Most DeFi platforms use automated market making to price assets in liquidity pools. Therefore, the value of an asset within the portfolio may be different from the value of the same asset outside the portfolio. As prices change radically, it is difficult for liquidity providers to withdraw assets in time to avoid losses.
The solution is to use automated trading and liquidity provision on these platforms. CyberFi is among the few projects that explore this path and intend to bring the functionality of centralized Exchangers to decentralized Exchangers and automatic market makers.
In this article, we will discuss:
Who created the CyberFi cryptocurrency
Geralt, Igor Sokolov and Darius Greicius head the project as CEO, CTO and CMO respectively. The CEO has more than five years of experience in senior management roles, four years in the crypto sector, with three years in creating DeFi, centralized exchanges (CEX) and other crypto activities. blockchain and cryptocurrency.
On the other hand, Sokolov has four years of experience in cryptocurrency, including participation in Hackathons and creating decentralized applications. Greicius is well versed in financial markets, crypto and marketing.
What is CyberFi cryptocurrency?
CyberFi is a blockchain-based platform that allows users to automate critical tasks when interacting with DeFi protocols. The platform uses intelligent automation to know when to leave or enter a position. The network handles the automation of tasks related to loans, trading, liquidity provision and inter-blockchain interaction.
Notably, CyberFi is not a know-it-all platform. Instead, it gives users a chance to set parameters about how they need things done.
For example, liquidity providers (LPs) can automate processes to remove or add liquidity to a pool using defined price points. Consequently, LPs are not rekt (destroyed) when sleeping, as DeFi is a 24-hour industry.
Geralt and his team have a vision to help DeFi enthusiasts reduce risk while lowering barriers to entry and improving the user experience.
Most importantly, Cyberfi takes a no-custodial approach, minimizing the security risk to users' funds. In addition, the protocol contains features to cater for both novice and experienced DeFi users.
Three areas that Cyberfi seeks to automate
CyberFi seeks to automate 3 major areas: Trading, Automation and MultiChian.
Negotiation
Limit orders have dominated cryptocurrency trading on centralized Exchangers. CyberFi goes beyond simplicity to exploit price divergence indicators (PDI) to enable intelligent order handling in DeFi. Without centralized order books, as in CEXs, the protocol uses PDIs that use trusted oracles to initiate controlled orders on decentralized Exchangers using liquidity pools.
To ensure that its users get the best price on the market, the protocol uses the best commercial value (BTV). In addition to price, the concept also caters for lower rates.
This is not everything. CyberFi uses additional tools to protect against volatility. For example, the Change Speed tool (CS) along with PDIs, is incorporated into the smart ordering feature.
Consequently, a trader can use the price or its percentage to score specific points during a trading session that important decisions need to be made. Some of the decisions might be to sell a token when its price drops by a certain percentage within a certain period of time.
Automation System
CyberFi's automation system will feature various complex actions in farming, staking, liquidity pools and LP tokens.
The platform uses high-end price triggers and BTV to protect users against inflation, price drops and other unforeseen risks.
Furthermore, it makes it easier for the user to enter or exit a strategy without having to sign a series of transactions. As such, users can engage in high-risk agriculture, which is associated with high returns. Note that interacting with this type of DeFi strategy requires predefined user parameters.
Multichain Activities
The idea of moving cryptographic assets into different blocks of blocks is finally coming to an end. Unfortunately, in the DeFi scene, activity is still largely handled manually. But not anymore.
Cyberfi automates cross-blockchain activities to allow users to automate activities on popular decentralized networks such as Polkadot and COSMOS. Notably, with this functionally, DeFi users can automatically join or move their assets on another blockchain.
Cyberfi CFI Token
CFI is the base asset of the protocol and can be used in the CyberFi ecosystem. The main uses of the CFI token are:
- Paying for gas prices;
- Access to exclusive products;
- Reduced commission rates;
- Payment for multi-chain transactions.
CFI Tokenomics
CFI has a total supply of 2.400.000 CFI tokens. Key beneficiaries during distribution include strategic partners who account for 500 tokens, development (300.000 CFIs) and initial liquidity team (250).
Around 300.000 CFI tokens were reserved for marketing and community growth, while wagering rewards and liquidity providers (LPs) took 200.000 tokens. In addition, the transaction mining program received 50.000 CFI coins, while the two sales rounds removed 800.000 tokens from the total supply.
Note that allocated coins have different lockout periods. For example, tokens allocated to strategic partners have an acquisition period of six months, while those in the transaction mining program have an unlock period of 24 weeks.
Key token use cases include giving holders a voice at the governance table, paying fees, paying for automation strategies, and giving holders the right to private products.
However, automation-based activities also use ETH to cover fees. In this case, ETH currencies are automatically converted to the native currency.
In addition to having exclusive access and voice at the decision table, the token gives its holders the right to earn part of the platform's revenue. And it's a lot! CyberFi distributes 80% of all fees charged in native currency to CFI holders. This includes those converted from ETH.
Staking on CyberFi
CyberFi's betting product is called CyberEra. The offer is open to CFI and Ethereum (ETH) investors. One pool supports the native asset while the other interacts with CFI/ETH.
However, wagering rewards vary depending on the pool. In the CFI pool, 10.000 CFI tokens (approximately $30.000) are available, while 25.000 (approximately $76.000) CFI tokens are available for rewards in the CFI/ETH pool.
Each pool has space for any number of tokens and each betting session lasts 40 days, during which the wagered funds are blocked. In addition to the funds wagered, rewards accumulated during this period are also blocked for the first half of the 40 days.
In the CFI pool, the daily reward is estimated to be around $750 (250 CFI tokens), while those who bet on the CFI/ETH LP expect to receive around $1.898 every 24 hours.
Interestingly, blocking assets during the deployment period only attracts serious users who share the design vision. So far, more than 1,5 million CFIs have been wagered.
However, the duration of CyberEra is not fixed. Depending on its success, the team will decide how long the next stakeout era will last.
A few months after its launch, the platform already has more than $1 million in total stake. The CFI pool accounts for the largest share at around $670.000, with the CFI/ETH LP having just over $390.000.
Conclusion
CyberFi's entry into space comes at the right time. While the DeFi industry has made massive gains so far, the protocol could potentially increase the amount of funds blocked on DeFi networks. Like? Lowering barriers to entry, protecting against impermanent losses and allowing users to comfortably initiate high-risk cultivation strategies.
Furthermore, CyberFi's implementation of CFI has more benefits for its holders. For example, sharing 80% of all fees charged with CFI investors and keeping 20% is among the few occurrences in the cryptocurrency industry.
