One project looking to make a big splash within Binances Smart Chain (BSC) DeFi ecosystem is Wault Finance, an all-in-one decentralized finance solution.
Since its launch in September of 2020, the rise of BSC has been nothing short of staggering. In a matter of months, BSC exceeded a market cap of over $3 billion, and in doing so, catapulted BNB coin to the number 3 ranked coin by market cap.
This success is largely in part thanks to BSCs lightening fast and cheap transactions which are a fraction of the costs of Ethereum. In fact, at the time of writing BSC fees are up to 35 times cheaper than the Ethereum network.
As the BSC ecosystem continues to grow, it is quickly becoming the go-to platform for decentralized finance (DeFi) projects.
What is Wault Finance?
Wault Finance is a project that aims to develop a full suite of products for the BSC DeFi ecosystem. The team behind the project believes Waults easy to use interface and wide range of simplified products will help increase adoption and ease onboarding into the DeFi space.
Key Features of Wault Finance
- Liquidity Mining
- Staking Pools
- Yield Optimization Platform
- Wault Locker
- Wault LaunchPad
- Elastic Supply Stable Coin
- AMM DEX
- Lending Platform
- WAULT Token
Liquidity mining refers to the act of providing liquidity to the Wault trading pools on decentralized exchanges. In return for liquidity, providers receive rewards and a percentage of transaction fees.
Waults initial liquidity mining protocol will run for a number of months and designed to reward early adaptors. Therefore, rewards will be halved every 10 days.
Also, it is worth noting, Wault plans to charge a 1.8% fee on all transactions which will then be distributed to the liquidity mining pools. By means of this, liquidity mining will continue once all WAULT coins enter into the circulating supply.
Staking pools allow coin holders to earn rewards by combining their resources within the protocol.
In addition, staking allows participants to have a say in the future of the Wault Finance protocol by granting stakers the right to vote and take part in the governance of the platform.
- 10% of the rewards to staked coins with a no lockup period.
- 30% of rewards to staked coins with a one-week lockup period.
- 60% of rewards to staked coins with a one-month lockup period.
Yield Optimization Platform
Wault Finance is in the process of introducing automatic yield-generating Vaults designed to capitalize on profitable opportunities within the DeFi market. This means anyone can deposit funds and gain lucrative exposure to the market through multiple automated strategies designed to generate optimal returns.
Furthermore, anyone can propose a Vault strategy and it is up to the community to vote on whether to approve the strategy or not. Successful proposals will be available for deposit within 24 hours of community approval.
And, once the Vaults earn the equivalent of $50,000, the profit will be allocated to participants according to the following structure.
- 1% to the Vault strategy creator wallet.
- 90% to Vault buybacks and proportionately distributed to Vault participants.
- 2% to the developers’ wallet.
Wault Locker is the first of its kind within the BSC ecosystem and provides added security by letting users lock liquidity within the protocol for set periods of time.
Each time liquidity is locked within the protocol, a fee of 0.2% of the total locked will be applied via the automatic smart contract. This service fee will then be liquidated and used to buy back WAULT tokens. Thus, ensuring steady buying pressure and serving to increase the price of WAULT tokens.
Furthermore, to build trust and security, the Wault Finance team will lock away their own liquidity within the Wault Locker for a period of 6 months.
The Wault Finance LaunchPad aims to provide new BSC projects with liquidity while at the same time boosting the confidence of users by preventing rug pulls.
Wault will screen top up and coming BSC projects to ensure only the best projects qualify to hold their private and presales through the platform. Then, raised liquidity becomes locked and secured upon listing.
Moreover, the LaunchPad allows Wault holders with 50 or more staked tokens to become pre-investors in LaunchPad projects which greatly increases the probability of those investors earning substantial profits on the project.
And for all projects launched, a 3% service fee will be charged and used to buy back Wault tokens.
- 60% rewarded to liquidity mining and staking contracts.
- 40% towards marketing.
Elastic Supply Stable Coin
In Q2 of 2021, Wault plan to release their own elastic supply stable coin WOLD to serve as collateral for the Yield Optimizaion and Lending Platforms.
Elastic supply means that WOLD will have a changing circulating supply. Therefore, to ensure the price of WOLD remain pegged to USD, circulating supply will expand and contract depending on market demand.
Additionally, in Q3 2021, Wault Finance plans to release their very own Automated Market Making DEX to rival Pancake Swap.
The highly anticipated release will bring added liquidity and more profitable Yield Optimization opportunities to the Wault protocol.
The final component of the Wault ecosystem will be their Lending Platform, scheduled for release in Q4 of 2021.
The lending platform will collateralize WAULT and WOLD tokens to open up Collateralized Debt Positions (CDPs). In other words, users will be able to maintain upside exposure to Wault tokens by increasing their leverage through loaned assets.
Additionally, lending Vaults for non-native tokens are in the works.
WAULT is the platform’s governance token that has been designed to encourage holders to be active participants in the project.
Therefore, WAULT has an inactivity fee whereby for every transaction on the token, a transaction tax is deducted from the combined group of inactive wallets and rewarded to liquidity providers and stakers.
At first, this transaction fee was an unintended consequence of migrating Wault Finance from the Ethereum network to BSC. However, the team decided to utilize it to incentivize all WAULT holders to become active participants in the protocol.
WAULT will have a maximum supply of 1,000,000 tokens with 50% reserved for liquidity mining and staking rewards.
The initial distribution of 500,000 tokens is very encouraging and ensures an even and fair allocation.
Initial WAULT distribution
-160 000 — Private Sale (32%)
-80 000 — Presale (16%)
-40 000 — Marketing Treasury (8%)
-30 000 — Team Tokens (Locked For 3 Months) (6%)
-20 000 — Bug Bounties. Anyone, who finds and reports a bug, will be rewarded. (4%)
-50 000 — Exchange Market Maker Tokens (10%)
-120 000 — Initial Liquidity for Pancakeswap (24%)
The team behind Wault Finance has managed to find a gap within Binance’s DeFi ecosystem and crafted an all-inclusive and unique product to target it.
Wault is the first project to combine a complete sweet of DeFi products into one easy-to-use interface. This will only serve to increase adoption into the decentralized finance space.
That said, the project is very new and the team still has to deliver on many of its promises. However, given the team’s proven track record and active involvement in the community, it’s easy to see why there’s so much hype around the project.
All-in-all, Wault Finance has promising potential and looks set to play a pivotal role in the Binance Smart Chain ecosystem.