PeFi Weekly Digest: Nests, TVL, UI, Withdrawal Fees and much more! (April 5th, 2021)
A letter to the Penguin Community.
From your humble servant, FrostByte.
This week has proven to be quite the wild ride, thankfully Penguin Finance has blown past everybody’s expectations. It’s crazy to believe that the project hasn’t even been out for 6 days! At least by the time I’m writing this article (07:24 UTC, April 5th). What have we been able to accomplish in such a short amount of time?
- Over $19,183,580 in TVL staked within the Penguin Igloos.
- A market cap of over $3,912,895 for $PEFI alone.
- The release of our first 4 Igloos.
- First round of rewards for the Penguin Nests (currently at +4000% APY).
- The first official Penguin Burn!
I am also announcing a proposal to modify the Airdrop Allocation. With PEFI already in the hands of hundreds of Penguins, our community has grown exponentially. Penguin Finance was built by and for you, and it will remain that way forever. This proposal is one of many opportunities to make your voice heard in deciding the future of PeFi. At present, Airdrop Allocation is set to 25% of Total Supply, with gradual distribution through events over the next 3 years. Based on feedback from the Penguin Community, we submit the following idea for your consideration:
Reducing the current Airdrop Allocation from 25% of Total Supply to a lower number. We propose a reduction to 10%.
This 15% could the be allocated for less inflationary purposes such as:
13% to increase rewards for the Penguin Nest.
Allocate 2% to a creative Penguin Objective determined by the Penguin Community such as:
- Contributing to Penguin Conservation efforts.
- Sponsoring Penguins that have been stolen from their habitat.
- These are just a couple of ideas I’ve seen bouncing around. It will ultimately be up to you, Penguins, to decide.
In the short amount of time the Nests have been live, a whopping 7.77% of PEFI has been locked in the Nests. That’s 7.77% that isn’t moving any time soon. Remember that the earlier you deposit into the Nest, the better exchange rate you’ll get on your xPEFI. As of right now, each PEFI is worth 1.109 xPEFI. That’s an incredible 10.9% APR with no risk of impermanent loss. Still lower than the jaw dropping APY of the Igloos, but definitely an extremely attractive way of using your PEFI.
We’re fully aware of the fact that although interacting with the smart contracts directly can be an educational (and extremely frustrating experience), within the past few days we’ve hired 2 new developers whose time will be entirely dedicated towards finishing our Penguin Interface, testing it and getting it out there to make all of your lives a hell of a lot easier.
Now, the fact that we have over $19.1M TVL before implementing the UI really goes to show the magnitude of the Mass Liquidity Migration that is about to happen into the Penguin Finance Ecosystem. We’re working day and night and should be releasing a teaser for the upcoming Penguin Interface. We work for you guys and are dying to get your opinion on the design for the Interface.
At the time of writing, only the SNOB/PEFI Igloo has any fees implemented (4% withdrawal fee on LP). At the current APR for this Igloo, this literally means that if you stake your liquidity for a mere 5 hours, everything after that is 100% profit and you would have covered the withdrawal fee. I’m happy to say that the implementation of the withdrawal fees for the PEFI/AVAX, AVAX/ETH and PEFI/PNG will really do a number on the price and lower circulation as well.
With the SNOB/PEFI Igloo alone, we were able to market/buy PEFI using the fees and burn 4512 PEFI in roughly 48 hours! This new deflationary mechanism being but in place will benefit absolutely every single Penguin. The fees will be used to market buy $PEFI (which tremendously increases the price) and then burn it forever (which reduces the supply). This combination creates the perfect penguinomics for $PEFI price and APYs to moon!
As outlined by our Penguin vision, a 4% withdrawal fee on LP will be introduced tomorrow, April 6th (19:20 UTC), to the remaining igloos to encourage HODLing and burn $PEFI, ultimately increasing token value and APYs. The moon is only our first stop.
Other than that, it’s my pleasure to serve you all. Thank you all for the immense amount of support that we’ve received in the past days. We are truly creating something revolutionary and it’s thanks to each and every one of you who’s taken the time to understand our project and believed in us, that we are here. Please feel free to reach out to me or any of the Team members at any time with your questions/issues/comments. Remember, we are at your command. For Penguins, by Penguins!
A Penguin Riddle
For all the Penguin Detectives out there, I’ve got a riddle for you:
“J cnjbna oxa cqn Ynwpdrw Janwj bqxdum kn maxyyrwp bxxw juxwp frcq bxvn mxldvnwcjcrxw. Cqn Wnbcb fruu bxxw qjen jwxcqna bxdaln xo anfjamb!”
It’s nothing fancy, it reminds me of the ancient times. First Penguin to message me the answer of the riddle will get a reward of 100 PEFI. They’ll also be featured on the next edition of the Penguin Digest. Next letter will probably be authored by Cody Maverick himself!