Despite its enormous benefits, Defi exchanges still have their short fallings. The Ethereum blockchain on which most of the exchanges run lacks scalability. Also, transaction fees are high, but the rates are low, and the blockchain has a poor user interface.<\/p>\n
Though those platforms claim to be decentralized, close observation shows that they are not fully decentralized. Then with the onboarding of Venus brings relief to the issues in lending and borrowing on the Defi ecosystem. Through Binance Smart Chain, Venus provides a high-speed transfer to users at a very low price.<\/p>\n
This Binance chain-based protocol brings lots of flexibility to crypto loans. It enables investment in collateral, leveraging against collateral, fast minting of stable coins, and interest collection on collateral.<\/p>\n
Contents<\/p>
- 1<\/span> What is Venus?<\/a><\/li>
- 2<\/span> Venus Addresses Problems on Defi Ecosystem<\/a><\/li>
- 3<\/span> How Can You Use the Venus Protocol?<\/a>
- 3.1<\/span> Depositing Digital Assets<\/a><\/li>
- 3.2<\/span> Borrowing Digital Assets<\/a><\/li><\/ul><\/li>
- 4<\/span> Structure of Protocols<\/a>
- 4.1<\/span> The Controller Smart Contract<\/a><\/li>
- 4.2<\/span> Asset Worth<\/a><\/li>
- 4.3<\/span> Value Price Oracles<\/a><\/li>
- 4.4<\/span> Venus Control Method<\/a><\/li><\/ul><\/li>
- 5<\/span> The Venus Token<\/a><\/li>
- 6<\/span> What Makes Venus (XVS) Unique?<\/a><\/li>
- 7<\/span> Where to Buy and Store XVS<\/a><\/li>
- 8<\/span> How to Get Venus (XVS) on Swapzone<\/a><\/li>
- 9<\/span> How is the Venus (XVS) Network Secured?<\/a><\/li>
- 10<\/span> How Many Venus (XVS) Coins Are There in Circulation?<\/a><\/li>
- 11<\/span> XVS Price Live Data<\/a><\/li>
- 12<\/span> What Makes Venus (XVS) Unique?<\/a><\/li>
- 13<\/span> Venus Review Conclusion<\/a><\/li><\/ul><\/div>\n
What is Venus?<\/span><\/h2>\n
Venus is an exclusive protocol running on Binance Smart Chain that enables lending, borrowing, and credit on digital assets. Venus tends to form a better Defi ecosystem than centralized and even decentralized exchanges in cryptocurrency.<\/p>\n
From its operation, Venus permits consumers to invest against collaterals. This investment transacts with high speed at a very low cost. Also, users can mint, with few seconds, VAI stable coins.<\/p>\n
The Venus protocol has the following highlights:<\/p>\n
- \n
- It enables the borrowing of digital assets without credit checks and disturbing KYC.<\/li>\n
- It permits fast minting of stable coins from collateral. The collateral can also be used in several places globally.<\/li>\n
- It allows the depositing of stable coins and digital assets as collateral and the earning of return yields.<\/li>\n
- The protocol is governed by its token to ensure transparency and fairness in distribution.<\/li>\n<\/ul>\n
Venus Addresses Problems on Defi Ecosystem<\/span><\/h2>\n
We see that exchanges that enable lending on Ethereumblockchain have some problems in their operations. Some of these problems include:<\/p>\n
- \n
- Lack of speed.<\/li>\n
- No user-friendly interface.<\/li>\n
- Very expensive costs for transactions.<\/li>\n
- Lack of high market capitalization.<\/li>\n
- Centralized compound interest<\/li>\n<\/ul>\n
The Venus protocol offers a solution to some of the problems through the following ways:<\/p>\n
- \n
- Users can gain access and benefits from locked collaterals. Venus offers users the platform where the common currency market synchronizes with stable coins.<\/li>\n
- Users now have a reduction in transaction fees.<\/li>\n
- Users have a high-speed blockchain.<\/li>\n<\/ul>\n
Venus can give these solutions by providing leverage to the Binance Smart Chain. The blockchain supplies collateral which people are to borrow on. Also, the blockchain earns interest on the collateral. Usually, the collateral is represented through venus tokens.<\/p>\n
This empowers the users to repurchase the mortgage on the collateral as they take loans. In this way, you can easily work out the interest rate using a specific market through the yield curve.<\/p>\n
As Venus runs on the Binance Smart Chain, its solution has brought billions of dollars to the blockchain. This huge success excludes the lending assets\u2019 need. Some of the assets include Litecoin, Bitcoin, etc.<\/p>\n
How Can You Use the Venus Protocol?<\/span><\/h2>\n
Venus provides you various ways of benefitting from the platform. Here’s a way you can accomplish that below:<\/p>\n
Depositing Digital Assets<\/strong><\/span><\/h3>\n
The protocol enables you to deposit supported digital assets and receive an APY for them. These assets can be cryptocurrencies or stable coins. Depositing into any pool provides liquidity for that pool. Borrowers can access the funds in the pools to trade on the market.<\/p>\n
Liquidity providers or stakers earn from the interest rates charged to borrowers. The interest rates are variable and determined by the yield curve of that token\u2019s market.<\/p>\n
A user that supplies collaterals into a pool becomes a lender for the protocols pool. The smart contract aggregates the total deposited assets. Users can, in turn, borrow part\/all of their deposited funds, provided the balance supports the transaction.<\/p>\n
Depositing assets to the protocol reward you a token incentive. This synthetic token is in the form of the v-wrapped equivalent of the token (vETH, vBTC, etc.). The vTokens are the only tokens you can use to redeem the underlying asset. Redeeming the underlying protocol enables you to store it in any wallet that supports Binance Smart Chain.<\/p>\n
You can also use these redeemed tokens to trade with other tokens.<\/p>\n
Borrowing Digital Assets<\/span><\/h3>\n
To participate as a borrower, you have to lend an asset.\u00a0 The token should, however, over-collateralized. They should also make up to 75% of the amount you desire to borrow. The collateral ratio is controlled by the community.<\/p>\n
They use the governance mechanism to vote. The valid collateral ratio for withdrawal between 40-75%. For example, if USDC has a collateral of 75%, this means that you can borrow up to 75% of the deposited asset. But, if the asset is below 75%, you can liquidate the assets.<\/p>\n
If you are to return the borrowed asset, you have to pay for both the borrowed balance and the interest added.<\/p>\n
Structure of Protocols<\/span><\/h2>\n
Venus is a combination of the Compound and MakerDAO cryptocurrency protocols. The inherited features that make up its structure are:<\/p>\n
The Controller Smart Contract<\/span><\/h3>\n
The venus controller smart contract operates like a distributed processor. It is built on the Smart Chain mainnet and also enables interoperability with other smart contracts on the blockchain.<\/p>\n
Tokens are not autonomously accepted in Venus. Each accepted protocol must provide its service to specified sectors that have been validated by the Controller terms.<\/p>\n
The smart contract accesses whitelist markets by releasing Venus\u2019 help market admin component. The protocol\u2019s connection must be checked on the controller contract until execution.<\/p>\n
Asset Worth<\/span><\/h3>\n
As a user performs a transaction with the protocol, they are most times interacting with collateral. This collateral is used for leveraging and has dollar values pegged to the vTokens. The leverage value is gotten from the present market situation to operate accurately.<\/p>\n
Value Price Oracles<\/span><\/h3>\n
Asset values are gotten from price Oracles, suchlike Chainlink’s Oracle. This Oracle tracks real-time prices and reflects them on the blockchain to be clarified and valid. Owing to the high speed and structure of the Binance Smart Chain, these prices are determined cheaply and effectively.<\/p>\n
Presently, there is an impedance on Oracles that are accessed on Ethereum. These issues consist of high transactional fees and activity overloading.\u00a0 Thus making the price feeds economical or effective.<\/p>\n
Venus Control Method<\/span><\/h3>\n
Venus prioritizes community governance. For the development team and its creators, there were pre-created tokens. Consequently, mining the token provides you leverage on how the protocol works. The characteristics of the governance are:<\/p>\n
The market rate adjustments.<\/p>\n
Interest rates for virtual assets.<\/p>\n
The protocol\u2019s execution of newly minted collaterals.<\/p>\n
The Venus Token<\/span><\/h2>\n
This is a native token for the platform. It is used for governing the network. The Venus token is referred to as the XVS. The token is not pre-mined for the consultants, the team members, and even the foundation. Hence, it has a fair launch.<\/p>\n
You can get the Venus token by putting liquidity into the pool or by partaking in the launch pool of the Binance project.<\/p>\n
The Venus team has mined 23,700,000 XVS within the past four years. Their average daily mining rate is 18,493. Twenty percent, which is equivalent to 60,000 of the total supply, is used to support the Binance ‘Launchpool’ program.<\/p>\n
The remaining token is allocated to the protocol. Thirty-five percent each is reserved for borrowers and suppliers, making a total of 70%. And the last thirty percent is allocated to all the minters of the stable coin.<\/p>\n
The Venus team plan to make the XVS the official utility and governance token for the network after mining up to 10 million of its coins. But before then, the Swipe token (SXP) will be used.<\/p>\n
Buy Venus with Our Top Broker<\/span><\/a><\/div>\nWhat Makes Venus (XVS) Unique?<\/span><\/h2>\n
Venus\u2019 main strength is its high speed and extremely low transaction costs, which are a direct result of being built on top of the Binance Smart Chain. The protocol is the first to enable users to access lending markets for\u00a0Bitcoin (BTC),\u00a0XRP\u00a0Litecoin (LTC), and other cryptocurrencies to source\u00a0liquidity\u00a0in real-time, thanks to its near-instant transactions.<\/p>\n
Customers sourcing liquidity using the Venus Protocol do not have to pass a credit check and can quickly take out a loan by interacting with the Venus decentralized application (DApp).<\/p>\n
Since there are no centralized authorities in place, users are not restricted by their geographic region, credit score, or anything else and can always source liquidity by posting sufficient collateral.<\/p>\n
These loans are provided from a pool contributed by Venus users, who receive a variable APY for their contribution. These loans are secured by the over-collateralized deposits made by borrowers on the platform.<\/p>\n
- 4.2<\/span> Asset Worth<\/a><\/li>
- 3.2<\/span> Borrowing Digital Assets<\/a><\/li><\/ul><\/li>
- 2<\/span> Venus Addresses Problems on Defi Ecosystem<\/a><\/li>
![\"Venus](\"https:\/\/deficoins.io\/wp-content\/uploads\/2021\/06\/akLGSlcS-1024x780.png)