2. The Functions of DeFi
D3D will introduce the concept of DeFi staking to create more value returns for platform users. For example, holding D3D Token to get fixed income and staking D3D to get other tokens, etc.
1) D3D Staking
D3D staking is used to establish a fund based on the change of supply and demand of assets, and the interest rate is calculated by algorithm. The supplier and borrower of assets directly interact with the agreement to earn or to pay the floating interest. It can also be used as a powerful tool compared with other methods such as directional airdrop.
2) Asset Spply
In the peer-to-peer platform, a user’s assets are lent to another user. Different with the exchange platform, D3D staking agreement integrates the supply of each user, provides more liquidity and keeps the balance of the capital system. Borrowers and lenders can get rewards by observing the corresponding agreements while circulating the digital currency. At the same time, D3D staking can adjust the agreement increment or reward users by clearing the balance, which may create a brand new business model for the ecosystem.
3) Liquidity Incentive Structure
In the period of extreme demand for assets, the liquidity of the agreement (token that can be used for withdrawal or lending) will be decreased. When it happens, interest rates will be increased, thus stimulating supply and restraining borrowing. Therefore, the D3D agreement will provide liquidity staking for hundreds of currencies including BTC, USDT, ETH, SOL, Polygon, DOT and ATOM in the liquidity mining module based on DeFi.
Last updated