What is Wombat Exchange?

Wombat Exchange is a decentralized exchange aimed to address users’ stablecoin trading needs. It allows users to improve the capital efficiency on the BNB chain with the following features:

• Make the algorithm more gas efficient
• Allow single-sided liquidity provision
• Get rid of the same-liquidity constraint for assets in the same pool

What makes Wombat unique?

There’re four significant benefits that Wombat brings:

• Scalable Equilibrium: Innovate coverage-ratio-based stableswap mechanism to remove scalability barriers, which allows the possibility of achieving 100% capital utilization with no impermanent loss.
• Slippage minimization: Wombat adopts the asset-to-liability model; slippage is negated until higher transaction amounts and reduced when it occurs.
• User-Friendly UI/UX: Simple and accessible interface with pure single token pool design.
• Foundation for DeFi to build upon: A pure single-token pool design enables single-token LP tokens, ideal for borrowing and lending protocols and trading platforms to build on top of.

How Wombat Exchange works?

Wombat uses Coverage Ratio to manage the its liquidity pool. This feature makes it possible for the project to offer rhe best slippage and single-sided Staking since our Liquidity Pools can reach and maintain equilibrium much easier than our market peers.

Consider the following example:

The initial BUSD Liquidity Pool contains 1000 BUSD (i.e. there will be 1000 amount of assets and liabilities). Assuming the protocol received a deposit of 200 BUSD from the user before being swapped for 400 BUSD to USDT.

When 200 BUSD is deposited, both the asset and liability increase by the same amount since Wombat has gained BUSD for swapping (asset) and owes BUSD to the depositor (liability), the coverage ratio of BUSD is unchanged. When the swap occurs, 400 USDT will be put into the pool and 400 BUSD taken out, this action will increase the coverage ratio of USDT and BUSD is decreased.

Yield Farming

Wombat’s protocol uses WOM to incentivize users to provide liquidity. Users can stake stablecoins and get WOM as rewards

Invariant Curve

Invariant Curve gives Wombat advantages including:

• The number of assets in a pool is unlimited. One can add and remove assets on the fly.
• The weight of assets is flexible. A protocol can emit more rewards to a token in the pool with higher buy pressure to selectively deepen liquidity.
• Users can provide single-sided liquidity.

Wombat (WOM) Token

Token Metrics

• Token name: Wombat Exchange
• Ticker: WOM
• Blockchain: BNB Chain
• Contract: 0xad6742a35fb341a9cc6ad674738dd8da98b94fb1
• Circulating Supply: 22.482.592
• Total Supply: 1.000.000.000

Tokenomic

Token Allocation

• Private Sale: 7.5%
• Strategic Sale: 3.0%
• PancakeSwap IFO: 2.8%
• Syrup Pools: 0.6%
• Binance Seed: 5.0%
• Binance Partnership: 15.0%
• Team: 20.0%
• Liquidity Incentive: 20.0%
• Marketing: 0.1%
• Treasury: 26.0%

Token Sales

Token Use Cases

• Incentivize uses to provide liquidity
• Staking
• Governance

veWOM

veWOM is a token based on the escrowed voting model. Users can lock WOM for a period from 7 days to 4 years to receive veWOM. The longer the WOM lock time, the more veWOM users will receive.

By owning veWOM users can receive additional WOM from Boosted Pool, a feature created to incentivize users to invest in the project long-term by rewarding users who provide liquidity as stablecoins to the protocol when also holds veWOM.

• Users can have multiple locking positions (up to 10,000) with different locking periods and WOM amounts
• Maximum veWOM held with a deposit equals 1x WOM staked for the deposit
• After the expiration of a position, users can redeem WOM anytime. However, once redeemed, the respective veWOM is burned. i.e., your veWOM balance will continue to boost your rewards after lock expiration unless you redeem the underlying WOM
• veWOM is not transferable or tradable

Roadmap

Q1 2023

• Multichain deployment
• Crosschain deployment with de-peg protection

Team

Backer

Wombat Exchange has raised $9.45M to build and develop the project from many investors in the market such as Animoca Brands, Hailstone Ventures, Binance Labs, Jump, Wormhole, GSR,…

Wombat Exchange FAQ

How to buy Wombat (WOM)?

Currently, users can only buy WOM on DEX exchanges of the Binance Smart Chain ecosystem such as PancakeSwap, 1inch, Matcha.

Should invest in Wombat Exchange?

Wombat is showing itself to be an important piece of the BNB Chain ecosystem, as it effectively uses capital for users. Curve Finance on Ethereum has always been a top important protocol so Wombat can be considered as the missing element for better cash flow in BNB Chain.

However, to invest, users should have appropriate strategies to take advantage of all the features that the project offers.