What Is Venus DOT (vDOT)?

What Is Venus DOT (vDOT)? Complete Guide Review About Venus DOT.

What Is Venus DOT (vDOT)?

In the Venus DOT execution engine, a runtime environment is a critical part for success of Net smart contract execution. An implementation of Net reference runtime should be available for any service providers or organizations that would like to join the Net contract network. They will work on the stability and security of the Net runtime while ensuring the audit ability and validity of contract execution. They will implement a proof-of-concept of the Net Smart Contract Execution Engine. Initially, Net or verified partners may be the ones to start deploying the first implementation.

Venus DOT Storage Key Points

Coin BasicInformation
Coin NameVenus DOT
Short NamevDOT
Circulating Supply16,649,243.00 vDOT
Total Supply16,649,243
Source CodeClick Here To View Source Code
ExplorersClick Here To View Explorers
Twitter PageClick Here To Visit Twitter Group
WhitepaperClick Here To View
Official Project WebsiteClick Here To Visit Project Website

Hybrid DEX with AMM Pool and Order Book

The exchange in question here is exchange of crypto-currencies, stable coins, and fiat, though the technology being developed will allow exchange in other objects, e.g. household and SME debt as above. This segment of the market is receiving more attention recently, so they elaborate on the connection to Venus DOT and how it differs from trusted third party dealers. The Decentralized exchange allows users to trade one token for another on Net, in a non-custodial manner.

A User’s order may be matched by either an order book, or the automated market maker pool (AMM Pool The AMM pool is a better choice for tokens with low trading volume, while an order book is better for large orders as it has a low price impact, if the order book is active. But the program will be coded to automatically choose the best option for the client.

Liquidity Pool (Yield Farming)

Venus DOT The liquidity pool is an integral part of the AMM Pool DEX. It is a pool with two (or more) tokens available for users (traders) to trade without the presence of a counter party. If the trader is a buyer, then the liquidity pool acts as a seller. On the other hand, if the trader is a seller, then the liquidity pool acts as a buyer. Trading fees are charged to the trader and distributed as profit to liquidity providers. Liquidity pools offer an opportunity for users with inactive cryptocurrencies to get variable yield by providing liquidity into the liquidity pool.

Stable coin Minting and Integration with VELO Protocol

In addition to borrowing stable coin from the lending pool, users can pledge their tokens as collateral and mint new stable coin to use in their trading. Instead of minting USD-denominated Venus DOT, with VELO Protocol integration, users can also choose to mint stable coins of other foreign currencies. This will enable Non-US users to hedge their portfolio to minimize FX risk and trade in diverse coin markets.

Synthetic Asset

Users can pledge their tokens as collateral and mint a new synthetic asset, which has a real-world underlying asset such as commodities, stocks, indices, or real-estates, and get exposure of these underlying assets on DeFi without selling and withdrawing their crypto to buy these underlying assets. The Synthetic asset can be traded on the Venus DOT and can be provided as liquidity to the liquidity pool. A secondary market for asset-backed tokens, i.e. tokens with funds raised from asset tokenization deals, is also available for users to trade on.

Fixed-interest Rate Protocol

Venus DOT For select tokens with high liquidity, users can invest their tokens into the lending pool to get a fixed interest rate. This can be made by offering multi-levels of interest to multiple tiers of users based on their preference (fixed vs floating interest). Users that invest their tokens in the fixed-interest lending pool will get a fixed, but lower, interest rate which is more suitable for institutional investors, while another group of users investing their tokens in the floating-interest lending pool will leave their upside open for higher interest rate if there is more borrowing volume than expected.