Solvent Protocol Receives $500,000 Liquidity Mining Grant From Serum

By Soumen DattaDeFi

A $500,000 Grant for Liquidity Mining

Solvent Protocol has received a liquidity mining grant of $500,000 from Project Serum, which will be distributed over 12 weeks to liquidity pools via farms on Atrix Protocol.

Solvent Protocol made the announcement via a Twitter thread on April 6. Notably, Atrix launched a liquidity mining program last November through a 1 million SRM grant from the Serum DAO. With Atrix AMM, Serum markets are liquid without the need for internal pools, benefiting the entire Serum and Solana ecosystem.cdn.embedly.com/widgets/media.html?type=text%2Fhtml&key=96f1f04c5f4143bcb0f2e68c87d65feb&schema=twitter&url=https%3A//twitter.com/solventprotocol/status/1511455484674723846&image=https%3A//abs.twimg.com/errors/logo46x38.png

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Solvent wants to make trading of NFTs more capital efficient and provide them with financial instruments through their partnership with Solend Protocol. Also noteworthy, Solend Protocol launched NFT lending in collaboration with Solvent protocol and MonkeDAO letting users trade fungible tokens (droplets) or deposit liquidity and stake to earn rewards. Monke holders can also deposit the droplets in the NFT pool, which lends them out for yield and can be used as collateral for borrowing assets like USDC or SOL. 

According to the Discord announcement, for Solvent yield farming, the distribution of $SRM is done as per the weightage of each NFT project based on two factors:

1. Market cap

2. Trading volume of their droplets

Additionally, the Solvent Protocol recently hit $2 million in TVL, adding over a million in just a few days after the introduction of NFT lending with Solend Protocol and MonkeDAO. Solvent protocol, however, suggests that lending is just the first step in increasing the capital efficiency of NFTs. 

What is Solvent?

Solvent is a platform that converts non-fungible tokens (NFTs) into fungible tokens (droplets), providing users with instant liquidity. The instant liquidity for NFTs can provide users with a platform to trade NFTs more quickly than they can currently. Droplets can be traded on Solana’s AMMs and Serum order books. Users can exchange their droplets for NFTs in the Solvent buckets or swap droplets for $USDC directly from the platform. They can also put their droplet liquidity into liquidity pools and earn liquidity rewards.

Learn more about Solend:

Twitter | WebsiteDiscord | Telegram 

Source : web3wire.news

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