DeFiner Weekly: Solving the Mercenary Capital Problem

Sep 2, 2022 10:00:22 AM / by DeFiner

Community Update Poster 1_blog

Dear DeFiners,

Have you ever been a part of a token dump? More often than not, liquidity mining programs turn out to be detrimental to a protocol's growth; mercenary capital can come in and leave a dead community behind. The HODLer Market is built to solve the mercenary capital problem. Keep scrolling to learn more about how the HODLer Market will add value to your DeFi experience. 📈

Here are the highlights of the week:
  • 🚩Solving the Mercenary Capital Problem
  • 🎫DeFiner at Stanford Blockchain Conference
  • 🔥Earn Crypto with DeFiner
  • 💼We're Hiring!

🚩Solving the Mercenary Capital Problem
The DeFiner HODLer Market_blog-png

"How do I stop users from dumping my token?" Far too many protocols fall into a "death spiral" when they engage in liquidity mining programs. Usually, these programs encourage investors to farm and provide liquidity via the protocol's governance or utility token with the promise of high returns. The reality is that users participate in these programs having short-term gains in mind without thinking about the long-term support of the protocol. Once better incentives appear elsewhere, investors exit, which leads to massive withdrawals and selling of the protocol's token. Mercenary capital both tends to negatively affect the token and leaves a dead community behind, hence the term "death spiral." 😵‍💫

At DeFiner, we have identified a viable and practical solution to the problem of mercenary capital - The HODLer Market. The HODLer Market is a permissionless and configurable DeFi lending protocol where anyone can create a market for any ERC-20 token. But this definition barely scratches the surface. The HODLer Market offers more than just isolated lending; it offers a platform where protocols can create their own incentive programs - e.g., liquidity mining - with a lock-up mechanism. This way, projects give investors the ability to provide liquidity and benefit from it without forming a death spiral. Investors will be able to show their long-term support for the project by hodling their tokens for a period of time while getting all the perks from lending, borrowing, and earning. With the HODLer Market, projects won't have to worry about users dumping their tokens anymore. 💡😉

💎I Want to Know How This Works!💎

🎫DeFiner at Stanford Blockchain Conference

The Science of Blockchain Conference

This week, Stanford University hosted the Science of Blockchain Conference 2022, sponsored by the CBR and IC3. The DeFiner Bay Area Squad - Jason Wu (CEO), Chyna Qu (COO), and Ying Sun (BD Manager) - was able to attend this insightful conference. In this occasion, the team had the opportunity to reconnect with old friends and make new friends and contacts. The conference brought together the bright minds of this space and ignited an in-depth discussion around the innovations and applications of blockchain technology.

The DeFi Security Workshop was particularly interesting. The panel involved professional speakers and subject-matter experts, who shed a light on the current problems and viable solutions in the DeFi ecosystem. The focus was around topics such as the future of ZK rollups, the security of bridging, and the future of smart contract auditors.

In this 5-days blockchain conference, the DeFiner team was able to meet with projects like Secure3, Polygon, Mystic, Pledge Finance, Quarkchain, and many more. Our team is grateful for the opportunity to be at par with these amazing projects and developers.

📡Stay Tuned!📡

🔥Earn Crypto with DeFiner

On Ethereum Network:

DeFiner Deposit APR_ETH Chain - Sep 02 2022

On Polygon Network:

DeFiner Deposit APR_Polygon - Sep 02 2022

💰Get More Value For Your Crypto💰

💼We're Hiring!

Were hiring!_twitter (1)

Are you searching for an opportunity to work in the crypto industry? The DeFiner team is growing and you may have the right skills to help us take DeFiner to the next level. 🆙

Define your career with DeFiner. 🚀

Available positions:

  • Business Development Manager
  • Community Manager
  • Marketing Intern
  • UI/UX Intern
  • UI/UX Graphic Designer
  • DeFiner Ambassador
  • Data Engineer Intern
  • Smart Contract Blockchain Sr. Developer

Apply Today to Become a DeFiner

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💭DeFiner Space: What will you use the HODLer Market for? Let us know in the comments section below! 👇

Tags: Updates and Newsletter


Written by DeFiner