PowerDeFi- IOST's Top Robust & Booming DeFi Ecosystem & Everything You Need To Know
Emerging as a central theme in 2019, DeFi took the crypto world by storm and quickly emerge as one of the most promising areas of growth in the online financial sector. IOST is joining the DeFi frenzy and seeks to explore the blossoming DeFi space in H2 2020, aiming to complete and land at least three financial applications by September 2020 according to the latest roadmap.
PowerDeFi is one of the first projects that come to IOST fans’ minds when speaking of DeFi on IOST. Developed by IOST Partner Node Powermine, the PowerDeFi platform not only has an extremely popular Uniswap exchange port but also includes a complete Perpetual ecosystem.
According to DappRadar data, PowerDeFi’s 7-day trading volume has exceeded 10 million IOST quickly, reaching 14,718,559.324212 IOST as the time of writing. Undeniably, this progressive, robust, and fast-growing platform is building every block to prove itself a force to be reckoned with on IOST, and even beyond.
PowerDeFi community members are falling in love with this project. “Biggest potential gains”, “massive earning potentials”, “best DeFi project” are some of the terms we often hear about Powermine and PowerDeFi. So what is it all about? and how can YOU- users leverage on this platform to earn massive passive returns?
Let’s break down the PowerDeFi ecosystem and learn its details in this article.
PowerDeFi: A Full DeFi ecosystem on IOST
PowerDeFi is the DeFi platform of Powermine, launched on the 6th of June 2020. The platform currently includes a port of the popular Uniswap exchange and the entire Perpetual Ecosystem, this article will go into detail on all the things that PowerDeFi has to offer.
IOST PowerDeFi, where Uniswap, lending and staking is all in one!
UNISWAP
The first DeFi DAPP launched for PowerDeFi is a version of the Uniswap protocol which is a DEX that automates and makes the trading process easier, by eliminating the order books altogether.
There are two types of users in a Uniswap type DEX:
1-Liquidity Providers
Liquidity Providers (LPs) provide the necessary liquidity for a pair to be traded and have slippage, in exchange for doing this they receive 0.3% of all volume in that pair. LPs are essentially automated market makers for the specified pair.
For more information regarding the profitability of LPs these two articles explain it in detail (Article 1 Article 2)
2-Buyers & Sellers
Buyers and sellers of this unique type of DEX benefit from not having to wait for the trade to be filled, as a buyer or seller makes sure that the price slippage of the order size you’re placing isn’t too high.
Uniswap Statistics
As it can be seen in the following screenshots PowerDeFi has quickly become the top volume DAPP on IOST with consistent growth, volume, DAU and liquidity:
The Perpetual Ecosystem
It is the most significant DAPP launched on IOST due to the number of contracts and mechanisms involved, let’s see what the ecosystem includes:
1-PER TOKENOMICS
Token Supply Distribution (100,000,000 PER)
Perpetual Lobby 59,000,000 PER
Perpetual Ecosystem Long-Term Fund 20,000,000 PER
Uniswap starting Liquidity Pool 1,000,000 PER
PMINE Airdrops 20,000,000 PER
Transfer Fee
Whenever PER is transacted a 2% transfer fee is charged which is distributed in the following way:
-0.5% is burnt, destroyed forever
-0.5% goes to the PER Staking Pool
-1% goes to the Perpetual Lobby
2- Perpetual Lobby
The Perpetual Lobby is one of the core mechanisms of the Perpetual Ecosystem , its function is slowly releasing PER back into circulation while collecting IOST to strengthen the ecosystem.
Users deposit IOST into the lobby and after the round ends the PER for that round is distributed amongst all depositors, proportionally to the amount they deposited.
The IOST collected in the lobby is distributed in the following way:
80% goes to the Loan contract
10% goes to the IOST Staking Pool Rewards
10% goes to increase the Liquidity for the PER/IOST pair
Participating in the Perpetual Lobby
In order to participate in the lobby, you only have to deposit IOST and it’ll be converted to PER when the round ends:
A timer showing how much time is left till the current round ends
Log into your IOST wallet and input the amount of IOST you want to deposit in the lobby
The specific stats for the current lobby round
“PER Available” shows how much PER will be distributed that round.
“Total IOST” shows how much IOST has been deposited into the lobby that round.
“PER/IOST” refers to the current amount of PER for each IOST deposited during that round it would receive if no more IOST is deposited.
“Your PER” is the amount you’ll receive when the round ends.
“Your IOST” is the amount of IOST you’ve deposited that round.
When the round ends the IOST you deposited is converted to PER and you can claim it:
3- Staking Pools
Both Staking Pools are a core mechanism of the Perpetual Ecosystem , they reward long-term PER holders by offering PER & IOST rewards, stakers sacrifice short-term liquidity for bigger longer-term profits which helps the ecosystem overall by reducing the selling pressure on PER.
Both pools share the same mechanics, you stake PER for a specified time frame and receive shares according to your multiplier, those shares will earn you daily rewards in either PER or IOST (depending on the pool you’re staking in), which you can claim.
As you can see in the image the longer you stake for the higher amount of shares you’ll get for the same amount of PER staked, if you want to unstake before the lockup time period ends you’ll have to pay an extra fee called an early unstaking penalty fee which depending on the lockup time of the stake can range between 10% and 80%.
PER Staking Pool
By staking in this pool you’ll receive PER on a daily basis, the PER that is distributed comes from two places:
1- 0.5% of all PER transferred goes to the PER Staking Reward Pool.
2- 25% of the early unstaking penalty fees for both staking pools are sent to the PER Staking Reward Pool.
IOST Staking Pool
By staking in this pool you’ll receive IOST on a daily basis, the IOST that is distributed comes from 10% of the IOST collected in the lobby rounds.
How To Participate
In order you receive daily rewards in either pool you simply need to input the amount of PER you want to stake and the time period you want to lock it for:
Once you stake a log will appear in the Stake History section showing the info regarding that stake:
The info included in this log is how much PER you have staked, the shares that the stake represents and finally when can you unstake without having to pay the penalty.
In order to claim your rewards you only have to click the “Claim” button, both pools rewards are paid at 16:30 UTC.
4- PER Loans
PER loans is the main liquidity mechanism for the ecosystem together with Uniswap, the way the loan is calculated is by calculating the rate between the IOST balance of the Loan contract and the PER in circulation.
- 80% of the IOST deposited in the lobby goes to the Loan contract
- 100% of the PER in collateral that defaults is burnt, forever
How to take a PER loan and pay it back
1-Select your time frame to repay the loan
2-Input the amount of IOST you want to borrow and it’ll appear how much PER you need to place as collateral, click “Loan” and confirm the tx.
Your loan will now appear in the loan history page:
In order to repay the loan you only have to click “Pay” and confirm the tx, make sure you have enough IOST to cover the payment.
LONG-TERM POSITIVE PRICE EFFECT MECHANISMS
1- Constant buybacks and increased liquidity on Uniswap
2- Most of the PER in circulation is actually locked in long-term stakes within the two staking pools.
3- The IOST balance of the loan contract is designed to grow non-stop.
4- PER is deflationary, which puts buy pressure on it.
5- A big appeal about PER is the big staking rewards it offers in both pools.
6- As the number of DeFi tools within the Perpetual Ecosystem grows, PER’s utility will grow too, making its scarcity and the other price mechanisms shine even more.
CONCLUSION
These 4 contracts (Perpetual Lobby, Perpetual Loans, Staking Pools, and Uniswap) are the core foundation of the Perpetual Ecosystem, their purpose is to create an economic system that can grow over time.
Additionally this is just the start for PER with many new exciting things coming that will increase its utility, the transfer volumes, and the overall value of it.
Helpful Youtube Videos about PER
If you have any further questions regarding PowerDeFi feel free to join their Telegram group and ask.
IOST to Lead the 2020 New DeFi Trend- “All in DeFi”
“All in DeFi” is the slogan and development focus of IOST in the second half of 2020.
IOST is its own fully-development blockchain ecosystem with its own over 400 global nodes, multiple wallets, and unique consensus protocol. Speed is the name of the game for IOST, a blockchain dedicated to being “ultra-fast” with a peak value for TPS of 8000 through a combination of unique technologies such as Proof of Believability (POB).
Based on its original PoB consensus mechanism and the layer2 expansion scheme, IOST obtains horizontal expansion and high throughput, providing value creation for third-party developers, content creators, and enterprises. IOST is more decentralized than the DPoS based EOS and more scalable than Ethereum smart contracts platform.
In addition, IOST offers developer-friendly features that improve product development efficiency. No congestion and no high gas fees as seen in Ethereum, the reason many developers choose to launch DeFi projects on IOST. A zero transaction fee also guarantees users the convenience and accessibility of using DeFi applications on the IOST chain.
In 2020, IOST will cultivate the growth of its robust DeFi ecosystem through deepening cooperation with existing DeFi projects and implementing all-round optimizations and transformations.
Riding the DeFi wave with great momentum, IOST has been striking multiple DeFi partnerships including PowerDefi, Constant Co., ProDeFi, Bidao, and PROXI.
IOST will provide comprehensive incubation services for DeFi projects from various aspects such as technical support, operation support, and financial support, and to jointly create explosive DeFi products. The IOST cross-chain transfer bridge will be applied to link DeFi projects and users from other public chains such as Ethereum, and introduce more high-quality DeFi projects for more explosive users’ growth.
IOST shall continue to work closely with its global partner nodes to deliver innovation and values to DeFi, create explosive DeFi products, lead the mainstream application of DeFi, and open up a new phase for a decentralized global economy.
If you want DeFi, join IOST.
About IOST
Supported by Sequoia, Matrix, ZhenFund and other world-class investors, IOST is a blockchain platform developed for online service providers, empowered by its unique, next-generation Proof of Believability consensus.
The IOST project team is currently mainly composed of R&D personnel focusing on blockchain distributed technology. The team is formed by more than 50 blockchain industry experts who have graduated from world top universities such as Princeton, Stanford, MIT, Tsinghua University, and Beijing University, and have more than three years of blockchain-related research experience.
With a one-year-old mainnet, IOST has swiftly risen to become a world-leading public chain renowned for its numerous government collaborations and enterprise partnerships around the world. IOST is one of the Big Four public chains with a rich user base and real applicability alongside Ethereum, EOS, and TRON. 500,000 community members, over 20 countries worldwide, and over 400 nodes, top staking economy, and growing.
If you would like to hang out with the IOST community on chat, social media or to discuss product development, we have something for everyone:
- International English Telegram Group: https://t.me/officialios
- IOST Announcement Channel: https://t.me/iost_announcements
- IOST Official Twitter: https://twitter.com/IOST_Official
- IOST CTO Terry Wang Twitter: https://twitter.com/terrence_iost
- IOST CEO Jimmy Zhong Twitter: https://twitter.com/jimmyzhong_iost
- Slack Developer Community: https://invite.iost.io
- Uptrennd: https://www.uptrennd.com/iost
- Reddit: https://www.reddit.com/r/IOStoken
- Facebook Page: https://www.facebook.com/IOSTofficial/
- Facebook Group: http://bit.ly/IOST-FB-Group
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