What is Savvy Protocol? Savvy Protocol is a project combining CDP and Yield Farming built and developed on the Avalanche ecosystem. In this article, everyone will learn about a new protocol like Savvy Protocol.
To better understand Savvy Protocol, people can refer to some articles such as:
- What is Clever (CLEV)? Clever Cryptocurrency Overview
- What is Pendle Finance (PENDLE)? Overview of Cryptocurrencies Pendle Finance
What is Savvy Protocol?
Overview of Savvy Protocol
Savvy Protocol is a CDP protocol that combines Yield Farming and does not liquidate user collateral. With Savvy Protocol, users can proactively earn more profits based on their abilities and the protocol will assist users in gradually eliminating debt.
Simply imagine that when a user deposits assets into Savvy, they will receive back an svToken (bond) – this token is integrated into DeFi to help users actively make profits, besides the assets are deposited into The protocol will also be used for profit by the protocol. Most profits will be automatically deducted from the user’s debt.
Savvy Protocol’s operating mechanism
The operating mechanism of Savvy Protocol will be as follows:
- Step 1: Users will deposit their idle assets (allowed by the protocol) into Savvy Protocol’s CDP Pool.
- Step 2: Users can borrow svToken from collateral deposited into the protocol in step 1. svToken is issued by Savvy Protocol instead of each type of asset, stablecoin is a different svToken, then Savvy Protocol will combine them together. A ratio of 50% or more means that for $1000 USDT, the user receives $500 SVUSD.
- Step 3: Savvy Protocol’s CDP will start through activities such as trading, borrowing & lending, farming, staking,… to make profits. 10% of the profits earned will be sent to Savvy Tresury and the remaining 90% will be sent to Savvy Sage to automatically pay users or reinvest.
- Step 4: User’s svToken can be used to provide liquidity on DEX or become collateral assets on Lending & Borrowing, Derivatives,…
Some things to pay attention to when participating in using the Savvy protocol are:
- The mint rate will fluctuate around 50%.
- Current collateral is limited to stablecoins, asset forms of BTC and AVAX.
- Savvy Protocol will not liquidate user assets.
The Savvy Protocol difference
Savvy Protocol was born as a breath of fresh air for the DeFi market, bringing some differences as follows:
- Users do not worry about their assets being liquidated.
- The debt is automatically processed gradually by the profits coming from the protocol.
Development Roadmap
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Core Team
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Tokenomics
Overview information about Savvy Protocol tokens
- Token Name: Savvy Protocol
- Ticker: SVY
- Blockchain: Avalanche
- Token Standard: ERC-20
- Contract: SVY
- Token Type: Utility, Governance
- Total Supply: 10,000,000
- Circulating Supply: Update…
Token Allocation
- Core Team: 10%
- Tresury: 10%
- DAO: 13%
- Ecosystem: 2%
- Liquidity Mining: 37.5 %
- Boosted Rewards: 6%
Token Release
The entire amount of SVY tokens will be distributed over 6 years. Currently, the project has not announced the lock, unlock and release time of the components.
Token Use Case
Savvy Protocol will use the veToken model. Users can lock SVY to receive veSVY for additional incentives as follows:
- Administrative rights in the protocol.
- Receive rewards of inflated SVY in the form of veSVY.
- Get more rewards from profit mining protocol.
Exchanges
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Project Information Channel
- Website: https://savvydefi.io/
- Twitter: https://twitter.com/SavvyDefi
- Discord:
Summary
Savvy Protocol is a project combining CDP and Yield Farming, but it still takes a lot of time to observe the effectiveness of the project.