A Review on Defi Solutions Offered by Voltage Finance
The world of cryptocurrencies is continuously changing, I need to stay current. I recently became aware of Voltage Finance. I was amazed to find its characteristics as I looked deeper into it. Allow me to share this with my fellow crypto enthusiasts. In this, we will cover from a brief introduction to ideas on future developments.
Voltage finance was built to provide anyone with access to a comprehensive set of powerful defi tools via an all-in-one application that can be used on any smart device. It is based on the Fuse network, a layer-1 #blockchain that overcomes a variety of issues, including scalability and transaction costs. Apart from this, Voltage Finance is backed by a talented, forward-thinking, and experienced team.
Setting up Fuse Network in Metamask
Network Name: Fuse
New RPC URL: https://rpc.fuse.io
Chain ID: 122
Currency Symbol: Fuse
Block Explorer URL: https://explorer.fuse.io
Tools on Voltage Finance
There are several elements on this platform that offer different unique Defi solutions for the community and users. Such as:
↔️ Swap, 🧑🌾Farm, 🍱 Stake, 💰 Borrow, 🌉Bridge, 👨🌾GOVERNANCE
⛈️With the automated market maker (AMM) exchange, you can trade one token for another under the “Swap” tab. A trading fee is charged when you make a token swap (trade) on the exchange. The VOLT stackers are given a part of the trading fees.
⛈️ It will also offer a StableSwap integration for users to be able to swap between stable coins like $USDT, $USDC, and $BUSD with low to 0% slippage. This mechanism was brought to us by the Curve Finance team.
⛈️Stable swap protects you from loss of value when exchanging your stable tokens.
⛈️You can change slippage and transaction deadline from the settings section.
⛈️Expert mode turns off the confirm transaction prompt and allows high slippage trades that often result in bad rates and lost funds. (⚠️ONLY USE THIS MODE IF YOU KNOW WHAT YOU ARE DOING.)
⛈️ A liquidity pool (LP) is a collection of two tokens, such as VOLT and Fuse. This pool is what allows users to seamlessly switch between the two tokens.
⛈️ Voltage charges a 0.3 percent fee on all trades, with the fee going to those that offer liquidity to the token pair being traded.
⛈️ By putting a pair of tokens into the LP, users can earn a part of the trading fees (also known as “adding liquidity”). Users will be given an LP token, which will represent their portion of the LP.
Liquidity providers offer liquidity in token pairings with a 50:50 value ratio. They are given ‘LP tokens’ after providing liquidity. Farming is now possible with these LP tokens. Farming is the process of depositing LP tokens into the system in exchange for VOLT tokens. With the LP tokens you produced in the pool tab, you can earn $fuse and $volt by providing liquidity assistance. Providing liquidity entails the risk of temporary loss. Because of the volatility in a trading pair, liquidity providers experience a brief loss of funds. Before supplying liquidity to receive rewards, this should be examined.
Individuals can earn passive income from decentralized money through staking. In blockchains that use the Proof of Stake (POS) consensus mechanism, staking is common. To get extra VOLT tokens, stake VOLT tokens. The voltage generates revenue, so the rewards are derived from that. The APY is derived based on the trading volume on Voltage over the previous five days. You received xVolt when you staked $VOLT, and you will receive more $Volt tokens when you unstake this xVolt in the future. Your reward is the extra $VOLT tokens you receive once you unstake. Users can also farm their xVolt for a chance to win $FUSE!!!
💰 Lend & Borrow
On the Voltage system, users can lend and borrow tokens. Users can borrow against the asset they give as collateral in addition to supplying it. A borrower, for example, could provide FUSE to the contract before borrowing USDC. The collateral element of FUSE determines how much USDC a borrower is allowed to borrow. If the borrower has provided 1 FUSE as collateral and the FUSE collateral factor is 65 percent, he can borrow up to 0.65 FUSE in USDC.
Borrowers can repay the contract with tokens up to the amount borrowed. If only a portion of the loan is repaid, the loan balance may remain non-zero and interest will continue to accrue. The transfer of tokens from the borrower to the token market is known as repayment.
Users can bridge tokens from multiple outside blockchains such as:
⛈️ETH — FUSE network and FUSE network-ETH
⛈️FUSE network — BSC and BSC-FUSE network
You should check the maximum and minimum bridge limits for each asset.
Your transfers to the Fuse network are free of charge. At the exits, there is a 0.05 percent tax.
Voltage Finance’s native token, $VOLT, serves as the project’s governance token. Members of a DAO (Decentralised Autonomous Organisation) in a project like Voltage Finance contribute to making final decisions on ideas to be adopted in the project. As a result, only $VOLT holders/stakers are eligible to make these selections. Users can create or join community discussions on various issues linked to the Fuse project in the Discussion section. Users can vote on decisions that will be implemented on the project in the Voting area, and of course, holding/staking $Volt provides your voting power.
The token distribution follows a fixed supply, decaying emission model. Use the chart below to further understand how the total supply was allocated.
Conclusion & Future Scope
Voltage was founded on the notion that our community could self-fund a defi center on the Fuse Network with very little outside funding. In the future following features can be added
⛈️In swap some more pairs can be added,
⛈️More wallets and blockchains
⛈️I suggest adding a dark & light toggle button to help improve the visibility as per user needs.
⛈️Charts like trading view
Don’t forget to join the community to for updates about their project.