Hippo Finance: An updated explanation of our Main-Ecosystem (Hedge Fund) and Sub-Ecosystems (NFT — Polkadot)
The ecosystem has evolved and the development team has achieved each
of the planned objectives, being able today to show a complete panorama
of the ecosystem with all its scope, its operation and multi-connections.
Each token in the ecosystem is essential and is jointly enhancing its profitability. Current and future use-case will be explained below.
The Hippo Token
Hippo Token is the root of the ecosystem, being our governance token. The max supply of HIPPO is 163.737 tokens and no more HIPPO can be farmed. Hippo Token will be integrating into Polkadot in the near-future.
Fork & Knife stakes HIPPO to get aHIPPO rewards. Chopsticks, the second staking pool, stakes HIPPO-ETH UNI LP giving 1.5X more aHIPPO rewards than the Fork & Knife pool.
The ecosystem, with HIPPO as the central token, will be funded by
collecting 20% of staking rewards from aHIPPO and dHIPPO,
which is then held in the Governed Hedge Fund. The community
will vote on how to use the fund.
20% of rewards claimed on aHIPPO and dHIPPO go to the Governed
Hedge Fund, with the other 5% to the Developer Fund for further
project development.
These funds are sent to the Governed Hedge Fund when stakings
rewards are claimed by the user. The voting system, using staked
HIPPO, is a powerful use case for HIPPO in this evolving community
driven ecosystem. please read the “Hedge Fund System” segment for
more information.
The aHippo Token
aHIPPO is the ecosystem’s second token and main rewards token for farmers. For long term sustainability. aHIPPO does not have a maximum supply cap as it is “infinite” for now, though it can be deflationary through
a governance vote by burning the Hedge Fund.
In the “Mining” pool the user can stake aHIPPO-ETH UNI LP, and receive dHIPPO as a reward.
Similar to HIPPO farming pools, the user will immediately receive 75% of rewards when they claim them, while the 20%of claimed rewards go to
the Hedge Fund, leaving 5% to the Development Fund.
The dHippo Token
dHIPPO has a fixed total supply of 3,500 which could make the third token the most valuable by default due to increased scarcity. 20% of dHIPPO tokens deposited in the Hedge Fund could be burned, distributed between HIPPO holders, or invested.
The Hedge Fund System
One of the most exciting parts of on-chain DAO governance is participating in the workings and distributions of the DAO treasury, or just the Fund as we call it at Hippo.
A series of smart contracts and interfaces allow a community to directly
and dynamically determine how the protocol’s funding will be used.
It can be distributed as a profit-sharing reward. It can be invested in
high- or low-risk opportunities. It can be burned to induce scarcity.
The sky’s the limit and the power is yours, as a combined
entity of investors, hodlers, and supporters.
Hippo’s governance will at first resemble that of a typical DeFi protocol. Neither the interface, the method, nor the rules are likely to surprise users.
The Status of the vote is as explained above. The status will be updating accordingly to the voting duration, which is set to last a week long for now.
Be sure to check our Telegram or Discord should there be any changes to the duration.
How does the Hedge Fund work?
First, the governing token. In case you’ve missed it, it’s our primary token $HIPPO. You’ll need to own at least 1 HIPPO in order to participate in voting. That Hippo needs to be in your wallet prior to voting, even if it’s
just prior. Hippo tokens staked on Hippo-Finance.com pools or in liquidity provision pools will not be able to be used in voting until they’ve been unstaked.
Next, you’ll stake those freed Hippos into the separate voting contract simply called Fund. It’s available on the main page of Hippo Finance along with the other pools. When you click the button, you’ll be greeted by the following UI interface, do note that these are from the Testnet’s server and is subject to change.
APPROVE the Fund contract for spending your Hippo, then STAKE the amount of Hippo you’d like available in governance.
How much should you stake in the Fund’s governance? That depends on several personal factors.
It only requires 1 Hippo to vote and voice your opinion. You can help steer the future of the protocol with just that single Hippo. HOWEVER —
If, for example, the community votes for rewards distribution (aka profit-sharing), then your percentage of the governance staking pool in Hippos determines your percentage of rewards, which are given in aHippo and dHippo. Note that should you choose to unstake from the Fund a portion of your Hippos, your percentage staked of course drops and along with it your percentage of potential rewards.
At the outset, we anticipate each vote will be up for 1 week, providing ample time to discuss and review while also moving swiftly with decisions. Any rewards distribution elected will not be given out until three weeks after.
With these basics in mind, know that you can stake and unstake from the governance Fund at any time without penalty, save for any affected rewards percentage.
Holders can choose to vote 3 of the following options:
1) Distribute Funds to Hippo Holders
— If the vote goes through, only those who holders whose
Hippo’s are staked will have the % of the Hedge Fund distributed.
2) Burn all Funds(aHIPPO-dHIPPO)
— If the vote goes through, the funds will burn all aHIPPO
and dHIPPO gained in the Hedge Fund.
3) Create your own proposal
— Hippo Holders can get to create their own proposal to be voted on.
They must interact with the Fund’s contract in order to make their
own proposal. This will be explained further when the Fund system
is implemented.
Introducing the new Sub-Ecosystem’s expansion
The plan does not end here. Thanks to the fact that it has a constant system collecting funds towards development (5%). HIPPO will constantly evolve, adding value to all it’s tokens.
1.- Polkadot Bridge Sub-Ecosystem
As the ecosystem evolves, the team has adapted and made improvements along the way. HIPPO will be connected as a bridge to Polkadot, and our new developer Davis is currently working on building a parachain on chainblock, Polkadot’s system. In order to achieve this goal, Davis will be auditing Ink,
the programming language for Polkadot.
The team will keep the community updated regularly, with more extensive updates on Davis’s progress, so stay tuned!
2.- NFT Sub-Ecosystem
The chart above shows the brief illustration Matt provided, explaining on
the rarity of the Hippo Card.
Recently our developer Matt gave us an insight to NFT by teasing us an illustrated chart, highlighting the assigned power level and rank of NFT’s
and what they offer to HIPPO’s Sub-Ecosystem. Now that we have confirmed Matt’s methodology behind this system, the team will be using this segment to introduce and educate users to NFT Farming. dHIPPO is the key to opening the door to the Sub-Ecosystem, as well as the other various ways investors can participate in NFT farming.
$dHIPPO (Token)
- Main-Ecosystem’s Currency Token.
- The Key to NFT Farming.
- Staking dHIPPO-ETH Uni LP in Hippo-Farm will reward
the investor with $wMELON Tokens. - $dHIPPO can also be used to purchase NFT HIPPO Cards.
$wMELON (Token)
- Sub-Ecosystem’s Currency Token.
- Farmable in Hippo-Farm. Staking dHIPPO-ETH Uni LP,
on WaterMelon Pool will reward the investor with $wMELON Tokens. - $wMELON can also be used to purchase NFT HIPPO Cards.
$hGRASS
- Sub-Ecosystem’s Energy Token.
- Staking $hGRASS to “feed” your HIPPO NFT Cards, to maintain the APY Rate of the Card’s power level. (eg. in Hippo-Farm, your dHIPPO-ETH Uni LP generates $wMELON, staking 0.5% card increases APY, however it will be exhausted after a day. Replenish it with $hGRASS to recharge the card’s power level)
- Farmable in Hippo-Gym. Stake wMELON-ETH or hGRASS-ETH (1.5X) to get $hGRASS.
$NFT HIPPO cards
- Sub-Ecosystem’s Increased APY Token.
- You can get $NFT HIPPO Cards in Hippo-Mart
and Hippo-Auction, depending on type and rarity. - Spend your $wMELON in Hippo-Mart to get $NFT HIPPO Cards.
Spending your $dHIPPO also gives you Higher rarity cards - Staking $NFT HIPPO Cards in Hippo-Farm will boost the farming
APY depending on power level.
Hippo-Farm
- Staking dHIPPO-ETH Uni LP, on WaterMelon Pool will reward the
investor with $wMELON Tokens. - Staking dHIPPO-ETH Uni LP in Hippo-Farm will reward
the investor with $wMELON Tokens. - Staking $NFT HIPPO Cards in Hippo-Farm will boost the farming
APY depending on power level.
Hippo-Mart
- You can get $NFT HIPPO Cards in Hippo-Mart
- $dHIPPO can also be used to purchase NFT HIPPO
Cards in the Hippo-Mart. - Spend your $wMELON and/or $dHIPPO to partake in
Random and Special lottery. Higher chance of acquiring
better NFT HIPPO Cards - Future Lottery Tickets deals with Partnerships for custom designed
NFT HIPPO Cards
Hippo-Gym
The Hippo-Gym is an important facility for the sub-eco NFT because
you need the $hGRASS to “feed” the NFT cards, to maintain their power.
- Get rewarded with $hGRASS by staking your wMELON-ETH LP
tokens and hGRASS-ETH LP tokens (1.5x).
Hippo-Auction
- You can buy, sell or exchange $NFT HIPPO Cards in
Hippo-Auction, depending on type and rarity. - Acquiring higher level $NFT HIPPO Cards lets you
increase your Farming APY Rate.
Usable NFT cards never seen before
Hippo Finance is taking on the universal crypto NFT problem about the usability of NFT’s. At the moment they are only collectibles, but Hippo NFT cards will be implemented to boost your farming APY. For example, uploading it in the pool gives you increased rates if you have a card that has been better fed with the $hGRASS token.
This revolutionary system will permit a continuous flow of commerce in our “Auction House” because some investors will want to directly buy a power card to get better APY, while sellers will produce the card in the Sub-Ecosystem to sell it.
So what does this Sub-Ecosystem contribute to the Hippo’s Main Ecosystem?
This awesome NFT Sub-Ecosystem automatically gives positive chain loop to both $Hippo and $aHIPPO tokens due to the incentivization $dHIPPO brings. It will be important to participate in the pools of the Ecosystem, both Farms to obtain dHIPPO and to be able to produce aHIPPO, either HIPPO-ETH UNI LP or HIPPO.
If any investors want to shorten the way, they will need to purchase aHIPPO or dHIPPO directly, making the value of a HIPPO token more important.
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Hippo Finance is a DeFi experiment. Tokens have no real value. The investment may result in loss of principal, and Hippo Finance does not guarantee this. The investor is fully responsible for the investment.
