BotReview — $MAGNET
In our third edition of BotReview, we are excited to present a sincere and thorough evaluation of Yield Magnet, our newest partner and trailblazer in the realm of innovative DeFi tools.
This review will cover all the benefits and use cases of their product while leaving notes on where we can see improvements in the future.
Prior to delving into our review, we will provide a comprehensive overview of the features and functionalities of their offering.
Yield Magnet stands as a potentially groundbreaking DeFi platform that revolutionizes cryptocurrency trading on the Ethereum network, surpassing the limitations of conventional token portfolio management.
Yield Magnet bridges the gap between fund managers and investors by utilizing smart contracts to lay a foundation on transparency between all users on the platform.
Yield Magnet is an Ethereum-based platform that brings the multi-trillion dollar industry of mutual funds to DeFi.
Through the $MAGNET token, holders are able to stake their holdings with no lock-up and earn a share of all the fees generated from the dApp and tax accrued through $MAGNET token trading.
Benefits for Stakers:
- 50% of all platform fees
- 20% of the tax generated from $MAGNET token trading
Platform Fees:
Yield Magnet collects fees from various transactions to reward $MAGNET stakers and support platform development.
- 2% deposit/withdrawal fee
- 0.75% asset swap fee (deducted from the swapped asset)
At the time of writing $MAGNET has an impressive ~ 45% of supply staked with a current TVL of ~ $1,008,735.60
Yield Magnet gives asset managers the ability to create an environment in which they can leverage their expertise to connect with a global audience, empowering them to deliver profitable trades to the holders of their pool.
Yield Magnet gives pool investors the chance to pool together with asset managers and directly profit from their trading capabilities with near effortless investing.
When a fund manager creates a pool on the Yield Magnet platform, it will deploy a smart contract on the Ethereum blockchain that facilitates all the trades made within the pool and is inherently fully transparent due to the nature of blockchain tecnnology.
When joining a pool investors will ideally look to join forces with an accomplished user in order to appropriately allocate capital to generate a return.
Now that we have given an overview of Yield Magnet, let’s dive into our review…
Creating a Pool:
- Connect your wallet
- Set Pool Name, Pool Symbol, and Pool Fee
- Add a pool description and social links
As you can see from the steps above, creating your pool and getting started is a very simple and easy process.
Getting rid of any complex start-up process will lower the barrier to entry and boost adoption of the platform.
As a Yield Magnet Pool owner, you have the potential to build a thriving community and earn passive income, creating a win-win scenario for both you and your pool members.
Joining A Pool:
Joining a pool is even simpler than creating one, simply scroll the list of created pools or search for a pool by name.
Once you have found a fund manager that matches your investment goals and demonstrates signs of competency you can look to invest in their pool.
Participating in a pool is a simple process, but it is crucial to comprehend your accountability for your investments.
You are solely responsible for any losses you may incur.
Although Yield Magnet pools are safe, they may still face unfavorable trades or dishonest pool owners.
To protect your investments, it is important to thoroughly research a pool and its owner before making any investments.
How do I get rewarded from the pools?
Pool tokens are a representation of ownership in the pool.
In the event that there is 1 ETH available in the pool and 10 tokens in circulation, when an additional investor deposits 0.5 ETH, they will be granted 5 tokens.
This implies that the investors now own 66% and 33% of the pool assets, respectively.
If the pool’s value increases from 1.5 ETH to 3 ETH during trading, the investor who initially deposited 0.5 ETH can exchange his tokens for 1/3rd of the pool, which is now worth 1 ETH.
Consequently, the tokens’ worth reflects the trading returns of the pool.
As a Pool Creator:
Fund managers seek to be rewarded by the trades they make within their pools and also through the pool fees that are generated when an investor deposits or withdrawals from the pool.
As a Pool Investor:
By investing in savvy investors, you leverage their ability to execute successful trades and get rewarded by them.
What problems does Yield Magnet solve?
Yield Magnet aims to address numerous challenges and introduce a fresh approach to mutual funds.
Yield Magnet possesses the capability to facilitate a positive feedback loop between the pool owner and its holders, enabling investors to mitigate risks in the market by allocating funds to a trusted investor.
Furthermore, Yield Magnet addresses the issue of influencers or any user being accused of ‘dumping on followers’ or engaging in ‘market manipulation’ by providing them with a platform to present their projects without such risks.
By utilizing the Yield Magnet platform, all trades are conducted through a smart contract on the Ethereum blockchain, eliminating the necessity for trust and allowing for a stronger alignment between all users.
By utilizing the Yield Magnet platform, influencers can navigate through the transparency concerns associated with conventional methods and simultaneously provide direct rewards to their following.
Developer logs:
It is easier than ever to stay on top of development updates with $MAGNET through their Developer Logs Telegram channel.
It may not be directly relevant to the review, but it is worth mentioning that a team that consistently puts in effort with frequent updates should not be overlooked.
You can find the link here: https://t.me/YieldMagnetDevelopment
Closing Thoughts:
Yield Magnet’s distinguishing feature lies in its ability to revolutionize the existing realm of traders adhering to the recommendations of their preferred KOL, trader, or investor through an easy-to-use platform.
The Yield Magnet platform unlocks a direct medium of functionality between the investor and the follower through pool creation and pool investors.
This will allow for effortless investing when joining a pool, all while receiving passive income on all the revenue streams from your staked $MAGNET tokens.
An exciting prospect for Yield Magnet to consider is the ability to cross over into Social-fi and connect asset managers even further with their pool investors.
A chat box or a method of communication between the parties in the pool would work wonders for education, feedback, growth, and community engagement with the pool.
A verification process with an X or Telegram account would be great to add legitimacy to official pools and reduce the likelihood of someone getting scammed by a fake pool of a specific user.
So while Yield Magnet is still in its very early stages, it displays remarkable signs of professionalism, innovation, and expertise.
The platform’s potential is evident, provided they can dominate the market and attract a significant user base.
To sum up on Yield Magnet…
Positives:
- Built on transparency
- Passive income for holders
- Brings mutual funds to DeFi
- Easy to use
- No lock up staking
- Near effortless investing
- Innovating technology
Where we could see improvement:
- Adding official pool verification
- Communication methods between pool creators and pool investors
We look forward to continuing to use the services Yield Magnet offers and holding $MAGNET in the $BOTC Treasury for the foreseeable future!
Thanks for reading!
You can learn more about Yield Magnet here: www.yieldmagnet.io
Get started via our Yield Magnet pool here: https://app.yieldmagnet.io/pool/v2/0xb441e1C8ebd8df3e92b330B3906d309Aa2C0B88c
We tweeted this here: https://x.com/BotCompiler/status/1729123616040550739?s=20
