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Bulls push Ethereum price higher ahead of Friday’s $930M options expiry (www.blockcast.cc)

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Coinbase effect and strong fundamentals send Polygon (MATIC) and Skale higher (www.blockcast.cc)

In previous bull markets, one of the most consistent price movers for cryptocurrency projects was being listed on Coinbase, a phenomenon that became known as the ‘Coinbase effect’. 

The recent announcement that Polygon (MATIC), SKALE (SKL) and SushiSwap (SUSHI) would be added to the exchange and begin trading on March 11 has proven that the Coinbase effect remains potent as the tokens witnessed record trading volume and double-digit price movements since the listing took place.

MATIC/USDT vs. SKL/USDT vs. SUSHI/USDT 4-hour chart. Source: TradingView

Data from Cointelegraph Markets and TradingView shows that SKL has been the biggest beneficiary of the Coinbase effect, increasing more than 200% since the announcement on March 9, while MATIC has grown by 88% and SUSHI has gained a modest 7%.

SKL/USDT

SKALE describes itself as an ‘elastic network’ that is designed to bring scalability to the Ethereum (ETH) network by boosting transaction capacity and reducing latency as a way to ensure payments can be conducted as inexpensively as possible.

According to the project’s website, Solidity smart contracts can run “thousands of times faster at a fraction of the mainnet cost” and the platform is well-suited for gaming and content streaming services that get bogged down by congestion on the main Ethereum network.

SKL/USDT 4-hour chart. Source: TradingView

Congestion and high transaction costs on Ethereum have once again emerged as a significant issue in the cryptocurrency community over the past two months as the lure of decentralized finance and non-fungible tokens have led to significant increases in network activity and gas fees.

MATIC/USDT

Polygon (MATIC) has been on a roll so far in 2021, with the Coinbase listing being the most recent event that has boosted the altcoin’s price.

Previous significant developments include the rebranding from Matic to Polygon, which was done as the project pivoted toward becoming the “Polkadot of the Ethereum network,” by focusing on bringing interoperability with separate blockchain networks to the Ethereum ecosystem.

Since the rebranding, multiple projects have integrated with or migrated to the layer 2 solution which offers significantly reduced transaction costs and faster confirmation times.

MATIC/USDT 4-hour chart. Source: TradingView

The price of MATIC has increased by 150% since the Coinbase listing announcement and on March 12 the altcoin saw a record $2.6 billion in 24-hour trading volume.

VORTECS™ data from Cointelegraph Markets Pro began to detect a bullish outlook for MATIC on March 6, prior to the recent price rise.

The VORTECS™ score, exclusive to Cointelegraph, is an algorithmic comparison of historic and current market conditions derived from a combination of data points including market sentiment, trading volume, recent price movements and Twitter activity.

VORTECS™ Score (green) vs. MATIC price. Source: Cointelegraph Markets Pro

As seen in the chart above, VORTECS™ score registered a high of 81 on March 6, three days prior to the announcement of the Coinbase listing. After pulling back to a low of 48 on March 8, the VORTECS™ score then increased to a high of 89, roughly two days before the price rally to a new all-time high.

SUSHI/USDT

SushiSwap (SUSHI) was the third coin listed on Coinbase this week and it received a more subdued response even though SushiSwap is one of the top decentralized exchanges and it currently has $4.21 billion locked in its protocol.

Decentralized finance has been one of the hottest topics in the cryptocurrency sector since December 2020, but has seen a noticeable pullback in activity over recent weeks as nonfungible tokens have stepped into the limelight.

SUSHI/USDT 4-hour chart. Source: TradingView

SUSHI had previously seen its price grow 675% in 2021, from a low of $2.69 on Jan. 1 to an all-time high of $20.57 on March 2, so it’s not completely unexpected that its price had a more muted response to the announcement of a Coinbase listing.

One notable correlation between the three projects discussed has to do with offering solutions to the current issues plaguing the Ethereum network.

While the Coinbase effect might have helped jumpstart the recent price gains for each project, the larger needs of the cryptocurrency community and the solutions offered by these protocols have MATIC, SKL and SUSHI well positioned to see further upside as active participation in the cryptocurrency ecosystem continues to increase.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.

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Author: Refer to Source Cointelegraph By Jordan Finneseth

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Digital reading of cryptocurrency “playing new” gameplay: IDO nearly 10 times income is much higher than holding currency or holdings (www.blockcast.cc)

In 2020, the return rate of A-share “news” is about 19.32%. In the field of cryptocurrency, “newing” is also an important means of obtaining excess returns.

Title of the original text: “How to play “Mathematics”: IDO’s income is about 10 times, and these keywords need to be mastered.
Written by: Carol

All along, in the A-share market, “strike new” is one of the important means to obtain high returns. According to public information, in 2020, the average profit of A-share “news” is about RMB 38,631, and the rate of return is about 19.32%. In the currency circle, “newing” is also an important means to obtain excess returns.

In January 2019, Binance took the lead in launching Launchpad, and then major exchanges rushed to launch IEO, which set off the first “new hit” fever in the currency circle. According to PAData’s earlier analysis, the average return of early IEO tokens is as high as 7.63 times. For investors, if they participate in “new innovation”, they will earn money when they buy it.

With the emergence of more and more IEO projects, the stock of funds in the market has been fully consumed, and the income of IEOs has not been as good as before. At that time, it coincided with the first peak period of DEX development. Affected by this, in June of the same year, Binance once again launched a new “new” project. Binance DEX listed RAVEN (Raven Protocol) through IDO. However, due to the limitations of the development of DEX itself, IDO at that time was not as popular as IEO.

However, there is always a demand for financing in the market. According to PAData’s statistics, the ICO in 2020 is still one of the main forms of financing in the industry, with a total financing amount of approximately US$225 million. Therefore, when DeFi fully rises, IDO also “comes back.” In 2021, IDO will become more and more popular. Not only special IDO platforms will appear on the market, but also customized IDO modules or solutions will appear on the market. So, from the data point of view, how much benefit can the current “new” IDO bring to investors? What are the advantages and disadvantages of this form of IDO?

IDO Keywords: DeFi, auction, whitelist

There are many different interpretations of IDO’s “D”. Some people think that IDO is the first token issued through a decentralized exchange (Initial DEX Offering), and some people think that IDO is the first token issued through DeFi (Initial DeFi Offering).

The IDO changes can also be seen from the name dispute. In the initial stage, IDO is done mainly through decentralized exchanges, but there are some problems and hidden dangers in the initial token issuance on AMM DEX, such as “scientists” running away or “giant whale” user trading causing ordinary users IDO Loss of revenue, etc., this has caused some projects to migrate their first tokens to other DeFi platforms with more complex trading algorithms for the consideration of community mobilization and fair issuance. After the issuance is completed, they will be linked to decentralized transactions for liquid market making. . Therefore, the development of IDO has basically gone through two stages: DEX and DeFi+DEX.

Judging from the main IDO models in the current market, Uniswap and Balancer still use swap. The main difference between the two lies in the composition of liquidity. Uniswap is not a DEX specially developed for IDO, so its IDO liquidity is consistent with the liquidity of other fund pools. And Balancer is a set of template liquidity bootstrapping pools LBP (Liquidity Bootstrapping Pools) specially developed for IDO. Its biggest feature is that it allows the issuer to customize the weight of the fund pool, which can be linear or an exponential curve. Balancer believes that by quickly adjusting the weights, the value of the tokens in the pool can be reduced and the price spike caused by early speculation can be prevented.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

Most other emerging platforms use auctions to issue tokens. Here, auctions are more diverse. Currently, there are many platforms that provide fixed exchange rate auction models, including Bounce, Polkastarter and Sushiswap. Taking Polkastarter as an example, the issuer can set two exchange rates in the two fund pools, Public (public offering) and POLS (private offering). Generally, there is no minimum amount for issuance, but a maximum amount.

In addition, the more interesting new methods include Mesa’s batch trading auction (Batch Trading). In this model, the issuer does not need to provide buyer liquidity, and buyers can use many different tokens to participate in the sale. This kind of auction will not be lower than the pre-set limit price. In the same lot auction, all orders have the same price, and there is no arbitrage. In addition, Bounce is currently the platform with the most open auction methods. In addition to some of the auction methods mentioned above, it also provides special auction methods including NFT Lottery (lottery).

There is a bigger difference between IDO and IEO. In terms of participation qualification, IEO is deeply bound with exchange platform currency. Users participating in IEO must hold a certain amount of platform currency, while IDO and DeFi governance tokens The degree of binding is much smaller, and governance tokens are usually only used in the issuance voting link. The actual participation does not consider the token holdings, but requires participants to complete KYC and register as a whitelist member. However, there are also some opinions that KYC is not in line with the spirit of the blockchain, because the issuer can gain more control over who has purchased how many tokens.

IDO income: nearly 10 times the income is much higher than holding currency or holdings

PAData selected the two main platforms Uniswap and Polkastarter in the two stages of IDO to observe the revenue performance of IDO tokens. It can be seen that the early AMM DEX IDO has a relatively large range of revenue, while the recent Polkastarter fixed exchange rate auction has a very large range of IDO revenue. small.

Judging from the earnings on the day of listing (based on the closing price of the first day of Uniswap trading), the average earnings multiple of the three earlier IDO tokens on Uniswap is approximately 3.27 times. The latest three tokens of IDO on Polkastarter The average return multiple of is about 6.75 times, and the overall average first-day return is about 3.81 times (median).

From the perspective of the highest historical return (subject to the highest price of Uniswap historical transactions), the average return multiple of the three IDO tokens on Uniswap reached an astonishing 57.99 times, which is mainly affected by the extreme value of UMA IDO as high as 127.2 times. Then the average return multiple of the other two tokens is about 23.41 times, which is also very high. The average return multiple of the three IDO tokens on Polkastarter is much lower, about 7.55 times, slightly higher than the day of the initial launch. The overall average historical maximum return is approximately 13.80 times (median).

The current income situation is similar (subject to Uniswap’s March 3rd transaction price). The average return multiple of the three IDO tokens on Uniswap is about 36.22 times, and the average return multiple of the three IDO tokens on Polkastarter About 6.7 times. The overall average current return is approximately 10.07 times (median).

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

In addition to being affected by time factors, the price of the first issue is also an important reason for the size of the income range. Since the initial price of AMM DEX depends on the allocation of liquidity capital pools, this has provided incentives for “giant whales” and scientists to raise the price of IDO for general investors. Fixed exchange rate auctions or other more complex auction methods control the fluctuation of IDO prices by restricting the qualifications of participants, limiting the initial price, and limiting the maximum sales degree, which reduces the space for games between users and also reduces the IDO’s income range. .

In general, IDO’s current average income of nearly 10 times is still significantly higher than other investment methods.

PAData has calculated the “new listing” gains of A-share new stocks since February, and the results show that the average first-day closing gain of the 17 new stocks is about 1.73 times (median), and the highest one is only 5.51 times. The average historically highest return is about 2.26 times, of which the highest Mankalong is about 9.43 times. The average current income is only 1.55 times, of which only Guanzhong Eco, XGIMI Technology and Mankalong exceed 4 times.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

PAData also counted the currency holding income of other digital currencies this year. The results show that the average holding income of the 30 digital currencies sampled this year is about 2.74 times (the median). Among them, the digital currency ranked 90-100 by market value this year Since then, the average currency holding income has been the highest, about 2.81 times (median), and the average holding income of digital currencies ranked 1-10 by market capitalization has been the lowest this year, only about 1.92 times (median). Without considering the time efficiency, except for the FTM with the highest return, the holding returns of the other sampled tokens are lower than the IDO returns.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

However, it should be stated that the return multiple calculated here is often the instantaneous lowest/highest price in the disk, which can only provide a range reference for understanding the return range. In fact, IDO’s high returns are accompanied by high volatility. According to statistics, the average first-day volatility of the three tokens on Polkastarter is about 31.61%, and the historical average daily volatility is about 33.27%, which is significantly higher than the volatility of general digital currencies.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

Since the beginning of this year, the average daily volatility of 30 digital currencies with different market capitalization rankings is about 16.27% (median). Among them, the digital currencies ranked 1-10 by market capitalization have the lowest average daily volatility, about 14.51%, and are ranked by market capitalization. The 90-100 digital currencies have the highest average daily volatility, about 18.10%. It is much lower than the recent IDO token volatility.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

In addition to IDO, there are ITO and IFO worth knowing

IDO has become a popular financing method. After IDO, many DeFi projects will immediately connect to the DeFi platform for liquidity market making and start liquidity incentives. This allows IDO to not only complete the financing goals, but also complete the cold start of new projects, and call users to a greater extent Participation.

In addition to IDO, there are actually other new launch forms that deserve attention in the near future. The first is ITO (Initial Twitter Offering), which is famous for the release of MASK. As the name suggests, ITO means the first token issuance based on Twitter. Users can participate in snap-up purchases by linking their wallets to their Twitter accounts. After MASK went online, it surged by at least 20 times to add fire to this method of ITO. After MASK, mTSLA (Mirror) also opened ITO on March 2nd, Eastern Time. The project party believes that ITO can expose the tokens to the greatest extent on social media and bring traffic to the project.

The second is IFO (Initial Farm Offerings), which is similar to the DeFi liquidity mining that was popular last year, that is, new tokens are obtained by providing liquidity for the DeFi protocol, but the difference is that the previous liquidity mining Mines can only dig out the governance tokens of this project, which is similar to planting beans to get beans, but IFO mining uses the liquidity of other assets to dig new project tokens, similar to planting beans to get melons. For example, CAKE/BNB liquidity LP on Pancakeswap can be used to buy Helmet, which is a typical IFO. Pancakeswap has publicly stated that some IFO revenues have reached 250%.

After entering the bull market in the second half of last year, the funds on the market were active, and investors’ sentiment was also high. While various new high-yield gameplays emerged one after another, users should also be wary of risks, such as counterfeit currency and capital trading.

Source link: www.panewslab.com

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Digital reading of cryptocurrency “playing new” gameplay: IDO nearly 10 times income is much higher than holding currency or holdings (www.blockcast.cc)

In 2020, the return rate of A-share “news” is about 19.32%. In the field of cryptocurrency, “newing” is also an important means of obtaining excess returns.

Title of the original text: “How to play “Mathematics”: IDO’s income is about 10 times, and these keywords need to be mastered.
Written by: Carol

All along, in the A-share market, “strike new” is one of the important means to obtain high returns. According to public information, in 2020, the average profit of A-share “news” is about RMB 38,631, and the rate of return is about 19.32%. In the currency circle, “newing” is also an important means to obtain excess returns.

In January 2019, Binance took the lead in launching Launchpad, and then major exchanges rushed to launch IEO, which set off the first “new hit” fever in the currency circle. According to PAData’s earlier analysis, the average return of early IEO tokens is as high as 7.63 times. For investors, if they participate in “new innovation”, they will earn money when they buy it.

With the emergence of more and more IEO projects, the stock of funds in the market has been fully consumed, and the income of IEOs has not been as good as before. At that time, it coincided with the first peak period of DEX development. Affected by this, in June of the same year, Binance once again launched a new “new” project. Binance DEX listed RAVEN (Raven Protocol) through IDO. However, due to the limitations of the development of DEX itself, IDO at that time was not as popular as IEO.

However, there is always a demand for financing in the market. According to PAData’s statistics, the ICO in 2020 is still one of the main forms of financing in the industry, with a total financing amount of approximately US$225 million. Therefore, when DeFi fully rises, IDO also “comes back.” In 2021, IDO will become more and more popular. Not only special IDO platforms will appear on the market, but also customized IDO modules or solutions will appear on the market. So, from the data point of view, how much benefit can the current “new” IDO bring to investors? What are the advantages and disadvantages of this form of IDO?

IDO Keywords: DeFi, auction, whitelist

There are many different interpretations of IDO’s “D”. Some people think that IDO is the first token issued through a decentralized exchange (Initial DEX Offering), and some people think that IDO is the first token issued through DeFi (Initial DeFi Offering).

The IDO changes can also be seen from the name dispute. In the initial stage, IDO is done mainly through decentralized exchanges, but there are some problems and hidden dangers in the initial token issuance on AMM DEX, such as “scientists” running away or “giant whale” user trading causing ordinary users IDO Loss of revenue, etc., this has caused some projects to migrate their first tokens to other DeFi platforms with more complex trading algorithms for the consideration of community mobilization and fair issuance. After the issuance is completed, they will be linked to decentralized transactions for liquid market making. . Therefore, the development of IDO has basically gone through two stages: DEX and DeFi+DEX.

Judging from the main IDO models in the current market, Uniswap and Balancer still use swap. The main difference between the two lies in the composition of liquidity. Uniswap is not a DEX specially developed for IDO, so its IDO liquidity is consistent with the liquidity of other fund pools. And Balancer is a set of template liquidity bootstrapping pools LBP (Liquidity Bootstrapping Pools) specially developed for IDO. Its biggest feature is that it allows the issuer to customize the weight of the fund pool, which can be linear or an exponential curve. Balancer believes that by quickly adjusting the weights, the value of the tokens in the pool can be reduced and the price spike caused by early speculation can be prevented.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

Most other emerging platforms use auctions to issue tokens. Here, auctions are more diverse. Currently, there are many platforms that provide fixed exchange rate auction models, including Bounce, Polkastarter and Sushiswap. Taking Polkastarter as an example, the issuer can set two exchange rates in the two fund pools, Public (public offering) and POLS (private offering). Generally, there is no minimum amount for issuance, but a maximum amount.

In addition, the more interesting new methods include Mesa’s batch trading auction (Batch Trading). In this model, the issuer does not need to provide buyer liquidity, and buyers can use many different tokens to participate in the sale. This kind of auction will not be lower than the pre-set limit price. In the same lot auction, all orders have the same price, and there is no arbitrage. In addition, Bounce is currently the platform with the most open auction methods. In addition to some of the auction methods mentioned above, it also provides special auction methods including NFT Lottery (lottery).

There is a bigger difference between IDO and IEO. In terms of participation qualification, IEO is deeply bound with exchange platform currency. Users participating in IEO must hold a certain amount of platform currency, while IDO and DeFi governance tokens The degree of binding is much smaller, and governance tokens are usually only used in the issuance voting link. The actual participation does not consider the token holdings, but requires participants to complete KYC and register as a whitelist member. However, there are also some opinions that KYC is not in line with the spirit of the blockchain, because the issuer can gain more control over who has purchased how many tokens.

IDO income: nearly 10 times the income is much higher than holding currency or holdings

PAData selected the two main platforms Uniswap and Polkastarter in the two stages of IDO to observe the revenue performance of IDO tokens. It can be seen that the early AMM DEX IDO has a relatively large range of revenue, while the recent Polkastarter fixed exchange rate auction has a very large range of IDO revenue. small.

Judging from the earnings on the day of listing (based on the closing price of the first day of Uniswap trading), the average earnings multiple of the three earlier IDO tokens on Uniswap is approximately 3.27 times. The latest three tokens of IDO on Polkastarter The average return multiple of is about 6.75 times, and the overall average first-day return is about 3.81 times (median).

From the perspective of the highest historical return (subject to the highest price of Uniswap historical transactions), the average return multiple of the three IDO tokens on Uniswap reached an astonishing 57.99 times, which is mainly affected by the extreme value of UMA IDO as high as 127.2 times. Then the average return multiple of the other two tokens is about 23.41 times, which is also very high. The average return multiple of the three IDO tokens on Polkastarter is much lower, about 7.55 times, slightly higher than the day of the initial launch. The overall average historical maximum return is approximately 13.80 times (median).

The current income situation is similar (subject to Uniswap’s March 3rd transaction price). The average return multiple of the three IDO tokens on Uniswap is about 36.22 times, and the average return multiple of the three IDO tokens on Polkastarter About 6.7 times. The overall average current return is approximately 10.07 times (median).

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

In addition to being affected by time factors, the price of the first issue is also an important reason for the size of the income range. Since the initial price of AMM DEX depends on the allocation of liquidity capital pools, this has provided incentives for “giant whales” and scientists to raise the price of IDO for general investors. Fixed exchange rate auctions or other more complex auction methods control the fluctuation of IDO prices by restricting the qualifications of participants, limiting the initial price, and limiting the maximum sales degree, which reduces the space for games between users and also reduces the IDO’s income range. .

In general, IDO’s current average income of nearly 10 times is still significantly higher than other investment methods.

PAData has calculated the “new listing” gains of A-share new stocks since February, and the results show that the average first-day closing gain of the 17 new stocks is about 1.73 times (median), and the highest one is only 5.51 times. The average historically highest return is about 2.26 times, of which the highest Mankalong is about 9.43 times. The average current income is only 1.55 times, of which only Guanzhong Eco, XGIMI Technology and Mankalong exceed 4 times.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

PAData also counted the currency holding income of other digital currencies this year. The results show that the average holding income of the 30 digital currencies sampled this year is about 2.74 times (the median). Among them, the digital currency ranked 90-100 by market value this year Since then, the average currency holding income has been the highest, about 2.81 times (median), and the average holding income of digital currencies ranked 1-10 by market capitalization has been the lowest this year, only about 1.92 times (median). Without considering the time efficiency, except for the FTM with the highest return, the holding returns of the other sampled tokens are lower than the IDO returns.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

However, it should be stated that the return multiple calculated here is often the instantaneous lowest/highest price in the disk, which can only provide a range reference for understanding the return range. In fact, IDO’s high returns are accompanied by high volatility. According to statistics, the average first-day volatility of the three tokens on Polkastarter is about 31.61%, and the historical average daily volatility is about 33.27%, which is significantly higher than the volatility of general digital currencies.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

Since the beginning of this year, the average daily volatility of 30 digital currencies with different market capitalization rankings is about 16.27% (median). Among them, the digital currencies ranked 1-10 by market capitalization have the lowest average daily volatility, about 14.51%, and are ranked by market capitalization. The 90-100 digital currencies have the highest average daily volatility, about 18.10%. It is much lower than the recent IDO token volatility.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

In addition to IDO, there are ITO and IFO worth knowing

IDO has become a popular financing method. After IDO, many DeFi projects will immediately connect to the DeFi platform for liquidity market making and start liquidity incentives. This allows IDO to not only complete the financing goals, but also complete the cold start of new projects, and call users to a greater extent Participation.

In addition to IDO, there are actually other new launch forms that deserve attention in the near future. The first is ITO (Initial Twitter Offering), which is famous for the release of MASK. As the name suggests, ITO means the first token issuance based on Twitter. Users can participate in snap-up purchases by linking their wallets to their Twitter accounts. After MASK went online, it surged by at least 20 times to add fire to this method of ITO. After MASK, mTSLA (Mirror) also opened ITO on March 2nd, Eastern Time. The project party believes that ITO can expose the tokens to the greatest extent on social media and bring traffic to the project.

The second is IFO (Initial Farm Offerings), which is similar to the DeFi liquidity mining that was popular last year, that is, new tokens are obtained by providing liquidity for the DeFi protocol, but the difference is that the previous liquidity mining Mines can only dig out the governance tokens of this project, which is similar to planting beans to get beans, but IFO mining uses the liquidity of other assets to dig new project tokens, similar to planting beans to get melons. For example, CAKE/BNB liquidity LP on Pancakeswap can be used to buy Helmet, which is a typical IFO. Pancakeswap has publicly stated that some IFO revenues have reached 250%.

After entering the bull market in the second half of last year, the funds on the market were active, and investors’ sentiment was also high. While various new high-yield gameplays emerged one after another, users should also be wary of risks, such as counterfeit currency and capital trading.

Source link: www.panewslab.com

Let’s block ads! (Why?)

Categories
News

Digital reading of cryptocurrency “playing new” gameplay: IDO nearly 10 times income is much higher than holding currency or holdings (www.blockcast.cc)

In 2020, the return rate of A-share “news” is about 19.32%. In the field of cryptocurrency, “newing” is also an important means of obtaining excess returns.

Title of the original text: “How to play “Mathematics”: IDO’s income is about 10 times, and these keywords need to be mastered.
Written by: Carol

All along, in the A-share market, “strike new” is one of the important means to obtain high returns. According to public information, in 2020, the average profit of A-share “news” is about RMB 38,631, and the rate of return is about 19.32%. In the currency circle, “newing” is also an important means to obtain excess returns.

In January 2019, Binance took the lead in launching Launchpad, and then major exchanges rushed to launch IEO, which set off the first “new hit” fever in the currency circle. According to PAData’s earlier analysis, the average return of early IEO tokens is as high as 7.63 times. For investors, if they participate in “new innovation”, they will earn money when they buy it.

With the emergence of more and more IEO projects, the stock of funds in the market has been fully consumed, and the income of IEOs has not been as good as before. At that time, it coincided with the first peak period of DEX development. Affected by this, in June of the same year, Binance once again launched a new “new” project. Binance DEX listed RAVEN (Raven Protocol) through IDO. However, due to the limitations of the development of DEX itself, IDO at that time was not as popular as IEO.

However, there is always a demand for financing in the market. According to PAData’s statistics, the ICO in 2020 is still one of the main forms of financing in the industry, with a total financing amount of approximately US$225 million. Therefore, when DeFi fully rises, IDO also “comes back.” In 2021, IDO will become more and more popular. Not only special IDO platforms will appear on the market, but also customized IDO modules or solutions will appear on the market. So, from the data point of view, how much benefit can the current “new” IDO bring to investors? What are the advantages and disadvantages of this form of IDO?

IDO Keywords: DeFi, auction, whitelist

There are many different interpretations of IDO’s “D”. Some people think that IDO is the first token issued through a decentralized exchange (Initial DEX Offering), and some people think that IDO is the first token issued through DeFi (Initial DeFi Offering).

The IDO changes can also be seen from the name dispute. In the initial stage, IDO is done mainly through decentralized exchanges, but there are some problems and hidden dangers in the initial token issuance on AMM DEX, such as “scientists” running away or “giant whale” user trading causing ordinary users IDO Loss of revenue, etc., this has caused some projects to migrate their first tokens to other DeFi platforms with more complex trading algorithms for the consideration of community mobilization and fair issuance. After the issuance is completed, they will be linked to decentralized transactions for liquid market making. . Therefore, the development of IDO has basically gone through two stages: DEX and DeFi+DEX.

Judging from the main IDO models in the current market, Uniswap and Balancer still use swap. The main difference between the two lies in the composition of liquidity. Uniswap is not a DEX specially developed for IDO, so its IDO liquidity is consistent with the liquidity of other fund pools. And Balancer is a set of template liquidity bootstrapping pools LBP (Liquidity Bootstrapping Pools) specially developed for IDO. Its biggest feature is that it allows the issuer to customize the weight of the fund pool, which can be linear or an exponential curve. Balancer believes that by quickly adjusting the weights, the value of the tokens in the pool can be reduced and the price spike caused by early speculation can be prevented.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

Most other emerging platforms use auctions to issue tokens. Here, auctions are more diverse. Currently, there are many platforms that provide fixed exchange rate auction models, including Bounce, Polkastarter and Sushiswap. Taking Polkastarter as an example, the issuer can set two exchange rates in the two fund pools, Public (public offering) and POLS (private offering). Generally, there is no minimum amount for issuance, but a maximum amount.

In addition, the more interesting new methods include Mesa’s batch trading auction (Batch Trading). In this model, the issuer does not need to provide buyer liquidity, and buyers can use many different tokens to participate in the sale. This kind of auction will not be lower than the pre-set limit price. In the same lot auction, all orders have the same price, and there is no arbitrage. In addition, Bounce is currently the platform with the most open auction methods. In addition to some of the auction methods mentioned above, it also provides special auction methods including NFT Lottery (lottery).

There is a bigger difference between IDO and IEO. In terms of participation qualification, IEO is deeply bound with exchange platform currency. Users participating in IEO must hold a certain amount of platform currency, while IDO and DeFi governance tokens The degree of binding is much smaller, and governance tokens are usually only used in the issuance voting link. The actual participation does not consider the token holdings, but requires participants to complete KYC and register as a whitelist member. However, there are also some opinions that KYC is not in line with the spirit of the blockchain, because the issuer can gain more control over who has purchased how many tokens.

IDO income: nearly 10 times the income is much higher than holding currency or holdings

PAData selected the two main platforms Uniswap and Polkastarter in the two stages of IDO to observe the revenue performance of IDO tokens. It can be seen that the early AMM DEX IDO has a relatively large range of revenue, while the recent Polkastarter fixed exchange rate auction has a very large range of IDO revenue. small.

Judging from the earnings on the day of listing (based on the closing price of the first day of Uniswap trading), the average earnings multiple of the three earlier IDO tokens on Uniswap is approximately 3.27 times. The latest three tokens of IDO on Polkastarter The average return multiple of is about 6.75 times, and the overall average first-day return is about 3.81 times (median).

From the perspective of the highest historical return (subject to the highest price of Uniswap historical transactions), the average return multiple of the three IDO tokens on Uniswap reached an astonishing 57.99 times, which is mainly affected by the extreme value of UMA IDO as high as 127.2 times. Then the average return multiple of the other two tokens is about 23.41 times, which is also very high. The average return multiple of the three IDO tokens on Polkastarter is much lower, about 7.55 times, slightly higher than the day of the initial launch. The overall average historical maximum return is approximately 13.80 times (median).

The current income situation is similar (subject to Uniswap’s March 3rd transaction price). The average return multiple of the three IDO tokens on Uniswap is about 36.22 times, and the average return multiple of the three IDO tokens on Polkastarter About 6.7 times. The overall average current return is approximately 10.07 times (median).

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

In addition to being affected by time factors, the price of the first issue is also an important reason for the size of the income range. Since the initial price of AMM DEX depends on the allocation of liquidity capital pools, this has provided incentives for “giant whales” and scientists to raise the price of IDO for general investors. Fixed exchange rate auctions or other more complex auction methods control the fluctuation of IDO prices by restricting the qualifications of participants, limiting the initial price, and limiting the maximum sales degree, which reduces the space for games between users and also reduces the IDO’s income range. .

In general, IDO’s current average income of nearly 10 times is still significantly higher than other investment methods.

PAData has calculated the “new listing” gains of A-share new stocks since February, and the results show that the average first-day closing gain of the 17 new stocks is about 1.73 times (median), and the highest one is only 5.51 times. The average historically highest return is about 2.26 times, of which the highest Mankalong is about 9.43 times. The average current income is only 1.55 times, of which only Guanzhong Eco, XGIMI Technology and Mankalong exceed 4 times.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

PAData also counted the currency holding income of other digital currencies this year. The results show that the average holding income of the 30 digital currencies sampled this year is about 2.74 times (the median). Among them, the digital currency ranked 90-100 by market value this year Since then, the average currency holding income has been the highest, about 2.81 times (median), and the average holding income of digital currencies ranked 1-10 by market capitalization has been the lowest this year, only about 1.92 times (median). Without considering the time efficiency, except for the FTM with the highest return, the holding returns of the other sampled tokens are lower than the IDO returns.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

However, it should be stated that the return multiple calculated here is often the instantaneous lowest/highest price in the disk, which can only provide a range reference for understanding the return range. In fact, IDO’s high returns are accompanied by high volatility. According to statistics, the average first-day volatility of the three tokens on Polkastarter is about 31.61%, and the historical average daily volatility is about 33.27%, which is significantly higher than the volatility of general digital currencies.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

Since the beginning of this year, the average daily volatility of 30 digital currencies with different market capitalization rankings is about 16.27% (median). Among them, the digital currencies ranked 1-10 by market capitalization have the lowest average daily volatility, about 14.51%, and are ranked by market capitalization. The 90-100 digital currencies have the highest average daily volatility, about 18.10%. It is much lower than the recent IDO token volatility.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

In addition to IDO, there are ITO and IFO worth knowing

IDO has become a popular financing method. After IDO, many DeFi projects will immediately connect to the DeFi platform for liquidity market making and start liquidity incentives. This allows IDO to not only complete the financing goals, but also complete the cold start of new projects, and call users to a greater extent Participation.

In addition to IDO, there are actually other new launch forms that deserve attention in the near future. The first is ITO (Initial Twitter Offering), which is famous for the release of MASK. As the name suggests, ITO means the first token issuance based on Twitter. Users can participate in snap-up purchases by linking their wallets to their Twitter accounts. After MASK went online, it surged by at least 20 times to add fire to this method of ITO. After MASK, mTSLA (Mirror) also opened ITO on March 2nd, Eastern Time. The project party believes that ITO can expose the tokens to the greatest extent on social media and bring traffic to the project.

The second is IFO (Initial Farm Offerings), which is similar to the DeFi liquidity mining that was popular last year, that is, new tokens are obtained by providing liquidity for the DeFi protocol, but the difference is that the previous liquidity mining Mines can only dig out the governance tokens of this project, which is similar to planting beans to get beans, but IFO mining uses the liquidity of other assets to dig new project tokens, similar to planting beans to get melons. For example, CAKE/BNB liquidity LP on Pancakeswap can be used to buy Helmet, which is a typical IFO. Pancakeswap has publicly stated that some IFO revenues have reached 250%.

After entering the bull market in the second half of last year, the funds on the market were active, and investors’ sentiment was also high. While various new high-yield gameplays emerged one after another, users should also be wary of risks, such as counterfeit currency and capital trading.

Source link: www.panewslab.com

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Digital reading of cryptocurrency “playing new” gameplay: IDO nearly 10 times income is much higher than holding currency or holdings (www.blockcast.cc)

In 2020, the return rate of A-share “news” is about 19.32%. In the field of cryptocurrency, “newing” is also an important means of obtaining excess returns.

Title of the original text: “How to play “Mathematics”: IDO’s income is about 10 times, and these keywords need to be mastered.
Written by: Carol

All along, in the A-share market, “strike new” is one of the important means to obtain high returns. According to public information, in 2020, the average profit of A-share “news” is about RMB 38,631, and the rate of return is about 19.32%. In the currency circle, “newing” is also an important means to obtain excess returns.

In January 2019, Binance took the lead in launching Launchpad, and then major exchanges rushed to launch IEO, which set off the first “new hit” fever in the currency circle. According to PAData’s earlier analysis, the average return of early IEO tokens is as high as 7.63 times. For investors, if they participate in “new innovation”, they will earn money when they buy it.

With the emergence of more and more IEO projects, the stock of funds in the market has been fully consumed, and the income of IEOs has not been as good as before. At that time, it coincided with the first peak period of DEX development. Affected by this, in June of the same year, Binance once again launched a new “new” project. Binance DEX listed RAVEN (Raven Protocol) through IDO. However, due to the limitations of the development of DEX itself, IDO at that time was not as popular as IEO.

However, there is always a demand for financing in the market. According to PAData’s statistics, the ICO in 2020 is still one of the main forms of financing in the industry, with a total financing amount of approximately US$225 million. Therefore, when DeFi fully rises, IDO also “comes back.” In 2021, IDO will become more and more popular. Not only special IDO platforms will appear on the market, but also customized IDO modules or solutions will appear on the market. So, from the data point of view, how much benefit can the current “new” IDO bring to investors? What are the advantages and disadvantages of this form of IDO?

IDO Keywords: DeFi, auction, whitelist

There are many different interpretations of IDO’s “D”. Some people think that IDO is the first token issued through a decentralized exchange (Initial DEX Offering), and some people think that IDO is the first token issued through DeFi (Initial DeFi Offering).

The IDO changes can also be seen from the name dispute. In the initial stage, IDO is done mainly through decentralized exchanges, but there are some problems and hidden dangers in the initial token issuance on AMM DEX, such as “scientists” running away or “giant whale” user trading causing ordinary users IDO Loss of revenue, etc., this has caused some projects to migrate their first tokens to other DeFi platforms with more complex trading algorithms for the consideration of community mobilization and fair issuance. After the issuance is completed, they will be linked to decentralized transactions for liquid market making. . Therefore, the development of IDO has basically gone through two stages: DEX and DeFi+DEX.

Judging from the main IDO models in the current market, Uniswap and Balancer still use swap. The main difference between the two lies in the composition of liquidity. Uniswap is not a DEX specially developed for IDO, so its IDO liquidity is consistent with the liquidity of other fund pools. And Balancer is a set of template liquidity bootstrapping pools LBP (Liquidity Bootstrapping Pools) specially developed for IDO. Its biggest feature is that it allows the issuer to customize the weight of the fund pool, which can be linear or an exponential curve. Balancer believes that by quickly adjusting the weights, the value of the tokens in the pool can be reduced and the price spike caused by early speculation can be prevented.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

Most other emerging platforms use auctions to issue tokens. Here, auctions are more diverse. Currently, there are many platforms that provide fixed exchange rate auction models, including Bounce, Polkastarter and Sushiswap. Taking Polkastarter as an example, the issuer can set two exchange rates in the two fund pools, Public (public offering) and POLS (private offering). Generally, there is no minimum amount for issuance, but a maximum amount.

In addition, the more interesting new methods include Mesa’s batch trading auction (Batch Trading). In this model, the issuer does not need to provide buyer liquidity, and buyers can use many different tokens to participate in the sale. This kind of auction will not be lower than the pre-set limit price. In the same lot auction, all orders have the same price, and there is no arbitrage. In addition, Bounce is currently the platform with the most open auction methods. In addition to some of the auction methods mentioned above, it also provides special auction methods including NFT Lottery (lottery).

There is a bigger difference between IDO and IEO. In terms of participation qualification, IEO is deeply bound with exchange platform currency. Users participating in IEO must hold a certain amount of platform currency, while IDO and DeFi governance tokens The degree of binding is much smaller, and governance tokens are usually only used in the issuance voting link. The actual participation does not consider the token holdings, but requires participants to complete KYC and register as a whitelist member. However, there are also some opinions that KYC is not in line with the spirit of the blockchain, because the issuer can gain more control over who has purchased how many tokens.

IDO income: nearly 10 times the income is much higher than holding currency or holdings

PAData selected the two main platforms Uniswap and Polkastarter in the two stages of IDO to observe the revenue performance of IDO tokens. It can be seen that the early AMM DEX IDO has a relatively large range of revenue, while the recent Polkastarter fixed exchange rate auction has a very large range of IDO revenue. small.

Judging from the earnings on the day of listing (based on the closing price of the first day of Uniswap trading), the average earnings multiple of the three earlier IDO tokens on Uniswap is approximately 3.27 times. The latest three tokens of IDO on Polkastarter The average return multiple of is about 6.75 times, and the overall average first-day return is about 3.81 times (median).

From the perspective of the highest historical return (subject to the highest price of Uniswap historical transactions), the average return multiple of the three IDO tokens on Uniswap reached an astonishing 57.99 times, which is mainly affected by the extreme value of UMA IDO as high as 127.2 times. Then the average return multiple of the other two tokens is about 23.41 times, which is also very high. The average return multiple of the three IDO tokens on Polkastarter is much lower, about 7.55 times, slightly higher than the day of the initial launch. The overall average historical maximum return is approximately 13.80 times (median).

The current income situation is similar (subject to Uniswap’s March 3rd transaction price). The average return multiple of the three IDO tokens on Uniswap is about 36.22 times, and the average return multiple of the three IDO tokens on Polkastarter About 6.7 times. The overall average current return is approximately 10.07 times (median).

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

In addition to being affected by time factors, the price of the first issue is also an important reason for the size of the income range. Since the initial price of AMM DEX depends on the allocation of liquidity capital pools, this has provided incentives for “giant whales” and scientists to raise the price of IDO for general investors. Fixed exchange rate auctions or other more complex auction methods control the fluctuation of IDO prices by restricting the qualifications of participants, limiting the initial price, and limiting the maximum sales degree, which reduces the space for games between users and also reduces the IDO’s income range. .

In general, IDO’s current average income of nearly 10 times is still significantly higher than other investment methods.

PAData has calculated the “new listing” gains of A-share new stocks since February, and the results show that the average first-day closing gain of the 17 new stocks is about 1.73 times (median), and the highest one is only 5.51 times. The average historically highest return is about 2.26 times, of which the highest Mankalong is about 9.43 times. The average current income is only 1.55 times, of which only Guanzhong Eco, XGIMI Technology and Mankalong exceed 4 times.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

PAData also counted the currency holding income of other digital currencies this year. The results show that the average holding income of the 30 digital currencies sampled this year is about 2.74 times (the median). Among them, the digital currency ranked 90-100 by market value this year Since then, the average currency holding income has been the highest, about 2.81 times (median), and the average holding income of digital currencies ranked 1-10 by market capitalization has been the lowest this year, only about 1.92 times (median). Without considering the time efficiency, except for the FTM with the highest return, the holding returns of the other sampled tokens are lower than the IDO returns.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

However, it should be stated that the return multiple calculated here is often the instantaneous lowest/highest price in the disk, which can only provide a range reference for understanding the return range. In fact, IDO’s high returns are accompanied by high volatility. According to statistics, the average first-day volatility of the three tokens on Polkastarter is about 31.61%, and the historical average daily volatility is about 33.27%, which is significantly higher than the volatility of general digital currencies.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

Since the beginning of this year, the average daily volatility of 30 digital currencies with different market capitalization rankings is about 16.27% (median). Among them, the digital currencies ranked 1-10 by market capitalization have the lowest average daily volatility, about 14.51%, and are ranked by market capitalization. The 90-100 digital currencies have the highest average daily volatility, about 18.10%. It is much lower than the recent IDO token volatility.

Digital reading of cryptocurrency "playing new" gameplay: IDO's nearly 10 times return is much higher than holding currency or holdings

In addition to IDO, there are ITO and IFO worth knowing

IDO has become a popular financing method. After IDO, many DeFi projects will immediately connect to the DeFi platform for liquidity market making and start liquidity incentives. This allows IDO to not only complete the financing goals, but also complete the cold start of new projects, and call users to a greater extent Participation.

In addition to IDO, there are actually other new launch forms that deserve attention in the near future. The first is ITO (Initial Twitter Offering), which is famous for the release of MASK. As the name suggests, ITO means the first token issuance based on Twitter. Users can participate in snap-up purchases by linking their wallets to their Twitter accounts. After MASK went online, it surged by at least 20 times to add fire to this method of ITO. After MASK, mTSLA (Mirror) also opened ITO on March 2nd, Eastern Time. The project party believes that ITO can expose the tokens to the greatest extent on social media and bring traffic to the project.

The second is IFO (Initial Farm Offerings), which is similar to the DeFi liquidity mining that was popular last year, that is, new tokens are obtained by providing liquidity for the DeFi protocol, but the difference is that the previous liquidity mining Mines can only dig out the governance tokens of this project, which is similar to planting beans to get beans, but IFO mining uses the liquidity of other assets to dig new project tokens, similar to planting beans to get melons. For example, CAKE/BNB liquidity LP on Pancakeswap can be used to buy Helmet, which is a typical IFO. Pancakeswap has publicly stated that some IFO revenues have reached 250%.

After entering the bull market in the second half of last year, the funds on the market were active, and investors’ sentiment was also high. While various new high-yield gameplays emerged one after another, users should also be wary of risks, such as counterfeit currency and capital trading.

Source link: www.panewslab.com

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B. Protocol integrates Compound, how can Compound users bring higher benefits? (www.blockcast.cc)

Users can profit from the liquidation proceeds, help Compound better respond to the black swan incident, and obtain the voting power cScore that determines the upgrade of B.Protocol.

Original title: ” New DeFi gameplay | B.Protocol integrates Compound, allowing Compound users to get more benefits
Written by: Eitan Katchka
Compile: ElaineW

DeFi lending platform liquidity support agreement B.Protocol will integrate Compound, please see for details.

New DeFi gameplay | B.Protocol integrates Compound, allowing Compound users to get more benefitsB. Protocol and Compound integrated interface

Now, Compound users can get more benefits through B.Protocol. Users can profit from the liquidation proceeds, help Compound better respond to the black swan incident, and obtain the voting power cScore that determines the upgrade of B.Protocol.

Users can use simple one-click components to import Compound accounts into B.Protocol and still get COMP rewards.

Below, we will introduce all the information of this integration, everyone can understand the detailed information, choose the method and time of participation.

B. What Protocol Users Can Get

Users who use the B.Protocol smart contract interface to manage Compound accounts can accumulate user scores (cScore). The earlier B.Protocol is used, the higher the score. After 2 months (end of April 2021), part of the liquidator’s income cJar will be distributed to users in proportion to the accumulated cScore score.

Similarly, at the end of the first phase (April 2021), users can start voting on future upgrades, including the revenue distribution model, Backstop membership requirements, incentive models, etc. The voting power of the user’s first vote will be proportional to cScore.

  • cScore is only assigned to users who use the Compound interface, VC or team will not get cScore in advance.

  • cScore has been registered on the blockchain and is not transferable; it is not an ERC20 token, and cannot be traded, and it can never be traded.

  • Technically speaking, there is no way to prevent future governance from tokenizing cScore, but the team will not actively support matters that violate the applicable regulatory framework.

In October 2020, the B.Protocol integration MakerDAO interface was launched. Currently, the total lock-up value (TVL) is about 30 million U.S. dollars, with a single Jar (mJar) and a single user score (mScore). In the next upgrade of the agreement, Jar distribution and voting will be conducted separately by communities.

Safe mode

B. Protocol is designed as a layer above the integrated DeFi loan platform, making user funds as safe as when using the platform directly. The user pays and receives the same interest rate, which is the same as the liquidation penalty for direct use of the platform.

The Compound integration code has been reviewed by Solidified. The report did not find any major issues and confirmed the team’s analysis of the safety of users’ funds.

problem solved

The DeFi ecosystem is growing rapidly and currently (February 2021) holds approximately US$40 billion in assets, but it relies heavily on safe and adequate liquidation procedures. The Dai ecosystem, lending platforms such as Compound and Aave, synthetic asset platforms, and leveraged trading platforms all rely on liquidation to maintain solvency. However, compared with CeFi and Tradfi, the DeFi clearing system is still undeveloped.

When the user debt is about to exceed the collateral, liquidation will be triggered. In this process, the liquidator pays user debts in exchange for part of the collateral. At present, all major DeFi platforms outsource this service to the entire Ethereum community, allowing each Ethereum account to participate in the liquidation process, and provide 3%-8% discounts on liquidation collateral to encourage liquidators to participate.

In general, this is a fair practice, but it brings two main problems: 1) The gas war that leads to the increase of miners’ extractable value (MEV) will eventually reduce the liquidation incentive to zero; 2) due to The uncertainty of potential profits is too high, leading to a lack of responsible liquidators.

Both of these issues are critical to the stability of the DeFi ecosystem, especially in the severe market environment of 3.12 this year.

B. Protocol is a liquidity support protocol, a new type of DeFi Lego. It aims to better handle clearing on the DeFi lending platform and allow the DeFi ecosystem to safely and stably expand to the CeFi level.

B. Protocol encourages liquidity providers (keepers) to share liquidation proceeds with platform users in exchange for priority in the liquidation process. In this way, B.Protocol allows more responsible liquidators to join the platform and help transfer MEV back to the community.

working principle

B. Protocol The project party will integrate the agreement into existing DeFi lending platforms, such as Compound. The user interacts with Compound through a dedicated smart contract interface.

B. Protocol The liquidator obtains priority in the liquidation process by providing a buffer for the user account when the liquidation price is approaching. Here you can read more about how B.Protocol achieves fairness in the liquidation process.

New DeFi gameplay | B.Protocol integrates Compound, allowing Compound users to get more benefits

B. Protocol’s simplified process

B. Protocol The liquidator processes the liquidation on Compound, and its liquidation discount (also known as liquidation penalty) is allocated by the liquidator and users. The user’s part is accumulated in cJar and will be distributed among users according to User Score at the end of each stage.

Beneficiary

Everyone except the miners…

  • Compound users can get value-added liquidation benefits from Compound without increasing risk.

  • As a lending platform, Compound has acquired new and responsible professional liquidators, bringing more stability to the platform. In the long run, a more stable platform can increase collateral without having to face the risk of insolvency.

  • Liquidators can obtain better risk management and forecasting capabilities, which motivates them to build better adjustment tools for DeFi lending platforms, and in return for the decline in uncertainty, the liquidators must share the benefits with platform users.

  • The Ethereum ecosystem has gained another way of mitigating MEV and transferring value from miners back to users.

detail

User rating

User score calculation: The user score (cScore) accumulation rate is related to the COMP allocation rate, user supply and loan balance.

cScore is not ERC20 and is not transferable during the first phase (end in April 2021).

Fair release principle: Any venture capitalist or developer is prohibited from mining cScore first.

Jar

Liquidation revenue sharing: 3/8 (37.5%) of each liquidation premium (at the time of writing, this is 8% of the liquidation scale) goes into the cJar smart contract. The remaining 5/8 is handed over to the liquidator.

cJAR reward distribution: within 2 months of the first phase (scheduled to end in April 2021), cJAR will be distributed in proportion to the user’s cScore.

COMP reward

Compound users are eligible for COMP rewards as if they interacted directly with Compound. You can request COMP directly from the B.Protocol application.

Governance

Two months after the release (end of April 2021), the first phase will end. B. The 100% control of the Protocol smart contract on Compound will be transferred to the community, and the community will have the right to determine the future development path. According to the cScore ratio, the consensus reached by 51% of users will be able to adjust the incentive model and make other decisions.

The first phase of B.Protocol-MakerDAO will end at the same time, and the B.Protocol community with mScore will be able to vote on future development and whether to merge the two or remain independent.

More discussions on future governance will take place on the B.Protocol Discord‌ server.

start using

B. Protocol is an alternative treasury management system. Users will get exactly the same conditions as using Compound or MakerDAO, and will be able to share the liquidation proceeds with the B.Protocol liquidator.

  • Using the “Import” widget, you can import the vault into B.Protocol with a single click.

  • If you don’t have a Compound account, please open one. Deposit asset mortgage accounts and borrow preferred tokens through B.Protocol. Please note that each token has a different APY.

  • As long as you hold funds on the platform, your user ratings will continue to grow.

  • Two months after the release, the Jar balance (the storage pool for liquidation proceeds) will be distributed based on user ratings;

  • Users will be able to vote for future upgrades of B.Protocol based on cScore.

A complete tutorial on how to use B.Protocol.

Introduction to B. Protocol

B. Protocol improves the security of the lending platform by incentivizing liquidity providers (keeper) to promise to liquidate unsecured loans and transfer the profits drawn by miners back to platform users. B.Protocol was founded by Yaron Velner, who was the chief technology officer of Kyber Network and the co-designer of the WBTC protocol.

Source link: www.8btc.com

Disclaimer: As a blockchain information platform, the articles published on this site only represent the author’s personal views, and have nothing to do with the position of ChainNews. The information, opinions, etc. in the article are for reference only, and are not intended as or regarded as actual investment advice.

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Charted: Polkadot (DOT) Steadies Above $35, Why Bulls Aim $40 or Higher (www.blockcast.cc)

Polkadot’s DOT corrected lower from $42.00, but it remained stable above $30.00 against the US Dollar. It is now rising and it seems like the bulls are eyeing a fresh increase to $40.00 and $42.00.

  • DOT is holding the ground above the $30.00 and $35.00 levels against the US dollar.
  • The price is trading nicely above the $35.00 support and the 100 simple moving average (4-hours).
  • There was a break above a crucial bearish trend line with resistance near $34.50 on the 4-hours chart of the DOT/USD pair (data source from Kraken).
  • The pair remains in a strong uptrend and it could soon revisit $40.00 and $42.00.

Polkadot’s DOT Eyes Fresh Rally

After finding strong offers near $42.00, DOT started a downside correction. There was a break below the $35.00 and $32.00 support levels. The price even spiked below the $30.00 support level, but the bulls remained in action.

A swing low was formed near $26.25 before the price started a fresh increase. The price climbed above the $30.00 and $32.00 resistance levels. There was a break above the 50% Fib retracement level of the downward move from the $42.20 swing high to $26.25 swing low.

Polkadot (DOT)

Polkadot (DOT)

Source: DOTUSD on TradingView.com

There was also a break above a crucial bearish trend line with resistance near $34.50 on the 4-hours chart of the DOT/USD pair. It is now trading nicely above the $35.00 support and the 100 simple moving average (4-hours).

An immediate resistance is near the $38.50 level. It is close to the 76.4% Fib retracement level of the downward move from the $42.20 swing high to $26.25 swing low. A clear break above the $38.50 and $38.80 resistance levels could lead the price towards the $40.00 level. The next key resistance sits near the $42.00 level.

Dips Supported?

If DOT price fails to continue higher above $38.50 or $39.00, there could be a short-term downside correction. The first key support is near the $36.00 and $35.00 levels.

The next major support is near the $33.50 level and the 100 simple moving average (4-hours). Any more losses may perhaps open the doors for a move towards the $30.00 support zone.

Technical Indicators

4-Hours MACD – The MACD for DOT/USD is gaining momentum in the bullish zone.

4-Hours RSI (Relative Strength Index) – The RSI for DOT/USD is now above the 50 level.

Major Support Levels – $36.00, $35.00 and $33.50.

Major Resistance Levels – $38.50, $40.00 and $42.00.

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Bitcoin, 305% higher than last year… Exceeded 58,000 dollars (www.blockcast.cc)

[Blockchain Today reporter Seo-yeon Jang] Bitcoin exceeded 58,000 dollars and set a new record again.

On the 21st (local time), Bitcoin broke another new record, hitting $58,33,2.36. This record is up 305% compared to 2020.

It seems that the reason for bitcoin’s daily new record is that demand for bitcoin has increased as a countermeasure for inflation. It is true that the government is forced to increase currency due to the current situation of the novel coronavirus. Meanwhile, despite the increase in the government’s money supply, the current major indicators are not showing a clear increase.

John Willock, CEO of Blocktane, a digital asset exchange, said, “The trade-off fund issuers have a significant buyout. In addition, government companies are also participating in Bitcoin. It is a situation where demand greatly outpaces supply.”

Earlier this month, Tesla’s bitcoin investment raised the current bitcoin price. Electric vehicle company Tesla reported to the Treasury that it had invested $1.5 billion. After that, an atmosphere of’who is the next batter?’ was formed. Since then, interest in bitcoin investment has increased.

Some have speculated that the reason for bitcoin’s soaring in the last few days was due to the bitcoin-hungry MicroStrategy. On the 19th, MicroStrategy announced that it had increased its debt by $1 billion to buy Bitcoin. Bitcoin price has since risen by over $5,000.

contact@blockcast.cc

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Altcoins Pump Higher, Banks Are Buying All The Bitcoin And No One Is Paying Attention (www.blockcast.cc)

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