TrumpSwap finance: A New Protocol for Exciting Share Mining Options

Image for post
Image for post

The mainstreaming of cryptocurrencies has made individual mining an arduous and costly affair. Consequently, pool mining continues to gain traction as a time and cost-effective alternative. Also, by pooling their liquidity, users can easily switch between tokens in decentralized and non-custodial ways. This way, the liquidity providers (LP) earn passive income from the trading fees they collect. This fee is proportional to their contribution to the pool.

Uniswap revolutionized crypto swapping. Other players like SushiSwapMoonSwap have made improvements on Uniswaps offering. However, the upgrades aren’t innovative, though exciting. It is against this backdrop that TrumpSwap presents itself as the go-to protocol in matters of crypto swapping. It emphasizes its community while integrating Uniswap’s core design. Driven by its “you share, you mine, you mine, you earn” philosophy, it heralds an exciting future for its users. This article provides an in-depth analysis of its offering.

How is TrumpSwap Structured?

TrumpSwap’s function anchors on three factors: its token distribution, the rewards system it adopts, and the security of users’ funds. Following is an overview of how each contributes to the success of the protocol.

Distribution of the Trump Token

To control the quantity of TRUMP available and, therefore, its value, TrumpSwap will pursue a prudent distribution mechanism. Its distribution will be as follows:

The Five-stage Division of The Mining Process

TrumpSwaps adopts a phased approach to mining the TRUMP token. These stages are:

It is noteworthy that Genesis mining will begin when the Ethereum block height reaches 10, 906, and 076. This event began at about 14.00 UTC on the 29th of September. From the onset, the following pools will be available for trading:

The community may choose to add more pools and adjust the weights later on.

Share Mining

TrumpSwap adopts a rewards system that incentivizes and participants that push uptake of the protocol. Sharing TrumpSwap earns one a “thank you” reward. The rewards are independent of whether or not one participates in mining or provides liquidity for TrumpSwap The reward system is straightforward. You only need to share TrumpSwap with friends. Immediately they start mining, and you earn TRUMP. farmers

Incentivizing the TrumpSwap Experience

TrumpSwap employs a three-tiered incentive sharing system. The system operates as follows

Direct Sharing Rewards

These emanate from farmers that participate in mining through an individual’s shared link. Friends are direct sharing friends hence the reward’s name. It amounts to 10% of Trump output from friends’ mining activity.

First-Level Sharing Rewards

When farmers participate in mining through their direct friends’ sharing links, they constitute first-level sharing friends. From these, one derives first-level sharing rewards. The reward is a 5% Trump output from their mining.

Second-level Sharing Rewards

Farmers participating in the mining process through links shared by first-level sharing friends make up second level sharing friends. Consequently, one draws a second-level sharing reward from their participation. This reward is 4% of the Trump output resulting from this group’s production.

Qualification for Rewards

The following are the prerequisites for receiving the shared rewards:

Besides receiving rewards from friends’ mining and having Trump output, one can also draw from all the relations recorded on Ethereum.

How TrumpSwap Incentivizes Liquidity Providers

The traditional AMM disadvantages liquidity providers(LPs); the only time LPs earn the pool’s trading fees is when their liquidity is active. Once they withdraw their share in the pool, they cease receiving passive income. Again, regardless of them being the early liquidity providers, they risk diluting their returns as more prominent players with huge capital join.

In response to the above, TrumpSwap borrows a part of SushiSwap’s design while affording its LP several incentives at the same time. These include:

Guaranteeing Users of Their Security

TrumpSwap puts a premium on ensuring the security of each user’s funds. The protocol will undergo thorough testing before operationalization. Besides, third parties, including Chaitin, PeckShield, and Showmist, will independently audit its code.

Final Thoughts

Increased usage of cryptocurrencies makes profitable solo mining ventures a chore. As a result, many crypto enthusiasts find recourse in mining pools. To serve this growing population, different protocols have their offerings to the market. TrumpSwap is one such protocol positioning itself to be the platform of choice on matters pooled mining. Going beyond the mere function of enabling pooled mining swaps, it promises incentives to its customers. The future is more exciting for its users.

Originally published at https://www.cryptofolds.com on October 2, 2020.

Written by

Crypto Adventure gives you the best of the crypto space in one place. Get constant crypto news, guides & reviews. https://cryptoadventure.org

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store