Definitions
- BMX: Native protocol and governance token
- BLT: BMX Liquidity Token, liquidity provided for traders to utilize in margin trading on Classic
- wBLT: Wrapped, composable, multi-use, auto-compounding version of BLT
Overview
BMX is a DeFi platform on Base, Mode, and Sonic offering spot, margin, and onchain media trading, requiring only a wallet connection to use. BMX currently offers 4 different products:
wBLT
The flagship liquidity token for DeFi on Base. wBLT stands for wrapped BMX Liquidity Token and contains blue-chip assets such as cbBTC, ETH and USDC. wBLT receives a share of protocol fees harvested from trades routed through the liquidity token, as well as from inflows and outflows that maintain target weights. wBLT is a useful pairing asset on DEXes as well as pristine collateral for markets like Morpho.
BMX Classic
A spot and margin trading platform based on GMX-v1 with a focus on capital efficiency and low fees. All trades are settled against a singular liquidity pool (BMX Liquidity Token - BLT) consisting of blue-chip assets, where a user can provide liquidity with any whitelisted asset, and in exchange, they receive LP tokens, representing their share in the diversified liquidity pool.
BMX Freestyle
An intent-based trading platform with a focus on low fees and offering over 250+ trading markets, powered by the SYMMIO protocol.
Based MediaX
An onchain avatar (NFT) and veAERO marketplace on Base with a fee of 1.9%, where listings with multiple avatars use Chainlink VRF to distribute randomly to buyers.
Summary
BMX enhances the PDLPs (Perp DEX Liquidity Pools) model. By wrapping BLT into a Yearn-architected automated fee-processing vault (wBLT) and pairing it directly with BMX, the protocol eliminates the fight between trading liquidity and native token liquidity.
BMX improves capital efficiency for the protocol by eliminating competition between trading liquidity (BLT) and native-protocol liquidity (pool2), and supports increased protocol accrued fees through minting and redemption fees of wBLT, trading activity on intents-based Freestyle, as well as all NFT/onchain media activity on Based MediaX.
The most significant innovation is the introduction of wBLT as a product with multiple use cases built on top of automated fee-processing of BLT.
Some of the use cases are as follows:
- wBLT-BMX native protocol liquidity
- Pair with other assets (wBLT-(other asset)) which benefits protocols through wBLT’s automated fee-processing accrued fees in addition to the underlying BLT assets being an index of blue-chip assets
- Collateralize wBLT in lending markets like Morpho to continue to receive automated fee-processing accrued fees
- While borrowing against wBLT (Borrowing wBLT itself is disabled)
- Used as a payment option for protocol salary streams, or other products/services.
- BMX is comprised of a collective of contributors who are anonymous to one another and live all across the world, contributing to the success of the protocol alongside a powerful community. BMX is aligned to decentralization, self-custody, and on-chain actions, and never has access to or holds user funds.
Before launching BMX on Base, the team operated the Morphex protocol on Fantom and BNB Chain, where it facilitated over $500 million in total trading volume on Fantom and more than $65 million on BNB. These early deployments served as the foundation in building decentralized perpetuals and automated fee-processing vaults, directly informing many of the design principles now implemented in BMX including productive liquidity, modular architecture, and vault-first strategies.
We look forward to the future and from the team at BMX, thank you for taking the time to learn more about BMX and wBLT as a product. If you have any questions, comments or concerns, please feel free to reach out in Discord or on X (formerly Twitter).