The DeFi ecosystem known as Helio Protocol, which is powered by its very own destablecoin called HAY, has recently made public the essential agreements that will further solidify its position on the Binance Smart Chain (BSC). Through its relationship with PancakeSwap, the largest decentralized exchange (DEX) on the BSC network, Helio Protocol intends to expand its liquidity pool and bring the tokenization of real wealth to the forefront of the decentralized finance (DeFi) sector. The new pool is named HAY/USDT stableswap pair, and it is live for the community to vote on proposals that could improve the platform.
With the help of PancakeSwap, Helio Protocol has launched its remarkable syrup pool farm, where users may stake CAKE for the chance to win HAY tokens.
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Let’s dive into PancakeSwap
Users are able to trade cryptocurrencies on the Binance Smart Chain through the usage of the decentralized exchange known as PancakeSwap. It went live in September 2020. According to the official website of PancakeSwap, the company has seen exponential development since it was first introduced to the public and currently boasts more than one million daily active customers and a TVL of more than $4.3 billion, PancakeSwap is the largest DEX on the BNB network and the top protocol overall.
On this platform, you can participate in permissionless token swaps, perpetuals trading, NFT trading chances, and a lot more. Since then, PancakeSwap has established itself as the BNB chain’s go-to location for everything and anything pertaining to DeFi. Users of PancakeSwap trade against liquidity pools rather than order books because the platform is built on automated market maker (AMM) technology. Users of this system are guaranteed to always have access to liquidity and to obtain reasonable prices.
The native token of PancakeSwap is called CAKE, and it can be used for a variety of reasons, including the provision of liquidity, the payment of transaction fees, and governance. In addition, the platform includes a yield farming system, which allows users can earn incentives by staking their tokens in various liquidity pools.
What is Helio Protocol?
Helio Protocol is an open-source liquidity protocol that was created on the BNB Chain. The mission of Helio is to become the Proof-of-Stake (PoS) stablecoin technology that is supported by liquid staking assets and has the widest possible adoption. It supports instantaneous conversions, asset overcollateralization, borrowing, yield farming, and staking by utilizing a dual token format and supporting mechanisms. With the use of a one-of-a-kind optimization strategy, Helio Protocol also aims to achieve its goal of developing a decentralized cryptocurrency solution that is both more reliable and less expensive than those already on the market.
The Helio Protocol is a network of smart contracts that enables communication to take place across a wide variety of ledgers and agreements. Helio Protocol interfaces with smart contracts and uses PancakeSwap and other stableswap DEXs to support the low-fee and low-slippage exchange of tokens in order to earn rewards from the tokens it employs. This allows Helio Protocol to earn rewards from the tokens it employs.
What exactly is this thing called Destablecoin?
The word “destablecoin” is used to refer to a new category of cryptocurrency assets that aspires to be more descriptive than the phrase “stablecoin” that is currently used in the industry.
The prefix “de-” identifies the coin as being decentralized, which means that its price will not be subject to the same wild swings that Bitcoin’s is, but it will be differentiated from traditional stablecoin products such as BUSD and USDC, both of which are maintained by a single institution. Destablecoins, on the other hand, do not aim to achieve absolute price stability with fiat-based currencies like the USD. Instead, destablecoins use decentralized, liquid-staked crypto assets as collateral in order to secure their transactions.
The term “destablecoins” can serve two purposes: first, it can alert users to the inherent risk that is associated with stablecoins; second, it can encourage users to invest in a more responsible manner. In the same way as the value of traditional fiat currencies shifts in reaction to shifts in reference rates and interest rate parities, so too will the value of this currency shift in the same way.
What is $HAY?
The name of the decentralized cryptocurrency used by the Helio Protocol is HAY. It can be used as collateral for borrowing HAY by depositing BNB, USDT or BUSD in the protocol, mining liquidity on LP DEXes, and paying for goods and services. Users have the opportunity to earn 7% APR by staking HAY utilizing the protocol.
The value of $HAY is tied to the US dollar and is backed by a large amount of collateral. This indicates that the value of $1 USD in terms of $HAY will not change, regardless of what the state of the cryptocurrency markets may be.
In other words, one HAY may always be exchanged for one dollar’s worth of bitcoin, which enables it to function as an over-collateralized stablecoin that is backed by BNB. Staking for yield, mining for liquidity, and value transfers are all feasible with HAY, which users can mint and borrow in exchange for BNB, USDT or BUSD. Staking for yield is also a possibility.
The significance of over-collateralization is crucial to grasping the inner workings of $HAY. Recently, stablecoins have been in the spotlight due to the fall of Terra Dollar. This time around, we’ll need to familiarize ourselves with the various stablecoins available. Stablecoins come in three main varieties:
Stablecoins that have a 1:1 ratio of fiat currency reserves are considered to be “fiat backed.” Second, stablecoins whose value is anchored to crypto collateral via smart contracts are considered crypto-backed or over-collateralized. Because they are over-collateralized, there will always be more underlying cryptocurrency than stablecoin.
Third, algorithmic stablecoins have no underlying assets. Instead, they hope to maintain a constant token value through the use of algorithms and smart contracts that regulate the growth and contraction of the token supply.
The stablecoin $HAY has extra collateral. So as long as there are BNB reserves, there will be more BNB locked in Helio smart contracts than there will be $HAY in circulation. You can only borrow up to 66% of the value of the BNB collateral you deposit, for instance, if you wish to borrow $HAY.
With a $100 BNB investment in the Helio protocol, David could borrow up to 66 $HAY. Thus, more BNB collateral is locked into the stablecoin than the value of $HAY. He took out a loan of $HAY 66% of the value, thus his BNB would be liquidated if the value of his collateral fell below that amount. So, regardless of what happens to the price of BNB, the value of $HAY will remain stable. That’s why, in a nutshell, stablecoins based on over-collateralization are safer than algorithmic stablecoins.
The Syrup Pool
Stake HAY tokens to earn CAKE tokens!
- Total Tokens: 27,900 CAKE
- Distribution duration: 80 days
- Start time: Approx. 1400 UTC on 31 Mar 2023
- Finish time: Approx. 1400 UTC on 19 Jun 2023
- Token rewards per block: 0.01210 CAKE
Max Stake per Wallet: 400 HAY for the entire duration of the Syrup Pool.
The purpose of the limit is to ensure that all users have access to the high APY rewards market.
The Farm:
Helio Protocol is contributing a HAY/USDT farm to the Stake HAY, Earn CAKE Syrup Pool.
The farm’s CAKE rewards will be 1.4x for the first 5 days, then 0.7x for the next 75. The Farm’s multiplier will be reset to 0x at the end of the 80-day period (around 1400 UTC on 19 June 2023) unless its average daily volume, 14-day volume, unique token holders on BNB Chain, and lack of fundamental token issues or concerns related to users’ safety and security are comparable to those of other farms with a similar multiplier.
The HAY/USDT governance pool is a new feature that PancakeSwap has added to enable its community members to participate in the decision-making process. The pool will allow users to vote on proposals that could improve the platform’s functionality and governance. Users who stake their HAY/USDT liquidity pool tokens (LP tokens) in the governance pool will be able to vote on proposals.
The staking raffle for $5,000 that is being provided by Helio Protocol is just one example of the prizes and incentives that are being offered to LPs, and it is anticipated that they will attract even more interest from the DeFi audience.
Players can take part in the competition by providing $50 in liquidity to the newly created pool, which will have around $25 HAY and $25 USDT distributed among its members. In order to be eligible, participants must have claimed OAT and follow both Helio Protocol and [Redacted] on Twitter.
In addition, there will be a total of 5,000 HAY worth of awards, with each of the 50 winners receiving 100 HAY.
Users have the ability to place bets in the newly introduced liquidity pool to both improve their odds of winning and gain access to additional incentives. Helio Protocol is always looking for innovative new ways to reward and thrill its customers, and they do it continuously.
Helio Protocol is going to launch its stake2earn campaign on Monday, April 4th. This campaign will provide participants with the opportunity to win prizes while also contributing to the expansion of the HAY/USDT liquidity pool.
Why is the HAY/USDT governance pool important?
The HAY/USDT governance pool is important for several reasons. First, it enables PancakeSwap to become more decentralized by allowing its community members to participate in decision-making. Decentralization is a key feature of blockchain technology, and it ensures that no single entity controls the platform. By allowing its community members to vote on proposals, PancakeSwap can ensure that the platform evolves based on the needs of its users.
Second, the governance pool incentivizes users to provide liquidity to the HAY/USDT liquidity pool. By staking their LP tokens in the governance pool, users can earn additional rewards in the form of CAKE tokens. This system ensures that users are incentivized to provide liquidity to the pool, which in turn ensures that the pool has sufficient liquidity for users to trade.
Finally, the HAY/USDT governance pool enables PancakeSwap to evolve more quickly by allowing it to implement proposals that have been approved by its community members. The platform can quickly respond to the needs of its users and improve its functionality and governance based on their feedback.
Conclusion
Helio is emerging victorious from the ashes of the stablecoin market thanks to the lessons learned the hard way. Helio’s recent initiatives illustrate the company’s desire to be a pioneer and a leader in the DeFi sector and to continue to expand. With its new destablecoin, HAY, as well as a number of creative liquidity efforts and crucial partnerships, especially PancakeSwap. Helio Protocol is separating itself from the rest of the fast emerging blockchain sector.
Learn More
Website: https://helio.money/
App: https://helio.money/app/loans/
Medium: https://medium.com/@Helio-HAY
Twitter: https://twitter.com/Helio_Money
Telegram: https://t.me/helio_money
Telegram CN: https://t.me/HeliomoneyCN
Discord: https://discord.com/invite/k5JZVQYpUn
Audits: https://docs.helio.money/security/
Disclaimer
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