Niubiswap: The Innovative DEX/Yield Farming Platform
Binance Smart Chain has become an affordable and viable option for many new cryptocurrency projects based on smart contracts. With the gas fees becoming increasingly unaffordable on Ethereum’s chain, BSC has taken the cryptoverse by storm with developers and enthusiasts flooding to get into the new and innovative projects. Being a decentralized chain (although there is some debate to this statement, it seems to largely be true), decentralized exchanges were expected to arise to give users an option other than Binance, the chains parent company and support system. Pancake Swap was rolled out as the first and most viable option for users, but a new DEX called Niubiswap is growing swiftly and putting several innovative twists on the traditional functions DEX’s have grown accustomed to.
Niubiswap (NIU, Contract Address: 0xfa90d5d5ff08d9a06c9fdf89b4b22217b9dbc418) is a BEP-20 token that provides utility to the Niubiswap DEX and subsequent platform which is still undergoing development. Using the same Automated Market-making Model as both Pancake Swap and Uniswap, Niubiswap provides a quick way to swap assets between BEP20 protocol tokens. In addition to functioning as a DEX, NIU provides further utility by allowing token holders the opportunity to participate in governance voting. This creates a decentralized environment and lets users have a say in the directions the DEX decides to pursue. Just like other DEX’s, trading is reliant on liquidity and liquidity providers, whom of which will receive LP tokens for providing liquidity to Niubiswap ecosystem.
In addition to earning LP tokens, users will be able to farm NIU, just like other common yield farming protocols. Holders of NIU can also stake their tokens on the Hongbao platform and earn even more NIU. The major way in which Niubiswap is innovating the yield farming sector of cryptocurrency is by providing Hongbao Special Pool and bringing new and valuable staking rewards not traditionally found in yield farming protocols. Other tokens that can be obtained by yield farming with NIU are BNB/DOT/ADA with more options in he future. This is one of the earliest yield farming protocols, if not the first, to provide rewards in the form of existing and popular tokens/coins. Staking NIU and being rewarded BEP20 tokens in return.
It is important to note that 10% of the tokens that are minted from yield farming will be sent to the Niubi DAO fund, where the NIU founders will take the first months accumulated deposit into the DAO and invest it into BNB/DOT/ATOM/BSCPAD. These investments will in turn be sent to the various yield farming pools available on Hongbao, which will award NIU holders.
In regards to the Niubiswap DEX, traders will be subject to a 0.30% fee (0.17% to liquidity providers, 0.03% to the treasury, and the remaining 0.1% will be used to buyback and burn NIU tokens. The tokenomics and distribution of NIU is as follows:
• Initial supply - 25,000 NIU (Genesis supply: 50% allocated to the development team and early contributors, 50% reserved for early community airdrops and Hongbao Pools)
• Block reward - 10 NIU (15 are minted with every block, with 5 tokens being burned to reduce inflation upon minting)
(Rewards - 60% of minted blocks will be sent to yield farmers, Liquidity Providers are sent 30% of minted blocks, and 10% is sent to the Niubi DAO Fund)
More information regarding Niubiswap and Niubiswap DAO tokenomics can be found at the following link: Niubiswap Litepaper - Niubiswap (gitbook.io)
Niubiswap DAO deflationary mechanics are also listed below for your convenience:
• 10% of NIU harvested in the Niubiswap Fund is burned
• 10% of fees generated on the Niubiswap Market is burned (update on Exchange to come)
• 50% of NIU dedicated to the daily LOTTERY is burned
• 10% of NIU spent on lottery tickets is burned
• 80% of the Hongbao Pool Deposit Fees 2% are used to buy back NIU then burned
Another way NIU is adding innovation to their platform is by creating a lottery based on the Pancake swap lottery. A daily lottery is planned with a twist, calling it NIUPOT. Holders will be able to buy 10 NIU for 1 NIUPOT ticket. The ticket will produce a random 4-digit number combination. In order to win the prizes from the pot, holders must own a ticket that matches the winning NIUPOT numbers. If you match all 4 numbers in order, 50% of the pot is given to the winner. If you match all 3 numbers in order, you will win 20% and if you match 2 numbers in order, you wil win or split 10% of the pot.
The pot will always burn 20% of the total prize pool. The NIUPOT drawing will take place 6 times a day in 4-hour intervals, with drawings starting at 0000-0400. Lastly, there will be 3 additional prize related games rolled out based on 3 classic games: a Rock, Paper, Scissor’s game, a Dice War game, and also Hongbao Solitaire, popularized on Wechat! The opportunities to win on the Niubiswap platform are plentiful.
Lastly, Niubiswap is creating its own official launchpad! Other yield farming protocol tokens will be able to utilize this launchpad to create new yield farming pools. Focusing on the asian community and market, the launchpad will put a focus on new asian yield farming protocols, while also allowing these new protocols the opportunity to earn the same tokens availble for reward when staking NIU. This brings the same incentive NIU stakers have and provides it to the new protocols utilizing the launchpad. This is just another way NIU is aiming to change the way yield farming is perceived by adding in different and valuable rewards.
With Niubiswap focusing on the Asian and Chinese markets, there is plenty of room for growth and development of the platform. Cryptocurrency in the Asian hemisphere is at an all-time high in regard to demand, and giving people a cheaper, easier opportunity to swap assets and win the native token of the platform will only draw in users from this market. With blockchain technology revolutionizing both the financial industry and gaming industry, Niubiswap is bringing their unique platform to the forefront on BSC. As new users flow to the new and cheaper smart chain, it won’t be long until holders start interacting and growing the ecosystem through their fair and decentralized governance model.
(I write articles, reviews, and Litepapers for legitimate, interesting, up and coming cryptocurrency projects. Feel free to PM me to review your project. Thank you!)
Disclaimer: This is not financial advice. The sole purpose of this post/article is to provide and create and informative and educated discussion regarding the project in question. Invest at your own risk.