The world of cryptocurrency and decentralized finance has exploded over the past decade. What began as a niche technology that few people took seriously has evolved into the multi-trillion-dollar industry we see today.
And with any new tech comes opportunity — the rate of crypto millionaires has been steadily increasing over recent years with exciting new ways to trade, swap and invest. It turns out, there’s more to cryptocurrency than just buying a coin and hoping that it shoots for the moon.
One of those exciting opportunities is with Worthpad, a decentralized finance platform that’s designed to create infinite wealth for tech projects, startups and everyday retail investors. But if you’re new to crypto and decentralized finance, a lot of this can be quite confusing. So, let’s go back to basics.
By now, most people are at least familiar with cryptocurrency and blockchain technology. It’s a highly-secure, super-fast form of digital currency that’s set to revolutionize the way future commerce operates. But more than just a virtual currency that you use to buy and sell goods and services, crypto has evolved a brand-new layer of functionality in the form of smart contracts and decentralized finance.
Decentralized finance or DeFi is a truly equitable, global financial system, accessible to anyone with an internet connection and free from the restrictive control of global banks and their outdated infrastructure.
This has allowed crypto holders to buy, swap and sell cryptocurrency away from the prying eyes of financial institutions and government departments. It has also opened mechanisms for everyday investors to fund crypto start-ups and earn rewards for their efforts.
Traditionally, it’s been difficult to get into venture capital or angel investing without fronting insanely large amounts of cash. This means your everyday retail investor is shut out from supporting what could eventually be the next Facebook.
Defi Launchpads change all that, allowing anyone to help support the incubation of up-and-coming projects that could very well revolutionize the world. But that’s just the tip of the iceberg.
Worthpad has been set up as an ecosystem, with different platforms designed to solve various problems that already exist in decentralized finance. It comprises of six components including the utility $WORTH TOKEN, the WORTH DVC FUND, the WORTH IDO LAUNCHPAD, WORTH SMART CONTRACT FOUNDRY, WORTH DEX and finally the WORTH INSURANCE TREASURY. Let’s dive in and explore how each of these building blocks make up the Worthpad platform.
Worthpad has its own utility token called $WORTH that’s used to both fund and power liquidity pools across Worthpad exchanges. $WORTH is designed to give investors both a passive income through a robust staking mechanism and the opportunity to support innovative projects of the future.
Active investors who stake their $WORTH tokens will get guaranteed, early access to seed rounds, pre-sales and private sales of high-growth potential projects incubated and accelerated on the Worth IDO Launchpad.
A 10% community tax applies to each transaction, 5% of which is sent to the liquidity pool, and another 5% goes to the Worth DVC Fund. Not only does this fund the ecosystem, but it also acts as a deterrent against pump and dump schemes.
This continuously increasing liquidity pool helps stabilise the price of $WORTH token against wild volatility and volume moves, creating peace of mind for investors. Strategic liquidity provisioning or LP will also increase the value of $WORTH token in the long term.
The Worth DVC Fund is a mechanism that enables people from all walks of life to invest passively and safely their $WORTH tokens and earn rewards for it at the same time. It has been designed to not only provide financial equity to people around the world, but also to enable a new source of funding for innovative start-ups.
It’s able to do this through the 5% $WORTH tax it receives from all transactions that take place on the network. Worth DVC Fund acts as the lead investor for all projects identified by Worth IDO Launchpad for incubation and acceleration.
If no projects are selected to be funded in a month, the pooled money in the Worth DVC Fund is automatically distributed amongst all the investors who have staked $WORTH.
In lieu of investment capital, the Worth DVC Fund receives tokens from IDO projects and after deducting a platform fee, distributes these tokens amongst investors staking $WORTH.
WORTH IDO Launchpad is a place where new start-ups and exciting tech projects are incubated and nurtured, all while bidding for funding to build their innovative ideas. With all the benefits of a managed venture capital fund, the IDO Launchpad will also collaborate with and invest money in disruptive projects being listed on other launchpad platforms.
But it’s not just a funding platform either. The launchpad offers professional guidance, collaborations, marketing expertise and even technical assistance to ensure these projects succeed. For these services, the launchpad earns tokens or sweat equity from the accelerated projects it has funded. After deducting a performance fee, these tokens are then distributed to advisors, mentors and other professional staff that were involved.
The Worth Smart Contract Foundry is the heart of the Worthpad ecosystem, an environment that will allow secure, audited and easily-deployed token smart contracts.
With an easy-to-navigate user interface, you don’t need to be a developer or programmer to deploy powerful smart contracts. In fact, most configuration is done via a simple drag-and-drop interface.
The Smart Contract Foundry’s code will be open source and audited, making sure no exploits exist and all your capital is safe from hackers or malicious actors.
A decentralized exchange or DEX is a concept that may not be familiar to everyone.
With a centralized exchange, all your transactions go through a middleman. You’re required to hand over your private information to sign up and all your transactions are available to your government’s tax department. Buy and sell rates are determined by the exchange and they pocket a sizable commission on each transaction.
With a decentralized exchange, you get the privacy and security that crypto is known for – you typically get to hold your coins, and there’s no annoying intermediary that can be hacked or disappear overnight. Decentralized exchanges use algorithms to determine price and typically only take a cut of the gas fee or transaction cost paid by each trader.
Worth DEX is a next-gen exchange being built to operate on both the Ethereum and Binance blockchains. It’s designed to provide the same amount of liquidity that you’d find with a centralized exchange, while remaining decentralized.
With WORTH DEX you can buy, swap, and sell tokens, native cryptocurrencies and NFT’s across a whole host of platforms. Integrations with established DEX’s that include UniSwap, PancakeSwap, and SushiSwap among others means the marketplace just got a whole lot bigger.
If you’ve ever used Uniswap or any of the other larger DEX’s out there now, you’ve probably noticed you have two main options for automating certain transactions. There’s the Order Book method and the Automated Market Maker or AMM method. While both have their advantages and disadvantages, both can result in ridiculously high on-chain transaction fees, especially within the Ethereum network.
Worth DEX have come up with two solutions to combat the problems in each method.
In the first solution, instead of an on-chain order book, Worthpad have developed a blockchain agnostic, off-chain order book-based DEX for high frequency traders. In other words, rather than absorbing the high transaction fees normally associated with DEXs, investors use the WORTH DEX to combine order books built off-chain while still completing on-chain settlement. This also allows future integration to any other blockchain smart contract networks that may emerge over the next few years.
In the second solution, Worthpad designed an AMM aggregator to ensure the best prices for everyone who participates on the platform.
In a traditional AMM, users often have a problem with a thing called “slippage.” Slippage is a term used to describe how much the order’s size affects the ultimate price at which a token was bought or sold. This means that slippage will be low with small orders, but with large orders, slippage rises exponentially.
So, what does this mean in the real world? Well, if an order takes up half of the liquidity pool, slippage will double the token price for the next transaction. This means that traditional AMM’s are vulnerable to “frontrunning” attacks, a process where a person exploits the way transactions are ordered within a block to extract profit from another trader.
WorthPad’s DEX solves this issue through its proprietary AMM aggregator, a way to algorithmically protect investors against frontrunning attacks and transaction manipulation.
Every project should have a safety net and the Worth Insurance Treasury is designed to operate exactly in this way.
Each project that uses Worth IDO Launchpad to raise capital is required to buy $WORTH and lock it away into the WORTH Insurance Treasury until their project is complete. Consider it like a safety deposit that your project will get off the ground. Once the project is complete, the funds are released, and the project team is reimbursed. It acts as a safeguard to protect investors against the risk of a project failing.
We consider the Worth Insurance Treasury to be the most critical risk management feature of the entire eco-system.
Worthpad has a vision, and that includes bringing financial equity to the world while supporting the innovators of tomorrow. It’s a platform that can allow millions of retail investors to safely grow their capital in an exciting environment full of optimism and opportunity.
For more information about Worthpad and how to be a part of the revolution that will shape the global crypto space, visit the Worthpad Website.
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