Nov 19, 2021
MatrixETF Launches $5.5M MDF Liquidity Mining Program on Ethereum and Solana
Time flies and another winner comes, along with the crypto market having undergone an epic change, MatrixETF has had a fruitful bench of achievements since MatrixETF was launched in 2021.
From establishing the project and recruiting employees to selecting technology model and developing the program, to MatrixETF gaining fundraising from celebrated investment institutions and MDF launching Public Offering, until the most significant Index product launching on MatrixETF… You can see that MatrixETF has been developed rapidly, and the MatrixETF Community is integrating to the whole world step by step.
Launching MatrixETF Index product officially, indicates that the first phase of objective on MatrixETF has been achieved. It is the time to move forward to the next step: we will release the plan of Liquidity Mining to welcome community users to participate in MatrixETF contributions. Users will be rewarded by liquidities which are given back to the community, then we will gradually make MatrixETF stronger and stronger.
Hereby we are pleased to announce that MatrixETF will start the Liquidity Mining Program on both Ethereum and Solana, which is worth around $400,000(5.5M $MDF). This program will provide liquidities mainly to motivate governance token and Index assets.
There are 3 methods to do Liquidity Mining on MatrixETF:
- For Liquidity providing: The total rewards will be 4,000,000 MDF to provide liquidities on the relevant trades of MDF and MDI/MSI.
- For Staking providing: The total rewards will be 1,500,000 MDF as lock-up rewards to vest MDF and MDI/MSI.
- For Index holding: The total rewards will be 250,000 MDF for users who Mint or Redeem MDI/MSI. ( Detail Reference: 《MatrixETF Index Trading Campaign》)
Notice： The Incentive Rewards will be supplied by MatrixETF governance token MDF. Liquidity Mining will be operated on each block, you can withdraw MDF whenever you would like.
The first phase of Winter Hunting Liquidity Mining Program will last for 7 weeks (6AM UTC 11/22/2021–01/09/2022), the specific time will depend on the result of internal testnet, there probably will be a delay period. We might adjust and reevaluate the program accordingly in the later future.
The first phase detailed Liquidity Mining Rewards are as below:
On Ethereum
Everyday MatrixETF will distribute 40,000MDF by Liquidity Mining to the users who has provided LPs, which includes MDF/USDT and MDI/USDT；
Everyday MatrixETF will distribute 17,000MDF by Staking to the users who have staked MDF and MDI.
- For Liquidity providing: users can gain rewards by providing liquidities to the trades of MDF or MDI.
- For Staking providing: users can gain vesting rewards by locking up MDF and MDI.
Liquidity Mining LP Rewards Schedule:
Staking Rewards Schedule: (Staking function will be started one week after Liquidity Mining function)
On Solana
Everyday MatrixETF will distribute 40,000MDF by Liquidity Mining to the users who have provided LPs, which include MDF/USDC and MSI/USDC;
Everyday MatrixETF will distribute 17,000MDF by Staking to the users who have staked MDF and MSI.
- For Liquidity providing: users can gain rewards by providing liquidities to the trades of MDF or MSI.
- For Staking providing: users can gain vesting rewards by locking up MDF and MSI.
Liquidity Mining LP Rewards Schedule:
Staking Rewards Schedule: (Staking function will be started one week after Liquidity Mining function)
Notice: please mind your own risks when you participate in Liquidity Mining/Staking:
- Mind the impermanent loss by Token price fluctuation when you provide liquidity on trading pairs.
- Mind the Premium/Discount risk of fund net value when you mint an ETF to the basket Token price fluctuation.
- Mind the slippage risk caused by lack of liquidities on MDF and MDI/MSI trading pairs.
- Mind the smart contract risk even MatrixETF Farming/Staking function has passed audit by Certik.
What is impermanent loss? CoinMarketCap defines impermanent loss as “the temporary loss of funds occasionally experienced by liquidity providers because of volatility in a trading pair.” To put this into perspective, if you are holding an LP token, and one of the assets depreciates in value in the short term, but gradually returns to the original price, then you would have lost value “impermanently.” Alternatively, if the same asset appreciated in value before reverting to the mean, you would have had “impermanent gains.” These metrics can help liquidity providers balance their portfolios for optimal ratios. For instance, if you think a token will appreciate, and then revert to the mean, you might provide liquidity before it appreciates, just to accumulate the fees for that duration.
About MatrixETF
MatrixETF is the next generation of decentralized ETF platform to run the cross chain，which goal is to establish a decentralized, automated, personalized and diversified portfolio for users, as well as help users easily enjoy long-term, stable and efficient financial services.
