BITCOIN

Inventing Stablecoins?


Ruling headlines on the BSc network is now a norm in the Mars ecosystem. Equipped with some of the highest APRs in the DFI space and a growing TVL, the team recently earned a monthly star in the Benson smart chain “Most Valuable Maker” program and is working to reinvent the utility of Stablecoin. While BSc supports Mars products and technology, it adds a level of credibility to the constantly evolving Mars ecosystem. In this article we will dive deeper into stable currencies and what the Mars ecosystem means for the future of DFI and crypto.

Stablecoins were first introduced as a combination of the stability of Fiat currency and the dynamics of cryptocurrency. Typically, they are supported by underlying resources or algorithms. Stablecoins ensures that money is borderless and accessible to everyone without the need for a bank or central authority.

Simply put, if bitcoin gold is decentralized, then a stable currency is a decentralized currency.

However, with time and use, certain features of stable coins have become the antithesis of their decentralization. Also, they set fire to the origins of the Mars ecosystem and the vision of reinventing stable coins while keeping decentralization and scalability intact.

Stablecoins are the current landscape

The market value of all stable currencies is about 128 128 billion, with more than half of the USDT being valued. Despite not having a decentralized stable that meets basic requirements, the stable coin market enjoys a huge reverse courtesy of Defy. Each decentralized stable protocol requires 1. price stability, 2. overall decentralization and 3. scalability.

Today, most stable currencies are extra collateralized which directly affects their scalability. Also, many stable currencies are associated with assets deposited in centralized systems that effectively go against the principles of blockchain technology and DFI. Although algorithm-based stability eliminates parallel problems, their price stability is a huge concern.

The main concern of stablecoins

Currently, each stable coin protocol has a share of tradeoffs for three features. However, all problems depend on two main concerns. They are 1. Positive external problems, 2. Integration problems.

Positive external problems reflect imbalances in the effort to reward ratios for stable protocols. The cost of production and maintenance of stable coins is borne by the protocol and its users. However, stable values ​​are generated in DeFi applications. Financial incentives for stablecoin protocols are minimal which often ends in supply shortages.

The integration problem is quite similar to previous concerns about how the value of stable coins is determined entirely by DeFi apps. Stablecoins are influenced by the ease of their integration with different DeFi protocols. If a stable coin cannot be easily integrated with a specific DFI protocol, the stability of the stable currency is affected.

To address these, the Mars ecosystem stands with an all-inclusive system for capturing the real usefulness of individually fixed coins as a decentralized stable coin instance.

Mars Ecosystem 101

The Mars ecosystem presents a three-part system as a possible solution to positive externalization and integration concerns. Their efforts have been focused on producing a stable coin ecosystem with high cost stability, high decentralization and scalability potential.

These efforts have been recognized by the Most Valuable Manufacturer (MVB), an initiative of Beyoncার্ট Smart Chain to support innovative projects. Mars Ecosystem MVBIII – One of the winners of the September monthly star. Also, the Mars ecosystem is not limited to financial flows, will receive core support from BSc. The advice and technical support provided could be a game changer for the Mars ecosystem.

The three cores of the Mars ecosystem are;

Mars Treasury

This is the foundation on which the Mars ecosystem lives and grows. Its building blocks are $ USDM or USD-Mars (Mars Ecosystem stabilcoin) and $ XMS or Mars Ecosystem Token (Mars Ecosystem Government Token). From BTC to DFI Blue Chips, their coffers have been created to support multiple types of crypto.

The team is equipped with minting and redemption systems for the performance of $ USDM. With a set of 1: 1 ratio, users can deposit their assets in the treasury of Mars $ USDM and vice versa. The performance of USDM কে fuels the value of XMS that can be used to participate in the governance of the protocol.

Mars Stablecoin

$ USDM stable coins can be minted with any 1 1 of the white listed assets of Mars Treasury. সর্বোচ্চ USDM’s maximum supply is related to the market cap of $ XMS. These supply caps are part of their montage control mechanism that calculates user behavior so that the price of $ USDM is always stable.

Also, an anti-bank run mechanism has been enabled to protect $ USDM from mass shortening and potential collapse. This is ensured by encouraging token retention time. Corrupt actors trying to hide the difference between the parallel ratios of $ USDM and $ XMS fail in their efforts because there is a burden of slippage losses in quick sales. It carries out an inevitable activity in the Mars ecosystem.

Mars Defy Protocol

It is being added to the Mars ecosystem to facilitate transactions, improve liquidity and increase the utility of $ USDM as a means of exchange and value saving. The first in a series of DeFi protocols is Mars Swap, an automated market maker-driven DEX like Uniswap.

This is designed to provide 24/7 liquidity for DEX $ USDM and other DeFi protocols that accept $ USDM as exchange tokens. Also, transaction fees generated on Mars Swap are again pushed to the Mars Treasury where liquidity providers and $ XMS holders and stalkers are rewarded.

Since $ USDM users earn without ecosystems, positive external problems are solved. Also, the price generated here encourages the holding of $ XMS which in turn stabilizes $ USDM as the subsequent supply is based on the previous market cap.

  • Stacking and liquidity provision

The Mars ecosystem liquidity farm and pool were launched in September. Currently, the total locked value exceeds $ 250 million, with an average APR of over 1000%, and eight pools have been created for users to share their XMS এবং and earn BNB, ETH, CAKE or more XMS of their choice. In addition, more than 10 yield farms have been set up for liquidity provision. 0.25% of the fees for Mars exchange transactions go directly to liquidity pools.

Also, the team is launching many liquid pools and farms in line with other projects in the BSc network. Venus Protocol, Kalta Protocol, Fortube, Helmet Insurance are some of the projects they have partnered in to build liquidity pools and farms.

In addition to this, they have achieved sustainability with the growth of farms and pools using a linear vesting period. Simply put, the $ XMS token (8%) and group (10%) allocated for investors will be gradually released. This means that, according to the total supply of $ XMS, মিল 180 million XMS will be released for 18 (investor) and 36 (team) months. The vesting period will start with our Genesis launch which will be held in a month.

The future of the Mars ecosystem

Community-First is how the Mars Ecosystem team moves into the future. Particular emphasis will be placed on the direction that their communities want to take by uniting with their roadmap to include the introduction of more DFI protocols and the inclusion of neonatal projects.

$ All XMS token holders can participate in Mercedao and contribute to the evolution of the Mars ecosystem. Also, in addition to a few airdrops for the lucky winners, they will open up their NFT collection to the community. The Boarding Pass NFT and Captain NFT are designed to reward those who have contributed to the early Mercedao community.

They believe there will be a new ‘moon’ for ‘Mars’ between the crypto and DFI communities. But, instead of volatility, we will see if the stable dollar $ USDM default will become the world’s reserve currency.

Image by WikiImages from Pixabay



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