DeFi protocols allow anyone who has an internet connection access to financial services and opportunities. However, they only gained popularity after the ‘DeFi summer of 2020’ and the yield farming craze that followed.
Yield farming is a standard way to generate passive income in cryptosphere. It has revolutionized the view of savings. Many DeFi protocols are based on yield farming and have created their functionality. Yet, the value of yield farming has not changed over time.
Animal Farm: Introduction
Animal Farm is a DeFi protocol that is modelled after George Orwell’s novel of the same name that criticizes centralized power. It is unique among its peers because it offers both yield aggregation and decentralized ownership.
The platform uses two native tokens, DOGS ($AFD) *live October 18th*, the reward asset, and PIGS ($AFP), the governance token, which represents the platform’s ownership stake.
Animal Farm employs a dynamic supply management algorithm, in contrast to other DeFi platforms. This algorithm allows DOGS ($AFD token) to be supplied. This will go live on 18 OctoberBoth, and the value of the PIGS token are determined decentralised in a trustless manner.
The supply control algorithm of DOGS ($AFD), and the tokenomics of PIGS (PIGS) resulted in increased demand. Supply is intended to stay stable during low demand periods and become deflationary when there’s high demand. This will allow for optimal pricing in any market condition.
$AFP Giveaway – Join the Animal Farm Craze
To celebrate the launch of the Protocol, the Animal Farm team will hold a contest. One user will receive exactly $5,000 in BUSD after completing all the tasks.Animal Farm will not pay to promote or market native tokens in order to limit the supply. Thus, the reward for promotion and marketing with native tokens will be paid in US dollars.
Animal Farm Tokenomics & Reward Model
Starts October 18th, DOGS ($AFD) has a unique vesting model which does not lock users’ tokens. It has instead used a variable-tax model to create an incentive structure which rewards those who make profit through BUSD and BNB dividends.
Stakers in Animal Farm’s ‘DogPound’ have the tax associated with transacting their DOGS ($AFD) reduced at a rate of 1% daily. The incentive structure of this model is perfect for optimizing performance. The model pays dividends to users who earn BNB by earning assets and rewards them for taking AFD tokens out of circulation.
70% of taxes placed on DOGS ($AFD) token transactions are swapped for BNB and paid out to the ‘DogPound’ loyalty staking contract, allowing DOGS ($AFD) stakers to reduce their DOGS ($AFD) transaction tax while earning a high yield BNB dividend.
30% of taxes on transacted DOGS ($AFD) tokens are swapped for BUSD and paid out to the ‘PigPen’ as a high-yield BUSD dividend. Platform owners get 75% of fees from withdrawals and deposits in BUSD. These are distributed to PigPen $AFP shareholders as a high yield dividend. 25% of platform fees, including withdrawal and deposit fees, are used for DOGS ($AFD), which is a constant flow of DOGS ($AFD), lock decentralized liquidity and buy pressure.
When $AFD or $AFP tokens are purchased, 3% of that transaction is burnt, which makes them indeflationary.
Higher Yield through Lending
Pancakeswap is the biggest decentralized exchange on Binance Smart Chain. This allows for collateralized TVL (Total Value Locked), to be lent. Animal Farm is a low-risk, high-yield yield aggregation that adds to yields naturally generated by the protocol. Yield generated through lending to Pancakeswap is converted to BUSD and paid out to ‘PigPen’ stakers. All the benefits accrued from Pancakeswap’s yield are shared with users, who also earn additional cash flow through Animal Farm due to improved incentive structures.
Staker of $AFP tokens can earn platform fees and taxes, as well as having a vote in future roadmap proposals.
Sustainability & Performance
With all of the mechanics detailed above, rewarding users for removing $AFP & $AFD tokens from circulation and paying out a dividend for doing so in the non-native token (BUSD & BNB), and dynamic control of the supply based on underlying demand, Animal Farm and it’s native tokens are designed to be the highest performing yield generating assets ever created.
Animal Farm will be one of the leading DeFi companies. A comprehensive roadmap is available, including already-developed products, rich incentives, an attractive referral program, an elegant interface, a distinct architecture and an innovative yield-generating mechanism that works at all levels of the market.
Learn more about Animal Farm and how you can purchase $AFP to prepare for its full launch On October 18thVisit the official websitesocialsTwitter, Discord, YouTube).
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