Decentralized finance (DeFi) first took the world by storm in 2020. Now, two years later, the world has grown to know a number of profitable DeFi tasks. Regardless of these successes, like every new area, a number of issues have additionally arisen.
Contemplate Bitcoin (BTC), which launched the world to cryptocurrencies and blockchain however might solely be used for funds, and its successor, Ethereum, which opened the world to further know-how use circumstances. Equally, as DeFi 1.0 caused incomes alternatives and liquidity issues with customers switching between platforms to pursue higher rewards, 2.0 protocols need to construct steady worth with extra superior ideas.
Serving to to usher on this period is LeoFinance, a staff that has been constructing and managing functions over the previous three years. Its assortment consists of social apps comparable to LeoFinance and LeoMobile (for iOS and Android), each of which exist because the spine for the staff’s bigger objectives.
With the profitable construct of functions on BNB Chain, amongst different platforms beneath the staff’s belt, LeoFinance spent seven months researching the subsequent wave of options, DeFi 2.0, being attentive to the decentralized autonomous utility (DAO) revolution, and platforms comparable to Olympus. It supposed to take its findings, “the important thing components of success,” and apply them to its platform goals, which, within the phrases of one of many staff members, is to “construct a sustainable DeFi 2.0 Yield Utility on the Polygon blockchain for our group of diamond paws.”
“Our final ambition with the LeoFinance Web3 Ecosystem is to develop the width and depth of our group. Width means getting new customers, and depth means attaining an increasing number of ranges of alternative to complement our customers and create abundance for our group.”
With this mission high of thoughts, the LeoFinance staff has launched its new app, PolyCUB. PolyCUB goals to enhance tokenomics and mechanics over current DeFi yield optimizers and open group members’ eyes to new alternatives on the Polygon blockchain.
Guaranteeing sustainability within the long-run
PolyCUB makes use of Kingdoms, a cross-platform yield farming vault that enables customers to earn via Base APY from the native platform and PolyCUB APY.
On this mannequin, long-term incomes sustainability is ensured via PolyCUB’s underlying shortage mannequin. The app’s token operates equally to Bitcoin’s in that it’s not a medium of trade. As a substitute, PolyCUB has worth directed towards it, making certain that the required deflationary strain is being utilized in distribution. Because of this, xPolyCUB is right for these planning to carry their belongings for the long run.
In observe, anybody staking PolyCUB as xPolyCUB in a single staking pool will maintain a without end deflating asset. XPolyCUB’s worth towards PolyCUB solely will get bigger with time (10.71 PC per xPC at press time). XPolyCUB acts as a declare on early harvesting penalties generated by exterior capital in Kingdoms vaults.
Worth is additional ensured via the platform’s tokenomics redistribution. As beforehand talked about, Kingdoms enable customers to stake totally different tokens and earn yield as auto-compound returns, permitting customers to extend their earnings with minimal effort. These payouts are cut up 90/10, making certain that 10% of the proceeds are redirected to the xPolyCUB contract.
The platform additionally makes use of a curve-style harvesting penalty methodology. Customers can decide to attend 90 days for his or her harvests to “unlock” and be claimable, or they’ll instantaneously declare their harvests however pay a 50% early-harvest penalty to xPolyCUB holders.
This function is coupled with Protocol Owned Liquidity, which is generated via PolyCUB Bonding and a ten% administration payment on Kingdoms yield. When mixed, these options guarantee the value will improve in United States {dollars} phrases over lengthy timeframes, and that worth is funneled into the palms of anybody staking xPolyCUB in a method that’s nonexistent in DeFi 1.0 platforms.
Constructing the expansion mechanics
With a group of hundreds of month-to-month lively customers internationally, together with bloggers, readers and Web3 customers, LeoFinance is now focusing its efforts on increasing its Web3 ecosystem to new blockchains of alternative comparable to Polygon.
Its app, PolyCUB, makes use of bonding mechanics which might be impressed by Olympus and coupling them with curve-style staking with xPolyCUB to create a sustainable yield optimizer.
By leveraging its fastidiously crafted mechanics, the staff believes it’s well-equipped to drive long-term development in an trade missing in long-term considering.
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