Our inspiration comes from the fact that people usually have to take impermanent loss risks to gain yields on their assets through AMM. We want to give people an option to either eliminate that risk and earn lower rewards or take higher risk for higher rewards through the Serum Order book.
What it does
Paris Protocol is a Fixed Yield Protocol for Project Serum Order book through Atrix AMM.
Paris Single Staking Vault lets you deposit either into Fixed Vault or Variable Vault.
Fixed Vault: earned fixed yield without impermanent loss, although lower yield might be.
Variable Vault: earned much higher yield from trading fees + rewards but might face impermanent loss if the price is volatile ( although higher rewards should more than cover the impermanent loss )
In addition, We utilize Voting Escrow features of our governance token ($PARIS) to incentivize liquidity for Project Serum.
Challenges we ran into
One of the challenges we ran into was integrating Atrix AMM, which requires multiple transactions to deposit into the pools. This makes the process much more complicated since it needs more proxy accounts inside the transactions.
Accomplishments that we're proud of
We finished the yield splitting feature, which allows users to either fixed yield or variable yield. This feature is typically only available to a few traditional finance firms, but we can make it available to DEFI community.
What we learned
What's next for Paris Protocol
We still have to refine the voting features to vote on which pairs will get the incentive.
Having Voting Escrowed mechanic lets $PARIS token holders choose which vaults will get a higher yield.
This provides sustainable tokenomics and incentivizes other protocol XYZ to acquire $PARIS and lock their $PARIS tokens to vote for a higher yield for people to provide liquidity for their tokens XYZ without diluting their XYZ tokens supply. This dynamic between locking and voting puts buying pressure and remove selling pressure of $PARIS tokens.
Every month, Paris Protocol holds a voting event where new tokens can be added to the Vault to be eligible to earn a yield on $PARIS. This provides multifaceted benefits: 1.) It allows other protocols to bribe $PARIS holders to vote for their assets 2.) It brings more engagement to the $PARIS holders.