With a market cap of $2.43T, the global crypto industry continues to gain traction at an unprecedented rate. The coronavirus pandemic, however bleak, was an opportunity for crypto to step firmly into the limelight.
There are nearly 12,000 cryptocurrencies in the market, and with each new day, new entities stake their claim on the rich crypto landscape. One of the more recent entrants into the sector is Freemoon Finance.
Freemoon is a community-driven, decentralized finance (DeFi) token deployed on two blockchains, the Binance Smart Chain BEP-20 and the Ethereum ERC-20. Launched in September 2021, Freemoon’s smart contracts were dispensed automatically to participants in its ecosystem.
Freemoon Finance Successfully Completes KYC
In a move meant to foster trust among its community as they launch their smart contract, the Freemoon development team, led by its founder and CEO, recently received its KYC certification from KYC Capital, a leading identity verification service provider for blockchains.
The Know Your Customer process is the backbone of any DeFi platform’s fraud and anti-money laundering efforts. Due to crypto’s anonymous nature and the increasing cases of criminality, it is usually imperative that some form of identification be made of the people behind a project to prevent them from being used by criminal types for money laundering and other nefarious activities.
Deflationary Token Protocol
The Freemoon financial ecosystem utilizes a deflationary token protocol. As the name suggests, a deflationary token’s market pool decreases over time. This decrease happens when the token’s users or the project’s development team participates in actions that reduce the token’s supply on the blockchain. These actions are usually “burning” or buyback.
In a buyback, a platform essentially uses part of its profits to buy back tokens from holders. A platform usually employs a smart contract that automatically burns a certain amount of the transaction fee in burning. This mechanism is dependent on the number of transactions on a platform, with more transactions leading to more tokens being burnt and vice versa. Whether through buying back or burning, tokens removed from the market are locked in an inaccessible address, usually a wallet without private keys.
With Freemoon Finance, tokens are eliminated from the market after a specific period and then consigned to the 0x0 dead address. This periodic burning will ensure that Freemoon tokens grow in value over time. There are precisely one quadrillion Freemoon tokens in existence, each valued at 0.000000000468148043 and held by 5,863 members of the Freemoon community.
At the start of September, Freemoon Finance issued the coins on Pancakeswap and Uniswap, two of the most sought-after decentralized exchanges in the world. Since then, 30.08% of the coins have been burned, with 100 trillion scheduled to be burned every week for five weeks, eventually reaching a 50% burn rate. This burning effectively increases the price jump and further grows investors’ interest in the token.
In terms of ownership control, the Freemoon contract holder has the discretion to exclude accounts from transfer fees and reward distribution. The owner can also set a maximum transaction percentage limiting the number of tokens transferable in each transaction. However, that limit does not apply to the owner when he is either the sender or receiver.
True to its deflationary nature, a Freemoon contract owner can use a lock function to set ownership to address 0. After a predetermined period, they can use an unlock function to restore that ownership. However, the use of the lock function carries potential risks since the token holder may find it difficult to retain control of the contract in a dead address.
Transactions and Profitability
Transactions from non-excluded addresses on the Freemoon platform will attract a variety of fees, including a tax fee, a liquidity fee, and a dev fee. From each trade, 5% will be allocated to the capitalization of the coin and distributed among the holders. Another 5% will be added to the automatic liquidity pool and frozen for four years. The dev fee goes to the Freemoon developers wallet. This system provides a guarantee against spikes in volatility with a quick sale of coins, thereby facilitating a stable passive income. According to the Freemoon Finance team, 20% of profits automatically go into the token holders’ wallets. So basically, to earn money, a person needs to keep coins in their wallet.
Future Innovations on The Freemoon Ecosystem
To further enhance the viability of its ecosystem, Freemoon finance is also developing a trading bot of its own. The bot will employ a deliberate trading strategy. In this strategy, the bot will earn a small but steady profit while also studying the market thanks to the extensive use of artificial intelligence.
Simultaneously, Freemoon is developing a swap and decentralized exchange of its own. Upon attaining a specific liquidity level after the initial five-week coin swap on Pancakeswap and Uniswap, Freemoon will list on other decentralized exchanges like WhiteBit, Gate.io, BitMart, and more. Approximately a month after listing, the platform will launch the Freemoon Swap and the trading bot AI.
After the swap launch, the Freemoon development team will redeem their coins at the market price and in this way, the team will support the demand and the high cost of the token.
The Freemoon ecosystem also plans to create a large-scale ad network alongside intriguing airdrop bonuses to be dished out for completing specific tasks.
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