The good news for KyberSwap users just keeps on coming.
On August 17th, the company will continue collaborating with BENQI & Yeti Finance to launch Elastic Pools on the Avalanche network.
Information about KyberSwap x BENQI & Yeti farms:
● Launch Date: August 17
● Chain: Avalanche Network
● Join KyberSwap x BENQI & Yeti farms HERE
sAVAX – AVAX
sAVAX – YUSD
USDC – YUSD
● Rewards: 1st Phase with $200,000+ in KNC, QI and YETI rewards
⚡ Get ready to take part and perhaps reap enormous rewards!
Table of Contents
I. How to join this farming pool
The Farming Process, in Brief:
➣ Step 1: You would purchase the tokens you want to add liquidity for on Avalanche (sAVAX, AVAX, USDC, YUSD).
➣ Step 2: Add liquidity for the eligible Elastic pools and you will get a new NFT that indicates your liquidity level.
➣ Step 3: Deposit your liquidity position NFT into the farming contracts.
➣ IMPORTANT Last Step: Stake the deposited NFT in the farm to begin receiving rewards.
However, hold on a second! Rather than immediately diving into farming in Elastic Pool, let’s check out what all the buzz is about with this very popular event.
II. Benefits for the BENQI, Yeti Finance and Avalanche Ecosystem
1. For Traders
The best exchange rates for sAVAX are found through DEX aggregation, and on-chain metrics let users find other tokens even before they trend or moon.
2. For Liquidity Providers
◾ There is a lot of liquidity for sAVAX pairs and any other token, stable or not.
◾ LP (liquidity provider) fees were added up automatically.
◾ Bonuses for profitability through yield farming.
◾ Just-in-time attack protection to protect LPs’ earnings.
3. For Developers
◾ Dapps can use KyberSwap’s pools and aggregation API to offer their users the best rates, saving time and resources.
◾ KyberSwap is working with BENQI and Yeti Finance on this project to make Avalanche a better place to trade, which will help all three ecosystems.
III. What is KyberSwap Elastic?
Elastic, KyberSwap’s newest protocol, is a tick-based AMM that gives Liquidity Providers (LPs) the benefits of concentrated liquidity and the freedom to get the most out of their capital and manage risks.
With concentrated liquidity, LPs can supply liquidity to an Elastic pool by “concentrating” the liquidity to a narrow price range or setting it to a wider price range. Concentrated liquidity would make better use of the pool’s liquidity, making it look like it has much higher levels of liquidity and giving liquidity providers better slippage, volume, and earnings. A wider range, on the other hand, would make sure that liquidity for uncorrelated token pairs like USDC-ETH would stay active even when prices were moving a lot and the market was very volatile.
KyberSwap Elastic also has a Reinvestment Curve, which adds fees by automatically compounding the fees that LPs earn back into the liquidity pool. This saves liquidity providers time and lets them earn higher APYs.
LPs on KyberSwap Elastic can also choose from different fee tiers to find the best rates for themselves, taking into account things like how volatile the tokens are and how much risk each person is willing to take, etc. KyberSwap Elastic also has a security feature called Just-in-Time (JIT) Attack Protection, which protects LP earnings from snipe attacks that would lower the earnings of other honest liquidity providers. So that LPs can be sure of their income and have peace of mind.
From August 17, 2022, liquidity providers on KyberSwap Elastic will be able to choose from sAVAX and YUSD eligible pools to increase liquidity and earn $KNC, $QI and $YETI rewards.
To sum up, with KyberSwap’s Elastic protocol LPs can get benefits like concentrated liquidity and compounding fees, which allow for better use of capital and better rewards. KyberSwap Elastic also has JIT (Just In Time) protection, which means that LPs will have more peace of mind and their earnings will be better protected.
IV.BENQI & Yeti, who are they?
BENQI is a Decentralized Finance (DeFi) liquidity market protocol, built on Avalanche. The BENQI Protocol consists of:
➤ BENQI Liquidity Market (BLM)
➤ BENQI Liquid Staking (BLS)
The BENQI Liquidity Market (BLM) protocol enables users to effortlessly lend, borrow, and earn interest with their digital assets. Depositors providing liquidity to the protocol earn yield, while borrowers are able to borrow in an over-collateralized manner.
The BENQI Liquid Staking (BLS) protocol is a liquid staking solution that tokenizes staked AVAX to grant users the ability to utilize the yield-bearing asset within Decentralized Finance applications.
2. Yeti Finance
Yeti Finance is a cross-margin lending protocol on Avalanche that allows users to borrow up to 21x against their portfolio of LP tokens, staked assets such as sJOE and sAVAX, and yield-bearing stablecoins in a single debt position for 0% interest.
Farming and staking rewards are auto-compounded when interest-bearing token such as staked assets or LP tokens are deposited onto Yeti Finance’s platform, opening up numerous leveraged farming strategies.
Borrowers receive YUSD, an overcollateralized stablecoin which can be swapped for additional assets and subsequently re-deposited into Yeti Finance to build a leverage position.
YUSD can be redeemed for $1 of underlying collateral minus redemption fees. Yeti Finance builds off Liquity’s economic model to ensure peg stability and efficient liquidations.
Yeti Finance is a quantum leap forward in the stablecoin/lending landscape.
V. KyberSwap overview
KyberSwap is a DEX aggregator built on Kyber Network, which is an On-chain liquidity protocol that aggregates liquidity from 67+ DEXs across 12 chains (including Polygon, BNB Chain, BitTorrent, Aurora, Arbitrum and Optimism) to provide transactions at the best rates on any given platform on any decentralized application (dApp).
As Kyber network’s flagship product, KyberSwap has a suite of capital efficient protocols designed to optimize rewards. KyberSwap Classic’s Dynamic Market Maker protocol (DMM) is DeFi’s first market maker protocol that dynamically adjusts LP fees based on market conditions, while KyberSwap Elastic is a tick-based AMM with concentrated liquidity, customizable fee tiers, reinvestment curve and other advanced features specially designed to give LPs the flexibility and tools to take your earning strategy to the next level without compromising on security.
In addition to expanding networks to access more tokens, KyberSwap also links with these ecosystem partners to run programs to help increase awareness and widespread adoption of DeFi
Global Telegram: https://t.me/kybernetwork
Vietnam Telegram: https://t.me/KyberVietnamese
Opinions stated on CoinWire.com do not constitute investment advice. Before making any high-risk investments in cryptocurrency, or digital assets, investors should conduct extensive research. Please be aware that any transfers and transactions are entirely at your own risk, and any losses you may experience are entirely your own. CoinWire.com does not encourage the purchase or sale of any cryptocurrencies or digital assets, and it is not an investment advisor. Please be aware that CoinWire.com engages in affiliate marketing.