ValueDeFi — The most undervalued Decentralised Exchange on the Market

Decentralised Exchanges and Automatic Market Makers — Part 2

Out of all the Decentralised exchanges that are on the BSC market. There’s one that’s gotten it right. Enter vBSWAP — Value DeFi.

I must note to please do your own research and I am by no means your source of truth or a financial advisor.

Please note that vBSWAP has recently been exposed to an exploit, where impacted users will be compensated and supply to the reserve fund will be burnt to keep supply in lines with their emission schedule— whether indicates to you a good buying opportunity or not is up to you.

I will not be discussing any thoughts or opinions on the exploit as that is outside my area of expertise.

Details of exploit below:

https://medium.com/valuedefi/vstake-pool-incident-post-mortem-4550407c9714

My first article in the series address of the potential pitfalls of PantherSwap and in this discussion, I’ll cover how vBSWAP has accounted already accounted for these pitfalls. vBSWAPs tokenomics place it leagues ahead of other Decentralised Exchanges or Automatic Market Makers that are currently on the Binance Smart Chain.

vBSWAP is a BSC ecosystem profit share token with the following attributes:

(Full version — https://docs.valuedefi.io/vBSWAP)

• TOTAL SUPPLY: 100,000 tokens
• DISTRIBUTION:
• The tokens will be distributed over a period of 2 years and its emission will be reduced by 10% every 4 week (detailed schedule below)
• 75% for BSC ecosystem incentives (ie. vSafe, vFarm, etc.)
• PROFIT SHARE:
• 100% of fees collected on the Value DeFi BSC ecosystem will be distributed to stakers at vBSWAP vStake
• 50% of swap fees from vSwap (swap fees are setable by pool creator at vSwap, not fixed)
• 50% of swap fees from vPegSwap
• All performance fees (typically 6%) from vSafe
• All other fees from vFarm (FaaS)

Things to note — Restricted supply, benefits from their own BSC incentives, full fee redistribution from several products.

Entree — Low cost execution

Let’s delve deeper into the use case. Why would you choose the Value Defi platform over any of the other exchanges on market?

• Slippage on major products are much lower than other AMMs — Try comparing slippages between vPegSwap and Pancake Swap. You’ll have to see it yourself to believe it.

Example — simultaneous snap provided below at the time of writing:

• Given this is a swap product and this is days after the vBSWAP exploit where liquidity and TVL than it was previously. It isn’t clear to me why anyone would use Pancake Swap to conduct to move between stablecoins.
• Value’s aggregator algorithm will always choose the cheapest route when trading, this is extremely useful for whale transactions. I see no reason for anyone to not be using Value DeFi’s platform when trading any of the pairs that are available on their platform.

Appetizers:

The Profit Share — The complete opposite of PantherSwap

This pool is currently closed — due to the exploit.

Value has a range of profit mechanisms, that generate profit for the ecosystem. There profit share mechanism does NOT generate rewards per block and reward you in their native token.

• Impact: Paying you with a combination of BUSD and WBNB means that you will have a yield source guaranteed at a certain rate. Effectively, the lower the price of the native token, your yield increases. This means the lower the price vBSWAP goes, the more yield you will generate. This is contrary to yield farms that are paying in their native token and is about as anti-Ponzinomic as you can get.

The Main:

Creating their own Liquidity Pools — Problem resolution

Value DeFi has their own LPs, straying away from the likes of Pancake Swap. This allows for uneven liquidity pool combinations which is greatly beneficial to their ecosystem.

Benefits:

• Pools with lower impermanent loss — Pools in uneven ratios exposure you to less impermanent loss. E.g. A pool that is BNB/BUSD means you will only be 50% exposed to BNB, lower your upside and increasing your impermanent loss. A LP that is 70% BNB / 30% BUSD means you will be exposed to less impermanent loss and capture more BNB exposure and less impermanent loss.
• Single button pairing on LPs — Too lazy to sell down your staking rewards to create the other side of your pair from your earnings? Value has you covered, you can create a pair with a single click. (On smaller LPs, this can result in higher slippage. Manually swapping may save you on slippage due to their routing mechanism which will find the cheapest way to convert from one crypto to another.)
• Aggregators & Autocompounding — Value provides their own autocompounding mechanism and there are other aggregators that allow for autocompounding of vBSwap.

Nothing fancy here right…?

Cheese & Wine:

• Step 1: Stake vBSWAP — Earn BNB / BUSD at a fixed rate regardless of the native token price. (No minting for profits, set emissions, not impacted by price of native token)
• Step 2: Earn BNB / BUSD & Compound — Wait how do I compound? I have to sell my BNB & BUSD. Upward price pressure vBSWAP🠑.

The Dessert — Where the magic happens

Did I mention somewhere that there are 70/30 LPs?

Wait what… The main staking and vSafe is 98/2? Add in some aggregator action and automatic compounding. You’ve found yourself an investment vehicle of envy — the more people that are in the pool, the more positive price action you will have as a result of compounding. The caveat here — the rest of the ecosystem has to be generating consistent profits as that’s how block rewards are determined.

I am by no means your source of truth and this is not financial advice. Please DYOR.

Part 1 — https://philtokenomics.medium.com/pantherswap-the-groundbreaking-formula-that-will-destroy-any-value-8b17ea19017b

If you found this information useful feel free to donate my wallet address on the Binance Smart Chain.

BSC: 0xF9C27117A9f53B37d6a1Ff04B0F4B57457106674