In an update earlier today, global tech conglomerate Meta shared news of its latest moves surrounding digital collectibles. From September 29th, subsidiaries Facebook and Instagram will now allow users to link their virtual wallets with their accounts and also share non-fungible tokens. Users Across 100 Countries Can Access New Meta Feature Everyone on @instagram and @facebook can now share their digital collectibles in the US, and on Instagram in the previously announced 100+ countries,” Meta announced in a tweet. https://twitter.com/MetaNewsroom/status/1575486040349245446?s=20&t=TpIDHfYcRCtVRMNrwYhWiA…
Saying that DeFi is a boom is an understatement, considering the great investments it offers all users. Yes, it’s true that many new protocols enter the market with so much zeal but fail before they breathe life into yield farming. Others have been the pump and dump cases, leading to a careful approach to DeFi. So, what sets BurgerSwap aside? Is it just another crypto fad?
Well, this promising new platform hit the markets recently after its launch on September 10; it raised an air of skepticism following the mouth gaping liquidity following soon after. BurgerSwap locked in the $400 million liquidity after the staking of 12 million Binance coins within 24 hours. On September 22, the protocol launched V2 on its platform, presenting new features.
How do we get to understand why the brandy protocol took the spotlight in a short while? Let’s delve deeper into what BurgerSwap is.
A Look into the BurgerSwap Protocol
The BSC is a lucrative platform for traders as it is projected to overtake PoS ecosystems that are currently flooding the crypto and DeFi space. Furthermore, it offers lower fees and high speeds, beneficial to everyone who wishes to grab the swap space’s best deals.
As much as investors and crypto gurus would wish to know this fantastic protocol’s inventors, they remain anonymous. The apparent self-funded project does not want to conduct a coin offering. The developers also expect no payment for creating the project, expecting a refund of 10% of the trades’ fees.
Differentiating BurgerSwap from Previous Contenders
The SushiSwap story is still in the mouths of many, describing the short-lived glory before a painful fall. It captured farmers’ attention seeing a similar boost in the market capitalization, flying SUSHI prices to over $10. It is a Uniswap fork that came to life due to disagreements on the parent chain lacking truly decentralized governance. At that moment, every individual in DeFi loved SUSHI as it showed great potential.
What went wrong after this? In the beginning, whales took advantage of the flood in investments into the new project while receiving huge SUSHI rewards. As the liquidity increased, so did the supply of SushiSwap’s token. The massive sell-off that the crypto markets suffered led to an over 70% drop in the token’s value.
BurgerSwap believes that the full development of the project did not have its focus on democratized governance. In that way, there was no incentive for people to participate in the project; hence, the fate it eventually came to.
It hopes to change the narrative by ensuring that only the deserving get its token, BURGER, rewards. The platform takes the value of community governance to heart, ensuring that every BurgerSwap user gets the opportunity to make all the critical decisions. The platform incentivizes the users to participate in voting through rewards. For this reason, the only users that get a bonus are those who participate actively in the voting process. They get a chance to change vital issues affecting the platform, such as fees, mining speeds, rewards, listings, and more.
The Democratized Governance
The main point to note is that any undertaking on the platform requires approval from the community. If you are wondering how that is to happen, here is a brief overview.
First, all tokens present on the platform have a BNB pair as BSC is the host. Also, BURGER being the governance token, will pair with these tokens too. For a token to cut out for mining rewards, it needs to account for 1% of the total liquidity on the swap. Since BurgerSwap is rich in fairness and community participation, users can vote this option out. The set limits are between 0.2%-5%.
Also, the community can quicken or delay user incentives for the fair issuance of rewards. That way, both holders and BURGER miners get an equal chance to benefit.
The protocol converts 0.3% of all transaction fees to BURGER tokens, transferred to the governance contract. In a voting situation, the system will create a new proposal contract and transfer the available balance on the governance contract. The smart contracts ensure that every participant gets their fair share of BURGER.
Before anyone can claim the rewards, they need to have an amount of BURGER staked and be active participants in voting.
BurgerSwap aims to prevent any discrepancies on its platform from token listings, leaving the reins of these decisions to the community. What determines the listings of tokens depends on the faith all users have in it. This factor also works for delistings from the platform. The voting period is currently at a 1-day setting, changeable to a maximum of 7 days. The listing fees work the same way as transaction fees, ending up in the governance contract for all contributors.
A point to note is that you need to participate at least once every week to gain any rewards from the aforementioned processes.
Leveraging the Power of BSC
There are many advantages to the presence of BurgerSwap on the BSC. The BSC is a scalable network, soon to launch its mainnet. BurgerSwap users can expect:
Faster Transactions, Lower Fees
BSC realizes the raise in gas fees of the Ethereum blockchain. Therefore, it hopes to bring convenience to users through lowering trading fees while maintaining high speeds. From this, users can expect up to 3-second transaction speeds.
Several factors are in play here to ensure smooth interactions for all on the platform. One of them is the enabled swap of BSC and ETH based tokens through the BEP20 bridge. Wrapped bTokens converted from ERC-20 tokens can attain listings, trade, and contribute to the platform’s liquidity.
Furthermore, the ERC-2917 token ensures a straightforward process in the earning of all rewards from the platform. All trades, staking and voting on a decentralized and democratized space.
BurgerSwap creates a highly liquid platform for all users while finding new ways every day to increase it. The current version of the project ensures that 30% of all rewards are burned, contributing to its liquidity. A certain percentage of trading fees will go to the same purpose.
It also ensures the flexibility of all liquidity contributors choices, enabling payments using BNB, BURGER, and USDT. Users have the luxury to redeem them at any time.
Overall, 40% and 30% of the remaining rewards go to liquidity providers and voting, respectively.
There is no set limit for BURGER tokens since it is a governance token, whereby the protocol produces 40 BURGERs per block. Users can change this to any value between the set limit of 1-150 BURGERs.
BurgerSwap, The Protocol Supporting Democratization
Despite the current caution going around the DeFi platforms, BurgerSwap hopes to restore investors’ faith in yield farming. It is a revolutionary project, introducing the idea of real democracy in the governance of the protocol. In that case, every user knows what exactly is going on with no fear of Ponzi schemes.
Furthermore, the platform gives the users a reason to involve themselves in all voting processes. Only the active participants get to enjoy a piece of the BURGERs it provides. We are yet to see the young DeFi project’s future progress, leveraging the scalable Binance Smart Chain.