SFG - S.Finance Governance Token

Published in

S.Finance & UU.fiinance

4 min readSep 22, 2020

What is S.Finance?

S.Finance is a DeFi project, which start as offering stable currency exchange service. Compared with UniSwap, S.Finance adopts StableSwap market maker algorithm, similar to Curve, which is smoother than UniSwap algorithm and can achieve low slippage. In other words, S.Finance can offer a more stable price and lower service fee in terms of stable currency exchange.

S.Finance forked from Curve, and the community respects Curve’s contribution in the DeFi world. Many innovations of S.finance have been made on the basis of Curve. For example, Curve is not friendly to users especially to Chinese community. So, S.Finance firstly simplified the tedious operation process and lowered the threshold for users.

At the same time, there are also different ideas in community governance of S.finance. S.finance wants to build a stable currency project based entirely on community, where the rights and interests are distributed based entirely on contributions, and the leading role of the team in the development process is diluted, so that the best ideas can be verified in S.Finance.

S.Finance is the first Defi project which could achieve 3 rewarding at one time. S.Finance is a pure community project with no pre-dig or private placement. S.Finance believes that creating value is the essence of Defi, in order to improve the fairness of the project, the mint rate on the first day is only 10% of normal. S.Finance will soon launch the three trading pairs supporting USDK, BUSD, HUSD and others.

How to get profit on S.Finance?

In the early days of S.Finance, investors could get rewards mainly from two parts: providing liquidity to get transaction fees and staking LP assets to get token rewards.

Transaction fee

S.Finance will charge a commission of 0.04% for providing users with stable currency exchange services, which will be paid to liquidity providers. The higher the transaction volume, the higher the income of liquidity providers. Such circle will attract more liquidity providers, thus forming a positive feedback.

Tokens reward

The liquidity provider can staking the LP for mining. The sUSD liquidity pool to be launched will be able to mine the S.Finance governance token SFG, Curve governance token CRV and Synthetix platform token SNX simultaneously through mining.

In addition, S.Finance has an incentive mechanism to encourage people to deposit stable token which witness a smaller percentage in the pool.The reward comes from a higher market price and a lower proportion of the pool. At the same time, it also has incentive policies to encourage users to withdraw tokens in a higher percentage to get reward, although it’s basically up to the users .

SFG token

S.Finance salutations to BTC, with total circulation 21 million, follow 100% contribution based distribution, no private placement, no pre-dig. It is expected to burn halve the amount once a year. Total mint SFG would be 0.2% of the remaining per day .At the initial stage, the amount of minted SFG will be very small, investors should pay attention to the risk of price fluctuation.

The daily output chat is as follows:

Compared with allocation of CRV

shareholders own 30% of the token supply

an anonymous miners dig tokens in the absence of symptoms

core team has more than 70% of the vote privilege

Curve is clearly not decentralized enough, while S.Finance has no shareholders and no team, and everything is based on community. SFG is literally a community token. Whether the community currency or VC token has a better future is unpredicted, we can only leave it to time.

Fluid mining

Curve currently has 9 liquidity pools (6 USD and 3 BTC ), among which sUSD pool could double mimt CRV and SNX.

SNX is Synthetix’s platform token, and sUSD is a stable token based SNX. The Liquidity provider (LP) could staking the LPToken in the sUSD liquidity pool. Not only can they get 0.04% fee for currency exchange, but also get CRV and SNX .

S.Finance pays respect to Curve. The sUSD liquidity pool not only supports the original double-dig CRV and SNX, but also allows miners to gain additional s.finance platform governance token SFG, realizing three mining rewarding SFG, CRV and SNX.

S.Finance will start sUSD Liquidity pool at Sep.22, 2020 22:22:22(GMT+8). The output rate will be 10% within 24 hours, that is, only 0.02% (a total of 4,200 SFG) will be produced on the first day, however, the mining rate will return to normal 24 hours later. On the one hand, the original intention of this design is to consider the security at the very beginning of the production, on the other hand, it could avoid affecting the interests of investors on account of information gap. Everything is based on the community, and we will try our best to ensure the fair participation of every member of the community.

The intelligent Finance contract has been completed by KNOWNSEC. However, the security scrutiny cannot completely eliminate the risk. Please invest within your capacity.

Plan

In the following, S.Finance will start a great practice of community governance of the platform from the swapping of stable tokens, connecting more valuable DeFi project to provide support for its underlying assets, as will as offer services of lending and insurance for investors, then become the infrastructure of the block-chain world.

The project will start at 22:22:22 on September 22, 2020.