As I teased in my yesterday introductory post about Binance Smart Chain, I have been researching lately in the deep rabbit hole of Automated Market Makers or AMM's and 'yield farming' projects (with that multiple layers which make you feel like inception and all that stuff)
One of these projects impressed me a lot. And isn't another one than Thugs.fi.
And not only by the multiple layers of farming (a lot of projects have that), it's mainly because of their community & approach to marketing.
They have done so well, that even made CZ Binance change their profile pic after being attracted to the contest 'Thugify CZ'.
OMG, he even stepped in and started judging entries to the contest! You know how much exposure & interest this generates? Not joking, check the tweets.
Or this one for example, with direct engaging from the official binance account.
This is A-MA-ZING.
You can't deny that this is truly amazing (and funny!). They have all my respect for how they're handling things and I'm now a holder of the project.
Do you think this is a meme coin which will never be valuable? What about DOGE? Why does it have a mcap of 350M (+1B at top) at nearly the alt-market bottom then?
Spoiler: no, I'm not saying that thugs.fi is the next DOGE.
Name a better way to attract sympathy & engagement to your project. You can't.
Meet the Traphouse - Get Rich or Die Tryin©
Tie your seatbelt because there is where 'we' make the money. If you never heard about the basic concepts of yield farming, start reading this article for a better understanding.
The Traphouse is where we manage our LP tokens to make a 'very decent' yield.
And of course where the fun starts :)
We have 4 different tokens in the Thugs.fi ecosystem (always under construction & further development) to interact between them in even more crazy ways. I'll review their thugonomics© briefly. Get ready to feel like in inception.
$THUGS:
Multi-faceted token (theoretically will have governance functions in the future) with a deflationary built-in mechanism. Lower the price of the token, higher the burn.
All the interactions with the token (expect buying it) burns some tokens. And yes, that includes providing liquidity to a pool; which creates a very interesting mechanism btw (upvote to whoever describes it correctly).
Minimum burn is a 0,5% (not bad), while the maximum is a 50% (Jesus!). Currently sits at ~15% (a bit less, like 13% atm if you check the contract).
51% of the burned amount are burned permanently while the other 49% is allocated to future development, airdrops, etc...
The supply is minimal (~860K tokens) and it's being burned constantly. Sitting at 1,38$ with ~295K of liquidity at PancakeSwap.
Yes, it's a 1,2M mcap coin.
And you can supply it in the traphouse along with BNB for this amazing APY:
yes, you read it correctly. ~640% yearly (which fluctuates constantly).
It's a bit Degen. I know.
That compensates the losses for moving around tokens, right?
The rewards are paid in $DRUGS... which I'm reviewing next.
If you want to keep reading about $thugs: check the Documentation + contract
$DRUGS & $HOES:
Drugs are like... the fuel of everything in the Traphouse, hehe.
It's an inflationary token which grows at a pace of 6,9 drugs/block.
With a block every ~3 seconds.. this is.. (grabs calculator).
20 blocks/min... 1200 blocks/hour... ~28.880 blocks/day!
Which means every day were minting ~200K drugs! Which equals to a ~3,79% DAILY (And that percentage reduces as new supply floods the market).
75% of all this inflation is shared between all the LP pools of the Traphouse.
The other 25% goes to $HOES which are 'nothing more' than $DRUGS in their staked form.
Let's talk a bit about $HOES;
As I said before, $HOES are drugs in their staked form and they're receiving an equal share of the ~25% daily inflation of drugs.
They coexist with drugs and can only be swapped in a 1:1 ratio with $DRUGS.
According to my calculations, I'm receiving around ~0,66 drugs/hour for every 1000 hoes staked.
- 0,66*24 = 15,83 drugs produced daily/1000 hoes
- This equals to a ~1,58% DAILY APY in drugs just for holding hoes.
Wait, there's more; there's another token.
We had $DRUGS which can be staked for $HOES... which can also be staked for $GUNS.
If you want to keep reading about $DRUGS & $HOES, check the docs for drugs & docs for hoes.
$GUNS:
$GUNS will be the 'base' token for the Gangwar game. You'll be burning them to acquire NFT's and give yourself boosts in the game (pending announcement).
When you stake hoes you get $GUNS (contract currently in maintenaince, relaunching their V.2 this week due to the Syrup Drama from Pancake).
$GUNS are produced at a rate of 5 guns/block and shared equally between all the staked HOES.
BUT...BUT... (There's always a but).
That rate will decrease to 0,1 guns/block after 30 days.
Which means that after ~4,3M guns being produced at a rate of ~150K/day, the printing will be reduced to ~3K /day. Making the token 'almost' deflationary.
If before we were making ~0,66 drugs/hour with a 25% share of a 6,9 drugs/block inflation... we can assume (rounded down numbers there) that we'll be producing ~1,5 guns/hour for every 1000 hoes working for us.
And that's a lot of guns for those staking hoes...
Translating these numbers (rounded numbers!*) into percentages with current prices...
1000 drugs (100$) produce:
- +15,83 additional drugs daily (+1,58% daily)
- +36 guns (0,12*unit) = 4,32$; translated into drugs => 43,2 drugs daily at current prices (+4,32% daily)
Gives us a daily yield of (1,58+4,32) = 5,9% Daily
Which I don't need to mention that is a monstrosity.
Currently, there's a lot of speculation about what you'll be able to do with these guns and whatnot. Some say that is better to hold them (you can stake bnb+guns in the traphouse), others prefer to sell them for more drugs.
At this point the possible paths/combinations are personal is your own decision after all what to do with all the generated yields; DYOR.
You can stake some bnb+thugs, stake drugs into hoes, sell 50% of drugs & guns generated for bnb... or just go full YOLO and reinvest everything.
If you want to keep reading about $GUNS, check the docs & contract.
Seems that the G's behind Thugs.fi know perfectly what they're doing and (honestly) I don't see them rug pulling us (or at least there's no clear evidence for it).
Announcements keep coming at an incredible place:
Some people say that 1 month in crypto equals to 1 year in real life.
I'm almost sure that somebody thought that, but I almost feel that with projects like this one; 1 day = 1 month.
You just 'can't' go away and come back 'in a few months' (even weeks).
Said that; this project is literally 1 month old (presale for $THUGS was made the first day of October, period).
Binance Smart Chain was launched on the 31 of August. We're dealing with very new tech here.
Advice & Some things to consider
As I pointed out in my yesterday post, if you want to try, do it with a very low amount while you get acquainted with all the layers.
Remember that the cost to trade in BSC is almost nothing, you can start with very low amounts like ~1 BNB and treat it like a game (after all, things like the thug's ecosystem are going to be built around a game); yes, with a very speculative focus; but a game, after all. Like DCity, or Splinterlands... why not trying something new?
One of the things that I'm enjoying the most is how they're dealing with marketing. Something that we lack completely on HIVE. Definitively I'm aboard and I keep reading about the project daily.
I even joined their VIP telegram channel lol damn (I had to burn some $drugs to enter lol).
I'll keep you updated with juicy things. Stay safe and if you decide to hire some hoes, do it responsibly ;)
Take care!
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