Introducing AXIA Protocol, the DeFi platform for Crypto Investors and Yield Farmers!
The Axia Protocol is a platform on which cryptocurrency enthusiasts/investors can put their funds to use and reap massive rewards for doing so. The protocol presents the opportunity for investors to pool funds in two major and trending niches within the blockchain ecosystem (not only at the moment but also has a lot of growth potential in the future) — Oracles and DeFi! The concept stems from the idea that investors can be saved a lot of time and energy searching for tokens to invest in for a portfolio. If you happen to find yourself in this labyrinth, we’ve got you covered!
The two major Axia Funds which are curated by the Axia protocol are index funds which track performances of (investments in) Oracle and DeFi assets. Owning either of these two fund tokens gives the holder exposure to the valuation of all the tokens that make up that particular fund, the fees that accrue from trading within each pool (and also the weekly distribution of BAL tokens to all liquidity providers on Balancer exchange after AXIA and all the other tokens that make up the fund pools have been whitelisted to receive dividends in BAL). The most important part is that farming/staking Axia Fund Tokens (AFTs) secures the staker a share of the daily emission of the tokens that power the protocol — $AXIA.
Features
The AXIA token has a unique emission model which is split into epochs (periods each lasting 180 days). During each epoch, there’s an amount of AXIA which will be emitted from the contract on a daily basis. After the end of each epoch, the daily emission amount is halved when a new epoch begins. The token’s daily emitted amounts are shared between Yield Farmers and Lone Stakers in the following percentages:
Oracle Farmers: this category of users stake AFTs minted from the Oracle Fund pool on Balancer and share 25% of the $AXIA emitted daily.
DeFi Farmers: this category of users stake AFTs minted from the DeFi Fund pool on Balancer and also share 25% of the $AXIA emitted daily.
Swap Farmers: these are the users who stake the AFTs minted from the Uniswap pool and share 45% of $AXIA emitted daily.
Lone Stakers: these users stake only AXIA tokens and share 5% of $AXIA emitted daily.
Emission Schedule
Below is the emission schedule for the first 10 Epochs;
Epoch 1 lasts 180 days: 7,200 AXIA emitted daily= 1,296,000 tokens
Epoch 2 lasts 180 days: 3,600 AXIA emitted daily = 648,000 tokens
Epoch 3 lasts 180 days: 1,800 AXIA emitted daily = 324,000 tokens
Epoch 4 lasts 180 days: 900 AXIA emitted daily = 162,000 tokens
Epoch 5 lasts 180 days: 450 AXIA emitted daily = 81,000 tokens
Epoch 6 lasts 180 days: 225 AXIA emitted daily = 40,500 tokens
Epoch 7 lasts 180 days: 112.5 AXIA emitted daily = 20,250 tokens
Epoch 8 lasts 180 days: 56.25 AXIA emitted daily = 10,125 tokens
Epoch 9 lasts 180 days: 28.125 AXIA emitted daily = 5,062.5 tokens
Epoch 10 lasts 180 days: 14.0625 AXIA emitted daily = 2,531.25 tokens
Axia Fund Tokens
AFTs are minted when liquidity is provided to the pools on either Balancer or Uniswap. Each Axia Fund token is backed by a carefully selected basket of tokens that will be pooled together in a ratio on the Balancer platform. The ratio by which each fund is created is maintained by the Balancer’s algorithm such that when any of the component token(s) gains in price, a portion of it is sold in order to buy more of the other tokens.
These are the tokens that will make up the Axia Oracle Fund:
Axia, Chainlink, Band Protocol, Zap Protocol and Tellor (AXIA, LINK, BAND, ZAP and TRB)
while the Axia DeFi Fund will comprise of Axia, Ethereum, Compound, Synthetix and Balancer Tokens (AXIA, ETH, COMP, SNX and BAL).
There will also be a Uniswap pool fund comprising of ETH and AXIA.
Yield Farmers can mint UNI-V2 and BPT tokens from these pools by adding liquidity. After having staked AFTs for at least 24hrs, farmers can claim their dividends for the day.
Arbitrageurs
Another opportunity Axia Protocol offers to users is Arbitrage. This opportunity presents itself when there is a difference between the price of AXIA tokens on Balancer and Uniswap (this also applies to the other underlying assets within the balancer pools). No matter how slight this difference, it presents arbitrageurs with the opportunity to make some extra money.
Basis Points
In order to ensure that there’s a perpetual and unending emission of AXIA tokens, 500 Basis Points (which is equivalent to 5%) will be charged on daily emissions of the AXIA token. These basis points are not burnt but are rather sent back to the emission contract where they accumulate until all the emission supply has been completely emitted (at the end of the 10th Epoch). The contract begins to re-emit the accumulated basis points starting at the 11th Epoch. It is interesting to note that these basis points can act as a strong deflationary force, removing tokens out of circulation if AXIA tokens are moved around a lot (and this is expected).
Credit: Axia’s emission strategy and Basis Points were adopted from Vether token’s implementation.
Deflation
A 1% unstaking fee is charged every time Lone stakers (users staking only Axia tokens) quit their staking positions on the protocol. This fee is deducted from their staked AXIA tokens and sent to the burn address.
Tokenomics
Total Supply: 3,800,000
Emissions: 2,589,468.75
Development & Marketing: 20,000 (Exhausted)
Initial Circulating Supply: 548,939
Initial Liquidity: 641,592.25
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