Yield farming has grown in recognition over the previous 12 months alongside the rise of decentralized finance, however not too long ago the power to earn a great return has been restricted by the excessive transaction prices on the Ethereum (ETH) community.
Consequently, yield farmers have begun exploring choices outdoors the Ethereum community for extra accessible alternatives in a low charge surroundings.
One choice that has proven regular development in liquidity since launching is Flamingo Finance (FLM), a DeFi platform based mostly on the Neo (NEO) blockchain and the Poly Community interoperability protocol.
Flamingo goals to change into a full-service DeFi platform and the protocol at the moment has a cross-blockchain asset gateway (wrapper), an on-blockchain liquidity pool (swap), a blockchain asset vault, a perpetual contract buying and selling platform (perp) and a decentralized governance group (DAO).
The cross-blockchain asset gateway is at the moment able to wrapping ERC-20 tokens together with Wrapped Ether (WETH) and Wrapped Bitcoin (WBTC), in addition to Ontology-based (ONT) tokens.
Interplay with the protocol is completed utilizing the NeoLine or O3 pockets browser extensions for Neo tokens, the Cyano pockets browser extension for Ontology-based belongings, and the MetaMask browser extension for transactions requiring the Ethereum community.
Whereas the platform is just not actually a contender with Etheruem, the low charges have been attracting customers, as proven by the rising TVL. As soon as all collateral has been wrapped and deposited on the Neo blockchain, all transactions on the Flamingo protocol have a set value of 0.011 GAS and there’s a choice to decide on a feeless transaction if the person is prepared to attend slightly longer for the transaction to course of.
Aggressive yields enhance liquidity
When Flamingo initially launched, it provided easy staking and excessive yields to draw the preliminary pool of liquidity that helped get the ecosystem established. It has since shifted into providing yield alternatives for liquidity pool suppliers, particularly on swimming pools the place there’s a higher want for liquidity.
As seen within the graphic above, the entire swimming pools are paired with Neo and rewards are paid out in FLM token.
In keeping with Flamingo’s Twitter feed, the protocol is now gearing up for the discharge of Neo 3.0, which started its Testnet launch on March 25. As soon as totally carried out, Neo 3.0 might see elevated exercise on the community and spark an increase in worth for FLM because it’s the bottom pair for the entire liquidity swimming pools.
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