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  • BitStamp Exchange Review (2023): Well-established Exchange on Security and Regulation

    BitStamp Exchange Review (2023): Well-established Exchange on Security and Regulation

    Bitstamp is a Luxembourg-based cryptocurrency exchange that offers users a secure platform to trade Bitcoin (BTC), XRP, Ether (ETH), Litecoin (LTC), and Bitcoin Cash (BCH) against fiat currencies (USD, EUR, GBP) and deposit/withdraw fiat currencies using credit/debit cards. In this Bitstamp review, we’re going to share how Bitstamp works, its fees, who it works best for and whether or not it’s safe. What is more, you’ll know if Bitstamp is the right exchange for you.

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    What is BitStamp?

    Bitstamp is one of the oldest and most trusted cryptocurrency exchanges in operation. It is registered in Luxembourg and headquartered in the UK, and caters to both beginner and experienced traders. Customers can exchange bitcoin (BTC), XRP, ether (ETH), litecoin (LTC), and bitcoin cash (BCH) with each other and against fiat currencies (USD, EUR, GBP). They can also deposit and withdraw fiat currencies using their credit and debit cards. The trading and currency dashboards are clearly laid out and easy to use, making it a great choice for both novice and experienced traders.

    Bitstamp was founded in 2011 as a European alternative to Mt.Gox. Bitstamp offers a secure and accessible middle ground between advanced trading and trading for beginners. With its user-friendly interface, advanced security measures, and a variety of trade types, it is a great choice for both experienced traders and those just starting out in the world of cryptocurrency.

    Bitstamp offers users the ability to deposit and withdraw funds using their credit and debit cards, although this is usually more expensive than using a bank transfer. It has a solid security record, although it was subject to two cyberattacks in 2014 and 2015. Since then, it has managed to operate without incident and has been fully regulated by the Luxembourg government in 2016, making it a reliable and secure platform for users.

    The BitStamp Team

    The exchange company is led by CEO Nejc Kodric, with CTO David Osojnik, CFO Edward Kemp, and COO Vasja Zupan as key team members. Bitstamp offers a secure and reliable platform for customers to buy and sell digital assets, with a focus on providing a safe and secure trading environment. The company is committed to providing customers with the best customer service and support, and is constantly innovating to ensure customers have the best experience possible.

    Key Features of BitStamp

    BitStamp key features include:

    Trusted Crypto Exchange for Global Traders: Bitstamp is a leading cryptocurrency exchange that offers traders from around the world a secure and reliable platform to buy and sell digital assets. With high liquidity and a fiat-to-crypto gateway, It is one of the most trusted and established exchanges in the industry.

    Regulated Exchange: Bitstamp is the world’s first fully-licensed European cryptocurrency exchange, regulated by the Luxembourg Financial Industry Supervisory Commission (CSSF). It is a secure and reliable platform for trading digital currencies, offering users a safe and compliant way to buy and sell cryptocurrencies.

    Buy cryptocurrencies with a bank card: Bitstamp offers a convenient way to purchase Bitcoin and other cryptocurrencies with a bank card. Customers can instantly buy digital currencies with their bank cards, making it easy to get started with cryptocurrency trading.

    Low SEPA transfer fees: For Europeans, SEPA transfers are a low-cost way to deposit and withdraw cash directly to and from their bank accounts. SEPA transfers are more affordable than wire transfers, making them a great option for those looking to buy or sell cryptocurrency.

    Mobile Application: Bistamp’s mobile app allows users to trade cryptocurrencies on the go, with support for both Android and iOS devices.

    Perfect for Beginners: Bitstamp is a user-friendly cryptocurrency exchange that offers both beginner-friendly and advanced trading interfaces, making it easy for anyone to buy and sell digital currencies.

    In summary, Bitstamp is a secure and reliable cryptocurrency exchange, offering a wide range of trading options for both novice and experienced traders. With over 9 years of experience, Bitstamp has proven its security and high liquidity, making it a great choice for those looking to buy and sell digital assets.

    Key Advantages of BitStamp

    Fiat Trading

    Bitstamp is a cryptocurrency exchange that allows users to buy and sell cryptocurrencies with fiat currencies. It supports USD, GBP, EUR, and Swiss Francs, making it a great option for beginners who are just getting started in the crypto world. It also offers a secure platform and low fees, making it a great choice for those looking to buy and sell cryptocurrencies. With its easy-to-use interface and wide range of fiat currencies, Bitstamp is a great choice for those looking to get started in the crypto world.

    Payment Methods

    Bitstamp makes it easy to get started with cryptocurrency trading, offering users the ability to fund their accounts with credit cards and bank transfers. This makes it simpler than ever to buy and sell digital currencies.

    Security

    Bitstamp is one of the most secure cryptocurrency exchanges on the market, with almost all of its funds kept in cold storage and fully insured. In 2015, Bitstamp was hacked and 19,000 Bitcoins were stolen, worth around 5 million USD. However, no customer funds were lost and the platform was completely rebuilt to prevent future hacks. The exchange has worked hard to ensure customer safety and security, and is now one of the most trusted exchanges in the industry.

    Finally, it also offers its users two-factor authentication, text message alerts, and PGP encryption to keep user information private.

    Fees

    Bitstamp offers some of the lowest fees in the market, making it an ideal choice for new traders. Fees vary depending on the payment method and location, but are generally low and easy to understand.

    Customer Service

    Bitstamp is committed to providing excellent customer service, with a UK-based helpline for emergencies and a detailed FAQ page. They respond to user emails within three days, ensuring traders are kept happy and satisfied.

    Reputation

    Bitstamp is a reliable and professional crypto exchange, with links to financial institutions worldwide and full licensing. It has been audited by Ernst & Young, one of the Big Four accountancy firms.

    Mobile App

    Bitstamp’s mobile app has been highly rated by users, receiving an impressive 4.8 out of 5 stars on the Apple Store. This is a testament to the quality of the app, which provides users with a convenient and secure way to access their accounts.

    Key Disadvantages of BitStamp

    Coin Selection

    Bitstamp is a popular cryptocurrency exchange that offers a limited selection of around 70 digital assets for trading. These include Bitcoin (BTC), Bitcoin Cash (BCH), Litecoin (LTC), Ethereum (ETH) and Ripple (XRP). While this selection is suitable for beginner traders, more experienced traders may prefer an exchange with a larger selection of trading pairs, such as Binance, which offers more than 1400.

    User Friendliness

    Bitstamp is a professional trading exchange that can be difficult for new users to understand. For those with no trading experience, Coinbase may be a better option as it is simpler and easier to use.

    BitStamp Fees

    Bitstamp is a cryptocurrency exchange with a competitive fee structure. Cryptocurrency deposits are free, while withdrawals incur a fixed network fee which differs per cryptocurrency. An exception to this is when customers withdraw bitcoin using BitGo Instant, which costs 0.1% of the amount being transferred, and when they withdraw Ripple IOUs, which costs 0.2% of the transferred amount. Bitstamp’s fees are cheap compared to many rivals, making it an attractive option for those looking to buy and sell cryptocurrencies.

    Currency/Withdrawal FeeBitstampKrakenBitfinexCoinbase Pro
    Bitcoin (BTC)
    		0.0005 BTC0.0005 BTC0.0004 BTCFree
    Ethereum (ETH)0.001 ETH0.005 ETH0.00135 ETHFree
    Litecoin (LTC)0.001 LTC0.001 LTC0.001 LTCFree
    Ripple (XRP)0.02 XRP0.02 XRP0.1 XRPFree
    Bitcoin Cash (BCH)0.0001 BCH0.0001 BCH0.001 BCHFree

    International wire transfers have a deposit fee of 0.05% (minimum of ñ‚¬7.50) and a withdrawal fee of 0.1% (minimum of ñ‚¬25). European customers making a SEPA bank transfer deposit funds to Bitstamp free of charge, while SEPA withdrawal costs ñ‚¬3.00. Bitstamp offers customers a secure and convenient way to buy and sell digital currencies with competitive fees. The platform is designed to make it easy to buy and sell cryptocurrencies with fiat currencies, with no hidden fees or charges. Customers can also benefit from the low fees associated with SEPA transfers, making it an attractive option for those looking to buy and sell digital currencies.

    Any amount purchased directly with a bank card comes with a 5% fee on Bitstamp’s behalf, and may have additional fees charged by the card issuer. Bitstamp offers a secure platform for users to buy and sell digital currencies, with a range of features and tools to help them manage their investments. 

    It offers competitive trading fees, with a starting rate of 0.50% for users with a 30-day trading volume of less than $10,000. This rate is lower than many other exchanges, making Bitstamp an attractive option for traders.

    The minimum trade amount at Bitstamp is 25 EUR/USD or 0.001 for BTC-denominated pairs. Bitstamp charges a 0.50% fee for any trader whose 30-day volume is less than $10,000. Other exchanges like Kraken and Bitfinex tend to charge less per trade, with Kraken offering a 0.16% fee for market makers and 0.26% for takers, and Bitfinex charging 0.1% for market makers and 0.2% for takers. Bitstamp is a reliable and secure platform for traders looking to buy and sell digital assets.

    It offers low-cost SEPA deposits and withdrawals, and discounts for high-volume traders. Although it is not the cheapest option out there, it is still a cost-effective choice for low-volume traders. The platform is secure and reliable, and offers a wide range of trading options. It is a great choice for European traders looking for a secure and cost-effective trading platform.

    Is BitStamp a Wallet?

    Bitstamp is an online platform for buying and selling cryptocurrencies, but it is not a wallet. Wallets are used to store and access cryptocurrency codes, and they can be either hot (online) or cold (offline). Bitstamp is not a wallet, but it does provide a secure platform for buying and selling cryptocurrencies. It also offers a range of features such as two-factor authentication, multi-signature accounts, and a variety of payment methods. Bitstamp is a reliable and secure platform for buying and selling cryptocurrencies, but it is not a wallet. To store and access your cryptocurrency codes, you will need to use a wallet.

    It is important to never keep all your cryptocurrency online, and a combination of hot and cold storage is the best way to ensure your funds are secure. For added security, a hardware wallet such as the Ledger Nano X is recommended. This device is similar to a USB stick and provides an extra layer of protection for your crypto assets. With Bitstamp, users can rest assured that their funds are safe and secure.

    Who Is Bitstamp Best For?

    Bitstamp is a secure and reliable platform with millions of satisfied users. It offers a professional design and features that are ideal for experienced users, but may be confusing for beginners. The platform is easy to use and provides a safe and secure environment for users to buy, sell, and trade digital currencies. It also offers a variety of features, such as low fees, fast transactions, and a wide range of payment options. Bitstamp is a great choice for those looking for a reliable and secure platform to buy, sell, and trade digital currencies.

    This exchange is a great choice for beginner crypto traders who want to get started quickly and easily. The exchange offers fiat trading and credit card purchases, making it easy to get started. Bitstamp is a perfect choice for users who don’t want to wait to start trading. The exchange also offers a range of features and tools to help users make informed decisions. 

    Conclusion

    Bitstamp is a trusted crypto exchange, renowned for its security and customer-focused team. With a user-friendly interface, it’s becoming one of the world’s most popular crypto exchanges. If you’re looking for a secure and reliable platform to trade cryptocurrencies, Bitstamp could be the perfect choice for you.

    Sign up here to get started today!

    Disclaimer: Cryptocurrency trading involves significant risks and may result in the loss of your capital. You should carefully consider whether trading cryptocurrencies is right for you in light of your financial condition and ability to bear financial risks. Cryptocurrency prices are highly volatile and can fluctuate widely in a short period of time. As such, trading cryptocurrencies may not be suitable for everyone. Additionally, storing cryptocurrencies on a centralized exchange carries inherent risks, including the potential for loss due to hacking, exchange collapse, or other security breaches. We strongly advise that you seek independent professional advice before engaging in any cryptocurrency trading activities and carefully consider the security measures in place when choosing or storing your cryptocurrencies on a cryptocurrency exchange.

  • Bibox Exchange Review (2023): More for Trading Cryptocurrencies

    Bibox Exchange Review (2023): More for Trading Cryptocurrencies

    Bibox is the world’s first AI-powered digital asset exchange with a Swiss VQF license. It offers robust security, a wide range of trading options, innovative listing programs, and top-notch customer service. This exchange review will include both pros and cons of Bibox, including information about the company, the main features and even more.

    Sign up here to get started.

    What is Bibox?

    Bibox, the pioneering AI-powered digital asset exchange, has been providing robust and secure systems. Moreover, it also provices a wide range of trading options, innovative listing programs, and top-notch customer service since 2017. As one of the few blockchain enterprises with a Swiss VQF license, Bibox has earned the admiration and trust of cryptocurrency experts and traders around the world.

    Bibox offers daily trading services trusted by over 1 million cryptocurrency traders and investors from 160 countries, particularly in Asia, Europe, and North America. With 579 tokens and 826 trading markets, Bibox’s spot daily trading volume exceeds 1 billion US dollars.

    Bibox offers a variety of products. Bibox CopyTrading is a pioneering cryptocurrency trading platform that allows traders to share in the profits of fund management strategies. Additionally, Bibox’s AI-powered Trading Bot helps users maximize their trading profits through advanced quantitative analysis. Furthermore, Bibox’s SELECTED service offers a unique line of listing and trading services. It includes Super Start, Pre-taste, and S-POOL, which only feature high-quality blockchain projects. Bibox users can take advantage of discounted prices and near-zero risk of loss when purchasing project tokens.

    Key Features and Advantages of Bibox

    Low Trading Fees

    When selecting the best crypto exchange platform, it is essential to consider trading fees as they can significantly impact your profits. To maximize your earnings, it is wise to opt for a platform that offers low trading fees. Bibox offers some of the lowest trading fees in the top-tier crypto trading platform industry, with takers paying 0.20% and makers paying 0.075%. This is lower than the industry standard of 0.25% – 0.15%.

    Makers are those who create an order to be filled by someone else, while takers are those who place an order to buy cryptocurrencies at a specific price. Generally, makers pay lower fees than takers. Bibox does not charge any fees for deposits, however, a 1% fee applies for withdrawals. The minimum withdrawal amount is $15.

    Decentralized Exchange

    Bibox is a popular decentralized exchange, allowing users to directly trade cryptocurrencies without any controlling institutions. This type of peer-to-peer (P2P) trading is becoming increasingly popular due to its lack of centralized control. Decentralized exchanges make registration quick and easy, allowing you to start trading without having to provide your personal information.

    Decentralized exchanges such as Bibox offer users more freedom, but they often have lower liquidity than centralized crypto exchanges, resulting in less stable prices for assets. Additionally, there are some issues that people distinguish when discussing decentralized crypto exchanges, which will be discussed further in this Bibox exchange review.

    Easy to Use

    It’s essential to select a platform that makes it easy to buy and sell cryptocurrencies if you’re into daily trading. Fees and security measures are important, but usability should not be overlooked.

    Bibox offers a user-friendly interface, making it ideal for beginners. The exchange provides all the necessary information to make informed decisions. These includes the current value, lowest price per day, fluctuations in the trade, and the highest price for 24 hours. Additionally, Bibox has a mobile app available for IOS and Android devices, which can be downloaded from the App Store and Google Play.

    Very Secure

    Bibox ensures the highest level of security for its users with SSL encryption technology, multi-factor authentication and Google 2-Step Verification.

    For maximum security, it is recommended to store the majority (if not all) of your cryptocurrencies in secure wallets such as Ledger (Nano S and Nano X) and Trezor (One and Model T). These cold wallets keep your private keys offline, ensuring your assets are kept away from prying eyes.

    Key Disadvantages of Bibox

    Despite all the positive aspects of Bibox exchange, there are some drawbacks that should be taken into consideration. For those looking for a reliable cryptocurrency exchange platform, Binance, Kraken, and KuCoin are more suitable options.

    Doesn’t Support Fiat Currencies

    One of the biggest issues with Bibox is that it does not support fiat currencies, meaning users must first purchase cryptocurrencies on another platform and then transfer them to Bibox. To make this process easier, we have provided a step-by-step guide on how to make a deposit at the end of this Bibox review.

    Bibox offers a wide selection of over 50 cryptocurrencies to trade against Ethereum or Bitcoin, including but not limited to:

    • BTC
    • ETH
    • LTC
    • EOS
    • BIX
    • NEO
    • QTUM
    • etc.

    After buying cryptocurrencies, you can choose from a wide range of available options, so you don’t have to worry about the supported coins.

    Negative Reviews Online

    When conducting research for this Bibox review, I encountered a large number of negative reviews. Despite not having any issues when using this platform, I paid close attention to what other customers had to say. It’s wise to be cautious when reading online reviews about any company. Many customers have reported that they were unable to delete their accounts, as well as claims of fake volume and hidden fees.

    Decentralized = Not Controlled

    Bibox is a decentralized exchange, meaning that it operates without a central authority. This is beneficial as it allows users to trade directly with each other, without their personal information being stored on the platform. However, this also means that there is no central authority to provide oversight or protection.

    Since there is no central authority controlling the platform, it is vulnerable to hacking. If the platform is hacked, users will not be able to recover their cryptocurrencies.

    How to Use Bibox Cryptocurrency Exchange?

    How to Create an Account on Bibox?

    Create your account on Bibox quickly and easily by following these simple steps:

    1. Create an account on Bibox by clicking the “Sign Up” button on the homepage.
    2. Sign up with your email and password, and enter a referral code (if you have one) to get started.
    3. Click “Receive SMS” to get a 6-digit code for verification.
    4. Create an account now by adding the code to access our services.

    The Bibox registration process is quick and easy, as it is a decentralized crypto exchange.

    How to Make a Deposit on Bibox?

    Make a deposit to your account quickly and easily with this step-by-step guide. Follow these simple steps below:

    1. Access Funds Quickly by Clicking the “Funds” Button at the Top Right Corner of the Page.
    2. Deposit funds quickly and easily by clicking the “Deposit” button at the top of the page.
    3. Choose the currency you wish to deposit and get started now.
    4. Copy your deposit address by clicking “Click to copy” after selecting the asset.
    5. Transfer your cryptocurrencies from your trading platform or wallet to your deposit address by selecting “Withdraw” or “Transfer”.

    Scan the QR code to quickly and securely transfer your assets.

    If you’re looking for the simplest way to purchase cryptocurrencies, Binance is the perfect choice. This digital currency exchange allows you to easily buy the most popular coins with your credit card. Unfortunately, Bibox does not support fiat currencies, so you cannot purchase BTC, ETH, or any other cryptocurrency on the platform with your credit card.

    Choose reliable wallets like Ledger and Trezor to protect your assets from theft. These hardware wallets will ensure your assets are secure.

    Conclusion

    Bibox is a Singapore-based decentralized cryptocurrency exchange that offers low trading fees, good security measures, and an easy-to-use platform. However, it does not support fiat currencies, is not regulated, and has received multiple negative reviews online.

    It is essential to keep your cryptocurrencies secure at all times when using this platform. To ensure the safety of your digital assets, we recommend using a reliable hardware wallet such as Ledger or Trezor. These wallets are also known as cold wallets as they store your private keys offline.

    This Bibox review should have answered all of your questions and prepared you to join the crypto world. If you prefer exchanges that support fiat currencies and have a better reputation, there are plenty of options to choose from.

    Disclaimer: Cryptocurrency trading involves significant risks and may result in the loss of your capital. You should carefully consider whether trading cryptocurrencies is right for you in light of your financial condition and ability to bear financial risks. Cryptocurrency prices are highly volatile and can fluctuate widely in a short period of time. As such, trading cryptocurrencies may not be suitable for everyone. Additionally, storing cryptocurrencies on a centralized exchange carries inherent risks, including the potential for loss due to hacking, exchange collapse, or other security breaches. We strongly advise that you seek independent professional advice before engaging in any cryptocurrency trading activities and carefully consider the security measures in place when choosing or storing your cryptocurrencies on a cryptocurrency exchange.

  • 1inch Exchange, Mooniswap and Chi GasToken: The ultimate review and guide

    1inch Exchange, Mooniswap and Chi GasToken: The ultimate review and guide

    1inch Exchange is a decentralized exchange (DEX) aggregator, designed to roll liquidity and pricing from major DEXs into one platform, offering users the cheapest trades, lowest slippage, and access to a wide range of ERC-20 tokens. According to CoinGecko the exchange has support for 152 Coins and 158 trading Pairs and a Total Volume of over US$ 4 billion. We also take a look at the Exchange’s automatic market maker (AMM)-Mooniswap and their Chi GasToken.


    Summary

    • 1inch is a non-custodial DEX aggregator, with all trades being performed within a single transaction from a user’s Ethereum-based wallet.
    • Popular DEXs integrated into the 1inch protocol include Oasis, Kyber Network, Uniswap, Mooniswap, Balancer and many more. This means that users can swap between nearly any kind of ERC-20 token.
    • The native 1INCH token is both a governance and utility token.
    • The platform has its own gas token “Chi” to help users, especially seasoned traders and arbitrageurs, to reduce gas costs for transactions.
    • The 1inch team has also introduced Mooniswap, a next-generation automated market maker (AMM) with virtual balances, enabling liquidity providers to capture profits otherwise captured by arbitrageurs.

    Let’s look at some of 1inch Exchange features in detail.

    Overview

    DEXs have becoming increasingly popular among users with their varied advantages over its centralized counterparts namely self-custody, increased security, listing autonomy and diversity of coins.

    However, some of the major drawbacks come in the form of thin order books with low liquidity leading to high slippage and expensive transaction cancellations. Moreover, as every order gets submitted to the blockchain, anyone can see a transaction before it gets mined. This visibility leaves every trade susceptible to interception as front runners can pay a higher gas price to incentivize the network to mine their transaction first.

    1inch Exchange is a non-custodial DEX aggregator that aims to tackle the issues of the thin order book and front running.

    Users can swap as well as place limit orders for a wide variety of tokens.

    It is designed to roll liquidity and pricing from all major DEXs into one platform therefore trades via 1inch can be split across exchanges, to minimize slippage and provide the best pricing possible for the desired trade. Mooniswap, Oasis, Kyber Network, Uniswap, 0x Relays and others are all integrated into the 1inch protocol.

    The price and liquidity available from each platform are clearly displayed to the user, along with gas fees. This saves the user both time and clicks, avoiding the need to open multiple exchanges and assess the order books. (www.traveltalktours.com)

    How Does 1inch exchange work?

    1inch Exchange was founded in May 2019 by Sergej Kunz and Anton Bukov, two Russian developers who came together to audit smart contracts. Before founding 1inch, the duo participated and won several bounties at hackathons for MakerDAO, Set Protocol, and Kyber Network.

    To get started, visit https://1inch.exchange/

    How to swap tokens

    The 1inch.Exchange will greet you with the following interface with the option to swap tokens:

    Swap tokens
    Swap tokens

    You can choose which different DEXs you want to place your swap offer on. This is the defining feature that gives users access to a much bigger order book than what would otherwise be available on individual DEXs.

    Users connect their Ethereum wallet, by clicking the yellow “Connect Wallet” button. Once connected, users can select which assets they would like to exchange, and the best available rates. They can also toggle on/off specific exchanges, depending on their preferences. Scrolling down, users can also view the exchange rate going at each individual platform, as well as how much it varies from the best price.

    Exchange rate on each platform is displayed
    Exchange rate on each platform is displayed and difference with best price

    After selecting the assets and the amount to swap, to proceed with the trade, click “SWAP NOW”.

    verify your token swap
    Verify your token swap

    A user will then be asked to confirm their trade. Ensure that the details are correct, and then select “VERIFY”.

    approve transaction in wallet
    Approve transaction in wallet

    Finally, the user will need to approve the transaction within their wallet, and the trade will be processed on the blockchain.

    Transaction successful
    Transaction successful

    How to place a limit order

    Users can also choose to place a limit order on 1inch exchange by clicking on the top right option next to swap:

    Place limit order
    Place limit order

    Staking tokens on 1inch

    Moreover, by clicking on the “Earn” tab next to the limit Order, 1inch provides a platform that allows users to stake tokens and collect revenue from several liquidity pools like Aave, Compound, Uniswap, Balancer, Mooniswap, and so on.

    Stake tokens
    Earn feature allows users to stake tokens in various liquidity pools

    Most decentralized applications (dApps) ask users to allow the app to interact with their wallet.

    Because 1inch is a non-custodial application, it needs to continuously interact with various crypto wallets. 

    1inch calls has integrated a feature called “infinity unlock,” which once unlocked, allows trading activity to occur unhinged. This saves in gas fees each time the application calls to verify an unlock. For power users who interact with DeFi protocols, this can ultimately save them a lot of money.

    1inch Exchange fees

    1inch exchange does not charge any withdrawal fees. The only fee is a network fee which is charged by the exchange the user is routing through (e.g. Uniswap, Kyber Network etc), the amount of which depends on the gas price at the time of transaction execution. Since this fee is charged by the other exchange, 1inch does not actually benefit from this fee in any way. However, users do have the option of saving gas fees by using 1inch’s Chi GasToken.

    1INCH token: What is it?

    On 26th December 2020, the independent Board of the 1inch Foundation released the 1INCH token.

    Free tokens are being distributed to the community to celebrate the launch of 1INCH token. Wallets that have interacted with 1inch until 12:00a.m. on 24th December 2020 (UTC) will get 1INCH tokens provided that 1 of the 3 conditions have been met: (1) at least 1 trade before 15th September 2020; (2) at least 4 trades in total; or (3) trades for a total of at least USD$20.

    The token is both a governance and utility token. As a governance token, 1INCH will be used to govern its network protocols and thus allowing it to be governed under the Decentralised Autonomous Organisation (DAO) model.

    To catch up with the farming phase, 1inch has also started a new liquidity mining program with 6 liquidity pools (1INCH-ETH, 1INCH-DAI, 1INCH-WBTC, 1INCH-USDC, 1INCH-USDT and 1INCH-YFI). This is to bootstrap the 1inch Liquidity Protocol by using the 1INCH token as a utility connector token. To incentivise people to participate, 1INCH tokens will be distributed to users that provide liquidity to these pools. Furthermore, during the first 2 weeks of this program (i.e. until 9th January 2021) an additional 0.5% of 1INCH’s total supply will be distributed to liquidity providers.

    1INCH tokenomics

    The current total supply is 1.5 billion 1INCH tokens.

    On 26th December 2020 (i.e. launch day), 6% of the total supply will be issued. Other tokens will continue to be released over time as follows:

    • 30% has been allocated to community incentives which will be unlocked and distributed over 4 years.
    • 14.5% will go towards protocol growth and a development fund, also to be unlocked over a 4-year period.

    Is 1inch Exchange safe?

    1inch Exchange is a non-custodial DEX aggregator. This means your cryptocurrencies are not held by the Exchange at any time, unlike some centralised exchanges where your cryptocurrencies are stored in their wallets for trading. It is also worth noting that 1inch Exchange so far has a spotless record of not suffering any hacks or vulnerabilities so far.

    Chi GasToken

    Chi Gastoken, known as “Chi” was launched by 1inch in June 2020.

    The innovative project placed first at DeFi’s “Hack Money” event in May 2020 and was made available to users thereafter.

    Gas is similar to fees banks charge on money transfers. Unfortunately, it’s nearly impossible to predict the exact size of the gas fee due to market volatility. You can monitor the Ethereum network’s gas fee on a daily basis on Eth Gas Station.

    What is the Chi GasToken? Does it really help save transaction fees?

    The Chi GasToken is an ERC20 token meant to be used on 1inch exchange to pay transaction costs. Chi is pegged to the Ethereum network’s gas price. When the gas price is low, the Chi price is also low, and the vice-versa.

    The idea is similar to the GasToken token concept but with some improvements: Buying (minting) Chi saves you 1% in comparison to minting GasToken (GST2). Whereas the selling (burning) of Chi saves you 10%, compared with GST2.

    Mooniswap: What is it?

    Automated market makers (AMM) are smart contracts that create a liquidity pool of ERC20 tokens, which are automatically traded by an algorithm rather than an order book. This effectively replaces a traditional limit order-book with a system where assets can be automatically swapped against the pool’s latest price.

    Unfortunately, traders conducting front-running can steal from liquidity providers by trading on the price swings making this problem undeniably important.

    In August 2020, the 1inch team released their novel automated market maker (AMM), Mooniswap. This new AMM can keep most of the slippage revenue in the pool by maintaining virtual balances for different swap directions. When a swap happens, a market maker does not automatically apply the invariant algorithm and displays the new prices for upcoming trades. The AMM improves exchange rates for arbitrage traders slowly, over approximately a 5-minute time period. As a result, arbitragers can collect only a portion of slippage, while the rest remain in the pool shared among liquidity providers. By such a delay in price updates, the market maker creates a highly competitive environment for arbitrageurs forcing them to perform trades at less profitable prices, which in turn add value to the liquidity providers.

    The team has done multiple simulations of Mooniswap performance based on real-world data and compared the results with Uniswap V2. Below, you can find the charts that display trading volume, cumulative price slippage, the income of Uniswap V2 liquidity providers, along with the prediction of Mooniswap liquidity providers income.

    comparison of uniswap and mooniswap income
    Comparison of Uniswap V2 LP income with potential Mooniswap LP income on different pools

    On average Mooniswap is expected to generate 50% to 200% more income for liquidity providers than Uniswap V2 due to redirection of price slippage profits.

    Conclusion: Pros and cons of 1inch Exchange

    Here are some pros and cons of 1inch exchange based on our user experiences:

    Pros

    • The Exchange’s interface is very clear and intuitive with a good track record without any hacks so far.
    • 1inch exchange does not charge any withdrawal fees, except for the network fee.
    • Liquidity is a significant issue on decentralized exchanges. Not only is liquidity low on DEXes in general, but this liquidity is further fragmented across several different DEXes, worsening the problem making large-volume trades susceptible to significant slippage. 1inch solves this by splitting orders across exchanges yet keeping the trade within one transaction.
    • Chi GasTokens help users, especially those who trade on a daily basis and arbitrageurs, to reduce gas costs for their transactions.
    • Their novel automated market maker (AMM) used in Mooniswap capitalizes on user slippages and protects traders from front-running attacks.

    Cons

    • Even with helpful tutorials by the 1inch team, there is still a steep learning curve to make use of the many features the Exchange has to offer. New crypto investors are restricted from trading in this platform since it does not accept any deposit method other than cryptos.
    • The infinity unlock feature might act as a potential point of attack for hackers. Even though unlocking transactions one at a time is slightly more expensive, it is more secure as users aren’t always linked to the protocol should it be compromised.
    • We have seen the dominance of Uniswap grow tremendously over a small time period. If a single DEX ends up becoming far more significant than its competitors, the role of DEX aggregators could diminish.

    In conclusion, we find that the benefits of the 1inch Exchange far outweigh the drawbacks as it attempts to solve some of the direst issues plaguing the growth of the DeFi ecosystem. The platform is definitely geared towards traders with a bit more experience, particularly those who trade the major cryptocurrencies and across multiple DEXs. Over time as users overcome the initial learning curve and user experience improves in this industry, 1inch might emerge as one of the most important trading platforms for the rapidly expanding DEX ecosystem.

    Disclaimer: Cryptocurrency trading involves significant risks and may result in the loss of your capital. You should carefully consider whether trading cryptocurrencies is right for you in light of your financial condition and ability to bear financial risks. Cryptocurrency prices are highly volatile and can fluctuate widely in a short period of time. As such, trading cryptocurrencies may not be suitable for everyone. Additionally, storing cryptocurrencies on a centralized exchange carries inherent risks, including the potential for loss due to hacking, exchange collapse, or other security breaches. We strongly advise that you seek independent professional advice before engaging in any cryptocurrency trading activities and carefully consider the security measures in place when choosing or storing your cryptocurrencies on a cryptocurrency exchange.

  • Yearn.Finance merging the DeFi Ecosystem

    Yearn.Finance merging the DeFi Ecosystem

    The decentralized finance (DeFi) space has grown to include platforms in various sectors such as spot trading, derivatives, and futures. Interestingly, some networks such as Yearn Finance support yield farmers and liquidity providers through an aggregation service.

    Instead of offering spot trading, lending, or borrowing functionalities, it allows users to deposit funds, then it distributes it based on projected returns and the risks involved.

    However, this isn’t enough to drive meaningful DeFi adoption. Therefore, Yearn followed the partnership route to expand its ecosystem and to improve interoperability between DeFi systems.

    In this article, we look at the most impactful partnerships in the Yearn ecosystem:

    Yearn + SushiSwap

    Yearn x SushiSwap
    Yearn x SushiSwap (source: Yearn x Sushi èĄŒăŁăŠăăŸă™ medium article)

    On November 3, 2020, Yearn’s creator, Andre Cronje, took to Medium to announce the coming together of his platform and Sushiswap. The connection between the two platforms meets as Sushi improves its automated market-making (AMM) outlooks while Yearn digs deeper into aggregating formulas. These qualities brought a need for cooperation between them, leading to:

    • A combination of development resources.
    • A rise in the total value locked (TVL) on each platform.
    • Working together to develop and launch Deriswap, a platform bringing together spot trading, derivatives, and futures trading.
    • Introducing Keep3r Network, an on-chain price oracle on the second iteration of Sushswap.
    • Additionally, liquidity providers on Sushi provide collateral for the Sushi money market.

    Partnership with Cream Protocol

    The DeFi aggregator platform partnered with Cream, a lending network similar to Aave, in developing the system’s second version. With the partnership, the Yearn and Cream team created Cream V2, which introduced or enhanced leverage and lending features. Notably, the new platform enables yield farming using leverage.

    Yearn x CreamProtocol
    Yearn x Cream Protocol (source: Yearn & Cream v2 merger medium article)

    Additionally, Cream V2 acts as a springboard to power stable credit and yet-to-be-built lending functionalities. Apart from merging resources allocated towards development and seeing a rise in individual TVL, the partnership saw shares in Yearn Vaults qualify to provide collateral in Cream.

    One feature added to Cream’s new version includes rotating multi-signature keys in order to improve deployment, iteration, and testing. Unchanged features include those that touch on governance and native tokens.

    Akropolis and Yearn

    Yearn x Akropolis
    Yearn x Akropolis (source: Όα Ï„ÎżÎœ ΔÎčα! Yearn x Akropolis medium article)

    The partnership is rather a unique one. Why? It aims to bring out the best in each platform’s team. Therefore, each team continues with their previous journey but leans on the other if they need help.

    Furthermore, Akropolis users can access Yearn and a host of other networks such as Cream and Pickle. In return, Yearn investors benefit from Akropolis’s investment strategies and a pool of institutional networks. The partnership between the two platforms brought with it improvements on Akropolis.

    For instance, there was a development of new vaults, an institutional application, some strategies, and a rotation of multi-signature. In addition, Akropolis’s native token was upgraded to be able to track losses.

    The PowerPool Partnership

    PowerPool is a decentralized protocol accumulating governance strengths in systems built on the Ethereum blockchain. In short, it brings together governance tokens from a wide range of DeFi protocols, such as Compound and Balancer.

    Yearn x Powerpool
    Yearn x Powerpool (source: Yearn Finance Newsletter #13)

    The partnership with Yearn Finance connected YFI, the governance token on Yearn, with PowerPool’s PowerIndex. PowerIndex provides a DeFi index inspired by distributed exchange-traded funds (ETFs). The index exudes meta-governance functionalities and contains eight tokens, including YFI.

    Note that the meta-governance aspect rides on concentrating user tokens from different DeFi platforms into a single contract. Next, the tokens’ voting weight is delegated to a group consensus. Notably, the contract generates a token that its holders can use to decide the other tokens’ fate in the pool.

    So, what does the partnership bring to Yearn?

    • Having a share of the index gives DeFi lovers a share in Yearn.
    • It increases participation in YFI governance issues.
    • PowerIndex supports swapping. Thus, anyone can exchange another platform’s token with YFI and vice versa.
    • In return, Yearn benefits from more liquidity. Additionally, pooling YFI helps stabilize its price.

    The Cover Merger

    Although Cronje formally announced the partnership on November 28, 2020, the two platforms have been collaborating since Cover’s launch. The marriage between the two opens doors to advanced features targeting optimization, among other aspects.

    The partnership allows Curve to provide backstop coverage to products built on Yearn. Their coming together allows Cronje’s network to enjoy Cover’s range of coverage known for supporting multiple collaterals. Yearn can mitigate risks for users through vault coverage. That’s not all. Underwriting coverage on Yearn becomes more profitable.

    Yearn x Cover (source: Yearn & Cover merger medium article)

    Fortunately, the benefits aren’t one way. For Cover, it’s hoisted to expand its wings to unchartered money markets. Additionally, it’s empowered to seek a bigger share of perpetual coverage and other products in the market. However, components such as the native COVER currency remain intact.

    Pickle and Yearn

    Yearn x Pickle (source: Pickle & Yearn ferment co-operation dill medium article)

    This is another key partnership in the Yearn ecosystem. Its uniqueness emanates from the fact that it’s supposed to eradicate duplicate works among the two teams. Doing so lets each team and individuals within a team work on what they’re extremely good at.

    As a result, Pickle will launch new features such as reward Gauges. Governing members on the Pickle ecosystem receive DILL tokens when they lock their tokens for governance-related purposes. DILL holders share Gauge performance, withdrawal, and deposit fees.

    On the other hand, Yearn users, especially Vault depositors, are incentivized to interact with Gauges through Vault shares. The depositors also receive more rewards by setting aside Pickle tokens to receive DILL. (www.chronicpainpartners.com)

    Others benefits originating from the partnership include:

    • A merger of the platforms’ TVL.
    • Pickle finds its way into the Yearn ecosystem.
    • Pickle enjoys Yearn’s security, among other features.
    • Pickle’s reward Gauges rake in incentives from Yearn depositors.
    • The two protocols’ teams work together on strategy creation and split profits from the strategies.
    • There’s an overall increase in rewards for users in both circles.

    Conclusion

    By expanding the Yearn ecosystem, Cronje and his team seek to build an inter-connected DeFi world. With everything connected to everything, DeFi adoption naturally sets in.

    Apart from interconnection and adoption, the partnerships focus on, for example, reducing the duplication of roles within teams working on DeFi projects. This encourages the birth of new products and features to help drive growth in the space.

    In the process, DeFi enthusiasts benefit from enhanced products and yields, which further encourage interaction with DeFi-focused systems.

    Decentralised Finance (DeFi) series: tutorials, guides and more

    With content for both beginners and more advanced users, check out our YouTube DeFi series containing tutorials on the ESSENTIAL TOOLS you need for trading in the DeFi space e.g. MetaMask and Uniswap. As well as a deep dive into popular DeFi topics such as decentralized exchanges, borrowing-lending platforms and NFT marketplaces

    The DeFi series on this website also covers topics not explored on YouTube. For an introduction on what is DeFi, check out Decentralized Finance (DeFi) Overview: A guide to the HOTTEST trend in cryptocurrency

    Tutorials and guides for the ESSENTIAL DEFI TOOLS:

    More videos and articles are coming soon as part of our DeFi series, so be sure to SUBSCRIBE to our Youtube channel so you can be notified as soon as they come out!

    Disclaimer: Cryptocurrency trading involves significant risks and may result in the loss of your capital. You should carefully consider whether trading cryptocurrencies is right for you in light of your financial condition and ability to bear financial risks. Cryptocurrency prices are highly volatile and can fluctuate widely in a short period of time. As such, trading cryptocurrencies may not be suitable for everyone. Additionally, storing cryptocurrencies on a centralized exchange carries inherent risks, including the potential for loss due to hacking, exchange collapse, or other security breaches. We strongly advise that you seek independent professional advice before engaging in any cryptocurrency trading activities and carefully consider the security measures in place when choosing or storing your cryptocurrencies on a cryptocurrency exchange.

  • Coin DeFi($COIN): Cross-chain P2P DEX powered by AI?

    Coin DeFi($COIN): Cross-chain P2P DEX powered by AI?

    Coin DeFi ($COIN) aims to disrupt finance services by democratizing the industry, returning financial sovereignty to the people via decentralized Finance (DeFi). Through Coin Protocol, anyone can make cross-border and peer-to-peer transactions with ease and convenience, without incurring expensive fees. It also offers greater profit-generating opportunities through its stake-based incentive program.

    Background

    Coin DeFi is a project founded by Damon Nam (also the project’s CEO), who worked with Microsoft for 16 years, and has more than 20 years of experience in the tech industry. The team’s CTO, Byron Levels, also worked with Microsoft for 8 years.

    A group of advisors coming from different fields of expertise is supporting the development of the platform. These are professionals who have been known to work on blockchain, artificial intelligence (AI), and marketing initiatives, such as Christina Apatow, founder of FetchyFox, Pete Cashmore, founder of Mashable, Alex Mashinsky, founder of the Celsius Network, and Jeremy Gardener, founder of Augur.

    What is Coin DeFi?

    Coin DeFi is an Ethereum-based DeFi platform designed to facilitate a peer-to-peer transaction system that implements a community-based governance model. Through the platform, users can conveniently conduct cross-border money transfers, purchase cryptocurrencies, and earn additional profit from their assets through staking.

    Coin Defi Ecosystem (Source: coindefi website)

    There are two main components to the Coin ecosystem, namely, the COIN protocol and COIN token.

    COIN Protocol

    The COIN protocol is the project’s blockchain platform powered by smart contracts. The deployment of smart contracts enables the network to achieve greater performance and scalability while facilitating peer-to-peer transactions without the need for any third-party oversight.

    The COIN token is the backbone of the protocol’s economy. It is the platform’s native cryptocurrency asset that primarily functions as a medium of exchange as well as a staking token. It is also required for the execution of smart contracts on the platform and in backing the incentive scheme for the protocol’s liquidity providers. More details on this later.

    COIN Exchange

    The platform also features a non-custodial, peer-to-peer crypto-assets exchange. COIN Exchange is a cross-chain, decentralized wallet and exchange supported by smart contracts that enable atomic swaps complemented with AI technology.

    Some of the digital assets that can be traded in the protocol are Bitcoin (BTC), Ethereum (ETH), and a selection of ERC-20-compliant tokens. Since the platform features cross-chain atomic swaps, a user can trade any token with another digital asset through the platform, even if they belong to different chains.

    To facilitate these peer-to-peer trustless, and cross-chain swaps on the exchange, it utilizes Hashed Timelock Contracts (HTLC). Basically, this is a system that requires transaction recipients to first acknowledge payments by way of a cryptographic proof within a defined time period, which is also the same technical framework implemented in Bitcoin’s Lightning Network.

    Liquidity

    Liquidity is a common concern amongst many decentralized exchanges (DEXs). To address this, COIN partnered with Coinbase to leverage their order books. This is facilitated by a matching algorithm that combines the liquidity in COIN and Coinbase order books.

    What the platform earns from transaction fees, they use for their COIN buyback programs and pool deposits. Here, half of what they earn is redistributed to liquidity providers and market makers as a reward. The rest is allocated to buy COIN tokens back to support its supply of liquidity and staking reserves.

    Governance Model

    The governance of the platform follows the Decentralized Autonomous Organization (DAO) model, one that is community-driven.

    In this framework, COIN holders are considered the protocol’s stakeholders. Developers on the platform can propose protocol amendments, upgrades, features, and other changes, which stakeholders have to vote on before they are deployed. If the community doesn’t agree with any proposed modification on the protocol, it can be rejected by the community if it doesn’t garner enough votes.

    Coin DeFi’s Native Token ($COIN)

    COIN is the platform’s native utility token. Apart from functioning as a medium of exchange, the token can be used to pay for the platform’s transaction fees, staking, and voting. The incentive system of the platform also utilizes COIN tokens as its rewards.

    COIN is also a network access token, which means that the token is required to execute smart contracts, represent their voting rights, and compensate liquidity providers.

    $COIN Buybacks (Source: CoinDefi Pitch Deck)

    Staking

    $COIN can be used to supply liquidity to the platform. Furthermore, there are smart contracts designed to enable staking functions on the protocol. COIN holders only need to deposit their tokens and lock them in smart contracts. In return, they can earn additional COIN tokens as a reward.

    The reward for stakers is in proportion with the amount that they staked, prevailing interest rates, and the duration of their stake.

    A portion of the COIN tokens deposited on staking smart contracts goes to the platform’s staking reserve. This is used to supply funds that are redistributed to long-term COIN stakers. Around 25% of all COIN tokens in circulation fills the supply of this pool.

    $COIN Distribution (Source: CoinDefi Pitch Deck)

    Coin DAO

    The protocol also enables the implementation of a DAO, through a stakeholder model represented by COIN tokens, which enables the community to gain better control over the direction of the platform, including the introduction of new products, amendments to the existing protocol, and other forms of protocol modification, through a stake-based voting system.

    COIN holders can deposit tokens in the governance smart contract within the platform. The amount of tokens that holders lock in these contracts guarantee them an equivalent voting power on the platform. For example, a user who has locked 100 COIN tokens gains an equivalent of 100 votes as a consequence.

    Conclusion

    There are a lot of DeFi projects in the cryptocurrency space today. While Coin DeFi’s objective is a promising alternative away from the traditional financial system, it certainly comes with a lot of other competitors in DeFi offering the same financial products and services as well.

    From where the project stands today, it still has a lot to prove when compared with the more prominent DeFi platforms and exchanges. Perhaps its biggest strength is its AI assistant implementation to support platform users, but we have yet to see how that will be developed for the benefit of its user base. As a relatively young DeFi project, how it will grow its own community in the months ahead is going to be a significant factor in assessing how successful the project can be.

    Decentralised Finance (DeFi) series: tutorials, guides and more

    With content for both beginners and more advanced users, check out our YouTube DeFi series containing tutorials on the ESSENTIAL TOOLS you need for trading in the DeFi space e.g. MetaMask and Uniswap. As well as a deep dive into popular DeFi topics such as decentralized exchanges, borrowing-lending platforms and NFT marketplaces

    The DeFi series on this website also covers topics not explored on YouTube. For an introduction on what is DeFi, check out Decentralized Finance (DeFi) Overview: A guide to the HOTTEST trend in cryptocurrency

    Tutorials and guides for the ESSENTIAL DEFI TOOLS:

    More videos and articles are coming soon as part of our DeFi series, so be sure to SUBSCRIBE to our Youtube channel so you can be notified as soon as they come out!

    Disclaimer: Cryptocurrency trading involves significant risks and may result in the loss of your capital. You should carefully consider whether trading cryptocurrencies is right for you in light of your financial condition and ability to bear financial risks. Cryptocurrency prices are highly volatile and can fluctuate widely in a short period of time. As such, trading cryptocurrencies may not be suitable for everyone. Additionally, storing cryptocurrencies on a centralized exchange carries inherent risks, including the potential for loss due to hacking, exchange collapse, or other security breaches. We strongly advise that you seek independent professional advice before engaging in any cryptocurrency trading activities and carefully consider the security measures in place when choosing or storing your cryptocurrencies on a cryptocurrency exchange.

  • Shadows Network ($DOWS): new hub for synthetic assets?

    Shadows Network ($DOWS): new hub for synthetic assets?

    Shadows Network ($DOWS) aims to be a hub for people to issue, trade, lend and borrow synthetic assets. The protocol is built using the Substrate blockchain network and is compatible with the Polkadot ecosystem.

    Background

    Iror Chen and Bruce Lin lead the Shadows project. Apart from being the co-founders, they double as the CEO and CTO, respectively. The two have extensive experience in diverse fields. To elaborate, Chen previously worked for Amphenol Group while Lin worked for Baidu.

    Other Shadows team members include Ted Shao (co-founder and COO), Claire Cai (co-founder and CMO), Sue Xia (overseas CMO), and Liang Li (risk control).

    Shadows’ list of partners includes Consensys Lab, NGC Capital, Polka Fund, Blocksync, DuckDAO, OneMax Capital, Oasis Capital, among others.

    What is Shadows?

    Shadows is a distributed platform focusing on the issuance, borrowing, lending, and trading of synthetic assets. The project leverages the Substrate framework that powers other popular DeFi networks like Polkadot.

    Note that synthetics are derivatives or clones of real-world assets. Derived assets can be of anything from cryptocurrencies, stocks, indices, fiat, and commodities. Also called synths, they enable holders to share in the profits and losses of an asset without necessarily having such asset in their portfolio. Doing so opens the DeFi scene to a global audience who would be locked out of the space.

    The platform sits on the Polkadot network as a parallel thread. As such, it has inter-chain compatibility with other platforms leveraging EOS and Ethereum to focus on synthetic assets. Cross-chain support opens the network to more blockchain-based assets. For instance, users can use Ethereum (ETH) or Bitcoin (BTC) to create synths.

    Shadows integrates an off-chain worker to help capture the system outside the blockchain. Note that the platform uses the worker to replicate trusted oracles. Furthermore, the oracles receive data from external decentralized platforms to trigger activities inside the blockchain. Unfortunately, traditional oracles suffer from security, efficiency, and scalability.

    The worker employs Substrate allowing it to perform non-deterministic tasks such as encryption and web requests, and other long-running tasks. The Shadows network achieves the above features through a layered system, focusing on different aspects of synthesizing the assets.

    Critical Areas on the Synthetic Network

    Synthetic Asset Issuance Agreement

    The platform secures the synths using its native asset, DOWS (more on this later). Users deposit the token into a smart contract for them to gain a right to create synthetics on the network.

    Consequently, the created tokens are DOWS backed. To reclaim back their tokens, users have to burn their synths. Note that the platform needs a collateralization ratio of 800 percent.

    Synthetic Asset Transaction Agreement

    The agreements support the trading of synths. These agreements minimize slippage and insufficient liquidity. Also, they ease and provide efficient trading.

    Debt Collateral Lending Agreement

    The platform employs lending pools that hold users’ debt into the pool to facilitate lending activities. How this works is simple. To elaborate, the borrowers access the pool to place a synth debt.

    Next, they pay interest and receive the loan in synthesized USD (xUSD). The need for xUSD funding is to provide flexible financing.  This funding option offers a balance between demand, supply interest, and rates.

    What Drives the Shadows Network?

    Four significant aspects power the platform.

    1. Rewards system – Users are rewarded when they use the native token to create synths. However, the rewards only apply to those who have reached the needed collateralization ratio.
    2. Governance – In the DeFi scene, governance is everything. On Shadows, the native token gives holders a voice when making governance decisions. Some areas falling under community governance include upgrading.
    3. Staking – The base asset does more than just governance, the token can be staked as collateral and at the same time benefit from staking rewards.
    4. Trading bonus – This goes to DOWS holders and is generated by those trading on the platform.

    How Does Shadows Work?

    First, note that the platform is compatible and connects to Polkadot.

    How Shadows Network works
    How Shadows Network works

    It works as an off-chain enterprise that connects to various parts such as inflationary supply, fee pool, and external services. It connects to Polkadot as a single service.

    The Protocol Offers Three Types of Incentives.

    The first type of incentive is where a user is charged 0.3% as the trading fee. How is this an incentive? It’s because they can send it to a fee pool and receive a mortgage in terms of DOWS.

    However, the trading fee incentive’s applicability varies between users because it’s dependent on the amount of debt that the user has and the amount in the debt pool.

    The second type of incentive goes to mortgagors who benefit from holding the base asset on a weekly basis. Notably, the amount of bonus received depends on how much debt the mortgagor has in the debt pool.

    Third comes rewards for lenders in the lending pool. These incentives have a weekly timeline.

    The Shadow Token ($DOWS) tokenomics

    DOWS is the backbone of the Shadows network. Apart from governance, casting synths, lending, and distributing rewards, the token can also be used to power the token destruction mechanism.

    The destruction part utilizes the transactions and debit pool fee. And, it follows a fixed ratio of 30% per week. Note that the token’s destruction is automatically driven by a smart contract. Observe that this makes the native token a deflationary base asset.

    Shadows did a double Initial DEX Offering (IDO) on Ignition and DuckSTARTER. The allocation of tokens were as follows:

    • Ecological Incentives: 63% — 63,000,000
    • Early Investors: 20% — 20,000,000
    • Foundation: 10% — 10,000,000
    • Advisors: 5% —5,000,000
    • Liquidity Provision: 2% — 2,000,000

    The vesting periods for various allocations are as follows:

    Shadows ($DOWS) vesting period
    Shadows ($DOWS) vesting period

    Is Shadows Network safe?

    Recently the Shadows project faced some accusations because they are allegedly connected to another project that recently suffered an alleged “hack” of their smart contract.

    On 6th March 2021, the Team Tweeted to address the concerns, saying that their smart contract codes were audited twice by Certik. And on both occasions the contracts were found to be secure and met the highest security standards.

    The Team in their Tweet on 7th March 2021 also said that Shadows Network uses a proxy contract to upgrade its smart contract and deliver key functions such as issuing, trading, borrowing or lending synthetic assets on the network. Most notably, the proxy contract will deploy incentive DApps for users such as LP staking and DAO governance etc. From these Apps, 63 million $DOWS (representing 63% of the total supply of $DOWS) will be minted as a reward to the community. Once all 63 million $DOWS have been released, the Team will permanently remove the mint function from the Shadows smart contract. This has the effect of stopping the Team from producing any more $DOWS and most importantly, to potentially prevent the price of $DOWS from being diluted.

    Further, this proxy contract and ERC20 contract are kept secure through multisig and is on Openzeppelin- an open-sourced protocol. The Team also notes that other popular names in the cryptocurrency scene i.e. Compound and Coinbase also use Openzeppelin.

    Conclusion

    Shadows helps bring traditional assets onto the blockchain. In doing so, the platform opens the conventional assets to more users. For instance, it brings these assets to DeFi users and those who don’t want to hold real crypto assets.

    Notably, the platform takes on a layered-approach to bring these possibilities to life-enhancing functionalities. Furthermore, the DOWS token helps power different aspects of the Shadows network.

    Disclaimer: Cryptocurrency trading involves significant risks and may result in the loss of your capital. You should carefully consider whether trading cryptocurrencies is right for you in light of your financial condition and ability to bear financial risks. Cryptocurrency prices are highly volatile and can fluctuate widely in a short period of time. As such, trading cryptocurrencies may not be suitable for everyone. Additionally, storing cryptocurrencies on a centralized exchange carries inherent risks, including the potential for loss due to hacking, exchange collapse, or other security breaches. We strongly advise that you seek independent professional advice before engaging in any cryptocurrency trading activities and carefully consider the security measures in place when choosing or storing your cryptocurrencies on a cryptocurrency exchange.

  • My Neighbor Alice ($ALICE): merging NFT and gaming

    My Neighbor Alice ($ALICE): merging NFT and gaming

    My Neighbor Alice is one of the new blockchain-based applications that benefited greatly from the ongoing Non-fungible tokens (NFT) hype.

    Basically, My Neighbor Alice is a game that utilizes blockchain technology and NFTs as a backbone for their mechanics. It has two main target markets: those who are looking to play new multiplayer games and cryptocurrency enthusiasts. By meshing the world of game and crypto together, ALICE has become an interesting development in the use cases for NFTs.

    Background

    There are a lot of blockchain-based games already launched in the space. They come in many themes, but most often, their aim is to create an online community where people can interact with each other and be introduced to crypto at the same time.

    One of the most popular NFT-based games right now is Decentraland. This game allows you to purchase a virtual land in a digital world which you can customize according to your own plan. You can also interact with other players and exchange in-game items with the support of the NFT technology.

    Today, the newest NFT-based game that gained widespread popularity is My Neighbor Alice. It was launched in Binance in March 2021 and had over 220% increase in token value within its first 24 hours since listing. The game, however, isn’t just for the blockchain aficionados. It is for everyone, no matter how new they are to crypto. It’s also worth mentioning that the game was purposefully created to cater to crypto’s underserved market — women.

    What is My Neighbor Alice?

    My Neighbor Alice is a blockchain-based, multiplayer builder game built on top of the Chromia network. The mechanics are simple. In the game, you can purchase virtual islands, collect in-game items, and interact with other players in its digital world. You can also pursue your tasks or help out your neighbor, called “Alice,” to earn rewards. You can use these rewards to purchase other in-game assets, which you can also sell later in its supported NFT marketplaces.

    These NFTs can be anything you’d find in the game. These may be houses, animals, plants, or any other decorative item that players put in their virtual land. Users may trade these items if they want to but they also have the option to rent them to others.

    Island on My Neighbor Alice
    Island on My Neighbor Alice (Image Credit: My Neighbor Alice)

    What are the main features of My Neighbor Alice?

    • Marketplace – This is where users can buy, sell, or trade their in-game assets, which are represented by NFTs.
    • Virtual Islands – This is a parcel of land that users have to purchase to participate in the game. These islands can be bought from the ALICE app or the marketplace. Like in-game items, they are represented by NFTs and can be decorated however the user wants to.
    • Avatars – The users are given a character, called avatar, to interact with other players. These can also be modified however the user wishes to.
    • In-game Assets – All items that can be found in the game are in-game assets which users can purchase or sell on the marketplace. But beyond that, users are free to create new assets with the help of ALICE’s NFT creator.
    • Reputation System – The game implements a reputation system where players who do good as a “citizen” in ALICE’s virtual world are rewarded. This can also be improved by users purchasing more virtual islands or NFTs. There is also a tier reputation system that grants users with access to different items or rare NFTs according to their status.
    • Shared Quests and Community Events – To foster a gaming environment that showcases cooperation and friendship, the game has tasks that put people on a shared goal. The players can also launch their own events to gather and interact with others.
    • On-chain Forum – There will be a forum where users can discuss game activities and talk about other topics related to the roadmap of the game development.

    Why Build it on Chromia?

    There are multiple other blockchain platforms today that aim to enable decentralization. Perhaps the most popular is Ethereum, the second-biggest blockchain network today. However, it is difficult to build and scale new decentralized applications (dApps) there due to network congestion issues and extremely expensive gas fees. To address these concerns on the network, the developers built the game on the Chromia platform.

    Chromia Network is a blockchain platform on top of Ethereum that aims to address the scalability issue found in the implementation and development of dApps. One of its biggest use cases is it allows dApp developers to issue CHR-backed tokens. Today, Chromia has projects supporting real estate, finance, and gaming initiatives. One of them is ALICE.

    ALICE Token

    $ALICE is the native utility token for the game. It is an ERC-20 token that users can utilize to participate in the game or collected as a store of value. ALICE is the currency used by users as a medium of exchange, as well as to purchase NFTs represented as in-game assets.

    ALICE token uses
    ALICE token uses (Image Credit: My Neighbor Alice)

    Staking

    The platform will soon enable the possibility for users to stake their tokens to earn additional ALICE as a reward. For now, there are platforms like Binance that allow staking of tokens, such as CHR, USDT, and BNB, to earn ALICE.

    Governance

    The game will have a community council that decides how the game ecosystem moves forward. This follows the Decentralized Autonomous Organization (DAO) model where ALICE token holders vote on important protocol proposals.

    Conclusion

    ALICE had the tremendous backing of investors in the cryptocurrency space when it first came to the market. This can also be because the project’s aims are beneficial for the whole network. Introducing blockchain technology to a whole new group of people who might have never heard of it is a promising initiative in achieving greater adoption.

    The first step in pushing for adoption is to make people understand that crypto and NFTs aren’t too complicated after all and that blockchain isn’t just about Bitcoin, DeFi, or payments.

    Alice has it all. The game mechanics are simple, the developers are preparing DeFi opportunities for token holders, and the whole platform is decentralized. It is also launched via Steam, one of the biggest gaming platforms today.

    Disclaimer: Cryptocurrency trading involves significant risks and may result in the loss of your capital. You should carefully consider whether trading cryptocurrencies is right for you in light of your financial condition and ability to bear financial risks. Cryptocurrency prices are highly volatile and can fluctuate widely in a short period of time. As such, trading cryptocurrencies may not be suitable for everyone. Additionally, storing cryptocurrencies on a centralized exchange carries inherent risks, including the potential for loss due to hacking, exchange collapse, or other security breaches. We strongly advise that you seek independent professional advice before engaging in any cryptocurrency trading activities and carefully consider the security measures in place when choosing or storing your cryptocurrencies on a cryptocurrency exchange.

  • INTRODUCING EGGPLANT FINANCE ($EGGP): SMART NFTS ARE THE MOST EGGCITING WAY TO DO DEFI

    INTRODUCING EGGPLANT FINANCE ($EGGP): SMART NFTS ARE THE MOST EGGCITING WAY TO DO DEFI

    Eggplant Finance uses the power of Binance Smart Chain to become the next-generation gamified DeFi platform that enables users to invest in various DeFi products.

    Anyone can make crypto gains with Eggplant Finance’s yield farms while collecting their favorite NFTs. Moreover, staying true to the decentralized finance’s spirit, there is no KYC (know-your-customer) policy. 

    Starting June 2021, Eggplant Finance will launch their anticipated limited edition Smart NFTs.

    Eggplant finance
    Eggplant Finance

    Why Choose Eggplant Finance?

    Aside from the hilariously cute Eggplant mascot, Eggplant Finance offers: 

    • Yield farming with Eggplant Finance is easy as 1-2-3. Simply connect your Meta Mask (or Trust Wallet) to Eggplant Finance and you can start earning crypto (up to 800% APR) 
    • Eggplant Finance’s native token ($EGGP) enables anyone to participate in the platform of digital art, blockchain gaming and decentralized finance. 
    • Trade your favorite tokens without KYC on Eggplant Finance’s swap platform.
    • Collect and utilize digital artwork NFTs (non-fungible tokens). Use our NFTs to gain cool bonuses. 

    If you love blockchain gaming and NFTs, then you’ll love Eggplant Finance’s Smart NFTs. Read below for more details.

    Eggplant Finance buy NFTs
    Buy NFTs on Eggplant Finance

    Eggplant Finance NFTs Explained (Gotta catch ‘em all) 

    Eggplant NFTs aren’t just pretty pictures; these ‘Smart’ NFTs are integrated into Eggplant Finance’s eco-system for a fun and seamless experience.

    Eggplant Finance stake NFTs
    NFT staking on Eggplant Finance

    Equipped with your unique NFTs, you can: 

    • Trade and collect your favorite NFTs on Eggplant Finance market place  
    • Stake your NFTs and gain rewards (airdrops, $EGGP, additional NFTs)
    • Hodl your NFTs to receive free airdrops and automatically enroll in competitions (no cost)  
    • Use your NFTs to gain in-game benefits (we’ve got blockchain gaming!)   
    • Stake your $EGGP to obtain rare edition NFTs. The NFTs enables you to gain bigger in-game benefits and VIP rates. 

    
. and much more! Sounds interesting? Check out Eggplant Finance’s social links below to learn more.

    Eggplant Finance Socials

    Website: https://eggplant.fi 

    Twitter: https://twitter.com/Eggplant_Fi 

    Telegram chat:  https://t.me/Eggplant_Fi 

    Telegram announcement: https://t.me/EggplantFi_Ann 

    Medium: https://eggplantfinance.medium.com Email: info@eggplant.fi

    About Eggplant Finance

    Eggplant Finance offers gamified DeFi investment, with an emphasis on NFTs and token utility. Powered by the Binance Smart Chain (BSC) network, Eggplant Finance empowers everyone to make crypto gains. 

    Disclaimer: Cryptocurrency trading involves significant risks and may result in the loss of your capital. You should carefully consider whether trading cryptocurrencies is right for you in light of your financial condition and ability to bear financial risks. Cryptocurrency prices are highly volatile and can fluctuate widely in a short period of time. As such, trading cryptocurrencies may not be suitable for everyone. Additionally, storing cryptocurrencies on a centralized exchange carries inherent risks, including the potential for loss due to hacking, exchange collapse, or other security breaches. We strongly advise that you seek independent professional advice before engaging in any cryptocurrency trading activities and carefully consider the security measures in place when choosing or storing your cryptocurrencies on a cryptocurrency exchange.

  • Coinmama Exchange Review (2023): Accessible, User-friendly, and Top-notch Security

    Coinmama Exchange Review (2023): Accessible, User-friendly, and Top-notch Security

    Coinmama is a non-custodial cryptocurrency broker from Israel, incorporated in Europe, and Slovakia, that provides fast, safe, and convenient cryptocurrency gateway services to digital currency enthusiasts in 188 countries, including the United States, with over 2.4 million users. Coinmama is the go-to platform for buying cryptos securely and conveniently, with helpful customer support, a wide variety of payment methods, and high levels of security.

    Sign up here to get started

    What is Coinmama?

    Coinmama is a cryptocurrency broker/exchange based in Israel that offers a fast, safe and fun way to buy digital currency from anywhere in the world. With Coinmama, users can purchase Bitcoin, Ethereum, Litecoin, and other cryptocurrencies with a credit or debit card. The service is available in 43 US states and all countries apart from those sanctioned, such as North Korea. Coinmama has been providing its services since 2013 and is committed to providing a secure and reliable platform for users to buy and sell digital currency. With their easy-to-use interface, users can quickly and easily purchase digital currency with just a few clicks. Coinmama is dedicated to providing a safe and secure platform for users to buy and sell digital currency.

    Coinmama is an exchange broker, meaning it holds the cryptocurrency and sells it directly to you for fiat money. Binance, on the other hand, is an exchange marketplace, which matches two independent buyers and sellers. Both exchanges offer a secure and convenient way to buy and sell cryptocurrencies. Coinmama has over 2 million customers in 188 countries, while Binance is one of the world’s largest cryptocurrency exchanges, with over 15 million users in more than 180 countries. Both exchanges offer competitive fees and a wide range of payment options, making them ideal for both experienced and novice cryptocurrency traders.

    Key Features of Coinmama

    Coinmama is a non-custodial cryptocurrency brokerage that makes it easy to buy and sell crypto for fiat currency, giving users full control over their funds. Other key features of the platform include:

    Capacity to buy and trade cryptocurrencies in 188 nations: Anybody can use Coinmama regardless of where they reside because it offers a global service.

    The ten largest coins are supported: Coinmama is a leading cryptocurrency platform that enables users to purchase Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC), XRP, EOS, QTUM, Bitcoin Cash (BCH), Ethereum Classic (ETC), Cardano (ADA), and Tezos (XTZ) with ease.

    Wide range of payment options: You can purchase cryptocurrency using a credit or debit card, a bank transfer via SWIFT or SEPA, Apple Pay, Fedwire, FasterPayments, Sofort, and more.

    24-hour client service desk: Coinmama boasts of having a top-notch customer support service.

    Non-custodial, safe platform: You don’t run the danger of an additional counterparty with Coinmama because you own your private keys.

    Key Advantages of Coinmama

    Let me first describe the benefits of Coinmama.

    Daily Payment Options

    Coinmama is a popular cryptocurrency exchange that allows users to buy digital assets using their debit or credit card (fiat money). This is a great advantage for those who don’t have any other cryptocurrency to deposit, as many exchanges don’t allow for this. Coinmama is easy to use and almost every major bank issues debit and credit cards backed by Visa or MasterCard, so you shouldn’t have any problems buying from Coinmama, providing you have a bank account! With Coinmama, you can buy cryptocurrency directly from the website, just like ordering your weekly groceries online.

    Get Your Coins Right Away In Your Own Wallet

    Coinmama is a secure and reliable platform for buying cryptocurrencies. With Coinmama, you can purchase coins quickly and easily with your credit or debit card. Your coins are sent to your private wallet as soon as the payment is processed, ensuring that your funds are safe and secure. Coinmama is a great choice for those looking for a secure and convenient way to buy cryptocurrencies.

    User-Friendly Platform

    Coinmama is a cryptocurrency exchange that makes buying cryptocurrency simple and straightforward. With no prior knowledge of trading required, users can open and verify their account, enter their card details and choose how many coins they want to buy. Coinmama offers a variety of features such as market orders and kill-or-fill orders, as well as graphs, charts and statistics to help users make informed decisions. With a user-friendly interface and helpful customer support, Coinmama is a great choice for those looking to purchase cryptocurrency.

    Excellent Support Team

    Coinmama offers a secure and easy-to-use platform, with a wide range of payment options and low fees. If you have any issues with your account, Coinmama has a helpful customer support team available to assist you. You can contact them through live chat during business hours (Sunday-Thursday 9:00-18:00 GMT+3), or via email, support ticket or Facebook outside of these hours. Additionally, their FAQ page provides answers to many common questions.

    Exceptional Security

    It offers users a fast and secure way to buy and sell digital currencies. Coinmama is known for its user-friendly interface and low fees. However, it is important to note that Coinmama experienced a security breach in 2019. Despite this, Coinmama remains a popular choice for those looking to buy and sell digital currencies. It is important to do your own research before investing in any cryptocurrency exchange, and Coinmama is no exception.

    Key Disadvantages of Coinmama

    But, there are also some drawbacks to consider.

     Credit Card Fees

    Coinmama is a cryptocurrency exchange that allows users to purchase cryptocurrencies with their debit or credit cards. It is a great option for those who want to buy cryptocurrency quickly and easily. Coinmama offers competitive rates and a wide range of coins to choose from. However, users should be aware that there is an extra 5% fee when using a debit or credit card to purchase cryptocurrency. Despite this, Coinmama is a reliable and secure platform that is suitable for both beginners and experienced traders.

    Coinmama Fees

    Coinmama is a popular cryptocurrency exchange that allows users to buy and sell digital currencies with real-world money. However, users should be aware that there are fees associated with using the platform. On average, Coinmama charges a 5.5% fee for each transaction, although this can vary depending on the amount of coins being purchased. Fortunately, Coinmama does not charge any withdrawal fees, making it a cost-effective option for those looking to buy and sell digital currencies.

    Only 10 Coins to Choose From

    Coinmama is a broker exchange that allows users to buy Bitcoin (BTC) and Ethereum (ETH) with fiat money. Although it only offers 10 coins compared to other exchanges such as Kucoin which have more than 100 coins available, it still allows users to trade with all the smaller, less popular cryptos. Coinmama is a reliable and secure platform that offers fast transactions and low fees. It also provides customer support and a user-friendly interface, making it a great choice for those looking to buy BTC and ETH.

    Coinmama Verification

    The verification process is simple and straightforward, requiring users to confirm their personal details and upload a form of ID. Once the verification process is complete, users can buy up to $15,000 in coins without needing to provide any more information. The verification process is usually completed within a couple of hours, so users don’t have to wait long to start trading. Coinmama is a secure and reliable platform, making it a great choice for those looking to buy and sell digital currencies.

    Step-by-Step Guide to Buying Coins

    Now that you are fully aware of all the benefits and drawbacks of utilizing Coinmama, I’ll teach you exactly how to purchase your first coins.

    1. First, you will need to visit the official Coinmama website which can be accessed here.

    2. The simplest approach to create an account is to select the amount of bitcoin you wish to buy, enter it, and then click Purchase. Visa, MasterCard, ApplePay, SEPA, and a few other payment methods are accepted by Coinmama.

    3. Your entire name, a secure password, and the nation where you now reside must now be entered.

    4. Don’t forget to click the link Coinmama sent to your email to confirm your email address! If you don’t confirm the email right away, you’ll be asked to do so later.

    5. Once you have logged into your account, navigate to the Buy page, and select what you’d like to purchase – in this case, I’ll assume that it’s Bitcoin.

    6. You will see that you first need to verify your account. Click on “verification“.

    7. You will then be prompted to confirm your full name one more before entering your date of birth, contact information, and full address in the next window. If this doesn’t match the address on your credit card, it won’t be accepted.

    8. You must then input your identity information. Either your passport or your license will do this. Make sure you input the proper information twice to avoid slowing down the procedure. then select Next.

    9. You will then be asked to upload your documents. You will need to upload the front and back of your ID and then the following:

    • A selfie of you holding your ID.
    • An image of you holding a piece of paper saying “Coinmama” with today’s date.

    10. Following your submission, Coinmama will typically validate your ID in under ten minutes. If your pictures are blurry, they can urge you to take new ones.

    11. You will get an email after this is finished and your account has been verified. You can now purchase up to $15,000 worth of cryptocurrencies, congratulations!

    12. To finish your order, simply carry out the earlier stages once more. You will be required to input your debit or credit card information as well as your Bitcoin or Ethereum wallet address on the last step.

    Who Should Use Coinmama?

    Coinmama is a cryptocurrency broker/exchange that makes it easy for first-time buyers to purchase cryptocurrency with a debit or credit card. It is a great place to start if you want to buy a less popular coin, as you will need to trade it with another cryptocurrency such as Bitcoin or Ethereum. To do this, you will need to transfer your Bitcoin or Ethereum over to another exchange that lists the coin you want, and then trade them for that coin. If you cannot find the cryptocurrency that you’re looking for, you should check out Kucoin that has more options to choose from.

    Conclusion

    Coinmama is a popular cryptocurrency broker exchange that allows users to buy Bitcoin, Ethereum, and other cryptocurrencies with their debit or credit card. It is a secure and easy-to-use platform that is available in over 180 countries. Coinmama charges a 5.9% transaction fee and a 5% credit/debit card fee, making it one of the more expensive exchanges. However, it is one of the few exchanges that offer the option to use a debit or credit card, making it a great choice for those looking to purchase cryptocurrency for the first time. Coinmama also offers 24/7 customer support and a wide range of payment options, making it a great choice for those looking for a reliable and secure exchange.

    Disclaimer: Cryptocurrency trading involves significant risks and may result in the loss of your capital. You should carefully consider whether trading cryptocurrencies is right for you in light of your financial condition and ability to bear financial risks. Cryptocurrency prices are highly volatile and can fluctuate widely in a short period of time. As such, trading cryptocurrencies may not be suitable for everyone. Additionally, storing cryptocurrencies on a centralized exchange carries inherent risks, including the potential for loss due to hacking, exchange collapse, or other security breaches. We strongly advise that you seek independent professional advice before engaging in any cryptocurrency trading activities and carefully consider the security measures in place when choosing or storing your cryptocurrencies on a cryptocurrency exchange.

  • Persistence ($XPRT): Bringing DeFi to institutions?

    Persistence ($XPRT): Bringing DeFi to institutions?

    Persistence ($XPRT) is an asset-based lending/borrowing and debt issuance/management hybrid protocol, bringing the power of real-world assets to DeFi. It does so by facilitating crypto-assets borrowing, using real-world assets as invoiced NFTs, and then using them as wrapped financial products.

    Persistence One is designed to enhance the transfer of value between the two worlds of finance by enabling value transfer through seamless interoperability via on-off ramps. It was developed to promote open and inclusive finance in addition to solving inefficiencies in payments and financing.

    Check out our interview with CEO and Co-founder Tushar Aggarwal

    https://youtu.be/rGNtrNUyTEY
    Bridging DeFi and traditional finance- Persistence w/ Tushar Aggarwal

    What is Persistence?

    Persistence is an asset-based lending/borrowing and debt issuance/management hybrid protocol, bringing the power of real-world assets to DeFi. It does so by facilitating crypto-assets borrowing, using real-world assets as invoiced NFTs, and then using them as wrapped financial products.

    Persistence One is designed to enhance the transfer of value between the two worlds of finance by enabling value transfer through seamless interoperability via on-off ramps. It was developed to promote open and inclusive finance in addition to solving inefficiencies in payments and financing.

    Background And History

    The project was launched in January 2020. The Persistence team is multicultural and consists of experienced members with sound technical backgrounds. They come from various traditional finance and blockchain companies. As such, they are familiar with the limitations of the current DeFi and centralised finance (CeFi) systems and are aware of what needs to be improved.

    Persistence protocol is led by CEO Tushar Aggarwal and CTO Deepanshu Tripathi, both with legacy finance applications development experience. The team believes that three core elements namely Capital, Technology, and Media are crucial for the success of a project and work to establish a balance between them.

    How does Persistence work?

    Their mode of operation lies in four steps of (1) tokenization; (2) trading; (3) the origination of debt and (4) its securitization. The process begins with tokenizing real-world assets’ invoices as NFTs. This is done so that the assets can be represented adequately on the blockchain.

    Next, comes the trading of such NFTs against stablecoins.

    Stablecoins are then borrowed by putting real-world assets representing NFTs as collateral, the birth of loans. The fourth and last step is the packaging of the loans into different pools to create fixed income investable products – a process known as securitization of debt. 

    Why use blockchain?

    A key question at this point relates to the reason and advantages of using blockchain for such activities. The mission of Persistence is to increase the speed and efficiency of value transfer, as well as make it more secure. As it happens, blockchains specialize in such matters.

    Some advantages for Persistence to use blockchain for their operations includes:

    1. It allows for capital movement in a trustless, borderless, and “free from time constraints” manner.
    2. Blockchains permit invoices, letters of credit and bills of lading, etc. to be tokenized and turned into divisible assets as NFTs.
    3. Introduces the decentralized exchange for uncensorable and secure trading of real-world assets against stablecoins.
    4. Results in the creation of debt marketplaces for lending/borrowing.

    Persistence’s approach

    Persistence has applied a dual-focus approach for the successful execution of the project. The institutional focus utilizes the asset-based lending use case for physical commodity traders and financiers. Secondly, is the crypto focus, which allows blockchain-based assets to integrate with real-world yield-bearing assets.

    Persistence blockchain system

    As a Proof of Stake (PoS) blockchain system, the protocol has three layers of Persistence chains (app-chains deriving security from the main-chain and its validators), Persistence SDK (a plug and play module system powering functionality on the network), and Persistence dApps (finance-based applications).

    Its design principles are chain sovereignty (independent secure blockchain operation), liquidity, and usability for business purposes. The Persistence protocol blockchain system is privacy-preserving by default yet legal and regulatory-compliant, is integrated with FIAT on and off-ramps, and allows for simplification of processes.

    Persistence SDK is by far the platform’s most important implementation of the blockchain. The Software Development Kit is a system of highly effective modules that enable the creation of marketplaces, yielding to a fast and comprehensive exchange of value.

    Overall, the SDK protocol is characterized by four key features, being accessibility, liquidity, innovation, and sustainability. These factors power the protocol and allow the Persistence One platform to elevate physical commodities on-chain as NFTs. 

    Additionally, through the SDK factors, the platform can efficiently implement crypto with real-world use cases ensuring a continuous stream of sustainable income. By doing so, it unlocks a huge potential for MSME businesses in the DeFi sphere through untapped liquidity; thereby providing tremendous opportunities within the crypto space.

    Persistence’s asset-based lending platform Comdex

    The protocol has developed the Comdex decentralized commodities trading and financing platform that connects commodities traders, while also providing financing facility to sellers. It is commodity agnostic and can allow for trading diverse groups of commodities, ranging from metal to food products.

    Comdex, for regulatory compliance, would require Anti Money Laundering (AML) / Know Your Customer (KYC) checks before on-boarding. It would also feature a trader’s right access system to determine access to particular commodities, opening trade, executable trade size, etc. On top of everything, all activities will be recorded on the open blockchain.

    Comdex is the result of a partnership between the Persistence One dynamic team and trading entrepreneurs in Singapore that rely on the platform’s ecosystem to bring forward blockchain integration. As per recent developments, the Comdex protocol has been gaining traction within the blockchain. 

    Comdex has already managed more than $55 million in transaction volume, far ahead of its competitors in terms of assets on-chain.

    What is pLend, Persistence’s lending platform?

    Backed by real-world assets, Persistence Lend or pLend is a stable coin lending platform that facilitates the supply of liquidity to pools for all Comdex transactions and dealings. pLend empowers stablecoin holders and enables them to supply liquidity, generating huge returns from real-world income and assets.

    So far, pLend’s unique implementation has bridged the gap between traditional finance (TradFi) and DeFi. The lending platform will allow users to engage in the $65B global trade within the financing sector.

    Overall, pLend guarantees participants huge returns on their assets without the need of often unsure mainstream DeFi solutions.

    AUDIT.one

    Described as a subsidiary to Persistence One, AUDIT ensures top-tier validation services for leading PoS networks through secured Tier 3 and 4 data centers across the globe equipped with a multi-cloud architecture.

    Presently, a total of nine networks has entrusted AUDIT.one with approximately $120M worth of assets, including Cosmos, Terra, Matic Network, and NEAR. Additionally, well-known networks like Polkadot and Ethereum 2.0 have shown interest in the Persistence-based protocol.

    Persistence token ($XPRT)

    Persistence has a native token known as $XPRT built as an ERC-20 based token (for now) and has a 100M supply). Its main uses are staking (for participation in network security), community governance (allowing holders to vote on important matters), rewards (for contributing to the network), and work token (deriving value from the activities on the network).

    XPRT StakeDrop

    The StakeDrop campaign is made possible through the pStake protocol that guarantees the issuance of representative tokens (stk Tokens) on Ethereum which are backed by the staked assets. 

    In the case of ATOM; illiquid staked ATOM tokens can be converted to liquid representative ER-20 tokens that can be utilized within the immense and growing DeFi space, backed by the Ethereum blockchain. This means that newly staked ATOMS will now be able for use as collateral when borrowing different stablecoins.

    Through this system, participants are provided with the opportunity to implement differential strategies in accordance with their needs within the blockchain. 

    pStake offers a unique way to stake PoS tokens and in the near future, a percentage of all tokens staked via pStake will also be staked through the AUDIT.one validator, thus ensuring the growth of both protocols within the blockchain.

    Benefits of staking Persistence token ($XPRT) (Image Credit: Persistence)

    Can Persistence successfully appeal to institutional clients and companies?

    The current DeFi infrastructure isn’t conducive to institutional clients and companies. This is mostly because current DeFi projects have institutional red-flags such as pseudo-anonymity, open transaction and activity details, having no legal compliance, having only crypto-based settlements, and having complexities transferred to the users (gas payments, security, key management, risk management, etc.)

    However, the Persistence protocol offers verifiable anonymity, hidden transaction details and records, is legally compliant, has FIAT-based settlement guarantees and simplified process – gas payments, security and key management run by the platform. It also provides an institutional-grade infrastructure that these clients are used to.

    Conclusion

    Persistence is a strong contender for overcoming the obstacle to DeFi being widely used by institutional clients, companies and enterprises. It does this by offering anonymity, hidden transaction records and most importantly, be legally compliant. In these respects, Persistence can help blockchain move from a speculative phase to being used in the real world, including traditional finance.

    Decentralised Finance (DeFi) series: tutorials, guides and more

    With content for both beginners and more advanced users, check out our YouTube DeFi series containing tutorials on the ESSENTIAL TOOLS you need for trading in the DeFi space e.g. MetaMask and Uniswap. As well as a deep dive into popular DeFi topics such as decentralized exchanges, borrowing-lending platforms and NFT marketplaces

    The DeFi series on this website also covers topics not explored on YouTube. For an introduction on what is DeFi, check out Decentralized Finance (DeFi) Overview: A guide to the HOTTEST trend in cryptocurrency

    Tutorials and guides for the ESSENTIAL DEFI TOOLS:

    More videos and articles are coming soon as part of our DeFi series, so be sure to SUBSCRIBE to our Youtube channel so you can be notified as soon as they come out!

    Disclaimer: Cryptocurrency trading involves significant risks and may result in the loss of your capital. You should carefully consider whether trading cryptocurrencies is right for you in light of your financial condition and ability to bear financial risks. Cryptocurrency prices are highly volatile and can fluctuate widely in a short period of time. As such, trading cryptocurrencies may not be suitable for everyone. Additionally, storing cryptocurrencies on a centralized exchange carries inherent risks, including the potential for loss due to hacking, exchange collapse, or other security breaches. We strongly advise that you seek independent professional advice before engaging in any cryptocurrency trading activities and carefully consider the security measures in place when choosing or storing your cryptocurrencies on a cryptocurrency exchange.

  • Deriswap: Another Andre Cronje success story?

    Deriswap: Another Andre Cronje success story?

    Deriswap is the latest and unreleased project by Andre Cronje, announced for the first time in a Medium post on 23rd November 2020. Andre is a well known developer in the Defi space (“the Father of Defi” as many define him) and famous is his interest in trying to simplify users’ lives when approaching protocols. For example Yearn Finance ($YFI), launched in July 2020, automatically distributes users’ funds to various swap-based DeFi protocols based on their returns, risks, and other factors. Keep3r Network (which came in October) on the other hand, is a platform for projects that need or wish to outsource their “jobs” (operations) to third parties.

    How has Defi improved over time?

    Only a year ago, decentralized finance (DeFi) sounded so foreign, attracting just a handful of die-hard crypto enthusiasts and supporters. Fast-forward to 2020, and the space has become some sort of a sub-sector of crypto, leading to the creation of networks which address various sectors. Most of these platforms concentrate on yield farming through swaps. Other options and futures-focused systems also came on board.

    Unfortunately, while these systems brought solutions, they also complicated the space. For instance, new questions had arisen such as which one is the easiest to use, which one has the best yields, etc.

    Luckily, yield aggregator platforms such as Yearn Finance, as we said, came to the rescue of liquidity providers (LPs).

    However, the segmentation problem still isn’t solved. This is where Deriswap comes in. The protocol ensures capital efficiency by aggregating services offered by other platforms such as Uniswap, Bancor, Deribit, Primitive, Compound, and Aave.

    What is Deriswap? What problems is it trying to solve?

    Andre Cronje
    Andre Cronje

    Deriswap is a decentralized platform combining swaps, options, futures, and loans into a single product.

    Cronje wanted to, among other things, guard DeFi users against the high costs incurred when moving away from the money market, as is the case with options-focused networks such as Hegic. Additionally, Cronje’s vision is to shift from segregated to consolidated liquidity.

    Some advantages of pooled liquidity include less price slippage and fees. Also, he wanted to strengthen asset-settled instead of cash-settled options.

    Under the microscope, Deriswap is inspired by Uniswap. In an interview, Cronje noted that the platform was born after adding roughly 150-lines of code to the Uniswap protocol. However, things like math functions had to be developed from scratch to address unique computations on the new system.

    What products will Deriswap offer?

    • Swaps make use of Uniswap’s Automated Market Maker (AMM) formula “x * y = k” and allow LPs to provide liquidity as pairs of two coins such as Bitcoin (BTC)-Ethereum (ETH). Their incentives originate from trading costs.
    • Options – Options tap into swaps to hedge against volatility. For example, positive trading costs cancel losses from settled options. Deriswap makes use of TWAP (Time-Weighted Average Price) oracles to implement American-styled options that have no hard-coded settlement time.
    Deriswap Interface
    Deriswap Interface

    Since settlement occurs in pairs, call and put functions have to exhaust assets from either side. That is, a call request buys the entire amount while a sell order auctions the absolute value.

    Deriswap options allow users to maximize fees whether the market moves sideways or is too volatile. In case it moves sideways, for example, there are fewer trading fees but high options fees. When it’s unstable, vice versa, the trading costs increase while the options charges are reduced.

    • Futures – Futures ride on the time element found on swaps. This, vice versa, is “just a normal trade” in Cronje’s words. It allows one party in a contract to pay a premium as well as the base asset.
    • Loans – Loans are a natural evolution from futures. Interestingly, the deposited currencies pair back each other. For example, assuming you deposited BTC-ETH and want an ETH loan, BTC serves as collateral. This then determines the amount of ETH eligible for borrowing.

    Once the ETH is returned, BTC is given back. Otherwise, BTC is forfeited. It is important to note that loans can be settled before their due date.

    What are Deriswap’s advantages?

    We could think of the platform as a Yearn replica which doesn’t only interact with swaps like Uniswap and Bancor. It deploys capitals to the entire ecosystem of options, loans, and futures. Therefore we can outline key points such as:

    • users can deploy funds on selected platforms from a single interface. For instance, they could allocate 30 percent to Aave to power decentralized borrowing, 30 percent to Deribit for options, and 40 percent to Uniswap for trading.
    • distributing capital to various unrelated platforms allows Liquidity Providers to use the same amount of money for different things.
    • with different spheres of Deriswap complementing each other, LPs guarantee returns even when one market is dormant or unfavorable. For example, when the market has low volatility, they can quickly turn to options and loans. This while a highly-volatile market provides an opportunity to make a killing from trading and futures.
    • Deriswap makes existing DeFi products functional and cheaper
    • 
 and accommodates what Cronje calls “lazy liquidity”. This is liquidity from LPs who don’t have time to be active on a platform. Instead, they provide liquidity and come back after six months to check for yields.

    When is Deriswap launching?

    As of today, there is no official release date and not much info has been disclosed. Through a series of tweets, articles and community posts announcing Yearn Finance’s last collaborations, we came to know that Deriswap will be completed and launched together with the Sushiswap team. The partnership should biuld the next Sushiswap trading platform on top of Deriswap.

    In this post, we can also read that the two teams will cooperate “in a stealth project following Deriswap release”.

    To confirm this “aura of mystery” behind Deriswap and last Cronje’s announcements in general, “cryptomaniacs” are welcome to bet on what this fourth notorious project in his last tweet could be

    https://twitter.com/AndreCronjeTech/status/1335846595858980867

    Is there a Deriswap token?

    Cronje is considered by the cryptocurrency community as having the “Midas touch”, where every project he touches turns into gold. Therefore, people are anxious to know if and when Deriswap will launch a token so that they can dive in early and buy it for a cheap price and sell it later. Most DeFi protocols have their own limited supply token, so it is expected that Deriswap will eventually also have a token. However, the Deriswap protocol is currently undergoing audit so there is no official Deriswap token yet. There is also no news on whether there will even be a token at all.

    However, this has not stopped some people from issuing fake Deriswap tokens for unsuspecting crypto enthusiasts to buy. In one such scam, people deposited over 150 ETH in less than 15 minutes, which the scammer promptly took and absconded.  

    Conclusion

    In an ecosystem where liquidity is thinly spread across multiple platforms, Deriswap acts as a consolidator in order to increase capital efficiency. As such, a DeFi enthusiast can deploy his capital into loans, options, swaps, and futures platforms. Consequently, they can receive incentives, even when one industry is stagnant. Moreover, the use of the TWAP oracles eliminate the risk of widespread price variance.

    Since Deriswap is developed by a seasoned programmer, the platform is likely to turn out as another success, just like Yearn.

    Disclaimer: Cryptocurrency trading involves significant risks and may result in the loss of your capital. You should carefully consider whether trading cryptocurrencies is right for you in light of your financial condition and ability to bear financial risks. Cryptocurrency prices are highly volatile and can fluctuate widely in a short period of time. As such, trading cryptocurrencies may not be suitable for everyone. Additionally, storing cryptocurrencies on a centralized exchange carries inherent risks, including the potential for loss due to hacking, exchange collapse, or other security breaches. We strongly advise that you seek independent professional advice before engaging in any cryptocurrency trading activities and carefully consider the security measures in place when choosing or storing your cryptocurrencies on a cryptocurrency exchange.

  • MahaDAO ($MAHA / $ARTH): Can it fight depreciation?

    MahaDAO ($MAHA / $ARTH): Can it fight depreciation?

    MahaDAO has a bold mission: to correct the systemic flaw of inflation and hyperinflation in global economic systems. Thereby resulting in currencies across the world continuously depreciating, and reducing their purchasing power in the long run.

    Background

    Steven Enamakel is the founder and CEO of MahaDAO. His interest in Computer Science and Economics is a driving force behind the development of MahaDAO.

    He has written several opinion articles detailing how he thinks the crypto community can help the overall economy.

    Prior to the dissolution of the Bretton Woods system, inflation was uncommon and hyperinflation did not exist. This was because governments could only increase their monetary supply in line with those of gold reserves held by them.

    Since then, neoliberal and monetary policy has taken over. And whilst they have delivered tremendous growth, it is at the expense of cycles of economic crisis and chronic inflation.

    There is no denying that the COVID-19 pandemic has affected the world’s financial health. Many countries have seen the value of their currency drastically depreciate as they attempt to stimulate their economy in response to the effects of the virus.

    Some of these countries are, unfortunately, resorting to either borrowing or minting new fiat money, which in the end, likely undermines their inflation-infested economy. As it appears, these extreme measures have a negative effect on a state’s financial health, in the long run.

    As a response, the team behind MahaDAO has come up with an idea of a valuecoin that ensures stability in buying power over time as opposed to stability in price.

    What is MahaDAO?

    MahaDAO is a decentralized autonomous organization (DAO) that is managed and governed by members of the MAHA community and is built on the Matic Network. Here, token holders play a central role in the operation and maintenance of the decentralized body.

    The community has two major tokens: MAHA and ARTH.

    $MAHA

    MAHA is the token held by key members of the Maha ecosystem, which plays a very important role in the activities and the overall development of the community.

    It is a governance token that allows its holders to vote on major decisions of the ecosystem. Holders are tasked with keeping the ARTH valuecoin (see below) stable at all times, regardless of the economic situations that might be prevalent in the world.

    Basically, the success of MahaDAO depends largely on its governors, therefore, MAHA holders are the major determinant of all activities within the space.

    $MAHA Tokenomics and Allocation

    There will be a total supply of 10 million $MAHA tokens to be accessible over 10 years. The initial allocation is as follows:

    • 70% (7,000,000 MAHA) to MahaDAO community members;
    • 15% (1,500,000 MAHA) to private sale investors:;
    • 7% (700,000 MAHA) to team members and future employees;
    • 5% (500,000 MAHA) to seed investors; and
    • 3% (300,000 MAHA) to advisors.

    At the end of year 4, there will be a perpetual inflation rate of 2% (200,000 MAHA) tokens per year.

    MAHA 10 year release schedule
    MAHA 10 year release schedule (Image credit: Medium)

    $ARTH

    The ARTH Valuecoin is a stablecoin specifically designed to maintain its purchasing power indefinitely, a first of its kind in the world. And with it, the MAHA community intends to revolutionize the current inflated financial landscape.

    While there are loads of stablecoins in the crypto space, the reality is that these stablecoins are pegged to the US Dollar which is also very susceptible to the inflation and depreciatory tendencies we spoke of earlier. In fact, 35% of all USD was printed only last year, and more minting events are expected to come shortly in 2021.

    This is where ARTH is aimed to make a difference since this valuecoin differs greatly from a normal stablecoin and is geared towards enabling holders to have a constant and stable buying power regardless of the economic situation.

    Here, every time a holder of ARTH stakes their volatile collaterals in a Collateralized Debt Position (CDP), they generate ARTH.

    What is a valuecoin?

    A valuecoin is a currency that is not stable in price, but in value (unlike a stablecoin). Valuecoins never erode its intrinsic buying power.

    To put in basic terms, it means that if an item (e.g. a teddy bear) were to cost 3 ARTH now, it would not cost more in the future. So the same teddy bear would continue to cost 3 ARTH- whether 5 years from now or even in 10 years’ time, if not less.

    The team of developers at MAHA were able to achieve this through reworking the reserve vault of MakerDAO. The vault of the stablecoin now acts as a regulator and helps to manage the collaterals that might be locked in it and at the same time, help to steadily generate and back the ARTH token.

    In essence, the ARTH valuecoin could, in the long run, be a viable and natural successor to stablecoins.

    Use cases for MahaDAO

    The MahaDAO community would have the following features:

    No transaction fees

    All transactions on this ecosystem are free, which means that users can receive and send ARTH without being charged a dime for their transaction.

    Since MahaDAO is built on Matic Network, the system is effectively able to protect its users from transaction fees while also ensuring the ease for third-party applications to integrate into the system at little to no cost to them.

    Fast Transactions

    The team at MahaDAO labels transactions on the system as light speed. This is because they have worked on developing the transaction speed of the ARTH coin to be as fast as 3 seconds per transaction.

    One of the developers’ goals is to make their transaction speeds remain amongst the lowest in the industry.

    A Worthwhile User Experience Interface

    Many project runners in crypto have been oblivious to the experience of their users. A lot of developers prioritize the implementation of a groundbreaking concept over pleasing their users.

    MahaDAO, however, takes user experience very seriously aims to make it as seamless and enjoyable as possible, while at the same time, making use of their platform to disrupt the financial industry.

    Maha Liquidity Mining

    Generally, DeFi seeks to reward their users who deploy their crypto assets for the running of the system. This is no different in MahaDAO as it takes a community approach towards market making which at the end seeks to reward those who provide liquidity to the markets with MAHA tokens.

    It would take farming MAHA token for 5 years by those providing liquidity to create the ARTH token. Mining rewards are going to be distributed weekly, and a miner can also stake the ARTH token to earn interest.

    Conclusion

    Every year, the buying power of fiat currencies tend to erode. What one US dollar can buy today, it would be unable to do so in 2 or 3 years time because of the level of inflation and depreciation that might have affected the currency.

    While the crypto industry has come up with the idea of a Stablecoin that is pegged to these currencies, the problem with this idea is that it is very susceptible to the degradation that happens to those fiat currencies.

    This is where the MahaDAO idea of a valuecoin whose buying power remains same for a considerably long time. What one valuecoin is able to buy today, it would be able to buy the same thing in 5 years too.

    Decentralised Finance (DeFi) series: tutorials, guides and more

    With content for both beginners and more advanced users, check out our YouTube DeFi series containing tutorials on the ESSENTIAL TOOLS you need for trading in the DeFi space e.g. MetaMask and Uniswap. As well as a deep dive into popular DeFi topics such as decentralized exchanges, borrowing-lending platforms and NFT marketplaces

    The DeFi series on this website also covers topics not explored on YouTube. For an introduction on what is DeFi, check out Decentralized Finance (DeFi) Overview: A guide to the HOTTEST trend in cryptocurrency

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    More videos and articles are coming soon as part of our DeFi series, so be sure to SUBSCRIBE to our Youtube channel so you can be notified as soon as they come out!

    Disclaimer: Cryptocurrency trading involves significant risks and may result in the loss of your capital. You should carefully consider whether trading cryptocurrencies is right for you in light of your financial condition and ability to bear financial risks. Cryptocurrency prices are highly volatile and can fluctuate widely in a short period of time. As such, trading cryptocurrencies may not be suitable for everyone. Additionally, storing cryptocurrencies on a centralized exchange carries inherent risks, including the potential for loss due to hacking, exchange collapse, or other security breaches. We strongly advise that you seek independent professional advice before engaging in any cryptocurrency trading activities and carefully consider the security measures in place when choosing or storing your cryptocurrencies on a cryptocurrency exchange.