Euphoria — a Harmony algorithmic reserve currency protocol, based on the WAGMI token. Each WAGMI token is backed by a basket of assets (e.g. DAI, UST, WAGMI-DAI LP tokens, WAGMI-UST LP tokens, etc.) in the Euphoria Treasury, giving it an intrinsic value below which it cannot fall.
About the Euphoria site
Euphoria introduces economic and game-theoretic dynamics to the market by placing bets and buying bonds. In addition, the team intends to bridge the gap between the DeFi 1.0 liquidity mechanisms and the DeFi 2.0 protocol liquidity mechanisms. There are two main strategies for market participants: staking and bonding. Stakers stake their WAGMI tokens in exchange for more WAGMI tokens, while bonders provide LP, DAI or UST tokens in exchange for discounted WAGMI tokens, issued during the 5-day vesting period.
Other features:
| 1 | The main benefit for stakers - the increase in supply. The protocol mints new WAGMI tokens from the treasury, most of which are distributed among the participants. |
| 2 | Thus, the profit for the stakers will come from their balance with automatic compounding, although price risk remains an important factor. |
| 3 | That is, if the increase in the balance of tokens is ahead of a possible drop in price (due to inflation), the stakers will make a profit. |
The main advantage of the bonders - price constancy. Bonders allocate capital up front (like DAI or LP tokens) and are promised a fixed income at a set point in time. This income is given in WAGMI tokens and the bonder's profit will depend on the WAGMI price at the maturity of the bond.
Staking - a passive long-term strategy. Increasing your stake in WAGMI results in a constant decline in baseline costs, approaching zero. This means that even if the market price of WAGMI falls below your initial purchase price, over a sufficiently long period of placing bets, the increase in your WAGMI balance should ultimately outpace the fall in price.
More about defi app
Members of the management can participate in discussions in the Discord community and in the telegram channel. The developers will soon roll out a governance platform so that VenomDAO members can vote on governance proposals. You can study the project in more detail through the introductory document. Also, the team maintains the Medium blog, where articles are available. The smart contract doesn't have an audit.
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