Content Creator, YouTuber, Crypto Enthusiast & Anime Lover. Twitter: https://twitter.com/OxFrancesco_ UD: OxFrancesco.wallet
OxFrancescoKava EVM Chain Introduction
https://www.kava.io/ecosystemKAVA CHAIN EVMhttps://docs.kava.io/docs/intro/ The Kava Network is the first Layer-1 blockchain to combine the speed and scalability of the Cosmos SDK with the developer support of Ethereum. The Kava Network will empower developers to build for Web3 and next-gen blockchain technologies through its unique co-chain architecture. KAVA is the native governance and staking token of the Kava Network, enabling its decentralization and security.What the Kava Network Enabl...
OxFrancescoDeLi Introduction
Decentralized Liquidity (DELI): Revolutionizing Liquidity Provision in CryptocurrenciesIn the ever-evolving world of cryptocurrencies, one project is making waves by redefining how we understand and manage liquidity. Welcome to the world of Decentralized Liquidity or DELI, a groundbreaking initiative that’s set to change the game.The DELI ApproachDELI utilizes the Uniswap V2 architecture to produce an LP token and implements a time-lock LP incentive structure. This innovative method decentral...
OxFrancescoVelocore Introduction
Introducing VelocoreVelocore is a new DeFi protocol built on the foundation of Velodrome Finance and Solidly on the zkSync era chain. It offers a unique approach to meeting liquidity needs for various projects while fairly compensating liquidity providers and taking into account impermanent loss.Velocore’s MechanicsVelocore adopts a structure known as ve(3,3) Mechanics, which incentivizes behaviors that are closely related to the success of the protocol; liquidity provision and long-term toke...
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Content Creator, YouTuber, Crypto Enthusiast & Anime Lover. Twitter: https://twitter.com/OxFrancesco_ UD: OxFrancesco.wallet
OxFrancescoKava EVM Chain Introduction
https://www.kava.io/ecosystemKAVA CHAIN EVMhttps://docs.kava.io/docs/intro/ The Kava Network is the first Layer-1 blockchain to combine the speed and scalability of the Cosmos SDK with the developer support of Ethereum. The Kava Network will empower developers to build for Web3 and next-gen blockchain technologies through its unique co-chain architecture. KAVA is the native governance and staking token of the Kava Network, enabling its decentralization and security.What the Kava Network Enabl...
OxFrancescoDeLi Introduction
Decentralized Liquidity (DELI): Revolutionizing Liquidity Provision in CryptocurrenciesIn the ever-evolving world of cryptocurrencies, one project is making waves by redefining how we understand and manage liquidity. Welcome to the world of Decentralized Liquidity or DELI, a groundbreaking initiative that’s set to change the game.The DELI ApproachDELI utilizes the Uniswap V2 architecture to produce an LP token and implements a time-lock LP incentive structure. This innovative method decentral...
OxFrancescoVelocore Introduction
Introducing VelocoreVelocore is a new DeFi protocol built on the foundation of Velodrome Finance and Solidly on the zkSync era chain. It offers a unique approach to meeting liquidity needs for various projects while fairly compensating liquidity providers and taking into account impermanent loss.Velocore’s MechanicsVelocore adopts a structure known as ve(3,3) Mechanics, which incentivizes behaviors that are closely related to the success of the protocol; liquidity provision and long-term toke...
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The decentralized finance (DeFi) landscape is full of innovations, where projects like Velodrome, Thena, and Équilibre, are making significant strides.
Each of these projects brings a unique approach to solving the complex challenges in DeFi, from liquidity management to governance mechanisms.
This article provides an in-depth exploration of their contributions and the impact they are poised to make in the blockchain world.
In DeFi, vested tokens are akin to vested stocks in traditional finance, where they represent digital assets locked for a set period before access is granted.
This lock-up mechanism encourages long-term commitment, similar to how stock vesting motivates employee loyalty in traditional companies.
With vested tokens, holders often gain benefits like governance rights after the vesting period, paralleling how vested stocks align employees' interests with the company's success.
Velodrome stands out as a top decentralized exchange (DEX) on the Optimism Layer 2 solution.
It was developed as an evolution of the Solidly project, created by DeFi legend Andre Cronje.
After the discontinuation of Solidly, veDAO, a major project under Solidly, shifted its focus to Optimism, resulting in the creation of Velodrome.
It has become a top DeFi protocol on Optimism, noted for holding a substantial portion of the total value locked (TVL) on the chain.
Velodrome distinguishes itself by combining the vote-escrow model from Curve Finance with the (3,3) game theory model from OlympusDAO.
Its innovative approach to liquidity and governance is underpinned by its unique tokenomics involving $VELO and $veVELO.
Velodrome's model is designed to offer low slippage swaps, aligning emissions with trading volumes to promote sustainable growth within the Optimism ecosystem.
This strategic focus on efficient liquidity provision and active governance participation has positioned Velodrome as a leader in the DeFi space.
Velodrome functions as an automated market maker (AMM) protocol.
It addresses a critical issue in the DeFi space by tying emissions not just to liquidity but also to trading volume, which generates fees for the protocol.
This model allows VELO token holders to lock their tokens, receiving veVELO in return, which grants them voting power.
This voting power is used to direct liquidity emissions to specific pools, aligning incentives between liquidity providers and voters.
The model also incorporates the concept of bribes, paid by external parties to incentivize specific pools, thereby attracting more liquidity to those pools.
This system creates a feedback loop where protocols paying out bribes can effectively incentivize liquidity provision for their tokens
The VELO FED feature, introduced in Velodrome V2.0, enables VELO lockers to participate in voting on the monetary policy of Velodrome, adding another layer of governance and utility to the VELO tokens.
While Velodrome Finance places a high priority on security, it is important to acknowledge that no DeFi project is without risks.
Velodrome was adapted from Solidly, and since its release on the Fantom network, no security incidents related to Solidly smart contracts have been reported.
However, Velodrome Finance has undergone security audits and peer reviews, including a Code4rena bug bounty contest and a full MythX deep scan on its contracts.
These audits have resulted in the resolution of high- or medium-risk issues, except for one known issue currently being addressed.
Despite these measures, it's crucial for users to understand that security audits do not eliminate all risks, and they should proceed with caution.
Velodrome also ran a bug bounty contest with awards up to $75,000.
The contest aimed to cover all new changes to the new and original contracts. Additionally, Velodrome has introduced specific security features like treating external and internal bribes differently, allowing only one vote per epoch, and incorporating on-chain governance to handle protocol-wide decisions.
The protocol also has mechanisms to dissuade emissions exploitation, such as 'killable gauges' controlled by the Velodrome Commissaire.
Mainly operating on the BNB Chain, Thena is an automated market maker (AMM) that uniquely blends Curve's liquidity model with Olympus's ve(3,3) tokenomics.
INITIAL SUPPLY
Fusion (Article): is a collaboration between THENA, GAMMA, and Algebra, designed to enhance the management of concentrated liquidity in DeFi.
It improves capital efficiency and user experience by enabling liquidity providers (LPs) to allocate liquidity within specific price ranges, offering better rewards and price execution than traditional UniV2 pools.
Algebra's technology forms the core of FUSION, featuring a dynamic fee structure that adapts to market conditions.
However, concentrated liquidity pools pose higher risks of impermanent loss, necessitating sophisticated market-making strategies.
To address this, GAMMA acts as an active liquidity manager within FUSION, optimizing LP ranges to maximize fees and reduce impermanent losses, making the platform more accessible for average users.
Alpha: is an "Intent-Based" perpetual DEX powered by SYMMIO and hosted by THENA that provides users access to (up to) 60x leverage trading for over 150 crypto assets.
Équilibre is an evolution of the Velodrome model, tailored to support the Kava community.
By leveraging VARA and veVARA tokens, Équilibre incentivizes liquidity and rewards governance participation.
It mirrors Velodrome's enhancements, balancing liquidity provision with governance incentives.
This approach not only supports the Kava ecosystem but also demonstrates the adaptability of Velodrome's model to other blockchain environments.
Équilibre's integration into the Kava ecosystem exemplifies the potential for cross-project collaboration and innovation in DeFi.
Équilibre renewed their four-week incentives, including weekly bribes in USDt pools, VARA/wKAVA, and bVARA match rewards for pools with over $100 in rewards. Additionally, there was a 25% wKAVA cashback for bVARA to veVARA lockers.
The Équilibre community benefited from two Scrub Money airdrops, with a significant distribution of TIGER tokens, enhancing the value proposition for the users.
The platform executed multiple cash-back events for bVARA lockers, enhancing user engagement and loyalty.
Équilibre's participation in ETH Lisbon represented a strategic move to forge connections within the web3 community.
These updates marked significant milestones, focusing on user experience and backend capabilities. Key features include:
Improved SWAP, LIQUIDITY, LOCK, REWARDS, and GENERAL sections.
Introduction of a more robust and efficient API.
Preparation for the anticipated Concentrated Liquidity feature.
The temporary suspension of KAVA Labs incentives for specific pools was a notable change, affecting weekly bribes and cashback mechanisms.
A critical update in Équilibre's development was the integration with Axelar, a network designed to enable decentralized cross-chain communication. This integration played a vital role in enhancing the SWAP functionality of Équilibre, making cross-chain swaps fully operational again and significantly improving the platform's interoperability and user experience.
The upcoming launch of Concentrated Liquidity is set to be a game-changer for Équilibre, promising to position the platform competitively in the DeFi landscape.
The old domain of Équilibre remained accessible during the transition phase to ensure uninterrupted user access.
Velodrome, Thena, Équilibre, and Equalizer represent the cutting-edge of DeFi innovation.
Their distinct approaches to AMM functionality, governance, liquidity provision, and reward distribution contribute significantly to the growth and diversification of the DeFi ecosystem.
As these projects continue to evolve and expand, they offer valuable insights into the future possibilities and directions of blockchain technology in finance.
The decentralized finance (DeFi) landscape is full of innovations, where projects like Velodrome, Thena, and Équilibre, are making significant strides.
Each of these projects brings a unique approach to solving the complex challenges in DeFi, from liquidity management to governance mechanisms.
This article provides an in-depth exploration of their contributions and the impact they are poised to make in the blockchain world.
In DeFi, vested tokens are akin to vested stocks in traditional finance, where they represent digital assets locked for a set period before access is granted.
This lock-up mechanism encourages long-term commitment, similar to how stock vesting motivates employee loyalty in traditional companies.
With vested tokens, holders often gain benefits like governance rights after the vesting period, paralleling how vested stocks align employees' interests with the company's success.
Velodrome stands out as a top decentralized exchange (DEX) on the Optimism Layer 2 solution.
It was developed as an evolution of the Solidly project, created by DeFi legend Andre Cronje.
After the discontinuation of Solidly, veDAO, a major project under Solidly, shifted its focus to Optimism, resulting in the creation of Velodrome.
It has become a top DeFi protocol on Optimism, noted for holding a substantial portion of the total value locked (TVL) on the chain.
Velodrome distinguishes itself by combining the vote-escrow model from Curve Finance with the (3,3) game theory model from OlympusDAO.
Its innovative approach to liquidity and governance is underpinned by its unique tokenomics involving $VELO and $veVELO.
Velodrome's model is designed to offer low slippage swaps, aligning emissions with trading volumes to promote sustainable growth within the Optimism ecosystem.
This strategic focus on efficient liquidity provision and active governance participation has positioned Velodrome as a leader in the DeFi space.
Velodrome functions as an automated market maker (AMM) protocol.
It addresses a critical issue in the DeFi space by tying emissions not just to liquidity but also to trading volume, which generates fees for the protocol.
This model allows VELO token holders to lock their tokens, receiving veVELO in return, which grants them voting power.
This voting power is used to direct liquidity emissions to specific pools, aligning incentives between liquidity providers and voters.
The model also incorporates the concept of bribes, paid by external parties to incentivize specific pools, thereby attracting more liquidity to those pools.
This system creates a feedback loop where protocols paying out bribes can effectively incentivize liquidity provision for their tokens
The VELO FED feature, introduced in Velodrome V2.0, enables VELO lockers to participate in voting on the monetary policy of Velodrome, adding another layer of governance and utility to the VELO tokens.
While Velodrome Finance places a high priority on security, it is important to acknowledge that no DeFi project is without risks.
Velodrome was adapted from Solidly, and since its release on the Fantom network, no security incidents related to Solidly smart contracts have been reported.
However, Velodrome Finance has undergone security audits and peer reviews, including a Code4rena bug bounty contest and a full MythX deep scan on its contracts.
These audits have resulted in the resolution of high- or medium-risk issues, except for one known issue currently being addressed.
Despite these measures, it's crucial for users to understand that security audits do not eliminate all risks, and they should proceed with caution.
Velodrome also ran a bug bounty contest with awards up to $75,000.
The contest aimed to cover all new changes to the new and original contracts. Additionally, Velodrome has introduced specific security features like treating external and internal bribes differently, allowing only one vote per epoch, and incorporating on-chain governance to handle protocol-wide decisions.
The protocol also has mechanisms to dissuade emissions exploitation, such as 'killable gauges' controlled by the Velodrome Commissaire.
Mainly operating on the BNB Chain, Thena is an automated market maker (AMM) that uniquely blends Curve's liquidity model with Olympus's ve(3,3) tokenomics.
INITIAL SUPPLY
Fusion (Article): is a collaboration between THENA, GAMMA, and Algebra, designed to enhance the management of concentrated liquidity in DeFi.
It improves capital efficiency and user experience by enabling liquidity providers (LPs) to allocate liquidity within specific price ranges, offering better rewards and price execution than traditional UniV2 pools.
Algebra's technology forms the core of FUSION, featuring a dynamic fee structure that adapts to market conditions.
However, concentrated liquidity pools pose higher risks of impermanent loss, necessitating sophisticated market-making strategies.
To address this, GAMMA acts as an active liquidity manager within FUSION, optimizing LP ranges to maximize fees and reduce impermanent losses, making the platform more accessible for average users.
Alpha: is an "Intent-Based" perpetual DEX powered by SYMMIO and hosted by THENA that provides users access to (up to) 60x leverage trading for over 150 crypto assets.
Équilibre is an evolution of the Velodrome model, tailored to support the Kava community.
By leveraging VARA and veVARA tokens, Équilibre incentivizes liquidity and rewards governance participation.
It mirrors Velodrome's enhancements, balancing liquidity provision with governance incentives.
This approach not only supports the Kava ecosystem but also demonstrates the adaptability of Velodrome's model to other blockchain environments.
Équilibre's integration into the Kava ecosystem exemplifies the potential for cross-project collaboration and innovation in DeFi.
Équilibre renewed their four-week incentives, including weekly bribes in USDt pools, VARA/wKAVA, and bVARA match rewards for pools with over $100 in rewards. Additionally, there was a 25% wKAVA cashback for bVARA to veVARA lockers.
The Équilibre community benefited from two Scrub Money airdrops, with a significant distribution of TIGER tokens, enhancing the value proposition for the users.
The platform executed multiple cash-back events for bVARA lockers, enhancing user engagement and loyalty.
Équilibre's participation in ETH Lisbon represented a strategic move to forge connections within the web3 community.
These updates marked significant milestones, focusing on user experience and backend capabilities. Key features include:
Improved SWAP, LIQUIDITY, LOCK, REWARDS, and GENERAL sections.
Introduction of a more robust and efficient API.
Preparation for the anticipated Concentrated Liquidity feature.
The temporary suspension of KAVA Labs incentives for specific pools was a notable change, affecting weekly bribes and cashback mechanisms.
A critical update in Équilibre's development was the integration with Axelar, a network designed to enable decentralized cross-chain communication. This integration played a vital role in enhancing the SWAP functionality of Équilibre, making cross-chain swaps fully operational again and significantly improving the platform's interoperability and user experience.
The upcoming launch of Concentrated Liquidity is set to be a game-changer for Équilibre, promising to position the platform competitively in the DeFi landscape.
The old domain of Équilibre remained accessible during the transition phase to ensure uninterrupted user access.
Velodrome, Thena, Équilibre, and Equalizer represent the cutting-edge of DeFi innovation.
Their distinct approaches to AMM functionality, governance, liquidity provision, and reward distribution contribute significantly to the growth and diversification of the DeFi ecosystem.
As these projects continue to evolve and expand, they offer valuable insights into the future possibilities and directions of blockchain technology in finance.
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