Shaping a new future for GalaxyDefi
Introduction
GalaxyDefi has been created with a long-term perspective and view. What sets us apart from other startups is precisely our clear and specific vision. The core goal of GalaxyDefi is sustainable and solid operation stated by a clearly defined development strategy. We aim to enhance trading experiences by bridging the gaps between people and the cryptocurrency markets. Continuous innovation, high flexibility and quick adaptability are the key components of the development of our project.
In their short time of existence, Decentralized Finance exchange platforms’ development show similar tendencies. We have witnessed many cases of startups with brilliant ideas that did not last long. The disruptive nature of the industry, being highly unpredictable and dynamic, leaves us with a set of good examples and things to learn from. Their fate is a lesson to us!
The team behind GalaxyDefi is trying to run quick and considerate analyses of the development of the project in order to define the next steps to follow, design the right solutions and always stay ahead. The platform is now approaching its 4th week of existence but we feel we have already come a long way, and this is mainly thanks to the community’s participation.
In a note published recently, the GalaxyDefi’s team has proposed a change in the way the Airdrop is distributed and which the Community is still voting for.
In this article, we will detail a list of upcoming modifications that we would like to introduce to our project. The main goals of this imminent development are to guarantee the long term reliability of GalaxyDefi and stabilize GLX, assuring the best benefits for GLX holders.
Background
Since the launch of GalaxyDefi a few weeks ago, we have witnessed few alterations. The price of GLX has seen some significant variations. Starting at $0.1, it reached an ATH of $1.9 in 1 day, fell to $0.01 and is currently stabilizing at $0.006. This consequential fluctuation of the price is due to high minting and sale of GLX. Liquidity providers have generated a substantial amount of GLX from Farms and Liquidity pools. Given that the reward rate per block is remarkably high, a huge amount of GLX was minted in the past weeks.
Stakers harvested and sold GLX on a daily basis. For instance, a user holding the address ending with “301f” generated around 2 million GLX in the staking process, then immediately proceeded to sell off his total balance. This triggered a big panic in the market causing a huge drop in the price. The sudden downfall of the GLX price has resulted in a decrease in the TVL.
Overview: A gravitationally bound System of stars!
With so many things remaining to achieve and milestones to reach, we are very excited to introduce the new features and changes of GalaxyDefi and embark you with us on this invigorating journey ahead!
GalaxyDefi’s team would like to implement the following changes:
- Reduce the Max supply (2/3 of the total GLX supply)
- Arrange the Airdrop distribution
- Introduce GalaxyDefi’s core feature: GalaxyDefi’s Lending/Borrowing protocol
- Introduce GalaxyDefi’s Vaults and the Auto-Compound System
- GalaxyDefi’s NFT Protocol
Here are the details of what is to come:
1. Reduce the Max Supply :
The maximum supply of GLX refers to the maximum number of tokens that will be ever created. Setting a steady issuance rate together with a predefined maximum supply can be valuable for controlling the inflation rate of GLX, which may potentially lead to a long-term appreciation of the asset.
At the launch of GalaxyDefi, GLX Max Supply was predefined at approximately 334,403,200 GLX. We would like to cut down this number by around 66.67% to fix it at approximately 100,000,000 GLX. This is expected to increase the scarcity of the market, which may eventually lead to deflation conditions and appreciation of GLX.
2. Airdrop distribution:
Until now, we have accomplished 3,281,110 allocation points for the airdrop program. This is approximately 270 GLX per participant. The total amount of the Airdrop being 9,000,000 GLX might prove to be problematic, it could have a significant impact on the price once immediately fully distributed. To avoid that, we proposed few options to re-arrange the distribution of the Airdrop:
Option 1: Daily limit* 200K GLX — max claim 500 GLX.
Option 2: Daily limit 300K GLX — max claim 500 GLX.
Option 3: Immediate distribution with no daily limit.
The vote is still ongoing, GLX holders can currently vote on: https://snapshot.org/#/galaxydefi.eth/proposal/QmXnX3WdnwqQc172c4Ygcu4av4FtkkxjXmrEEAXfSc82xs
* Daily limit: Maximum GLX claimed per day. Once the limit is reached, participants have to wait for the next day. Doing so will limit the impact of the Airdrop on the GLX price.
3. GalaxyDefi’s Lending/borrowing protocol:
DeFi protocols allow users to become Lenders or Borrowers in a completely decentralized system, which allows users to have full control over their funds. This is made possible via the use of smart contracts that operate on Binance Smart Chain .
Users looking to be ‘Lenders’ will be sending their assets to a smart contract following which the tokens become available to ‘Borrowers’.
Borrowing / Lending Limits:
This term refers to the total amount of funds that can be borrowed based on the quality of the collateral provided. The limits mostly depend on the total fund pool that is actually available to be borrowed from a particular market.
Overall, while the entire process of lending and borrowing using DeFi platforms is not really complicated, there are certain small differences in terms of how each specific protocol operates, for example, the various wallets they support, applicable fees, etc.
All fees generated by GalaxyDefi from the protocol will be used to buy back and burn GLX.
GalaxyDefi will open the feature to its users in the coming weeks! More details about the protocol can be soon found in the Docs section.
4. GalaxyDefi’s NFT Protocol:
In the simplest terms, NFTs transform digital works of art and other collectibles into one-of-a-kind, verifiable assets that are easy to trade on the blockchain.
Non-fungible tokens are digital assets that are linked to the blockchain and could represent real-world objects like art, music, in-game items, and videos. They are bought and sold online, frequently with cryptocurrency, and they are generally encoded with the same underlying software as many cryptos.
GalaxyDefi is building a new NFT Protocol on Binance Smart Chain and is introducing Crypto NFTs as a new feature. Issue, trade NFTs and participate in auctions!
Users can mint NFTs with unique characteristics and different rarities by depositing GLX. GalaxyDefi’s NFTs are backed by the token deposits during the minting process, and can be decomposed to release the deposited tokens. Users can stake NFTs in the mining pools and get rewards.
A detailed guide and description of this new feature can be found in the Docs section soon!
5. GalaxyDefi’s Vaults & Auto-Compound System:
Getting the perfect APY by re-staking your BEP-20 tokens requires manual intervention by users and token holders. The probability of missing the optimal rewards stay high with manual staking.
Our Auto-Compound system can handle it for you and will help you make the best placement with zero fees!
Deposit fee
- None
Unstaking fee
- 0% if you unstake (withdraw)
Performance fee
- 0% of each yield harvest, which is subtracted automatically
APY Calculation:
APY = (1+r/n) n — 1 (r = period rate; n = number of compounding periods)
The initial APY has been set based on the pool being compounded 1 time every hour. The whole pool is likely to be compounded way more often than that, leveraged by the (Auto Bounty Program), so the APY will be adjusted to represent a more accurate and actualized rate.
The ‘bounty’ is distributed as a reward for providing a service to the platform users. Every time you successfully claim the bounty, you are also helping by activating the Auto-compounding function in the pool for all the function users.
The GalaxyDefi’s team is working on creating a gravitationally bound system of stars (features) for our Alien community (GLX holders).
We really wish that you are also as excited we are for this new journey ahead!
