Yield Farming is the newest way to generate crypto currency with the crypto you have. How do I do that? Actually this method is the same as borrowing money in an ordinary bank system.

For example, in a centralized financial system, the Bank has the authority to provide loans, later the Bank's borrowing customers will return the funds along with interest to the Bank. Or the other way around, when customers make regular savings or with deposits, the Bank will give them interest in return.

So, in a decentralized financial system (DeFi) that way was adopted in such a way, but without intermediaries. The role of the Bank, which was originally the control center for these funds, was replaced by smart contract technology in the blockchain protocol. Of course, the strategy of each protocol is different according to their respective system algorithms.
Yield Farming is also called liquidity mining or liquidity mining, a way to generate rewards / prizes by owning crypto assets. In essence, with crypto assets to generate other cryptos.

Yield Farming will only run when Liquidity Providers (LPs) act as users who place their crypto assets into the liquidity pools (Liquidity Pools). Liquidity Providers can be interpreted as lenders, given that their crypto assets can later be borrowed and used by other users.

Liquidity Pools themselves are smart contracts that lock / contain funds from these lenders. With the inclusion of crypto in the liquidity pool, lenders will later get rewards or interest according to the crypto they lend.Yield Farming is usually done using the ERC-20 token on the Ethereum network. Furthermore, the rewards or interest that will be obtained by the lender are also ERC-20 tokens.

In addition, with the development and growing space of DeFi technology, this platform or Decentralized Applications (dApps) will be able to support smart contract capabilities by switching protocols.Of course, if this can be realized, platform users as lenders will be able to transfer their crypto ownership to many other protocols to seek even higher profits. Apart from the benefits that lenders get, this can also benefit the platform as more capital will go into their protocol.   Different from the system used on exchange exchanges, yield farming uses the Automated Market Maker (AMM) model and involves Liquidity Providers (LPs) and Liquidity Pools.Then, how does it work? To make it easy to understand, Liquidity Providers (LPs) will be translated into "liquidity providers". Here he acts as the owner of crypto assets that stores his funds in a liquidity pool or Liquidity Pools. This Liquidity Pools acts as a place or marketplace for users to lend their assets, borrow them from other users, or simply exchange these assets for ERC-20 tokens.

Platform users or asset borrowers will be charged certain fees, these fees will later be paid to liquidity providers in accordance with the share they give to the Liquidity Pools. Apart from these fees, the way Liquidity Pools gets its turnover is by distributing new tokens that enter the protocol. The more tokens that enter, the richer the Liquidity Pools will be which of course will benefit all parties.

Of course, each protocol that applies yield farming has different distribution rules. However, liquidity providers will still get a return from the assets they lend in Liquidity Pools. Usually these funds are stored in the form of stablecoins pegged to USD such as DAI, USDT, USDC, BUSD, and others. Some protocols usually print their own tokens which will later be stored in the system. This can be seen in the Compound protocol which has a token in the form of Comp. For example, if you have ETH and put it in the Compound protocol, your ETH will be the cETH pegged to USD. Other coins such as DAI will also undergo the same process and will become cDAI. What's more, these coins can switch protocols and of course mint new coins that will represent the coins.  

Speculative Automated Market Maker on DEXToken  

Market makers (MMs) are entities tasked with creating price action on an exchange that would otherwise be illiquid without trading activity. This is done by MMs buying and selling assets from their own account with the goal of making a profit. Their trading activity creates liquidity for other traders, lowering the slippage of larger trades.  In today’s cryptocurrency market, ‘whales,’ exchanges, and speculators hold the majority of pricing power. Moreover, yield farming is usually carried out by those who do have a lot of capital or investors with ownership of many crypto assets such as "Crypto Currency Whales".   Speculative AMM is designed to tackle the issue of over-speculation, “smoothing out” strong price fluctuations. It is hoped that this universal model will end up estimating the price of tokens, providing a scientific minting model for deflationary tokens. Part of its core function is to determine an asset’s value (price) based on the asset’s volatility, the team adds.  

The Dextoken Protocol is a DeFi infrastructure that implements the brand-new Speculative AMM.The Dextoken protocol uses Speculative AMM to ensure token pool liquidity and benefit DEXG token holders by rewarding them a portion of the transaction fee. The purpose of the Dextoken protocol is to enable the blockchain network to calculate the theoretical token price.Speculative AMM is a priceless automated market maker. It determines the token price based on the volatility.Speculative AMM is a Universal Price Model that can evaluate the price of tokens. Dextoken Protocol has an off-chain issuable token technology to provide minted token redeem and user withdrawal capabilities. It can also provide a scientific minting mode for both off-chain and deflationary tokens.

A "perfect token" should have low volatility characteristics, and further that the properties of its blockchain network should determine its price change. The DEXToken Protocol can gradually develop DEXG to be a "perfect token."

Speculative AMM Techniques

The order's quantity will affect the token price and cause price slippage to be raised exponentially by the Constant Product algorithm. Uniswap is recognized for this kind of algorithm.DEXG's Speculative AMM can provide a reasonable price conversion model with a smooth price slippage and low volatility. Thus, Speculative AMM is more suitable for decentralized exchange use cases.

The Speculative AMM sets the price automatically. The user only needs to input the desired quantity.

DEXG Smart Contract Token name Dextoken Governance Token Symbol DEXG Theoretical max supply 200,000 - the theoretical maximum supply will never happed Current circulating supply 30,500 - updated 2020.10.01 Initial price 0.5 USDT - the initial liquidity price at Uniswap Contact window [email protected]

Token Contract 0xb81d70802a816b5dacba06d708b5acf19dcd436d

Proof of Liquidity Lock - Uniswap Uniswap Liquidity Lock Proof Security auditing The audit report by Pessimistic showed no vulnerabilities in the DEXG smart contract. No ICO. No presale DEXG didn't have ICO or presale. Everyone will obtain DEXG tokens in the market price.

Token Distribution  

DEXG provides 20,000 DEXG for initial liquidity offering to the community via Uniswap, and 2,000 - 140,000 tokens will be distributed by Staking Rewards.The maximum supply of 200,000 DEXG is a theoretical value, and the real maximum supply will not reach the theoretical supply hard-cap of 200,000 DEXG.

It is because the higher the ATH price at Uniswap, the fewer tokens will be minted for reward distribution. Detailed information can be found in the blog article: DEXG Staking and Supply Mechanisms.

Initial Liquidity Offering 20,000 Fair token distribution to the community. Minted when the contract is deployed at the pre-launch stage. Team 2,000 - 20,000 Team incentive and rewards. Fund Raising 2,000 - 20,000 Long-term development funds. Used to pay marketing expenses, benefit private investors, for the exchange liquidity, and pay for the exchange listing fee. Those liquidities, including the investor's tokens, will not influence the price.