The unique product will allow projects to raise funds while also allowing users to make profit.
ApeSwap Unveils Treasury Bills
ApeSwap has introduced Treasury Bills, a new yield generating Non-fungible Token (NFT) product on BNB Chain. The product, which will be launched by the Decentralized Exchange (DEX) later this month, will offer users a new way to participate in the growth of the ApeSwap ecosystem.
Treasury Bills combine TradFi, Decentralized Finance (DeFi), and NFT products. The product will allow users to purchase tokens at discount rates while providing their Liquidity Provider (LP) tokens. Treasury Bills are unique NFTs representing the purchased tokens vested over a given period. ApeSwap announced the new product through its Medium blog and via Twitter on March 30.
“ApeSwap has created a new way for users to be a part of the long-term growth of the platform and for crypto projects to raise funds for their treasuries. These innovative yield-generating NFT products are called Treasury Bills, and they are designed to align the incentives of our organization, our community of users, and our network of partners with a focus on sustainable growth,” ApeSwap wrote.
Treasury Bills will be released in two formats: BANANA Bills and Jungle Bills. As the name implies, BANANA Bills will allow users to purchase ApeSwap’s $BANANA token at discount rates pegged to the current market price. Thus, the discount rate is relative to the market price at purchase. But, first, users need to add liquidity to the DEX for the trading pair corresponding to the type of BANANA Bill.
“To buy a BANANA Bill, a user must first create an LP token by adding liquidity to the DEX for the trading pair that corresponds to that type of BANANA Bill. For example, BANANA-BNB LP tokens are used to purchase BANANA-BNB Treasury Bills, which yield BANANA tokens,” ApeSwap explained about the BANANA Bill format.
On the other hand, Jungle Bills have the exact working mechanism as BANANA Bills. The only difference is that users will not purchase $BANANA but ApeSwap’s partner project tokens using their LP tokens. This format presents a great opportunity for projects to raise funds in their treasuries.
Yield Generating NFT Product on BNB Chain
Because each Treasury Bill is an NFT, a secondary market will be created by ApeSwap to accommodate the new product. Additionally, they would also come in the form of generative historical NFT art, with five different components: The Legend, The Location, The Moment, The Innovation, and The Easter Egg.
Each Bill would exist in simple or complex forms to meet users’ needs. According to ApeSwap’s blog illustration, the secondary market for the NFT product will allow users to sell Bills to other users anytime.
“For example — imagine we offer a 90 day Jungle Bill from one of ApeSwap’s top partners. A user could purchase that Jungle Bill at the beginning of the quarter, and trade it throughout the quarter based on the speculation of the future cash flows of the vested tokens attached by discounting the tokens back to present value,” ApeSwap described the yield generating feature.
Generally, the new product will benefit users by generating yield through sales in the secondary marketplace. Therefore, when ApeSwap officially launches the product, the yield generating strategy will be adopted by many users on BNB Chain.
Moving forward, ApeSwap will launch the Treasury Bills product in two phases. First, the DEX will release a Pre-Launch Beta version on April 12 with two different BANANA Bills—BNB-BANANA and BNB-BUSD. After releasing the first version to the public, ApeSwap will launch the official Treasury Bills on April 22.
Read the ApeSwap blog to learn more about the Treasury Bills, and how to purchase them, including the generative art NFTs.
What is ApeSwap?
ApeSwap is a leading DEX on the BSC, which offers users the best trading experience. ApeSwap is a blend of a decentralized exchange, yield farming, staking, and an automated market maker (AMM). ApeSwap users are urged to partake in its liquidity pool offerings via yield farming to earn its native BANANA token. What’s more, these earned tokens can be used to stake and earn other tokens and unlock deluxe features.
For more information about ApeSwap, visit the platform’s media links:
Source : bsc.news
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