All you need to know about QiSwap, an upcoming DeFi platform on Binance Smart Chain
QiSwap is a new decentralized exchange and yield farming platform operating on Binance Smart Chain. Additionally, the platform offers Initial farm offerings, or IFOs as they have become known, NFTs, and its own automatic burn liquidity acquisition token – QI.
One interesting and anti-deflationary mechanic of the QiSwap platform is that the Qi token has a 10% fee on each transaction. 9% of the transfer tax is immediately burned while 1% is added to the liquidity provider pool and locked away. This mechanism intends to serve as a way to increase the price of the native token by reducing the supply with every transaction.
The platform offers users several opportunities. Initial farm offerings are just getting going and at present, the platform is still looking for its first project to launch. An IFO allows investors to get in right at the ground level on a new project or idea that requires funding. In exchange, they receive token rewards. Importantly on QiSwap users pay for the new tokens using Qi-BNB LP tokens, which requires first staking equal amounts of QI and BNB in a liquidity pool. Those LP tokens also come into use on the NFT section of the site, which is also quite young. Currently, just one NFT is available commemorating the launch of the QiSwap platform.
QiSwap presents users with several earning opportunities across its farms, chakras, and fee distribution pools. There are five native and nine non-native pools on the platform with some select pools offering up to 2,400% APR.
Farming on QiSwap is a familiar site for those accustomed to the layout of the majority of BSC DeFi dapps. Here users must first purchase the Qi liquidity provider tokens at a proportionate amount to the other token vested. For example, if you want to place $1000 worth of BNB LP in you will need $1000 of Qi. As with all new DeFi platforms, liquidity is key to their long-term viability so rewards here are favorable. For example, the QI-ETH LP pool is currently offering over 6,000% APR.
Chakras represent the platform token vesting options. Here users can deposit one of seven tokens including DAI, ETH, and CAKE. Of course, the lion’s share of the rewards goes to those vesting the native Qi token. As mentioned, liquidity is vital for the operation of the platform.
One unique feature of QuSwap is the fee distribution pools. Here a part of the deposit fees accumulated throughout the platform in the non-native pools is gathered. Then distributed every two weeks to those staking Qi-BUSD LPs to earn Qi-BNB LPs. The platform states that whenever they gather enough fees, it will introduce new fee pools to the community. Additionally, a 5% deposit fee is charged when users enter staking on Qi Swap. Monthly there will be pools made of the accumulated fees allowing users to stake Qi to get other tokens.