A Walkthrough of SpiritSwap's Product Suite
Primer: Heesh of SpiritSwap takes Ceazor through the entire product suite of their protocol. Learn more about what each product does here.
Introduction To SpiritSwap
A decentralized exchange (DEX) on the Fantom Opera Chain
Design is based on the Uniswap constant-product automated market maker (AMM)
In an AMM, liquidity providers simply deposit a pair of tokens and an algorithm automatically makes markets for the token pair
Traders can easily swap between tokens in the AMM and get guaranteed rates for the swaps
Each swap on SpiritSwap incurs a fee, which gets distributed to liquidity providers as their payment for work
💡 This summary will solely be covering the product suite of SpiritSwap.
Portfolio Page
For the user to view their assets on SpiritSwap
Any rewards or SPIRIT earned could be harvested from this page
The Liquidity section shows LP tokens that are not staked on any farm
winSPIRIT section. winSPIRIT is a general term for any wrapped inSPIRIT token. Have 2 staking pools:
ginSPIRIT-SPIRIT, made by Grim Finance
linSPIRIT-SPIRIT, made by Liquid Driver
inSPIRIT Stats section shows the amount of SPIRIT a user has locked up as inSPIRIT as well as any rewards from that
SPIRIT locked on Grim Finance or Liquid Driver would not be reflected in the inSPIRIT Stats section (e.g. ginSPIRIT and linSPIRIT tokens)
Exchange Page
A page where users can swap one token for another
The Zap feature is a way to add liquidity using just one token
Example:
Normally, LPs have to add in equal dollar amounts of SPIRIT and FTM to LP for the SPIRIT-FTM pool
With the Zap feature, they can just deposit FTM tokens and zap it to get a SPIRIT-FTM LP token
Their platform also supports charts
Limits orders are supported through Gelato, which is an automation protocol. Keepers are constantly looking out for the price of the token. Once it is reached, they will send a transaction through
Keepers are not completely reliable
Keepers use the price on the AMM for limit orders. No price feeds from oracles are used
Migrate function is used to migrate LP tokens between different exchanges on Fantom. For example, users can migrate their FTM-USDC LP token from SpiritSwap to SpookySwap and vice versa
This makes it easy for users to migrate their LP tokens when yield farming opportunities arise
The prerequisite is that the same LP token has to exist on the other exchange for a given LP token to be migratable
For the migration feature, any price differences between the LP tokens will be burned
Farms Page
Originally, when they launched, they did not have much structure for their farms. Was adding farms upon request from people
Recently did a revamp of their farms. Now focused on core pairs and some of their partners that they collaborate with
For LPs with stablecoin pairings, they tend to suffer more impermanent loss than others. Hence, they incentivize these LPs more
Want to support the Fantom ecosystem. Tries to get as much liquidity as they can get for Fantom native projects that they believe in
inSPIRIT Page
inSPIRIT is the governance token of SpiritSwap
To get it, holders have to lock their SPIRIT tokens for a period of time ranging from 1 week to 4 years. The longer SPIRIT is locked, the more inSPIRIT the user will get
inSPIRIT has 3 functions:
Governance and voting rights when they transition to a DAO
On-chain weekly vote on the allocation to the boosted farms
Allow users to partake in fees from the protocol. SpiritSwap has a 0.05% fee on every swap. Every week, this is used to buy back SPIRIT tokens for distribution back to inSPIRIT holders
inSPIRIT is not transferable
The amount of inSPIRIT in your wallet decreases over time as it gets unlocked
The team also do airdrops for inSPIRIT holders. Whenever they have a partnership, they will ask their partners for an airdrop for inSPIRIT holders to expose holders to their partners or for their partners to do some marketing
SPIRIT rewards earned from the platform can be locked up with the same unlock period of existing inSPIRIT. Users can also choose to increase the duration of the unlock period
Boosted Farms Page
Farming rewards for boosted farms are controlled by inSPIRIT holders
Each week, inSPIRIT holders vote on the weight of rewards that are allocated to these farms
Looking to eventually get all of their farms into these boosted farms. Would give inSPIRIT tokens more utility from doing so
After users deposit into these boosted farms, an indication would pop up stating the amount of inSPIRIT they need to achieve max boost
The team did not want to make too many decisions as to what farms get added here. Hence, they selected BTC and ETH as they are classic tokens
In the process of spinning up governance so that the community can propose different farms to be added in
winSPIRIT Page
Their staking pools. Essentially, it's SPIRIT paired with SPIRIT
ginSPIRIT: Grim Finance's wrapped version of inSPIRIT. It is transferable
linSPIRIT: Liquid Driver's wrapped version of inSPIRIT. It is transferable
If users are afraid of locking up their SPIRIT as inSPIRIT, they could consider ginSPIRIT or linSPIRIT
Drawback is that these wrapped versions of inSPIRIT cannot be used to boost your own farms and for governance. Grim Finance and Liquid Driver will be using them to boost their own respective farms
These wrapped versions of inSPIRIT also accumulate swap fees on SpiritSwap
Wrapped versions of inSPIRIT are also not hard pegged to the SPIRIT price. Hence, if all of a sudden, a lot of people decide to sell them for SPIRIT, their price would crash
SPIRIT locked to generate ginSPIRIT and linSPIRIT are locked forever
Bonds Page
Bonds are live. They are using OlympusDAO's UI
There's an allocation of SPIRIT that gets sent to the bond contract on Olympus Pro
People can deposit SPIRIT-FTM LP tokens in order to purchase SPIRIT at a discount
Currently have $250,000 worth of LP tokens that are owned by the protocol. Shows that a lot of people are using this bonds feature
The ROI will fluctuate as it depends on the price of SPIRIT as well as the amount that is being bonded at the moment
If a lot of people have bonded, the ROI will go down
If the ROI is negative, users can wait for a few days for the ROI to turn positive
Bridge Page
Built on top of Anyswap
Looking to add a faucet and other things to their bridge application
Ceazor: Do they personally filter the tokens that are usable on the bridge? Users could send USDC and end up with anyUSDC that's illiquid on the other chain
Heesh: It depends on what chain the user is moving to. There will be a warning if there's a lack of liquidity at the destination blockchain
Lend/Borrow Page
Sends user to the Ola Finance page
Ola Finance are their partners. Made a SpiritSwap lending network with them
The liquidity in these pools are isolated from the rest of Ola's markets
Rewards are similar to Compound Finance. Users have to borrow in order to receive those rewards (SPIRIT)
Other Areas On Their Website
Store: For users to purchase SpiritSwap merchandise
NFT: For users to purchase NFTs that feature SpiritSwap
IDO: One of their partners that host IDOs
Anything Else To Share?
They have a lot in store coming for the community
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