Introduction of Component https://www.notion.so/Introduction-of-Component-383c9d2cd6714f5f9c0867ff6e174880
Gleb on Notion
Introduction of Component
During the Unit protocol development, we faced difficulties with finding a reliable, flexible protocol for stablecoin swap without interface censorship where anyone can add their pools and any person will not filter it.
Reward distribution estimation portal is launched https://distribution.component.finance/. Now you can track some statistics about participants and their share. The rewards are proportional to participant share of total Component LP tokens at the current moment in time. In some sense, we can say that there is a particular reward per block, and is distributed among all LP holders each moment in time. All code is public on Github https://github.com/Componentfinance/distribution.
During the reward distribution period, we decided to set 0 base fees on swaps. You can swap USDP<->USDC<->USDT at good rates, and USDP loans become even more affordable for short-term liquidity borrowers, with 0 additional expenses except for stability fees.
We are happy to share that Component reached over $2.4m provided liquidity during the last four days.
You can track the activity in the bot https://news.1rj.ru/str/component_pulse.
You can track the activity in the bot https://news.1rj.ru/str/component_pulse.
We are always interested in scaling Component horizontally, adding new pools, and creating new markets. These days gas fees on Ethereum network became relatively high. Exploring available opportunities, we decided to experiment and track the results to make conclusions about further layer-2 expansion.
We are happy to announce Component on xDai chain https://xdai.component.finance/. xDai chain is a layer 2 solution for Ethereum with its bridges and cheap transaction fees. We have created a pool with USDP/WxDAI/USDC, and the pool's liquidity providers will participate in the reward distribution in line with liquidity providers to current pools.
There is no need to move your liquidity anywhere if you already provided it to current pools. All the liquidity across the pools is equally participating in distribution. For rewards estimation, all the liquidity is summarized across pools. A user reward is proportional to % of provided liquidity from total liquidity in the pools and the duration of holding the liquidity in pools.
We are happy to announce Component on xDai chain https://xdai.component.finance/. xDai chain is a layer 2 solution for Ethereum with its bridges and cheap transaction fees. We have created a pool with USDP/WxDAI/USDC, and the pool's liquidity providers will participate in the reward distribution in line with liquidity providers to current pools.
There is no need to move your liquidity anywhere if you already provided it to current pools. All the liquidity across the pools is equally participating in distribution. For rewards estimation, all the liquidity is summarized across pools. A user reward is proportional to % of provided liquidity from total liquidity in the pools and the duration of holding the liquidity in pools.