Launch of V2: One System to Align All Participants
Announcing the advent of Moremoney V2, the update that aims to align the interests of all ecosystem participants.
- This will align incentives for all participants
- Adoption of a variable interest rate model to further strengthen the USD peg of MONEY
- MONEY will become the first interest-bearing stablecoin on Avalanche
- Minting fees for MONEY will be the lowest on Avalanche
- MONEY holders and Liquidity Providers will be able to boost yields with veMORE
Building a Great System
Building a great system goes much beyond lines of code, it is found in aligning the interests of the different participants in an ecosystem. The major objective of the V2 launch is to align the interests of these participants and define a system that works for all. This is how we create a sustainable future for Moremoney.
Participants we seek to align:
- MONEY borrowers
- MONEY holders
- MORE holders
- Liquidity providers
We have implemented a variable interest rate model on borrowing that will increase when the USD peg of MONEY is weak, and decrease when the peg is strong. This will serve to stabilize the peg, without needing to resort to forced-redemptions (which borrowers dislike). Since all market participants need MONEY to be ultra-sound, we believe this will be good for all.
Enabled by the variable interest rate model, MONEY will become the first interest-bearing stablecoin on Avalanche. Those holding MONEY will be able to stake it and receive most of the interest paid from borrowers as yield. This will create more demand for holding the stablecoin, which should further balance liquidity pools and further improve stability. Again, great for all participants in the ecosystem, and especially for MONEY holders.
Reduced minting fee
We have reduced the minting fee from .5% to as low as .1%, which will allow borrowers to get in and out of positions at very low cost, making the protocol attractive for both long and short term loans. This new minting fee is one of the lowest in all of DeFi.
V2 introduces veMORE
MONEY holders and liquidity providers will be able to boost their yields by staking MORE to for veMORE. 1 staked MORE will generate 0.014 veMORE every hour. The maximum veMORE held from a deposit is 100 times the MORE staked. In other words, it takes about 10 months to reach the veMORE cap. At the time of this writing, 50% of interests and rewards eligible for distribution will be streamed to all holders, and another 50% will be distributed proportionally as boosted rewards. The generation of the veMORE token will add utility to MORE, great for those holding our protocol token.
All participants in the ecosystem will receive advantages, within a sustainable system that will also reinforce the stability of our already ultra-sound stablecoin.