Summary: The VinuSwap is an AMM Swap, with in-house cross-chain bridges, staking, and lending capabilities.
VINU leverages on the Vite network’s capabilities to develop smart-contract based cross-chain bridges between Vite and other blockchain network. This allows VINU users to move their tokens seamlessly between different ecosystems, and to utilize various features and functions that we will build within them. For instance, upon the creation of the Vite-BNB Chain bridge, VINU holders can bridge their VINU tokens over to the BNB Chain. They can then engage in a whole range of actions within that network, including staking and swapping for other tokens.
The VinuSwap will be a decentralized exchange with several key features, bringing a range of utility to the Vite ecosystem. The combination of these features also allows the savviest of investors to maximize their yield.
One of the features of the VinuSwap is to facilitate easier cross-chain transfers to from the Vite network. Currently, VINU holders have to use the Vite wallet app to make cross-chain transfers. With VinuSwap, they can simply connect their Vite wallet and external wallet (such as MetaMask, or any wallet with WalletConnect capabilities), and make cross-chain transfers seamlessly. This will reduce the difficulty threshold for newcomers, and play an important role in making the fast and feeless Vite network more accessible.
VinuSwap will be an automated market maker (AMM) decentralized swap on the Vite network. It will allow users to swap their tokens – even small amounts – without needing to engage with order books. Prospective traders can make their trades at the best rates with low fees, via a simple and intuitive front-end interface.
Users will also have the chance to provide liquidity to the trading pairs on VinuSwap. A significant portion of the trading fees incurred on the VinuSwap will be distributed back to the liquidity pools. Over time, and depending on the trading volume on VinuSwap, this increases the value of the liquidity pool (LP) tokens that providers hold.
VinuSwap will also offer an in-house staking platform, becoming independent of other staking platforms on the Vite and other networks that it is bridged to. VINU holders will be able to stake their VINU tokens to earn VINU rewards, as well as other coins or tokens from our future partners. Liquidity providers will also be able to stake their LP tokens to further increase their yield.
VinuSwap will also contain a lending platform. This allows users to lock their VINU in a lending pool, for other users to borrow. A significant portion of the interests accrued from these loans will be paid out to lenders. In the case of defaulted loans, the collaterals provided by the borrower(s) will be distributed among lenders.
From the borrowers’ perspective, VinuSwap’s lending platform allows them to request and make use of VINU while holding on to their other cryptocurrencies. That is, they do not have to sell their holdings to get VINU (which they can use for various activities, such as staking).