TRANSACTION FEES IN DEFI TOKEN, ESPECIALLY THE STX TOKEN
The total value locked of Defi in 2020 is $2 billion, in 2021, that number is $43 billion. We can not let our concentration away from the growth of Defi in the crypto market.
Most DeFi contracts make use of stablecoins. Here are some examples of DeFi projects:
- Decentralized exchanges (DEX) providing peer-to-peer trading: Curve, Uniswap, Bancor, Kyber, and Synthetix.
- Loan contracts using calculated algorithms to determine interest rates, based on supply and demand: Compound, Aave, and Maker.
- Asset management solutions for automatic robo-advisors in the field of finance and insurance: Yearn.Finance, Melon, Set protocol, Zapper.fi and Insta.dapp.
There are a lot of expectations for DeFi in the future once all of its major issues have been ironed out.
One of DeFi’s biggest problems is its high gas fees. With these high fees, different types of blockchains can try to attract Ethereum-based DeFi services to compete on the market. There are new solutions created such as the Layer 2 Protocol (protocols built on the Ethereum chain). These protocols allow for simultaneous authentication of trades.
Ethereum-based DeFi services will definitely be attracted by this solution. Some experts said that this rollup is the first step in ironing out and perfecting DeFi and bringing it to the mainstream.
STX is Saturm X’s native token and is used to trade against other cryptocurrencies on exchanges. It will be the platform’s primary payment method for its commercial activities. With the advantage of small transaction fees, STX is expected to grow strongly.
SMART CONTRACTS IN CRYPTO MARKET
The rapid growth of smart contracts is obliged by the development of cryptocurrency. This is one of the few platforms (currency) that enables you to create your own smart contracts.
All contracts are stored in the blockchain, in an encrypted form. The goal of the system is that no one can change the smart contract or replace the data. In addition, private keys are used for signing, which increases the level of security. Smart contracts exclude intermediaries from the business process. Moreover, the use of blockchain smart contracts significantly speeds up the process of concluding transactions.
Contracts are concluded with the use of blockchain technology. But it needs to note that not all cryptocurrencies support smart-contracts:
- Ethereum. This platform gives the most opportunities for coding various smart contracts. You can implement almost any scenario. Ethereum is the most common way for building decentralized exchange.
- Bitcoin. Interestingly, smart contracts are almost never used.
- Side Chains. The project bitcoin for the expanded use of smart contracts.
- NXT. An open platform that has a limited number of smart contracts. However, it does not allow you to code your own solutions (scripts) to create personal contracts.
Blockchain smart contracts are used on the basis of the cryptocurrency platform. All participants must be sure that their money will not be stolen and will be returned if the project fails. All this can be prescribed in smart contracts. Ethereum is one of the few platforms that can offer this opportunity.
WHY STX TOKEN IS GREAT FOR LONG-TERM BUSINESS?
The STX token has its own good features to become a great long-term investment.
Saturm X’s STX token is built on top of the BEP-20 standard so that the token can be as flexible as possible. Our token can be developed into anything that suits our community’s needs. STX token is expected to have low transaction fees, in a long-term investment, it can help you save a lot of money.
Like BEP-2 tokens on Binance Chain, BEP-20 token transfers are fueled with BNB. This provides an incentive for validators to include the transactions in the blockchain, as they’ll collect the BNB as a fee for their troubles.
STX is a token with a limited supply of only 66 million. Staking STX is done through POS, which will increase the scarcity in the entire system.
Saturm X and its native token, STX, are regulated by the NFA. The National Futures Association (NFA) is an industry-wide self-regulating organization for the derivative industry in the United States of America, providing effective and innovative regulating programs. Assigned by the CFTC as a registered futures association, NFA works tirelessly every day to protect the integrity of the derivatives market, to protect investors, and to ensure their Members meet their legal obligations.
STX is used to pay fees for transactions that lead to increasing demand, and STX will become more and more scarce. It will be a safe long-term investment channel for investors.
In summary, STX has its great benefits from:
- Built on BEP-20 standard so it can be flexible as possible
- Based on DeFi but with small transaction fees
- Make use of stablecoins
- Using smart contracts
- High potential of growing and limited supply of tokens
These features showed the STX token’s possibility. The growth, the safety in long-term investment are the reasons why this channel is a great place to join. Let us get rich together by joining the STX!
