Currently there is a new exciting DeFi project Velo with its token VLO. Velotoken still collects liquidity and makes it so easy to get VLO in a fair way. VELO Token (VLO) refers in its concept to advantages of already successful DeFi protocols.
In the crypto year 2020, DeFi is undoubtedly the topic of the hour alongside the again strong Bitcoin (BTC). Those who were on the ball early on in projects such as SUSHI or UNI were able to rejoice over large profits. Velotoken (VLO) is one way to get involved in a promising project in good time. According to Velo Token, they want to combine already successful DeFi protocols with a sophisticated tactic and refine them with additional details. Until December 2, 2020, Velo Token still has VLO as a direct incentive for providing liquidity.
Velo Token (VLO) – this is how the start-up phase works
Entry point for Velotokens is this webpage. Here you can connect your wallet and deposit funds in various crypto currencies as liquidity. As a reward you will get VLO by farming until the actual launch. Velotoken will distribute all generated 100 million VLO to the early participants in this launch phase. There was neither pre-mining nor any other kind of specially reserved VLO for the anonymous founders of the project. This means that when VLO is freely traded from the beginning of December, there will be a reward for those who have already received VLO.
Velotoken has already collected a good 2.6 million US dollars in liquidity. VELO is based on a mixture of Compound (COMP), Ampleforth (AMP) and YAM. The special highlight: so-called rebasing is intended to ensure stable positive price development of VLO by relating the amount of circulating VLO to its use. The simple example from the real economy: The 10 Euros I give a bartender as a tip is used by him to pay the cab driver – who in turn orders a pizza for 10 Euros. So 10 euros have become 30 euros in the cycle that Velotoken calls Velocity.
Risks with VLO
Velotoken assures that its Smart Contracts have been checked intensively for possible errors and, whenever possible, already proven codes are used. The codes of Velotoken can be viewed here at Github. However, this procedure cannot provide a 100 percent guarantee against errors, and DeFi in general is not always free from the risk of loss. The advantage of Velotoken is that the project will be handed over to the community with the launch of the project. The community will use VLO as a ballot, aka Governance Token, to decide on future developments.
Conclusion: DeFi made in Austria – attractive Velotoken VLO
Does the crypto scene still need a DeFi token? Velotoken means “yes” and has a good argument for this with rebasing from VLO. The automatically formed reserves in Ethereum (ETH) are another candy in the concept. VLO is still practically worthless, but this should change at the start of trading. For those who are already somewhat familiar with DeFi, VLO could be a good opportunity not to miss the potentially lucrative start-up phase – which Veletoken modestly calls an “experiment”.