Quicksilver & Shade Protocol Partner to Launch qATOM Pools
Quicksilver and Shade have partnered to launch incentivized qATOM:ATOM and qATOM:SILK pools on Shade Protocol, marking a significant milestone in the world of liquid staking tokens & the Quicksilver project. Pools are incentivized with QCK and SHD tokens. Bridge tokens to Secret Network to get started.
About Shade Protocol
Shade Protocol is a set of privacy-preserving DeFi applications on Secret Network. The ShadeSwap DEX is one of the first DEXs in Cosmos custom-built for liquid staking tokens. Like Quicksilver, Shade believes in the utility and efficiency of liquid staking tokens and the importance of liquid staking adoption in Cosmos. The two projects share a goal of unlocking staked capital and giving users more flexibility & choice without forfeiting staking rewards.
Shade’s innovative asymmetric liquidity model offers swap rates that can be up to 200 times more efficient than traditional CPMM models found on platforms like Uniswap or Balancer, and with vastly less price impact.
In traditional CPMM, a trader supplies equal values of two tokens to the liquidity pool. As trades occur through the pool, the product of the token amounts remains constant. These pools spread liquidity across a curve so that different trades at different prices can all be met by the pool. This works well for tokens whose price varies with the market.
However, liquid staking tokens trade at a predictable price range, determined by the behavior of their parent asset. Thus, a CPMM model can result in wasted liquidity for a liquid staking token pool, because much of the pool’s liquidity is spread to price ranges where the liquid staking token doesn’t trade.
The ShadeSwap asymmetric liquidity model aims to fix this problem. It works by concentrating liquidity around the predictable, asymmetrical trading range of the liquid staking token & native asset pair.
Thus, swaps — even huge swaps — offer much less slippage, and a user swapping a liquid staking token like qATOM will receive much better rates than swapping on a traditional DEX.
qATOM:ATOM and qATOM:SILK Pools on Shade
Both qATOM pools on Shade are co-incentivized by QCK and SHD token. Users who first stake ATOM on Quicksilver and then provide qATOM liquidity on Shade will earn autocompounded ATOM staking rewards, swap fees from ShadeSwap, and liquidity pool incentives.
The qATOM:ATOM pool offers 100% exposure to ATOM. qATOM:SILK uses Shade’s overcollateralized stablecoin SILK, which utilizes a basket of real-world assets for its peg and is collateralized via a market basket of Cosmos assets including stkd.SCRT and Axelar USDC and USDT.
Get Started on Shade Protocol
For those new to Shade, check out the comprehensive onboarding walkthrough for providing liquidity and staking LP tokens on ShadeSwap. This resource ensures that both experienced traders and newcomers to the world of decentralized finance can access & benefit from Quicksilver’s new qATOM pools.
The partnership between Quicksilver and Shade Protocol underscores the our shared dedication in enhancing the Cosmos ecosystem through liquid staking. By joining forces, we look forward to pushing the boundaries of liquid staking innovation and delivering exceptional value to the community.
Join Shade’s Discord, Telegram, or access Shade Protocol.
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Quicksilver is the interchain liquid staking protocol for the Cosmos ecosystem and beyond.
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