repost of an article published in Medium:
Two weeks ago, we announced that OpenPredict will use the raised funds not deployed to operational needs, a sum of $135,000, towards yield farming Curve. The reason we did this is to make sure our community does not have to make a difficult decision between holding and enjoying the yield farming boom.
Today, we distributed the first round of LP rewards. The CRV farmed was market sold, and then OPT was bought from the market. This OPT was distributed to the community.
This means the LP rewards are non-inflationary. Tokens already in circulation are being bought, and then distributed to the community liquidity providers.
How much did the LPs Make?
The Uniswap fees the LPs received over the past 2 weeks summed to an APY of nearly 22%. Meanwhile, the additional OPT they received is at an astounding APY of 208%. This means the net APY of the first 2 weeks of LP rewards totaled 230%. This is a great start to the program!
This means OPT liquidity provider’s are receiving nearly 80% yield, none of which comes in the form of new OPT tokens! They are earning more circulating OPT (+ USDT/ETH).
This is the net yield so there may be some variance between ETH and USDT liquidity providers, but the number will be close to 230%, even though 1 of them may be a bit higher than the other. The program will continue and the next distribution will take place after 2 weeks, again. Distribution remains biweekly rather than daily or weekly due to high gas fees.
Users whose LP rewards were less than 10 OPT will have their rewards deferred to the next round due to high gas fees eating up too much of their reward.
About OpenPredict Protocol
OpenPredict Protocol creates liquid options for hedging against the price risk of assets staked in DeFi protocols. These options are minted into tokens, enabling first-ever options that are not siloed to a single exchange. This adds a powerful new “money lego” to the DeFi market, one that brings a financial instrument for security against market volatility.
The project’s product-focused roadmap merges the three most successful product markets in the crypto market: predictions, DeFi, and trading.
Telegram Chat: https://t.me/openpredict
Telegram Announcements: https://t.me/OpenPredictAnnouncements