Equation, a leading decentralized perpetual protocol, is launching its V3 update on May 13, 2024. This update aims to transform on-chain perpetual trading with groundbreaking features such as ZERO trading fees, Profit Rate Mining, and Loss Compensation.
Transforming the Trading Landscape
Equation V3 introduces an innovative business model designed to attract more traders while boosting potential income for liquidity providers (LPs) and staking users. By leveraging the BRMM algorithm, Equation V3 addresses the high trading costs that plague perpetual decentralized exchanges (DEXs), aiming to revolutionize the market landscape.
Benefits for Traders and LPs
- For Traders: Enjoy permanently eliminated trading fees, an improved trading experience, and significantly reduced costs.
- For LPs and Stakers: Benefit from protocol funding fees as the primary revenue source, distributed across all ecosystem participants.
Zero Trading Fees: A Game-Changer
Equation V3 eliminates trading fees, shifting the primary income source to protocol funding fees for LPs. This change reduces trading costs for users while increasing potential earnings for LPs, providing Equation with a distinct competitive edge over other platforms that charge high fees. This strategic move is expected to attract more traders, boosting the entire ecosystem.
Profit Rate Mining
Equation V3 introduces Profit Rate Mining, which rewards traders based on their profitability. Traders with positive profit rates can participate in mining allocations, with rewards tied to their trading success. To ensure fairness, traders must link their accounts with an invitation code. This feature encourages healthy competition and trading excellence. Additionally, Equation V3 will host weekly trading competitions, creating new opportunities for traders to engage and excel.
Loss Compensation
Equation V3 also features a Compensation Pool to support traders who incur losses. A portion of daily EQU emissions is allocated to compensate traders for their losses, with potential compensation up to 100% of the loss. This safety net instills confidence in traders, knowing they have protection against losses. Robust fraud prevention measures ensure that only genuine trading users benefit, maintaining the system’s integrity.
Equation V3’s combination of zero trading fees, Profit Rate Mining, and Loss Compensation sets a new standard in on-chain perpetual trading, demonstrating the platform’s commitment to fair, secure, and rewarding trading practices.
