Question 1

What is Moonwell (WELLV1)?

Accepted Answer

Moonwell (WELLV1) refers to the original version of the Moonwell decentralised lending and borrowing protocol on the Base network, which used a Wormhole-bridged WELL token. This protocol enabled users to lend digital assets, earn variable interest, and borrow against collateral in a non-custodial, decentralised environment. WELLV1 supported core features like asset lending, borrowing, and staking on EVM-compatible networks, with Base being one of its primary networks before the migration.

Moonwell (WELLV1) incorporated community-driven governance and robust security practices, such as external audits by Halborn Security. The protocol’s design empowered users to retain control of their assets while lending or borrowing, ensuring transparency and security through onchain governance.

Question 2

What is Moonwell (WELLV1) used for?

Accepted Answer

With Moonwell (WELLV1), users could:
* **Lend and Borrow Assets:** Users could deposit assets into liquidity pools, earning interest based on demand, and take out loans backed by collateral as per governance-set parameters.
* **Governance Participation:** WELLV1 token holders were able to participate in governance, influencing protocol direction and voting on proposals.
* **Staking for Security:** WELLV1 tokens could be staked in the protocol’s Safety Module, providing an additional security layer and rewards for stakers.
* **Liquidity and Cross-Chain Features:** While the WELLV1 token provided basic cross-chain functionality, its usage was confined to its initial EVM networks with limited flexibility compared to the upgraded version.

Question 3

Migration to Native WELL on Base

Accepted Answer

Moonwell (WELL) migrated from the Wormhole-bridged WELLV1 token to a native WELL token on Base, transitioning to a new contract at 0xA88594D404727625A9437C3f886C7643872296AE. This migration enables full multichain functionality and additional benefits, such as seamless governance participation and liquidity provision. Users holding WELLV1 can migrate their tokens through Moonwell’s migration tool, accessing enhanced governance, staking, and liquidity features on the native Base network.