Earn Interest on Crypto with the Highest APR from Covo DeFi Pools

ATLANTA, Jan. 18, 2023 /PRNewswire/ – Covo Finance is a 100% decentralized spot and perpetual exchange that enables users to trade major cryptocurrencies such as Bitcoin, Ethereum, and Chainlink tokens directly from the user's crypto wallets. COVO Finance supports low trading fees and zero price-impact trades for assets resembling the functionalities of top centralized exchanges, while perpetual futures trading is available with up to 50x leverage. With its low swap fees and zero price impact trades, COVO is among the fastest-growing spot and perpetual DEX on the Polygon network.

Covo Finance utilizes a new mechanism for its 'COVO Pool' to match all platform trades while maximizing yields to allow users to earn interest on crypto.

How Does COVO Pools Work? 

The trading on the platform is facilitated by a multi-asset pool called COVOLP. It consists of 50-55% stablecoins, 25% ETH, 20% BTC, and 5-10% other top altcoins, such as Chainlink and Uniswap. The liquidity is added when users mint COVO Liquidity Provider Tokens (COVOLP). In exchange for minting COVOLP, they earn 70% of all fees generated from trades on the Polygon blockchain. Contrary to some liquidity pools, COVOLP suffers no impermanent loss. Anyone can become a supplier of this liquidity pool and, in return, earn fees. And users who want to trade perpetual swaps or spot can do it using the assets from Pools.

To Earn Interest on Crypto, Follow these 3 Easy Steps:

• Bridge Your Crypto to Polygon Chain Using Bridges such as Multichain.
• Buy COVOLP Tokens with your preferred crypto, including BTC, USDC, etc.
• Earn 70% of all fees generated from trades without any 3rd party custodian risk.

The COVOLP token can be minted using any index asset, including BTC, ETH, USDC, etc., and burnt to redeem any index asset. Unlike the COVO token, it is automatically staked and not transferable. Moreover, the COVOLP pool is a counterparty to the traders; as COVOLP token holders provide the liquidity used for leverage trading, they profit when traders lose — and vice versa.

Apart from trading fees revenue, historically, according to statistics, day traders have lost more than they have profited, which will result in a net increase in COVOLP value. To maintain the pool's composition ratio, liquidity providers are incentivized to mint COVOLP with assets currently underweighted in the pool based on its current composition. Similarly, when redeeming COVOLP for any of the index assets, liquidity providers are rewarded for selecting to receive assets currently overweight in the pool: COVOLP is constantly being rebalanced by COVOLP minters and redeemers.

COVO Finance is known for its model, which aims to maximize the efficiency of capital locked in the protocol to facilitate spot and perpetual trading. Unlike most DEXs which use multiple single-asset pools,

What is the COVO Token?

The COVO token is a utility and governance token. Token holders can use it to vote on proposals to help decide the exchange's future direction. The token holders who stake their COVO also get three other rewards, which the protocol uses to reward users. Firstly, 30% of all generated protocol fees are distributed to COVO stakers. These fees are collected from market making, swap fees, and leverage trading and are paid in Matic. Secondly, the stakers earn escrowed COVO (esCOVO) tokens. These esCOVO tokens can be either staked for rewards or vested. The tokens get converted back into COVO every second with 100% conversion in over 12 months when a User chooses to vest their esCOVO. Therefore, esCOVO emissions are a form of locked staking that prevents inflation and people from immediately selling their COVO. Lastly, stakers earn Multiplier Points that boost their yield and reward long-term holders without contributing to token inflation. These dual incentives stimulate commitment to COVO and further the platform's decentralized ownership. The COVO token has a maximum supply of 210 million, with 165 million tokens added to UNISWAP Liquidity for trading and the remaining tokens reserved for staking rewards.

COVO Finance provides a simple-to-use platform that puts users' money security at the forefront while offering a wide range of tokenization, trading, and revenue-generation services. By staking COVO in the COVO ecosystem, users can benefit from price appreciation and high liquidity incentives, rewards, and Multiplier Points, furthering DeFi adoption and the broader cryptocurrency market. With COVO, users can truly unlock the potential of decentralized finance for different high-risk (and high-gain) strategies, which until now were only available on centralized exchanges.

Learn more about COVOLP or Trade crypto with 50X Leverage

Media Contact:
Covo Finance
Email: contact@covo.finance
Website: https://covo.finance