** Not Financial Advice. Please do your own research before investing**
Pylon Protocol (Lossless Investments)
Ever see how VCs and CT influencers participate in the pre-sale of a particular project at a really low price only to see it skyrocket once the tokens are released to the public? You are probably thinking how can you ever join a pre-sale other than getting selected as a lucky user or through a whitelist. If only there was a way for you to deposit your $ and receive the project's native token and at the end of the vesting period, you get back your initial deposit on top of the tokens.
Wait a minute! Does this sound like a lossless investment opportunity?! This is where Pylon Protocol comes in. Pylon is built on the Terra ecosystem and is currently an IDO launchpad for Terra projects. However, there are numerous use cases for Pylon which will be introduced in the future. After all, who doesn't want to make a lossless investment! Do take a read to learn more about Pylon here.
Lossless Investments?
Before you mention that this is definitely a scam, check out my other article on Anchor Protocol to gain an understanding of how Pylon can afford to provide your initial deposit back.
By utilising Anchor in the backend, investing in Pylon projects is like holding a bond. You lend out your principal amount and instead of receiving your interest, you earn the project's token. Also, since you deposit $UST, Terra's native stablecoin, the $UST is placed in Anchor to earn a 19~20% interest return. This means that in exchange for earning the Anchor's interest, you gain the tokens instead.
For instance, I am currently invested in the Pylon Pool where I am earning $MINE tokens. At the end of the vesting period, I will be getting back my $UST amount plus the accumulated $MINE rewards. This is a very easy process where anyone can participate in!
Here, we have another project called Terra World launching on Pylon. You can see that there are different pools with different vesting periods which is similar to how VCs participate in pre-sales. This is a much better way for us retail investors to have a chance of being able to be early investors.
Pylon Token ($MINE)
Like all projects, Pylon has its own native token too called $MINE. Other than the usual use cases such as staking and liquidity pool where stakers get to vote on governance etc. Staking $MINE provides extra incentives such as potential airdrops from projects, higher capital allocation when participating in presales (Pylon Swap) and more benefits in the future!
Closing Thoughts
Personally, I am invested in the Pylon platform as I enjoy looking out for promising projects and would want to invest early. As Pylon is relatively new, having launched in June 2021, the number of projects that would want to launch on Pylon will only increase from there. Currently, there are 2 more projects awaiting Pylon.
I believe that the Pylon team is expanding beyond just being an IDO launchpad where investors and creators can come together on Pylon which benefits everyone. You can check out this thread to see how Pylon can be utilised in the future.
Hope you enjoyed this article! Cheers :)