Difference between revisions of "Platypus Finance"
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The Platypus Finance protocol is a single-side [[AMM]] (decentralized exchange) '''designed for exchanging stable cryptocurrencies''' ([[ERC20]] tokens) on the [[Avalanche]] blockchain. <ref>https://docs.platypus.finance/platypus-finance-docs/</ref> | The Platypus Finance protocol is a single-side [[AMM]] (decentralized exchange) '''designed for exchanging stable cryptocurrencies''' ([[ERC20]] tokens) on the [[Avalanche]] blockchain. In contrast to AMMs like [[Curve Finance (protocol)|Curve]] or [[Uniswap]] it utilises single-variant function rather than invariant curves to calculate slippage and '''Extendable Liquidity Pools''' with '''Asset Liability Management (ALM)''' instead of traditional liquidity pool design to keep track of deposited assets. <ref name=":0">https://docs.platypus.finance/platypus-finance-docs/</ref> | ||
[[File:Platypus Finance.png|thumb|Platypus Finance]] | |||
== History == | |||
[[File:Platypus Finance.png|thumb|Platypus Finance]]Platypus Finance in alpha mode on the Avalanche C-Chain mainnet on 29th November 2021 with support for [[USDT]], [[USDC]], [[MakerDAO|DAI]], [[Abracadabra|MIM]] stablecoins and maximum amount of deposits capped at $10 million. <ref>https://medium.com/platypus-finance/announcing-platypus-alpha-mainnet-launch-date-e427d0d6c366</ref> | |||
The platform has moved to beta on 14th of January 2022, removing $10M cap and launching the liquidity mining campaign rewarding depositors with the native PTP token.<ref>https://medium.com/platypus-finance/beta-launch-announcement-796246e1f513</ref> | |||
On January 27, 2022 the [[Abracadabra|MIM]] pool became largely unbalanced as a result of users swapping it for other stablecoins. The platypus team has halted all. swaps, deposits and withdrawals to protect liquidity providers from a potential depeg. Trading on the other three coins was resumed during the same day with [[Abracadabra|MIM]] being delisted from the platform indefinitely. <ref>https://medium.com/platypus-finance/platypus-announcement-on-mim-fc15bbd8753d</ref> | |||
It was announced on April 6th, 2022 that [[Abracadabra|MIM]] will return as part of the new '''Alternative Pool''' with two other decentralised stablecoins: [[Terra|UST]] and [[Frax|FRAX]]. <ref>https://medium.com/platypus-finance/alternative-pool-101-ce959e4f5a8c</ref> | |||
The first pool for assets not pegged to dollar was announced on 23rd of April 2022, allowing for swaps between [[Avalanche|AVAX]] and its liquid staked version ([[Benqi|sAVAX)]].<ref>https://medium.com/platypus-finance/never-been-seen-before-savax-avax-non-stablecoin-pool-is-launching-on-platypus-11f3bd928c41 | |||
</ref> | |||
== Asset Liability Management == | |||
Platypus treats all deposited liquidity as a liability and coins actually held in a pool as assets. It therefore defines coverage ratio ('''r''') as relation between assets and liability. The ratio is calculated for each token, if it is 1 (i.e., assets = liabilities) the pool is said to be in equilibrium, if it is < 1 the token is under-covered, if it is > 1 it is over-covered. To maintain the balance the protocols encourages trades that bring '''r''' closer to 1 and punishes those that increase the divergence.<ref name=":0" /> | |||
== References == | == References == | ||
<references /> | <references /> | ||
[[Category:AMM]] | [[Category:AMM]] | ||
Latest revision as of 14:15, 27 April 2022
The Platypus Finance protocol is a single-side AMM (decentralized exchange) designed for exchanging stable cryptocurrencies (ERC20 tokens) on the Avalanche blockchain. In contrast to AMMs like Curve or Uniswap it utilises single-variant function rather than invariant curves to calculate slippage and Extendable Liquidity Pools with Asset Liability Management (ALM) instead of traditional liquidity pool design to keep track of deposited assets. [1]
History
Platypus Finance in alpha mode on the Avalanche C-Chain mainnet on 29th November 2021 with support for USDT, USDC, DAI, MIM stablecoins and maximum amount of deposits capped at $10 million. [2]
The platform has moved to beta on 14th of January 2022, removing $10M cap and launching the liquidity mining campaign rewarding depositors with the native PTP token.[3]
On January 27, 2022 the MIM pool became largely unbalanced as a result of users swapping it for other stablecoins. The platypus team has halted all. swaps, deposits and withdrawals to protect liquidity providers from a potential depeg. Trading on the other three coins was resumed during the same day with MIM being delisted from the platform indefinitely. [4]
It was announced on April 6th, 2022 that MIM will return as part of the new Alternative Pool with two other decentralised stablecoins: UST and FRAX. [5]
The first pool for assets not pegged to dollar was announced on 23rd of April 2022, allowing for swaps between AVAX and its liquid staked version (sAVAX).[6]
Asset Liability Management
Platypus treats all deposited liquidity as a liability and coins actually held in a pool as assets. It therefore defines coverage ratio (r) as relation between assets and liability. The ratio is calculated for each token, if it is 1 (i.e., assets = liabilities) the pool is said to be in equilibrium, if it is < 1 the token is under-covered, if it is > 1 it is over-covered. To maintain the balance the protocols encourages trades that bring r closer to 1 and punishes those that increase the divergence.[1]
References
- ↑ 1.0 1.1 https://docs.platypus.finance/platypus-finance-docs/
- ↑ https://medium.com/platypus-finance/announcing-platypus-alpha-mainnet-launch-date-e427d0d6c366
- ↑ https://medium.com/platypus-finance/beta-launch-announcement-796246e1f513
- ↑ https://medium.com/platypus-finance/platypus-announcement-on-mim-fc15bbd8753d
- ↑ https://medium.com/platypus-finance/alternative-pool-101-ce959e4f5a8c
- ↑ https://medium.com/platypus-finance/never-been-seen-before-savax-avax-non-stablecoin-pool-is-launching-on-platypus-11f3bd928c41