Taiga launches inaugural liquidity migration event, announcing 2.5M $TAI liquidity mining program
One month since the Taiga soft launch, we have achieved promising results in terms of TVL^ and protocol reliability. We are now ready and excited to fully unfold Taiga Protocol on Karura!
In order to fully showcase the benefits and utility of taiKSM, we are launching an official liquidity bootstrapping event: Friendly Vampire in the Woods.
^as of 4/5/2022 approx. USD 400k staked across KSM-LKSM and taiKSM-TAI pool
Friendly Vampire in the Woods
To celebrate Taiga’s official launch, we are conducting a liquidity migration event: Friendly Vampire in the Woods will kick off the 4/14/2022 at 16:00 UTC and will last for two weeks.
This event is a great opportunity for current KSM-LKSM liquidity providers to attain attractive yields, secure exclusive access, all while benefiting from the most efficient experience on Karura.
Specifically, we will conduct wallet interactions to determine usage based $TAI airdrops. Participants will also be able to secure whitelist access for the upcoming Tapio and/or Taiga public sale event.
Existing KSM-LKSM LP — Migrating KSM-LKSM liquidity to Taiga Protocol
You can seamlessly migrate your LP position to Taiga protocol following the steps outlined here:
Benefits Breakdown
Show me the Yields!!!
Here is an indicative yield breakdown for taiKSM based on total valued locked in the protocol:
KSM/LKSM Swap Efficiency
Beyond the juicy yields, Taiga protocol offers the most efficient swap experience on Karura through its Stable Asset engine. Below presents some transaction statistics during the soft launch period:
*Figure: Savings (in %) by using Taiga’s efficient swap — KSM/LKSM pair — LKSM output expressed in KSM
What is Taiga?
Taiga is a parachain agnostic synthetic asset protocol on Kusama. The integration on Karura, the DeFi hub of Kusama, will unleash maximum usability for uniform assets for the Kusama ecosystem.
Taiga is powered by the Stable Asset system, which enables extremely efficient trading and low risk, using uniform, closely pegged assets with the following capabilities:
- Stable Swap — a highly efficient exchange liquidity pool
- Stable Asset — a synthetic asset backed by a basket of assets with the same value peg (ie. Taiga’s “taiKSM” backed by KSM and LKSM)
Taiga synthetic assets can be used in a broad spectrum of use cases (ie. collateral, liquidity bootstrapping, cross parachain transfers) while maintaining the benefits of the underlying assets (ie. liquid staking yield, crowdloan rewards).
How taiKSM is used
taiKSM can be minted from KSM and/or LKSM which is designed to breakdown liquidity silos and enhance overall usability for KSM:
- taiKSM enables highly efficient swap transactions (KSM-LKSM)
- taiKSM maintains a stable peg against KSM
- taiKSM unifies siloed KSM liquidity across Parachains
- taiKSM maintains and distributes yields from underlying KSM derivatives to taiKSM holders (ie. LKSM)
Benefits for taiKSM LPs
Liquidity providers in the taiKSM pool not only benefit from reduced impermanent loss, participants can also enjoy the following value propositions:
1. Liquidity providers will earn from LKSM’s underlying staking yield, paid out in taiKSM*
2. Liquidity providers will earn swap and redemption fees, paid out in taiKSM*
- 0.25% swap fees
- 0.3% redemption fees
LPs have the potential to earn higher fees due to the swap efficiency of the taiKSM pool
3. Participation in the Liquidity Migration event will enable you:
- Earn usage based $TAI airdrop**
- Whitelist access for upcoming public sale events (Tapio and/or Taiga)
Benefits for Traders
Traders benefit from our Stable Swap efficiency to optimize the output of their trades, the advantages for traders are :
- Low Slippage, highly efficient swap execution
- Earn usage based $TAI airdrop**
More Use Cases
Aside from all the benefits outlined above, utilities of taiKSM are not just limited to LPs and Traders. As Taiga protocol unfolds within the broader Kusama ecosystem, taiKSM can be used as:
- collateral to mint aUSD while maintaining the underlying rewards generated from liquid staking and/or crowdloan participation
- taiKSM common liquidity pool can be directed to pair with project team’s native token to help bootstrap LP pools to generate additional LP fees
^as of 4/5/2022 approx. USD 400k staked across KSM/LKSM and taiKSM/TAI pool
*taiKSM accumulated via swap, redemption fees and yield generated from LKSM will be distributed at a specified block height (to be announced).
**Usage will be measured based on wallet activities within the Taiga protocol. Interactions such as swap, mint, stake, duration and quantity of taiKSM staked will be used to calculate usage factor which will impact the qualified airdrop.
Resources
About Tapio & Taiga
Tapio is a synthetic asset protocol enabling efficient liquidity for uniform assets on Polkadot. It is designed to mitigate liquidity silos by synthesizing different formats of assets into a highly usable synthetic asset in the Polkadot ecosystem. Taiga is an experimental protocol on Kusama and the sister project of Tapio.
Tapio officially started in early 2021 when we received the Web3 Foundation Open Grant and the inaugural Acala Ecosystem Grant. Our team is composed of engineers, financiers, security experts and serial entrepreneurs based in Canada, China, Europe and the U.S.
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