaWF0IjoxNjA0OTA5NzcxLCJleHAiOjE2MDQ5MTMzNzEsImlzcyI6InB1Yi0yMTM2MiIsInN1YiI6InBvc3QtcmVhY3Rpb24ifQ.RZRBWJOIoRUCRQoSyDSSf4rRi9SH2DChGUvw3aW8giE From] [[Our Network]] (23-1-2021):

''"So far, approximately 19 keepers on average have been active per month with 2,598 unique [[addresses]] contributing to the pool. [[Flash Loan|Flash loan]] volumes — a proxy for keeper activity — have been growing at a rapid pace year-to-date (~85% week-on-week). This sharp acceleration in 2021 happened parallel to both price (2x) and volatility (+35%) climbing up in DeFi, and benchmarked off of an equally weighted basket of DeFi blue chips. The total lifetime volume of [[flash loans]] from the KeeperDAO pool stands at a whopping 900M+ USD (in v2). ([https://duneanalytics.com/eliasimos/keeper-dao-eliasimos- Source])"''

* [https://newsletter.banklesshq.com/p/keeperdao-rook-takes-knight?token=eyJ1c2VyX2lkIjoxMzk3OTAwLCJwb3N0X2lkIjozMjY4OTE2MywiXyI6InBldXBkIiwiaWF0IjoxNjEzOTc4ODMwLCJleHAiOjE2MTM5ODI0MzAsImlzcyI6InB1Yi0xNjAxNSIsInN1YiI6InBvc3QtcmVhY3Rpb24ifQ.FnnFVdOOrc0ddG4AJ7 From] [[Bankless]] (19-2-2021):

''"According to [[Token Terminal]], KeeperDAO has been deploying over $20M per day over the past week across different strategies for the existing 22 Keepers running on mainnet today. WETH is currently the dominant player in terms of borrowing volume as it’s used in excess of $5M per day. The protocol is currently boasting over $140M in value locked from liquidity providers, according to [[Dune]] Analytics."''

=== Projects that use or built on it ===
== Competition ==

*How it differs from [[0x Protocol (ZRX)|0x's]] [[Off Chain|off-chain]] mechanism ([https://doseofdefi.substack.com/p/hola-de-miami?token=eyJ1c2VyX2lkIjoxMzk3OTAwLCJwb3N0X2lkIjozNzE4MTg4MywiXyI6IitrN3VtIiwiaWF0IjoxNjIzMDQ4MDc1LCJleHAiOjE2MjMwNTE2NzUsImlzcyI6InB1Yi0yNTk5NyIsInN1YiI6InBvc3QtcmVhY3Rpb24ifQ.aNbf4hdI-fPdP-LsVKRj903iojeAcOmdkC 4-6-2021]):

''"0x Founder [[Will Warren]] explains the difference between 0x and KeeperDAO, “KeeperDAO's hiding game is a trade execution coordinator (TEC)….0x protocol explicitly leaves trade execution up to the developer. This allows for distinct pools of off-chain 0x orders, each with custom rules around trade execution.”"''
== Pros and Cons ==
=== Pros ===
=== Cons ===
== Team, Funding, Partners ==

* Full team can be found [here].
* Tiantian Kullander; co-founder

* [https://www.theblockcrypto.com/post/73545/defi-project-keeperdao-seed-round From] [[The Block]] (31-7-2020):
"''There are currently six people working for KeeperDAO, two more are joining soon, and the project is looking to hiring more staff, Kullander told The Block."''

* [https://coinmarketcap.com/currencies/keeperdao/ From] [[CMC]] (2-3-2021):

''"KeeperDAO is founded by a team with experience working at publicly traded companies, running hedge funds and managing private investment vehicles. The team consists of people who have managed large pools of liquidity for some of the biggest institutional investors in the world.''

''The project is a joint venture between Amber Group and Talon Systems: a crypto trading firm run by Tiantian Kullander and a blockchain research firm run by Taiyand Zhang, respectively."''

* [[Loi Luu]]; advisor ([https://twitter.com/keeper_dao/status/1353372386133856257 24-1-2021]).

=== Funding ===
* [https://www.theblockcrypto.com/post/73545/defi-project-keeperdao-seed-round From] [[The Block]] (31-7-2020):
"''The "seven-[[figure]]" [[seed]] round, i.e. worth more than $1 million, was led by [[Polychain Capital]] and [[Three Arrows Capital]], KeeperDAO co-founder Tiantian Kullander, told The Block. The project has no plans to raise more funding in the [[near]] future, said Kullander."''

* [https://discord.com/channels/732921100702318723/734001314970861661/810361119868584006 From] their [[Discord]] (14-2-2021):

''"As you may have seen - we're happy to announce that [[FTX (FTT)|Alameda]]/FTX is now an investor of KeeperDAO via a direct [https://etherscan.io/tx/0x030e0bbc9e789dc5a439aa7f637afd2eedeaf23caa40c0976b80d04715606f9c purchase] of 42,800 ROOK tokens! In joining as participants in KeeperDAO, [[Alameda]]/FTX has listed ROOK spot and perpetual markets, and has committed to act as an [[CEX]] LP in order to maintain orderly markets with consistent and predictable [[liquidity]] in ROOK."''

=== Partners ===

* From [https://twitter.com/keeper_dao/status/1353372386133856257 their] [[Twitter]] (24-1-2021):

''"The KeeperDAO treasury has completed a token swap exchanging 534 ROOK and 500k [[USDC]] for 500,00 [[KNC]]. [[Loi Luu|@loi_luu]] joins as an advisor."''
[[Category:Companies/Organisations]]