StellaSwap On Moonbeam Network: %20 APR For Stable Coin Pairs

Moonbeam network caught my attention yesterday while I was reviewing the coins that gained the most value in the last month. I knew that Moonbeam, one of Polkadot's parachains, has a mission to enable Ethereum assets to be used on the Polkadot network. While it has become popular recently, I decided to examine the network and possible investment opportunities in it.

Polkadot is one of the Layer 0 blockchains along with Cosmos. Blockchains such as Bitcoin, Ethereum, Hive, etc. are called Layer 1. Layer 0 blockchains provide easy and secure communication between Layer 1 blockchains. Layer 1 blockchains in the Polkadot ecosystem are called parachains. The newly established blockchains are participating in the Polkadot slot auction to take part in one of the slots on the Polkadot network. Thus, they can take advantage of the security features provided by the Polkadot network. Moonbeam has a mission to combine the interconnectivity features provided by Polkadot with the smart contract functionality provided by Ethereum.

The mainnet of the Moonbeam network was launched in January 2022. According to Defillama statistics 140 million USD TVL has been generated on 20 DEFI dapps operating on the network. The most popular of these dapps is Stellaswap.

The cryptocurrency of the Moonbeam network, GLMR is still in 95th place in terms of market capitalization, according to Coinmarketcap data. Moonbeam is a network that can be added to Metamask wallets as it is developed on the substrate. It offers a user experience similar to Ethereum, Polygon, and BSC chains.

Money can be transferred to the Moonbeam network in several ways. The first is to purchase GLMR from Binance and send it to our Moonbeam added Metamask wallet. Or it is possible to transfer Matic, BNB, Eth, Atom from networks such as Polygon, BSC, Ethereum, Cosmos using Stellaswap Bridge. GLMR is needed to pay transaction fees on the network. There are transaction fees such as 10-15 cents on Moonbeam.

I mentioned that Stellaswap is still the most popular DEFI app of Moonbeam Network. As Stellaswap is a new app, it still offers APRs well above the market average. These returns may continue for a while, as the app's cryptocurrency Stella is staked by users as xStella. CertiK audit of the application has been completed.

The most remarkable return option offered by the platform is the 20% APR for stable coin pairs. Those who believe in the potential of the GLMR coin can earn between 100% and 200% by investing in pools containing GLMR.

For the first time, I have transacted on a blockchain in the Polkadot ecosystem through Moonbeam. The transaction time is a bit slow compared to other EVM blockchains, but it has interesting features like a native bridge.

Similar to how Kusama is used as Polkadot's testnet, Moonriver functions as a kind of testnet for Moonbeam. The features developed on Moonriver are carried over to Moonbeam. Therefore, in the coming months, we can see that many innovations originating from the Polkadot network are activated on the Moonbeam.

Conclusion

In this article, I tried to introduce you to a new network and DEFI application that I experienced. Although the amount of investment I made was small, I liked to step into the world of Polkadot. In addition, the investment options offered on Stellaswap are attractive.

I am not an investment advisor, you better make your investments in line with your own research.

Thank you for reading.

Posted Using LeoFinance ^Beta