Bitcoin continues to suck the air out of the room. So while we wait for alt season to begin, it’s time to add another project to our growing list of reviews. Jumping back into the developing Polkadot ecosystem, this week we’ll take a look at blockchains possible answer to crowdfunding with Polkastarter.
Introduction
Polkastarter is developing a permissionless DEX built for cross-chain token pools and auctions. A platform built to enable projects the ability to raise capital in a decentralized and interoperable environment based around Polkadot. With Polkastarter, decentralized projects will be able to raise and exchange their capital at lower costs than are currently available in traditional markets. Participation will be built around a secure and compliant environment to allow the use of assets that go beyond the current decentralized standard. This technology can also have other applications, including closed OTC deals with password protection, discounted sales with whitelisted addresses and even be used for crowdfunding in the future.
Polkastarter plays on the established Kickstarter method of crowdfunding but with a crypto twist. With most centrally controlled platforms absorbing a large part of the fundraising from fee structures. On Polkastarter, fees will be a fraction of the cost associated with traditional platforms and all fees collected are invested back into the platform via staking pools. Current DeFi users demand cheap transactions, secure fast swaps, user-friendly design and the possibility to buy and move assets between blockchains more every day. Polkastarter is looking to build their proof of concept demo on Ethereum before focusing on developments in cross-chain integrations. So in Q4 2020 the project is focused on developing permissionless listings, fixed token swaps, private pools, anti-scam features and high slippage alerts. The goal of this phase is to test the swap and token sale dynamics, gather user feedback, and prepare a robust infrastructure that can be migrated to Polkadot. With a variety of EVM-compatible Polkadot projects competing to be parachains, the team is confident that the work on Ethereum will enable them to bootstrap development work on Polkadot. Phase 2 in Q1 2021 will see the possible full launch of a working product in the Polkadot environment. Enabling Polkadot projects to raise funds in DOT or any other Polkadot based tokens that the project chooses to raise in. With cross-chain token swaps and dynamic ratio swaps to be offered sometime in Q2, Q3 or Q4 2021.
To incentivize participation in the daily token pools, Polkastarter is launching a liquidity mining program concurrent with the MVP launch on Ethereum today October 28th. The team announced that they’re launching the Uniswap Liquidity Program with $30,000 worth of POLS (100,000 POLS) in monthly rewards for Uniswap liquidity providers. In the manner of DeFi projects like Synthetix and Balancer, this program will distribute a fixed amount of POLS tokens daily. Liquidity providers benefit by getting ETH and POLS simultaneously. These rewards are paid in POLS to every liquidity provider that locks ETH and POLS on Uniswap for at least 30 days. These rewards are in addition to the normal 0.3% fee liquidity providers automatically get from Uniswap trades on the trading pairs they provide liquidity to.
The Token
The…
Hi! My name is Lark Davis!
I’m a cryptocurrency investor with years of experience and I’ve been making consistent profits in the crypto space.
I’m passionate about helping others do the same, so I run multiple educational channels on crypto investing.
