Participants
A user can interact with Nebula Protocol through one or more of several roles, described below.
Trader#
A trader simply holds, or buys / sells various cluster tokens, and includes them in their portfolio to gain passive exposure to trading strategies expressed through the combination of clusters.
Liquidity Provider#
A liquidity provider deposits cluster tokens and UST in one or several liquidity pools recognized by Nebula Protocol and stakes their LP positions to earn NEB token rewards.
Rebalancer#
A rebalancer engages in rebalancing minting and burning operations against clusters, and earns NEB rewards for trades that successfully bring the cluster's inventory closer to its target allocation.
Arbitrageur#
note
The role of rebalancer is often combined with arbitrageur as both operations can be performed together in a single transaction.
An arbitrageur engages in buying and selling cluster tokens across various markets and liquidity protocols to rectify any price differences between the net asset value (NAV) of the cluster.
Nebula Protocol sponsors various arbitrage strategies against certain protocols such as Terraswap through incentive campaigns, which rewards qualifying trades with NEB rewards.
Voter#
A voter locks their NEB tokens for an amount of time and gains voting power for governance proposals. NEB tokens locked for longer periods of time result in more voting power per token. In addition, voters accrue NEB rewards while their tokens are locked, proportional to voting power.
Privileged Roles#
The following roles hold privileged access to core components of Nebula or require direct interaction with the Nebula development team (such as integration with the web app). By corollary, these roles are assigned democratically through Governance.
Cluster Manager#
A cluster manager is an entity or organization responsible for administering various points of operation for a cluster. Although all components of clusters can be entirely decentralized, certain clusters may be approved via governance to have some aspects controlled by a trusted operator.
Potential examples of cluster manager roles include:
- holding keys (often multisig) that control the recomposition oracle
- maintaining bots that implement a cluster's asset reallocation scheme
- monitoring cluster activity and proposing parameter updates via governance
Campaign Manager#
A campaign manager is an entity or organization responsible for implementing a Nebula Campaign. Campaign managers receive a grant of NEB tokens from the Community Pool through a governance poll and are expected to distribute the NEB rewards through smart contracts.