What is Maple (MPL) | What is Maple token | What is MPL token
In this article, we’ll discuss information about the Maple project and MPL token
About Maple
Maple is a decentralized corporate credit market. Maple offers borrowers transparent and efficient financing completed entirely on-chain. For liquidity providers, Maple offers a sustainable yield source through lending to diversified pools of crypto’s premium institutions. The Pool Delegates that manage these pools perform diligence and set terms with Borrowers.
The protocol is governed by the Maple Token (MPL), which enables token holders to participate in governance, share in fee revenues, and stake insurance to Liquidity Pools.
Users can access fixed-income yield opportunities on Maple by depositing capital into Liquidity Pools. These Liquidity Pools are managed by experienced investors, known as Pool Delegates.
Institutional Borrowers looking for transparent and efficient financing on-chain can request capital on Maple and leverage their reputations to borrow under-collateralized without constant fear of liquidation and margin calls. Pool Delegates conduct due diligence and agree terms with Borrowers before funding loans from their designated Liquidity Pool. Liquidity Providers earn a sustainable yield through diversified exposure to crypto’s premium institutions and enjoy a set-and-forget solution as diligence is conducted by Pool Delegates.
How it Works
Balancer is a decentralized trading protocol built on Ethereum. It can support liquidity pools of up to eight assets and pools with variable weightings. In March 2020, Mike McDonald from the Balancer team introduced the idea of Liquidity Bootstrapping Pools (LBPs). In September 2020, Perpetual Protocol became the first team to leverage a LBP when it launched $PERP.
Balancer LBPs offer protocols flexibility as they can supply an unbalanced ratio of tokens (e.g. 80:20 XYZ:USDC). The pools are designed to avoid front-running. By starting at a high initial price that gradually descends over time, participants are incentivized to wait until the price falls during the distribution period. For example, Perpetual Protocol started with a PERP:USDC 90:10 pool and then slowly adjusted it to a 30:70 pool over a three day period, enabling the price to come down gradually.
How to Participate in the Maple LBP
If you are not familiar with the Maple protocol, we first recommend reviewing the following articles before participating:
Preparing for LBP
To participate in the LBP, you must connect a Web3 enabled cryptocurrency wallet to Balancer. Balancer currently supports MetaMask, WalletConnect, Portis, Coinbase Wallet, and Fortmatic.
Once you have set up your wallet, you will need to prepare the following cryptocurrencies:
- USDC to exchange for MPL
- ETH for gas costs
The Maple LBP will be comprised of two assets: MPL and USDC. While other tokens will be accepted for the swap, we recommend preparing USDC to exchange for MPL. If you swap using other tokens, you may face a higher price as Balancer’s “multihop” across pools will incur transaction costs while converting your token to USDC.
Participating in the Maple LBP
On April 28, the Balancer LBP will go live at 4:30 PM EST. At this time, the Maple LBP page will become available for swaps. Below is a preview of the landing page on Balancer.
The landing page features a live MPL price chart. This allows users to know the current price and past price trends.
While executing a transaction in the Balancer pool, we recommend allowing for higher slippage, to ensure that your transaction goes through (see image below).
Once your wallet has updated your transaction status from “PENDING” to “SUCCESS”, your MPL tokens should be available in your wallet.
If you cannot see your MPL token in your Metamask wallet, you can manually “add token” by pasting this token contract on MetaMask:
- Token Contract Address: 0x33349B282065b0284d756F0577FB39c158F935e6
- Token Symbol: MPL
For another helpful walkthrough of participating in an LBP please see this post from PERP protocol.
MPL Token
MPL is the Maple Finance ERC-20 native token. It serves three roles: governance, staking, and a share in network fees.
Governance
As the Maple protocol moves towards full decentralization, MPL holders will be responsible for governance. MPL holders can submit and vote on proposed changes to the protocol, including adjusting fees, minting or burning MPL Tokens, and other protocol level changes. If MPL holders don’t want to participate in governance themselves, they’ll have the option to delegate their voting rights.
MPL holders can also vote on distributing fees that have accrued to the Treasury. While this amount will be negligible at launch, it will grow as protocol usage grows. For reference, Curve’s treasury is already dispersing millions of dollars of grants to its community.
Staking Liquidity Pools
MPL holders can provide default insurance to a Liquidity Pool - thus earning a share of the Ongoing Fees - by staking their MPL tokens. MPL holders will stake a combination of MPL and stablecoins into a Balancer Pool, and then stake that Balancer Pool Token (BPT) on a specific Liquidity Pool. In order to align incentives, Pool Delegates are required to stake on any pools they manage.
It’s important to note that staking carries some risk - in the event of a collateral shortfall, the protocol will liquidate staked tokens in order to cover the difference between the value of the collateral and the Loan balance.
Each Liquidity Pool on Maple will have customisable Ongoing Fee parameters set by the Pool Delegate. These include, 1) what percentage of the interest yield is charged as the Ongoing Fee, and 2) how much of this Ongoing Fee goes to the Pool Delegate and how much goes to MPL holders staking _that _specific Liquidity Pool.
Network Fees
MPL holders earn a portion of the fees that Borrowers and Liquidity Providers pay to the Maple protocol. All Maple Token Holders earn a share of the Establishment Fee which is accrued to the Maple Treasury and distributed periodically. This fee is paid by Borrowers when their loans are funded and is shared between Pool Delegates and Maple Token Holders.
MPL holders do not need to stake their MPL in order to earn their share of the Establishment Fee. If MPL holders want to earn additional fees via participation in the Ongoing Fee paid by LPs, they can stake their tokens (see above).
You can view the MPL Scenario Calculator here.
MPL Distribution
Total Supply: 10,000,000 MPL
How and Where to Buy Maple (MPL)?
You will have to first buy one of the major cryptocurrencies, usually either Bitcoin (BTC), Ethereum (ETH), Tether (USDT), Binance (BNB)…
We will use Binance Exchange here as it is one of the largest crypto exchanges that accept fiat deposits.
Binance is a popular cryptocurrency exchange which was started in China but then moved their headquarters to the crypto-friendly Island of Malta in the EU. Binance is popular for its crypto to crypto exchange services. Binance exploded onto the scene in the mania of 2017 and has since gone on to become the top crypto exchange in the world.
Once you finished the KYC process. You will be asked to add a payment method. Here you can either choose to provide a credit/debit card or use a bank transfer, and buy one of the major cryptocurrencies, usually either Bitcoin (BTC), Ethereum (ETH), Tether (USDT), Binance (BNB)…
Step by Step Guide : What is Binance | How to Create an account on Binance (Updated 2021)
Next step - Transfer your cryptos to an Altcoin Exchange
Since MPL is an altcoin we need to transfer our coins to an exchange that MPL can be traded. Below is a list of exchanges that offers to trade MPL in various market pairs, head to their websites and register for an account.
Once finished you will then need to make a BTC/ETH/USDT/BNB deposit to the exchange from Binance depending on the available market pairs. After the deposit is confirmed you may then purchase MPL from the exchange: balancer.exchange
The top exchange for trading in MPL token is currently …
There are a few popular crypto exchanges where they have decent daily trading volumes and a huge user base. This will ensure you will be able to sell your coins at any time and the fees will usually be lower. It is suggested that you also register on these exchanges since once MPL gets listed there it will attract a large amount of trading volumes from the users there, that means you will be having some great trading opportunities!
Top exchanges for token-coin trading. Follow instructions and make unlimited money
☞ https://www.binance.com
☞ https://www.bittrex.com
☞ https://www.poloniex.com
☞ https://www.bitfinex.com
☞ https://www.huobi.com
Find more information MPL
☞ Website ☞ Source Code ☞ Social Channel ☞ Social Channel 2 ☞ Social Channel 3 ☞ Message Board ☞ Documentation ☞ Coinmarketcap
🔺DISCLAIMER: The Information in the post isn’t financial advice, is intended FOR GENERAL INFORMATION PURPOSES ONLY. Trading Cryptocurrency is VERY risky. Make sure you understand these risks and that you are responsible for what you do with your money.
🔥 If you’re a beginner. I believe the article below will be useful to you
⭐ ⭐ ⭐ What You Should Know Before Investing in Cryptocurrency - For Beginner ⭐ ⭐ ⭐
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