Xion’s Globalized Liquidity Protocols
We at Xion Finance have created a marketplace where there are many roads to earning passive income, at a rate that currently surpasses nearly all other competition in the 2021 crypto market. There’s 2 essential ways one can become a liquidity provider (LP) and earn a large sum of our native coin XGT, as well as regular earnings from stable coins such as xDAI(1 USD = 1 xDAI). Before diving into the mechanisms of these, we want to be clear that these profit margins for LP is due to our fast growth requiring higher than expected liquidity, so we are willing to pay higher than expected rewards to our LP as we acknowledge and appreciate the fact that we couldn’t exist in the crypto space without them. However, let’s first learn how one becomes a LP, and how exactly they make a regular income by providing liquidity on Xion Finance.
1. Liquidity Providing xDAI/XGT on the xDAI Blockchain
One becomes a LP by providing 1:1 of xDAI and XGT to be put into a liquidity pool, where they will earn xDAI at a current rate equal to 0.25% of every trade in that pool. This 0.25% is distributed as xDAI and the XGT is delivered every 5 seconds as long as the LP is providing liquidity to the pool. This fast delivery of profits for our users is again to assure maximum profitability for them, acting as an actionable thank you for keeping our ecosystem afloat. Your initial investment into the pool and all accrued interest gained will be represented as an interest-bearing token called UNI-V2 which you can trade in for the equivalent amount of xDAI and XGT once you’re done being a LP to that specific pool. BSC liquidity provision is also available now where you can add XGT-BNB for trading fees and XGT APY rewards.
2. Agave Lending Protocol on the xDAI Blockchain
We are in the process of introducing a completely new way to make passive income within the Xion ecosystem, specifically through utilizing the lending protocol provided by the Agave network. Where other ecosystems succumb to the inordinately high gas fees on the Ethereum network, we chose to create this bridging through the xDAI blockchain so that our community can maximize their profitability whilst providing financial stability for others. To better understand, any Xion user will have the ability to provide xDAI and will be automatically inputted into Agave’s industry leading lending protocol. Our reward structure for our users’ providence to the Agave ecosystem is in the form of regular interest accrual of their xDAI, as well as an appreciable APY of XGT and any Agave rewards tokens! As of now we are working on the Aave contracts in preparation for the date that the Agave Lending Protocol is released.
Due to the fact that we are still in the inner workings of completing this Xion-Agave bridging, the exact monetary returns have not been established yet. However, as you can be assured with any other component of the Xion Finance network, the rewards provided to our users for their service will surpass anything available in the current DeFi space. Furthermore, by not using Ethereum’s blockchain, we can circumvent the high gas fees and redistribute our saved finances into furthering the profitability gained for our users using the Agave lending protocol.
Cross-Chain Capabilities are at the Heart of Our Profitability to Users
One may legitimately question why we undergo vast cross-chain compatibility and usability. The main reasons include the fact that different components of our system require different specialty blockchains for optimal performance of said system. The other critical reason is to provide more global inclusion of the crypto community as a whole, rather than ostracizing other communities from Xion’s ecosystem simply due to the blockchain they currently use. While xDAI is evidently a critical blockchain for maximizing our utility on the network, our backend functions by collaborating with a whole host of tier 1 networks across the entirety of cryptocurrency.
Tractors at the Ready, Let’s Get Farming
While we reviewed the most prevalent sources of passive income by being a LP in the Xion Finance ecosystem, other liquidity pairings such as BNB-XGT are also available and are valuable options for those who HODL Binance’s native coins but want to make a regular stream of income from your long-term holds. While this may seem like a lot of information at first, we assure you that once you navigate through our platform the avenues at which you can become a LP will become much clearer. Look to our Liquidity Farming section of our website to get started as a LP in the Xion Finance ecosystem. For more information about our underlying technology, see our whitepaper.