Platypus Finance protocol is a single-side AMM (DEX) designed for exchanging stable cryptocurrencies (ERC20 tokens) on the Avalanche Blockchain. Despite its highly documented failures, DeFi has continued to innovate in a truly avant-garde manner. Total Value Locked (TVL) across all decentralized finance systems is rapidly surpassing past highs. According to DeFi Llama, TVL broke the $200 billion mark for the first time in early October and reached a recent high of $277 billion on November 9. Market-making protocols, automated borrowing and lending, and, most recently, algorithmically stable coins laid the groundwork for the financial industry’s future.
What is Platypus?
Platypus is a one-sided AMM (decentralized exchange) that enables the trade of stable cryptocurrencies (ERC20 tokens) on the Avalanche blockchain. The protocol is built as a collection of smart contracts that are optimized for censorship resistance, security, self-custody, and capital efficiency. Platypus is a single-token system, which eliminates the risk of temporary loss for liquidity providers and minimizes slippage for traders.
Outstanding Features
What is the project trying to achieve?
Platypus aspires to become the standard Stableswap platform based on AVAX technology. The protocol is intended to address the aforementioned concerns and provide all traders in the cryptosphere with a better performing DeFi protocol that provides reduced slippage, greater scalability, and a far better user experience than has previously been available.
Additionally, users can give unilateral liquidity using Platypus. Rather than using pools of token pairs and bundles to record assets and liabilities, it utilizes token accounts. This design enables the provision of single-sided liquidity. Furthermore, it uses coverage ratio as the input parameter for AMM (rather than liquidity), removing the same liquidity equilibrium constraint from Curve’s Stableswap invariant and allowing the token to develop organically in accordance with its inherent demand and supply. Additionally, this design allows for the addition of new tokens to the existing pool, significantly increasing the protocol’s scalability and capital efficiency. For instance, while the protocol may begin with the base three tokens (USDT, USDC, and DAI), the project may gradually add more tokens to the large pool (for example, TUSD, FRAX) to facilitate shared liquidity. This concept is referred to as a “Open Liquidity Pool“.
What is the unique selling point?
Platypus Core Values
the low friction asset exchange and single-sided liquidity provision are vital to the long-term evolution of not only DApps but the entire ecosystem of Avalanche. The novel StableSwap helps enrich the narrative of DeFi 2.0 and delivers key benefits to users:
Lower slippage
When compared to alternative Stableswaps, the open liquidity pool architecture provides superior capital efficiency and a reduced slippage rate.
Higher scalability
The ability to compose a flexible pool allows each asset to scale spontaneously in response to the availability of organic resources.
Better user experience
Users can always deposit and withdraw tokens of the same sort, without having to worry about the pool compositions or the pool size, as long as they use the same wallet.
Swapping
Cross-assets Swap
For big value exchanges, Platypus StableSwap reduces slippage without compromising flexibility or stability. At the moment, It supports dollar-pegged stablecoins (i.e. USDC.e, USDT.e, DAI.e, and MIM). Before starting the trade, keep in mind:
- Native token of AVAX is required for gas fees on each transaction.
- A 0.04% transaction fee is collected for liquidity providing.
- We may charge deposit fees or withdrawal fees depend on pool’s coverage ratio.
- Trading tokens not listed on Platypus by importing their contract addresses is currently not supported.
- While the exchange rate for tokens in StableSwap is pegged, it is possible that some of them become unpegged due to unforeseeable reasons. Platypus tracks real-time data feeds via reliable price oracle like Chainlink and will halt the trade if significant deviation is detected.
Exchanging the Tokens
Cross-asset swaps can be completed in five simple stages due to an ergonomically designed user interface:
- In “Swap” Mode, choose the token pair you want to trade from the dropdown menu. Enter the input or output amount and click “Approve” to initiate the trade.
- Check the details and click the “Swap” button.
- A pop-up window will appear. Check the details to double confirm and click “Confirm Swap”.
- Upon confirmation, the trade will immediately enter a settlement period of less than a second. It is best not to close your browser during that period.
- You can view “View on FUJI C-Chain explorer” to check your transaction details.
Providing Liquidity
Platypus pool provides unidirectional liquidity with only one coin type. Users’ cauldron does not need to create liquidity pair tokens, making liquidity provision flexible and scalable. The stablecoin pool currently has four tokens. By storing liquidity, users can farm governance token PTP or share the 0.04% transaction fee earned from each asset swap. Unlike previous-generation liquidity pools, single-sided tokens can be deposited and withdrawn in bulk without affecting pool composition or size.
Withdrawing
Withdrawing Tokens from Platypus Pool
- To withdraw liquidity from Platypus Pool, select “Withdraw” from the corresponding column on the “Pool” tab.
- You will be given the option to enter how much of your liquidity to be withdrawn from the pool.
- Once you enter the desired amount, select “Approve Withdrawal” then click the “Withdraw” button. You’ll be prompted to confirm the transaction via Metamask’s interface.
- The withdrawal has been completed. You can view “View on FUJI C-Chain explorer” to check your transaction details.
Note: A small fee will be taken from the proceeds of the withdrawal. This is to avoid a specific attack on to project’s system called “Withdrawal arbitrage” (or “Deposit Arbitrage”).
Withdraw in other assets
When a liquidity provider withdraws tokens, some assets may become under-covered, resulting in a partial settlement. Platypus will respond in two ways:
- Liquidity providers will be warned that he can at most withdraw what the system has in cash, and he may wait until the system’s coverage ratio restores back to equilibrium to withdraw.
- Platypus allows liquidity providers to withdraw in other assets in the pool that is over-covered.
Roadmap
Technical Data
Key metrics
- Token name: Platypus
- Ticker: PTP
- Blockchain: Ethereum
- Token Standard: ERC-20
- Token type: Utility
- Smart Contract: Updating
- Total Supply: 300,000,000 PTP
Token Allocation
- Incentive: 120,000,000 PTP (40%)
- Treasury: 60,000,000 PTP (20%)
- Token Sale (private and public): 52,500,000 PTP (17.5%)
- Project team: 45,000,000 PTP (15%)
- Exchange liquidity: 10,500,000 PTP (3.5%)
- Advisor: 6,000,000 PTP (2%)
- Avalanche Fund: 6,000,000 PTP (2%)
Token Release Schedule
- Treasury: 5% unlock at TGE, 6 months lock, and amortize in the next 3 years
- Private sale: 10% unlock at TGE, 3 months lock and amortize in the next 18 months
- Public sale: 10% unlock at TGE, 7.5% monthly installment for 12 months
- Project team: 12-month lockup and amortization within 30 months
- Exchange liquidity: 50% unlock at TGE, 6 months lock and amortize in the next 6 months
- Advisor: 12-month lockup and 30-month amortization
- Avalanche Fund: 10% at TGE, 3 months and next 18 months
Token Sale
Public Sale on Avalaunch
- Token for sale: 10,500,000 PTP
- Price per token: 0.1 USD
- Total Raise: 1,050,000 USD
Registration schedule:
- Registration open: 10:00 PM on December 9, 2021 (Vietnam time)
- Registration close: 01:00 PM on 12/12/2021 (Vietnam time)
Sale schedule:
- Validator round: 01:00 PM on December 13, 2021 – 10:00 PM on December 13, 2021 (Vietnam time)
- Staking round: 10:30 PM on December 13, 2021 – 01:00 PM on December 14, 2021 (Vietnam time)
Token sale distribution
- Minimum 95% of revenue goes to XAVA stakers.
- Avalanche network validator allocation will be determined at IDO time
How to participate IDO on Avalaunch
Token use case
Updating
How to own the token
Participate in the project’s Public Sale rounds. Furthermore, they will have a Community Airdrop. (For additional information, follow their Twitter account and join their Discord community.)
Market and Community
Markets
When capital remains a slave to the contract into which it has been locked, customers are forced to contend with an antiquated model in which liquidity pools seek the “lowest common denominator,” making it difficult for them to pay their payments on time. High slippage fees, as well as a lack of flexibility. The first generation of automated market makers (AMMs) has a long way to go before they are considered successful. The StableSwap framework, which is now in use, lies at the heart of these constraints.
StableSwap is not only crucial for fixed assets, but it also helps to tackle the problem of fragmented liquidity, which is produced by the presence of numerous bridges in the market. It also serves as a platform for the development of more synthetic assets and algorithmic stablecoins. Platypus Finance was established in order to meet this difficulty.
Community
Despite its youth, Platypus is attracting the attention of an enthusiastic community that is growing at a rapid pace. Recently, the combined user population of Twitter, Telegram, and Discord topped 10,000 users for each network, and engagement is stronger than ever. Platypus is committed to building its community not just through updates and advances related to the project, but also through competitions designed to solidify the community’s identity within the crypto world while retaining an ongoing interest in Platypus.
Backer
Teams
The team behind Platypus is formed by true experts of the blockchain industry, each one of them carrying significant years of experience behind their back
Partners
Platypus, the AVAX-native StableSwap, secured a total of $3,3M in its funding round led by Three Arrows Capital and Defiance, alongside other top-tier investors like Avalaunch, CMS Holdings, or Hailstone.
Alternative Project
Sabber
Saber is the leading cross-chain stablecoin exchange on Solana, providing the liquidity underpinning for stablecoins, or a cryptocurrency whose value is tethered to another asset. As Solana’s fundamental cross-chain liquidity network, Saber facilitates the transfer of assets between Solana and other blockchains. Market makers deposit crypto into a Saber liquidity pool to earn passive returns from transaction fees, token-based incentives, and eventually automated DeFi methods.
Curve Stableswap
Curve StableSwap is an automated market maker that enables users to exchange between coins with the same flavor with minimal slippage and costs. LPs can invest their tokens in any pool of the curve and get a portion of the transaction fees. In comparison to Uniswap, which places a higher premium on liquidity. With a greater likelihood of slippage. Additionally, the latest version of Curve StableSwap, dubbed Curve Finance, enables users to trade unpegged assets as well.
Conclusion
After compiling and analyzing the aforementioned data, it is clear that Platypus is the first one-side AMM project on the Avalanche Ecosystem to be funded by significant investment groups such as Three Arrows Capital and Defiance Capital. Additionally, the initiative was created to address the shortcomings of earlier Stableswaps, such as trading costs and slippage. This demonstrates the project’s ability to attract people as well as its future potential.
In terms of investment, individuals can set aside an adequate quantity of funds to participate in Avalaunch’s public sale. (Keep in mind the importance of risk management.)
Find more information about the project:
Website: https://platypus.finance/
Telegram Announcement: https://t.me/avalaunchonavax
Telegram Group: https://t.me/Platypusdefi
Twitter: https://twitter.com/Platypusdefi
Discord: https://discord.com/invite/B6ThAvev2A
If you have any questions, suggestions, or ideas about the projects, please email [email protected]
DISCLAIMER: The Information on this website is provided as general market commentary, and does not constitute investment advice. We encourage you to do your own research before investing.
Harry
Coincu Ventures
