pBTC, Defibox & Vigor Protocol will take your Bitcoin to new dimensions! EOS DeFi
Bitcoin was the first and most popularised cryptocurrency. Its blockchain was launched in 2008 amidst the global financial crisis, sparking new ideas for an alternative economic era. Since then, literally thousands of other digital currencies have been born but despite the efforts and technological innovations none has ever managed to reach the greatness and importance of Bitcoin which remains the reference point for the entire market. Why is Bitcoin important?
BTC as a store of value
The cryptocurrencies created after Bitcoin have added very important features such as scalability, speed and smart contracts that have opened up new markets and opportunities for wealth. In the meantime, Bitcoin has been renewed very little and has never undergone any life-changing revolution. Despite all its limits, however, it’s considered by the experts in the field as the safest store of value of the new digital economy. As of today it remains the largest cryptocurrency by market cap and the one with the greatest liquidity. Once considered dirty money or a currency for criminals is now instead considered a strategic reserve by many big companies, a refuge against political uncertainty and an opportunity for personal financial freedom. It’s a shame that all this potential remains confined to a slow and technologically outdated network, right?
The pNetwork Bridge
Once you accept that other networks besides Bitcoin exist, you will agree that some of these have really interesting features: some are more scalable, some are faster, some are easier to use and some have all these features together. It would be nice if somehow bitcoin could be “run” on these networks right? Well, in the world of the blockchain, everything is possible and this is too. With the appropriate precautions it is possible to “wrap” a cryptocurrency and transport it within the blocks of another network. A project known as pNetwork created an ecosystem that is capable of enabling any cryptocurrency to become compatible with any blockchain, a cross-chain project, allowing liquidity to flow freely and empowering users to explore new use cases.
They already created pBTC and pLTC respectively Bitcoin and Litecoin pegged tokens. These tokens have been created for Ethereum and for the EOS network so they can be moved freely on and between these two, together with the respective pEOS and pETh obviously. Many other tokens and platforms are planned.
The pNetwork is notably Decentralized, Community driven, Secure and Scalable. Decentralized, because anyone can become a pNetwork validator to help secure and shape the future of the network. It is community driven, since the pNetwork DAO is run by a transparent governance process open for anyone to contribute. The pNetwork is secured by Multi Party Computations and Trusted Computing, a combination which makes attacks both expensive and impractical. The pNetwork is also designed to handle as many bridges as deemed necessary so that any useful connection across blockchains can come to life. So, we can confidently say that pNetwork is moving liquidity across different chains creating a new world of opportunities which can now make use of the large resources currently available in the DeFi ecosystems.
pBTC on EOS
As previously said, pBTC is a Bitcoin-pegged asset available through pTokens on multiple nets as Ethereum and EOS. Cross-chain composability is not only useful to transfer between networks but also to choose a network where you want to stop and operate there. If Bitcoin is an obsolete network with long transaction confirmation times and too high fees, does it make sense to transfer your BTC to Ethereum which has the same problems if not worse?
Since pNetwork finally landed on EOS, Bitcoin holders can now use their BTC throughout the entire EOS ecosystem, using the superior performances and free transactions of this network to unleash all the power and opportunities Bitcoin has stored inside itself in a decade. This power will include, but not be limited to, all DApps which are vital for the DeFi movement, and are now living a moment of great splendor that is only the tip of the iceberg.
pToken has increased the safety of their protocol on EOS: Eosfinex, Equilibrium, EOS Argentina and EOS Nation are now on an MSIG that controls the pTokens smart contracts on EOS.
You can mint your own pBTC using the pNetwork Dapp, pBTC can be redeemed for BTC at any time.
Learn more about pNetwork:
https://twitter.com/pNetworkDeFi
Get some pBTC on Defibox
How can I get pBTC directly on EOS if I don’t have any to transfer/minit from other blockchains? Easy, just use Defibox!
Defibox.io smart contracts hold liquidity reserves of various tokens, and trades are executed directly against these reserves. Prices are adjusted automatically with algorithms to maintain a relative equilibrium.
With the SWAP tool you can select the token pair you prefer: select the first token, select the second one, check the conversion rate and Swap them. Easy as this.
So, on defibox.io to obtain pBTC you have to just swap EOS or USDT for them. You will also receive some BOX token as mining swap rewards doing so
Defibox is still the greatest source of pBTC on EOS right now, just connect with your wallet, go to SWAP, get some valuable pBTC and make them bear some fruit.
pBTC & DeFi a match made in heaven!
Once you have some pBTC, EOS will offer you many ways to make them generate income:
As aforementioned the first gain pBTC will give you are the BOX tokens that you mine during the act of swapping your token to get your pBTC. Those BOX have an important value too if you sell them but they can also be staked to get even more BOX.
The second way is a liquidity pool. On defibox.io you can provide liquidity and farm fees and BOX rewards, e.g. you can be part of the pBTC/USDT liquidity pool: make an equal value of pBTC/USDT and add them to the existing pool, if someone wants to trade pBTC for USDT in Defibox, your USDT liquidity might shrink while pBTC liquidity goes up. If your USDT goes down by a dollar, your pBTC should go up by the same margin. This is the way that Defibox Liquidity Pool works.
Take a look here about something you have to know first, Impermanent Loss:
Learn more about Defibox:
https://www.youtube.com/watch?v=6zz2x77zqxE
https://twitter.com/DefiboxOfficial
pBTC on VIGOR Protocol
The third way to profit from your pBTC is putting them into VIGOR Protocol which can serve in many ways. VIGOR Protocol is a decentralized collateralized lending smart contract. Once you deposit valuable cryptos like EOS, you can borrow VIGOR, a low volatility token which is always traded near $1. On Vigor Protocol there are also lenders or insurers that deposit EOS and other tokens, and gain the fees paid by the borrowers. Since BTC is described as one of the best stores of value, it’s the perfect collateral to back loans, in fact Vigor recently opened the protocol to pBTC as a collateral type.
Level up on pBTC: deposit your pBTC bag as collateral, borrow VIGOR or EOS and use them to buy more tokens on defibox.io
Monetize with pBTC: deposit your pBTC bag as collateral, borrow VIGOR, take your girlfriend to dinner.
Short with pBTC: borrow pBTC on app.vigor.ai and sell short on defibox.io, you still own your collateral but be cautious here….
Farm VIG fees: deposit your pBTC bag into lending pool, collect the gain.
Learn more about VIGOR Protocol :
https://twitter.com/vigorprotocol
VIGOR Protocol Easy Tips&Tricks EOS DeFi
pBTC is what EOSians have waited for a very long time. The tools already present on EOS are mature enough to handle the immense value that Bitcoin is bringing, giving it all the power and the speed it deserves in the new world of DeFi.
Cheers :)
