The UST Bonding Contest is about to go live, with Rewards + Merch that is now up for grabs.
Since a lot of you were interested to know more about the FURY Protocol and the bonding process itself, in this article we give you detailed insights about bonding, the contest, and everything you need to know in order to take FURY to the moon without the need to understand complicated technicalities.
Details about the Bonding Contest
Starting from the 15th of May, our UST<>Bonding contest will be going live. Here’s everything you need to know about the contest:
Bond USTand stand a chance to win 500,000 FURY, 2 lucky winners also win exclusive signed Jerseys by Blaise Matuidi & Ronaldinho.
How to enter:
- Bond a minimum of 100 UST to be eligible;
- The top 3 wallet addresses with the highest number of regular trades on the leaderboard will be chosen as winners;
- Improve your position on the leaderboard via Daily UST bonding on Fanfury;
- The top 50 participants will win 6500 FURY
Prize: Bond a minimum of 100 UST and stand a chance to win 500,000 FURY:
- First place on the leaderboard wins 100,000 FURY
- Second place on the leaderboard wins 50,000 FURY
- Third place on the leaderboard wins 25,000 FURY
- The top 50 participants (who line up after the top 3 winners) will win 6500 FURY each
- 2 lucky draw winners, where each gets a signed Jersey by Blaise Matuidi or Ronaldinho.
Contest start and end date: 15–30th May 2022.
*Note: There are Daily Rewards for Bonding. If users find FURY-UST bonding “disabled” it is because the rewards allotted for the day have been exhausted.
Now that you know about the contest, the crypto investor among you may be curious how or why we prioritize bonding for our tokens and what does it mean for the Fanfury Protocol?
Understanding protocol liquidity
Decentralized finance (De-Fi) brings with it a unique opportunity to investors that has never been offered before, at least not with the level of accuracy and trust-less systems that are in place today. These are considered disruptive developments in traditional finance.
However, De-Fi has an Achilles heel that often causes issues for protocols — liquidity.
Protocols often have to incentivize liquidity providers to maintain liquidity in the protocol. But like every other truly amazing tech that’s being developed on the De-Fi blockchain, De-Fi protocols have found a way to navigate the issue of liquidity as well. Namely through “Protocol-Owned liquidity”. This promises not only to resolve the mercenary liquidity problem but also to create a reserve currency in the process.
Fanfury Protocol on Liquidity
Fanfury’s Protocol-owned liquidity approach allows the platform to provide liquidity to its tokens on a decentralized exchange.
In simple terms, instead of providing heavy incentives to the market to maintain liquidity (which oftentimes isn’t reliable), our liquidity model utilizes “bonding”.
How Does Bonding Work?
To provide liquidity to tokens, the protocol essentially sells its tokens at a discounted price to buyers, who in exchange provide another token (e.g: UST) which will then be used as a part of the Fanfury Protocol’s Treasury. This helps deploy the treasury onto a DEX in order to be invested on, generate returns or directly provide liquidity.
“ Protocols end up dilating their value by offering higher incentives to liquidity providers, Protocol-Owned Liquidity ensures stability without the need to incentivize LPs thereby avoiding dilating its price”.
In simple words, bonding is the process where the protocol sells its token in exchange for another token or a liquidity pool token from the buyer. In this case FURY for UST.
The protocol incentivizes buyers to bond instead of buying tokens. It does this by selling the token at a discount of 5–10% compared to the current market price (usually vested over days or max a week to avoid an immediate arbitrage opportunity).
Fanfury Users are allowed to bond in two ways :
- UST ( get 5% extra FURY)
- UST + FURY
UST participants who bond will receive 5% more FURY tokens (at the end of 7 days). If you choose UST + FURY, you will receive an additional 7% of FURY tokens in 5 days.
As mentioned above in case you see that “FURY UST bonding is disabled“, it’s due to the fact the daily allocation for bonding rewards have been exhausted.
Things are just gearing up at Fanfury, with the right mix of decentralized finance, protocols, and tokenomics in place. Our platform is all set to show a whole new side of daily fantasy gaming. And the best part is that it’s transparent and community-owned, which means the first ones to benefit from the contents such as bonding and staking are the users! Head over to this link and start winning today.
Disclaimer: This is not financial advice. Readers are responsible for their own decisions and we highly recommend doing your research and taking advice from your financial advisor before making investment decisions.
Only updates coming through official channels of Fanfury should be considered official responses from the team. Any updates that have not come from official sources or platforms will not be considered a liability of Fanfury or its team.