Hey guys, as you know, all rates in Provide are variable depending on the needs of the project. This time, it’s angled towards reducing slippage.
When you try to trade BTC <> XMR, BTC <> DAI, or BTC <> UDST, you might experience high slippage. This occurs because the BTC pool is 3-5 times bigger than XMR, DAI or USDT.
To reduce this price impact (especially for larger trades), we need more liquidity for XMR, DAI and USDT. As such, here are the upcoming Provide rates:
- PRV - 28%
- XMR - 13% (+2)
- DAI - 13% (+4)
- BTC - 11% (-1)
- ETH - 10%
- USDT - 10% (+2)
- USDC - 8%
Changes effective Nov 10.
The next announcement has to do with how PRV in Provide will be allocated. We have recently experienced large deposits of PRV, so for the sake of transparency, here is how the core team plans to best deploy it.
Node Virtuals & pDEX Liquidity
Currently, there is ≈ 1M free-floating PRV in Provide. Here is how we will distribute this amount, in order to keep the feature sustainable while retaining the 28% APY.
- 40% -> To run vNodes
- 60% -> To match liquidity pairs
Distribution period: Nov 9 - Nov 25
During this period, you will see more Nodes added, using the PRV users have deposited into provide. You will also see increases in liquidity depending on the size of other coin deposits.
Let us know if you have any feedback or comments. Thanks!