As a service deeply integrated into the Waves ecosystem, Swop.fi cannot remain unaffected by the upcoming transformation of USDN stablecoin into XTN index token. In light of this, we are already working on updates to maintain a convenient exchange service and generate income for investors. Let’s explore what’s in store for our users in the near future.
Replacing Flat pools containing USDN
Since the XTN token (ex-USDN) is not pegged to $1, the Flat pricing formula is no longer suitable for exchanging XTN for USDT, USDC and BUSD. Therefore, the obsolete Flat pools will be terminated, which means that swaps, adding liquidity, and voting for their weights (boosting) will stop.
You will be able to withdraw liquidity from the deprecated pools even if you had previously locked your share tokens. The withdrawals will only be possible in both tokens, and all gSWOPs used for pool weight voting will also be withdrawable.
To replace the deprecated Flat pools, we are going to launch the following CPMM pools:
- XTN-USDT
- XTN-USDC
- XTN-BUSD
Having sufficient trading volume, the pools will generate farming rewards in SWOP. However, the First Harvest rule does not apply.
If you prefer to invest in stablecoins, the USDC-USDT Flat pool is still there for you.
Real values
All value amounts on Swop.fi are currently displayed in USDN. This can be misleading, as the value of the former stablecoin differs significantly from $1. We will certainly clean up the mess and indicate the TVL, trading volumes and rewards at real market rates. The actual value of your investments will not change, but the number displayed in the interface will be adjusted to reality.
Farming thresholds
The main snag of switching to real market rates is related to the trading volume during a voting round. The volume directly affects pool weights, and therefore the farming rewards in the next round. Without adjusting the scale of factors for weights, the recalculation of volumes could lead to the farming suspension in several active pools crucial to the ecosystem. Recently, however, SWOP stakers have voted to reduce all levels of the scale by 5 times:
The implementation of the new scale will restore farming in a number of pools, making them more attractive to investors, increasing liquidity and boosting swapping activity
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