Autofarm.network is a yield farming aggregator on the Binance Smart Chain. It aggregates the staking/liquidity providing options from different platforms on BSC, like PancakeSwap and Venus. It does that its trough a very simple UI as well.
Not sure when exactly the app started but in the last two weeks it has literally exploded. Lets take a look.
The Binance Smart Chain has been experiencing an incredible growth in the last month due to the DeFi boom over there. The chain has now more transactions per day than ETH, mostly because of the low fees.
One of the leading platforms on the chain is the DEX, PancakeSwap that has been around since September 2020. But in the last month, the Autofarm app has literally exploded and now has more than 500M in total locked value TVL.
Here is the chart.
source
Interesting, this chart from defistation, only has data for the last 7 days, but I believe there was some liquidity locked before this period, just not as much for this site to track them. Probably less than a 100M.
A tweet from the official account celebrates 90M TVL on February 8, 2021. At the moment of writing this, February 14, 2021, Autofarm has 550 TVL. That’s is almost a 500M in TVL growth in one week! Nothing but explosive. This has made the autofarm network the champion of growth in the BSC defi. Btw autofarm has expanded croschain and offers farming on the HOCU network that is the Huobi’s BSC equivalent.
What has caused this explosive growth?
Well can’t tell for sure but probably a combination of couple of factors.
- The general sentiment towards BSC DeFi
- Simple UI showing yield in dollar value
- Security, audited platform
- Tokenomics
- Other
The general sentiment towards BSC DeFi. As we can see BSC is growing in general and most of the defi aps on BSC are growing. The high fees on Ethereum have played their role in the game and pushed a lot of people towards BSC. Almost every new defi token on BSC has went X times in value in the last month.
Simple UI showing yield in dollar value. This small thing I believe is of lot of importance because on most of the other BSC farming platforms you can’t see this. The yield is usually shown in the token, like on Pancake. Furthermore, you can’t see the total deposited value of your assets. Autofarm shows both of this, so you can track the value of your assets and your yields all the time. A lot of the UI on the BSC are forks of Pancake, that is fork of Uniswap. Auto has build their own simple UI and it has bring nice simplicity and usability of the platform. Going forward the UIs will probably get better on all the farms but Auto has made this fast enough.
Security, audited platform. Everyone is skeptical when a new farm shows up and usually don’t want to put a lot of money in it. If you want to have billions n your platform security is a must, otherwise the big boys will not show up. They have been audited by Anchai and Vidar. Anyways smart contracts always have a risk of hacks and loopholes, but I guess some basic security was covered here.
Tokenomics. Tokenomics are from extreme importance and its what makes or breaks a platform. AUTO has a max supply of 80,000 tokens. There was no presale and now pre farm. All the users that are providing liquidity on the platform are mining the token. Although there is a 12% share allocated to team members.
The token has around 15k supply at the moment and all the mining should end up somewhere in October 2021. Furthermore there are burnings made, making the token a deflationary.
Deflationary Tokenomics: Vault fees (1.5 - 3.0%) on vault users' profits are used to perform market buy-backs and these $AUTO are burnt out of supply forever.
There is a roadmap for the platform with more integration on the way le polkadot.
Other. There is probably something that I’m missing here and basically a pure luck for the platform to be at the right place at the right time with the right tools in place. It has probably been the best performing asset in all the crypto industry in the last few weeks. There might be some pump and dump tokens out there with 50x or more price movements, but this one has show a serious intention to stay and maybe grow even more. Btw the price of the token has increase from a 100$ to 6000$ in two weeks. A 60x token.
For more detail on the platform read their whitepaper here.
At the end the price chart from Coingecko.
This is a two week chart. On January 31, 2021 the price of the token has been at 150$ and at the moment of writing this its more than 6000$.
A general note at the end. Be carefull with these tokens, as there is a big probability the price to go down in the future.
This said, you can park some of your assets in the platform (even stablecoins) and mine the AUTO token. The APYs are crazy high now going for a 100% for stablecoins to more than a 500% for the AUTO-BNB pool.
Bull market confirmed!
All the best
@dalz