Maverick Protocol is an AMM DEX platform that uses a new AMM mechanism to make it easier for liquidity providers to provide liquidity and make a lot of profits from the platform. Maverick Protocol was announced by Binance as the exchange's 34th Launchpool project on June 13, 2023. So what's so special about this project, let's find out through the article below!

Maverick Protocol Project Overview

What is Maverick Protocol?

Maverick Protocol is an AMM DEX platform that uses directional LPing to provide the best interest rates to liquidity providers. Through this platform, liquidity providers can easily manage their liquidity positions while making more profits from the platform's transaction fees.

In addition, Maverick Protocol's AMM mechanism, the dynamically distributed AMM, gives liquidity providers more flexibility in choosing price ranges without having to monitor liquidity positions and pay higher fees. This new AMM mechanism also helps users trade smoothly when prices fluctuate drastically without worrying about insufficient liquidity.

Maverick Protocol's Products

Before understanding Maverick Protocol's products, the platform has a term called "Bin", which is the smallest unit of price range when providing liquidity. Users can choose one or more Bins to provide liquidity. For highly volatile assets, the platform encourages users to set Bin to 2%, and for stablecoins between 0.02% and 0.05%.

Swap

This is a feature that allows users to swap between many different tokens with low slippage. Currently, Maverick Protocol supports token swaps on two blockchains: Ethereum and zkSync Era.

Pool

This is a feature that allows users to provide liquidity in different modes, fees, and bin widths to profit from trading fees.

In addition, the liquidity pool function provides users with 4 different liquidity modes, including:

  • Mode Right: When the price rises, the Bin moves to the right, and does not move when the price falls. This means that when the price rises beyond the liquidity area, the Bin will move to the right. However, if the price falls out of the active liquidity area, the Bin will not move.

  • Mode Left: Contrary to the right shift mode, when the price falls, the Bin moves to the left, and does not move when the price rises. This means that when the price falls out of the liquidity area, the Bin will move to the left. However, if the price rises beyond the active liquidity area, the Bin will not move.

  • Mode Both: In this mode, Bin will move up and down from the liquidity area. However, the risk of permanent loss is very high, and this mode is suitable for stable products such as stablecoins.

  • Static mode: When the price is out of the liquidity area, the Bin will be fixed and will not move.

Additionally, there are three different settings for static mode:

  • Exponential: Liquidity is concentrated at the current price, and liquidity is distributed on the left and right Bins in an exponentially decreasing manner.

  • Flat: Evenly distribute liquidity among all Bins.

  • Single Bin: Liquidity is distributed on a single Bin.

Boosted Positions

This is a new feature in Maverick Protocol that helps liquidity pools launch reward incentives to attract users. Each enhanced position will be set in three liquidity modes: left shift, two-way or static.

In addition, enhanced positions have several advantages over the incentive mechanism in regular liquidity pools:

  • Enhanced positions allow projects and other users to target specific liquidity price ranges, increasing incentives.

  • Enhanced positions can also be used to attract liquidity to new liquidity pools, thereby increasing the liquidity and trading volume of these pools.

The highlights of Maverick Protocol are as follows:

Maverick Protocol is built to natively support LST (Liquid Staking Tokens) and is an ideal solution for maintaining liquidity within the LST yield range. This helps ensure that liquidity remains close to the price throughout the LST yield cycle.

Many LST protocols compete for market share, and Maverick is the most effective platform in terms of competition. Liquidity providers can efficiently provide liquidity, and protocols can incentivize the liquidity distribution they desire.

What is the purpose of MAV token?

MAV is a utility token that plays an important role in the Maverick Protocol ecosystem. Users can stake MAV to obtain veMAV, the project's governance token, which is used to exercise management voting rights. The longer users choose to stake MAV, the more veMAV they will receive and the greater management power they will have.

Where can investors trade MAV tokens?

Currently, MAV is not traded on any centralized exchange (CEX) or decentralized exchange (DEX). The project has just been launched by Binance as the 34th Launchpool project, and users can lock BNB and TUSD to obtain MAV between 07:00 AM on June 14, 2023 and 06:59 AM on July 8, 2023 (Vietnam time). The number of tokens as Launchpool rewards is 30 million MAV.

It is expected that MAV will be listed on Binance on June 28, 2023, with trading pairs including MAV/BTC, MAV/USDT and MAV/TUSD.

Investors can store MAV tokens in wallets that support the ERC-20 standard, such as Metamask, Trust Wallet, Coin98 Wallet, etc. For ease of trading, investors can also store MAV in exchange wallets that support the token, such as Binance.

development team

Maverick Protocol’s development team members have many years of experience in the technology, cryptocurrency, and blockchain fields. Notable members include:

  • Alvin Xu: You are currently a contributor to Maverick Protocol. Alvin has many years of experience in the cryptocurrency field and has contributed to TRON Foundation’s ecosystem building, BitTorrent product management, and Metamask product building.

  • Bob Baxley: You are currently a contributor to Maverick Protocol. He has over 10 years of experience in the technology field and is the co-founder and CTO of Bastille and a member of Ubiquity Ventures, an investment fund targeting software technology companies at the seed stage.

Investors

Maverick Protocol successfully raised a total of $17 million in two rounds of financing, including $8 million in February 2022 and $9 million in June 2023. Funds participating in the investment include Founders Fund, Jump Crypto, Binance Labs, Coinbase Ventures, etc.

Partner

Some of Maverick Protocol’s partners are well-known projects in the cryptocurrency market, such as Lido, Rocket Pool, Swell, etc.

Summarize

Maverick Protocol is an AMM DEX platform that uses a directional LPing mechanism to provide liquidity providers with the best exchange rates. With support for LST assets from other protocols, a cross-blockchain expansion roadmap, and becoming Binance's 34th Launchpool project, Maverick Protocol has great potential in the future. Through this article, you must have a certain understanding of the basic information of the Maverick Protocol project in order to make your own investment decisions.

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