Our first Metapool part of the Moonbeam Ignite campaign is launching tomorrow! The metapool will pair MAI token with the stable 4pool that include the largest stablecoins in the space: USDC.wh, USDt, BUSD.wh and FRAX.
MAI has been an integral part of StellaSwap’s product ecosystem, allowing users to supercharge their DeFi yields by minting MAI stablecoin on the backs of their collaterals. This layer of DeFi innovation is important in spearheading ecosystem stickiness
Why a Metapool?
A metapool is a liquidity pool within a stable AMM, which represents a single correlated asset paired with the core basepool. Up until Nomad’s exploit, MAI was structured as a metapool. There’s a few reasons why this is the most optimal structure for MAI;
1️⃣ Stable metapool tend to attract higher TVL given the absence of impermanent loss
2️⃣ Greater TVL equates to lower slippage for MAI trading, which represents a core factor for increasing MAI minting caps
3️⃣ Under a stable AMM, slippage is far lower than a pool under a standard AMM. This means more capital efficiency and lower cost of trading for users
4️⃣ A metapool isolates idiosyncratic risks more effectively, thereby securing the overall ecosystem in the event of a black swan
Metapool Launch Details
Here’s the following details of the upcoming pool
⭐️ MAI Metapool: MAI — Base4pool (USDC,FRAX,USDT,BUSD)
⭐️ Daily Emissions: 1,500 Stella Per Day
⭐️ Launch Date: 3rd November | 15:00 UTC
In the continual pursuit of enhancing the protocol and ensure its sustainability, StellaSwap will retire several ‘unproductive’ farms in order to tighten emissions and maximize tokenholder value.
We will retire several ‘unproductive’ farms as well as interim farms (farms that were set-up post-Nomad) in order to tighten emissions and channel these savings into the newly-launched basepool. Additionally, the reconfiguration of these farms will also improve the trade routes on StellaSwap, ensuring that users will access the best prices with limited slippage, which refers to the difference between the expected price of a trade and the price at which the trade is executed.
The following farms will be retired once the basepool launches;
⭐️ MAI — GLMR
⭐️ ATOM — GLMR
⭐️ AVAX — GLMR
⭐️ MATIC — GLMR
It is also important to note that the above farms were part of the legacy farms that were conceived to attract capital inflows from other networks. Given our key focus towards rebuilding base liquidity, it is important for us to recalibrate especially if the farms are not getting the required traction.
StellaSwap is the first and leading Moonbeam DEX that offers an integrated gateway to the DeFi world. Users can swap, earn, yield farm, bridge assets, explore new projects and engage in NFT trading all from a single unified platform. StellaSwap’s products are structured in such a way that facilitates decentralized governance of STELLA holders, while continuing to innovate on the collective foundations by design.