Angel Protocol – Defi Powered Charity Ecosystem with motto “Give Once and Give Forever”

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Angel Protocol is on a nobel mission to help charities and donors with the power of Defi. Built on Terra Blockchain, Angel Protocol seeks to turn one time donations to charities to “Give once, give forever”. The protocol allows donors to turn their contributions into perpetual charity endowments. The protocol takes donor’s money, put it to work in Terra Blockchain Defi ecosystem, and periodically give its yields to the cause of Donor selects.

Suppose a generous individual pledges $110,000 to his local orphanage via Angel Protocol. The donor can tell the protocol to immediately credit $10,000 of his donation to the orphanage for use and pledge $100,000 as a perpetual charity endowment.

Angel Protocol then deposits his $100,000 to Angel in the back end via smart contracts to earn a 20% yield. By the end of one year, the orphanage is given another $20,000. The year after that, it’s given another $20,000. Part of the yield would be kept in the endowment fund to grow the principal to produce more yield.

ILLUMINATION/Medium

Angel Protocol Validator

One of the key components of Angel Protocol’s Decentralized Organization is it’s Terra Validator. Angle Protocol was launched on January 16, 2021 with a goal to crowdsource LUNA tokens from Terra Blockchain and help charities. It provides a great opportunity for LUNA holders to support their favourite cause by staking their LUNA tokens and donating some of their yield to a charity.

Here is how it work – as a Terra staker you can donate a small part of the yield from staking LUNA to a charity and keep the rest with for you. Let us go through a simplified example. Let us say when you stake your LUNA, you get 12% staking rewards which comprises of two portions – around 2% base yield and the remaining 10% yield in the form of MIR & ANC airdrops. If you stake LUNA with Angel Protocol, you will donate 2% of base yields to a charity while you keep rest 10% of airdrop staking yields.

Now let us check the recent delegations to Angel Protocol’s noble cause. This chart shows the following staking events associated with Angel Protocol’s validator with recent events shown at top

  1. delegate: A transaction of type “delegate” is recorded whenever a delegator stakes their LUNA with Angel Protocol’s validator.
  2. undelegate: A transaction of type “delegate” is recorded whenever a delegator unstake their LUNA with Angel Protocol’s validator. This is the opposite of “delegate” transaction.
  3. redelegate: A transaction of type “redelegate” is recorded whenever a delegator moves their staked LUNA from one validator to another validator. In this chart below if you see a negative value in “Change” column then it means the LUNA tokens were transferred out of Angel Protocol to some other validator. A positive value in the column indicates that the LUNA tokens were moved to Angel Protocol in a “redelegate” event.

If you looking for some visuals to analyze delegations then here you go. This chart shows the amount of LUNA delegated, undelegated and restaked per day as well as the total amount of LUNA staked with Angel protocol.

Validators taking away LUNA from Angel Protocol

So we see some amount of LUNA is taken away from Angel Protocol in redelegation process. Shall we follow the trail and see and see which validator is receiving the LUNA taken away from Angel Protocol? The following chart shows the recipients (validators) who got redelegated LUNA tokens. Please note that the chart is shown in log scale.

Rewards Earned By Angel Protocol Validator

The model for supporting "Give Once, Give Forever" is based on the rewards earned by Angel Protocol by operating as a validator as well as through lending UST on Angel Protocol(Analyzing returns on Angel protocol is for another post)


Let us now see how much Angle Protocol earned in rewards since its inception. So we see around 11,000 earned as rewards as of Aug 15th.

A decentralized autonomous organization to support charities is a novel idea, but a brilliant one if this model sustains and lives up to its motto "Give once, Give Forever". So far we see the idea working well - 400K LUNA is delegated to Angel Protocol and rewards growth seems to be picking up steam.

If you have LUNA to stake, please consider staking with Angel Protocol and support a charity you root for!

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