OpenSwap DeFi Protocol
We are witnessing the decentralized finance (DeFi) revolution. Over the last year, the DeFi sector has exploded — now exceeding over $100 billion in value.
As cryptocurrencies continue to rapidly receive investment, adoption, and functionality, the role of DeFi in providing equal access to financial products outside of institutions, corporations, governments, and banks is fast expanding.
However, the DeFi space is not without its setbacks, including strong barriers to entry from complicated DeFi products and applications.
Enter OpenSwap .
OpenSwap is a product of the Open Finance Project, which seeks to increase access to the world of DeFi through powerful and easy-to-use tools while offering high rewards for liquidity providers.
OpenSwap is a DeFi protocol on the Harmony network with simple yield farming capabilities; cross-chain tools for bridging the Harmony, Ethereum, and Binance Smart Chain networks; and easy ways for users to trade, provide liquidity, and earn collected fees from transactions.
Never before has the world of decentralized finance been simpler, more efficient, transparent, and accessible.
OpenSwap leverages the simplicity, speed, and low transaction fees of the Harmony Blockchain with a first-of-a-kind approach to DeFi, aiming to be the best exchange in the Harmony ecosystem.
Put Simply —OpenSwap is an entirely community-driven product on the Harmony Network that connects users with everything they need to invest, trade, earn passive income through staking, and bridge tokens across several different blockchains.
High Reward Staking. Open Liquidity Pools. Reward compounding.
OpenSwap takes the best from existing DeFi products (SushiSwap, UniSwap) and pairs that with a fresh and innovative approach to the DeFi experience.
Liquidity providers will be incentivized to deposit liquidity into certain pools by rewarding them in highly lucrative staking pools.
OpenSwap is a fast and secure non-custodial decentralized exchange that serves as a one-stop-shop to buy, trade, and earn crypto whether you’re from the Harmony, Ethereum, or Binance Smart Chain networks. OpenSwap allows Harmony users to seemlessly trade peer to peer without the tokens ever leaving the original wallet and through liquidity supplied by other users of the platform.
With OpenSwap, users can:
- Exchange Tokens/Coins
- Provide Liquidity to Pools
- Earn Rewards by Staking in Lucrative Incentivized Liquidity Pools
- Bridge Tokens/Coins to and from the Harmony, Ethereum, and Binance Smart Chain Network
- Collect Fees on Provided Liquidity Without Staking
- Vote on Governance Decisions, Including Adding New Tokens
OpenSwap’s native token, OpenSwap, provides the foundation for the exchange. It is a means of payment to liquidity providers for the fees collected by trades. It will also function as voting power for holders who wish to have a say in the project.
There was no presale or ICO for OpenSwap. All tokens in circulation were fairly distributed to Liquidity Providers and single asset Stakers.
The OpenSwap token has both inflationary and deflationary mechanics, having farming for liquidity providers and a fee structure that splits the fee between rewarding liquidity providers and a token burn. Half of the 0.3% fee applied to all trades is used to buy back and burn OpenSwap Tokens from the ONE/OpenSwap pool.
Token Distribution in 2 Phases:
Phase 1: During this phase (which lasts about 1 month), a total of 13,000,000 Tokens will be minted and distributed to the early Liquidity Providers. 13,000,000 Million tokens corresponds to 1 Year and 1 Month worth of tokens. This enables liquidity providers who bootstrapped our initial liquidity to earn a significant amount of tokens during this time, around 13X normal issuance.
Phase 2: Roughly 12,000,000 tokens will be minted each year, and 2,880,000 million will be unlocked every year following the initial mint described in phase 1. After the first year, 24,000,000 tokens will have been minted.
The development team will get 20% of the total supply for the first 5 years :
5 year issuance = 72,000,000
Dev Funds = 14,400,000
Those 14,400,000 tokens will be locked and released over a 5 year timeframe, further enforcing trust between the developer and community.
14,400,000 tokens were minted and locked during contract deployment.
These tokens will serve as payment for the work the Dev has and will accomplish during the next few years. A smart contract handles the release of these tokens.
55384.62 OpenSwap tokens are released on a weekly basis upon a function call to the lock contract.
The function is only callable once a week.
This means that OpenSwap users get 80% of the total supply, and the development team will get 20%, which in return will guarantee the extended usability of the service including promotion and maintenance.
Compared to Sushiswap, which only distributes around 45% of their liquidity to the actual liquidity providers, the OpenSwap community owns a significantly greater share of the supply.