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- The launch of the ShimmerBridge Airdrop Campaign has sparked interest among participants seeking to optimize their involvement.
- Analysis of the top wallets engaged in the ShimmerBridge campaign reveals a trend favoring stablecoin liquidity provision on platforms like SwaplineDEX and TangleSwap.
The highly anticipated ShimmerBridge Airdrop Campaign is now live, igniting curiosity among participants eager to maximize their involvement in this initiative. As excitement builds, many are seeking guidance on the safest strategies to engage in this airdrop.
Delving into the top wallets engaged in the ShimmerBridge campaign reveals a trend favored by seasoned investors: bridging substantial amounts of stablecoins (such as USDC or USDT) to the ShimmerEVM ecosystem. These investors then proceed to provide liquidity through either single-sided liquidity provision on SwaplineDEX or by entering the USDC/USDT LP-Pool on TangleSwap. But what drives this strategic choice?
ID.iota takes a closer examination of prevailing interest rates offered by central banks in the EU and USA and reveals rates hovering between 4.5% and 5.5%. Traditionally, depositing funds in a bank yields slightly lower returns, typically ranging from 3.5% to 4.5%.
Consequently, providing liquidity through stablecoin pairs should ideally generate a minimum return of 4.5% to justify the endeavor. However, participation in the Tangleswap farming protocol surpasses these expectations, offering returns exceeding 7%.
Yet, the benefits extend beyond yield generation. Participants in liquidity provision become eligible for the ShimmerEVM Airdrop campaign, where up to 10% of their Total Value Locked (TVL) in Shimmer tokens is distributed. While risks inherent in liquidity provision, notably impermanent loss, warrant consideration, they remain minimal, particularly when dealing with stablecoins.
Addressing Risks With Auditing Process
To mitigate concerns, it’s reassuring to note that all DEXes on Shimmer undergo rigorous auditing processes. Furthermore, ERC20 networks boast a robust track record, with no reported hacks on the IOTA network. Moreover, the stability of leading stablecoins like USDT and USDC plays a pivotal role in determining the broader crypto market’s trajectory.
In summary, the pathway to safely and effectively participate in the ShimmerEVM Airdrop campaign involves bridging significant amounts (capped at €250,000) of stablecoins to the ShimmerEVM ecosystem and engaging in liquidity provision with stablecoin pairs. This approach not only ensures yield accrual but also facilitates participation in the airdrop, embodying a strategic blend of safety and potential returns for savvy investors.
IOTA Plans for 2024
A significant overhaul is underway for the Trade and Logistics Information Pipeline (TLIP), which is poised to transition entirely to the IOTA L1 ecosystem. This transformation marks a pivotal moment in the evolution of TLIP, introducing a comprehensive restructuring to harness the capabilities of the IOTA protocol.
Looks like we got an good 2024 ahead of us for @iota!🌇#crypto #RWA #iota pic.twitter.com/BsNpcQUPAB
— Moonaco Podcast (@MoonacoPodcast) January 28, 2024
Under the revamped framework, TLIP will leverage IOTA in various capacities, reinforcing its operational foundations and enhancing efficiency across multiple fronts. Key areas involving the use of IOTA include:
- Storage Deposits on L1: TLIP will harness the IOTA L1 network for storage deposits, leveraging its robust infrastructure to securely manage and store critical trade and logistics information.
- Mana: The integration of Mana within TLIP signifies a strategic alignment with IOTA’s governance and security mechanisms, ensuring optimized performance and reliability within the network.
- RWS Tokenization: TLIP’s transition to the IOTA L1 ecosystem will facilitate the tokenization of its native currency, enabling seamless integration with trade finance decentralized finance (DeFi) solutions. This advancement promises to unlock new avenues for liquidity provision and financial innovation within the trade and logistics sector.