DEGO: Truly Decentralized DeFi and Yield Farming Model
Thanks to the rapid growth and FOMO sentiment, the popularity of decentralized finance (DeFi) is on the rise. It drives crypto investors and developers into this space. Every player is trying to find the Easter eggs in the DeFi realm. Such an exploration is definitely worthwhile, only if time and funds permit it. With limited chances, you may never really grasp the opportunities at hand. This is exactly where DEGO comes in. It brings in the modularity to factor in various aspects of the product and creates a subsystem featuring specific functions. This subsystem is snowballed into a universal module. It interacts with other modules to create a whole new ecosystem involving various functions and performance.
LEGO analogy:
Simply put, every product is presented as a module. While combining different modules, we get a new product. One plus one is more than two is how things work here. In fact, the name ‘DEGO’ is inspired by the LEGO game. Every module is like a LEGO brick, which is just plain and ordinary. Nevertheless, when put together, they open up a world of possibilities. Each DeFi protocol counts as the plain and ordinary brick.
Compounded Benefits:
The brick could be DEX exchanges like Uniswap or Balancer, derivatives like Synthetix, insurances like Nexus Mutual, Stable coin like DAI, flash loan like Aave or Compound, etc. On top of these underlying protocols, a new DApp is built to increase the value of DeFi. It helps create diversified investment portfolios and helps generate profitable returns. Hence, it is the ticket to the future of crypto-related financial services.
Issues in Yield Farming:
Yield Farming is a top discussion subject in the crypto community recently. It pioneers the next age of DeFi involving liquidity mining. It is a really good concept, but there is a catch. Daily output per user equals the daily output of the mining pool multiplied by total staked amount. This little equation puts investments of smaller players at risk, while bigger investors enjoy an unfair advantage. This little issue can potentially challenge the sustainability of any Yield Farming model.
How DEGO solves the issue?
DEGO creates an algorithmic adjusted model for liquidity mining. It helps advance towards a sustainable ecosystem of DeFi. There are many deterministic algorithms at work. They convert LP token staked into POWER and users can earn through them. It is somewhat similar to the hash rate in bitcoin mining. The adjusted equation stands, daily output equals the daily output of the mining pool multiplied by POWER, (rather than the total amount staked). POWER equals staked LP token multiplied by the coefficient of correspondence. Ultimately, we reach more sustainable and decentralized levels of liquidity mining.
DEGO DAO:
DEGO DAO governance is still pending approval. Till then, only the presale and 1% airdrop tokens can be used. Any once can participate in DeFi and be part of its ecosystem. There are two stages of DEGO DAO - Internal setup and transfer of power to the community. The aim is to initiate growth of the ecosystem and push the community towards complete decentralization.
Official Links:
Website: https://dego.finance/home
Telegram: https://t.me/dego_finance
Medium: https://medium.com/@Dego.finance
Twitter: https://twitter.com/Dego_Fi
Discord: https://discord.com/invite/xJjSJrd
Proof of authentication Link: https://bitcointalk.org/index.php?topic=5272474.msg55142959#msg55142959
Kind Regards!