DeFi “cleaner” Poop: Recycle users’ worthless coins and aim to achieve “only rise and no fall”DeFi project aims to recycle valueless coins to achieve growth with no fall.
Author: Nancy, BlockingNews
Amidst the crypto bear market, various assets have suffered significant devaluations, leading investors to open their wallets in defense. During the recent Meme season, while most Memecoins went to zero overnight or Rug pulled halfway, the unconventional NFT liquidity solution JayPeggers attracted attention for its concept of “only rising, not falling” and “tax-loss harvesting,” but the project ultimately had low participation due to its niche concept and lack of growth mechanisms.
Recently, BlockingNews discovered an upgraded version of JayPeggers in the DeFi market. In addition to its flagship “only rising, not falling” feature, Poop has also proposed an innovative “Shitcoin Recycle” mechanism, aiming to become the “cleaner” of the DeFi field.
Can Shitcoins Return to Value?
In the movie “Hi, Mom,” Wang Duoyu randomly invested in sunset industry stocks and lost a billion yuan, while Zhuang Qiang and Da Congming’s unfinished building suddenly turned into a school district house and earned 1 billion yuan, and Wang Duoyu spent 10 million yuan to play soccer with Hengtai and received a 100 million yuan donation.
- Can OP Stack, the competitor launched by zkSync, win the battle of L2 scaling?
- Deep | Former Harmony Employee Reveals Management Chaos Behind the Struggling Public Chain
- Can OP Stack, the competitor launched by zkSync, win the L2 scaling battle?
However, in the real world, stories of junk assets turning into phoenixes are rare. Especially in the crypto bear market, many projects have begun to show their true colors after the liquidity feast, and their actual value has been greatly discounted, causing investors’ assets to shrink significantly. The return cycle of these investment targets is long, and it is unknown whether they can survive in the long bear market.
There is a saying on Wall Street: “stop losses and let profits run.” The Shitcoin Recycle function of the DeFi protocol Poop fully utilizes the residual heat of these assets by “recycling” these low-liquidity or even zero-value crypto assets in the hands of investors. After all, the possibility of these long-tail and illiquid assets returning to value is already slim.
According to official documents, the Shitcoin Recycle function allows users to burn any type of token and obtain $POOP as a reward through Swap, supporting more than 100 crypto assets. When the liquidity of a Shitcoin is ≥ the minimum required liquidity, the Recycle protocol will convert the Shitcoin into an L1 Coin through a smart router and then purchase $POOP with L1 Coin. When the liquidity of a Shitcoin is < the minimum required liquidity, the user needs to pay the fee for L1 Coin (which is 0.001 BNB for the minimum required liquidity), and then the Recycle protocol will recycle these Shitcoins, and the user will receive $POOP as a reward.
Users can purchase $POOP directly with Layer1 tokens (such as BNB and ETH) through Poop. As the core of the Poop operating model, $POOP uses an excess collateral elastic supply mechanism to ensure stable liquidity support, ensuring that $POOP only rises in price compared to Layer1.
Specifically, the minting and burning of $POOP are supported by deposits and withdrawals of L1 tokens into the backing vault. When $POOP is bought or sold, a fee is charged from each transaction, which ensures that the growth rate of Layer1 tokens in the vault is always greater than the total supply of $POOP. The more contract transactions there are, the more Layer1 tokens there are in the vault, and the faster the price of $POOP rises. Even if users sell $POOP, these tokens will be burned directly, and the value of $POOP can still increase. In addition, Poop supports users staking $POOP to earn rewards.
Poop charges users a 10% fee when minting $POOP or burning Shitcoin, of which 60% goes to the Poop vault, 10% is used for referral rewards, 18% is used for incentive programs (LP staking reward 8% + futures allocation 10%), 10% goes to the team, and the remaining 2% is distributed to contributors.
For example, when a user pays 1 BNB to mint $POOP, 0.9 BNB will be used for minting and will flow into the vault, while 0.1 BNB will be used for taxes, of which 60% will be used to support the vault and the remaining 40% will go to the development fund. This means that the vault has increased its collateral by 0.96 BNB, which exceeds the value of 0.9 BNB of the $POOP minting, ensuring an increase in the price of POOP/BNB. The same mechanism applies to burning.
Comes with Meme gameplay and will expand to other markets such as Ethereum in the future
With the entertainment element and network effect, Meme has evolved into an important cultural expression and has brought encrypted assets to a broader audience. In the design of Poop, Meme elements are also deliberately incorporated. In addition to the absurd and funny appearance that is more easily accepted by users, it also tries to generate emotional resonance with investors.
In fact, the value of Meme depends largely on its spread. In order to achieve the cold start of the product, Poop has launched a recommendation program with incentives.
After the user becomes a referrer, they can earn 10% of the income when the invited user performs any transaction on Poop. All rewards will be automatically sent to the user’s address in the form of Layer1 tokens. For example, if an invited user buys $POOP worth 10 BNB through the Poop platform, they will generate 1 BNB in revenue, and the referrer will receive a reward of 0.1 BNB.
It is worth mentioning that unlike VC platform projects with high FDV, $POOP has no pre-sale or investors. It will be on sale for a limited time at 20:00 on June 28th Beijing time, and publicly sold at 21:00. This fair method will attract more users to participate.
It should be noted that Poop was created by an anonymous team, which claims to be composed of experienced DeFi developers and crypto Degens, and has been audited by security institution Peckshield. According to Poop’s plan, after BNB Chain, it will also be launched on Ethereum, Arbitrum, Optimism, zkSync, and Polygon, covering more assets and user groups.
Overall, mathematics, code, culture, and solid liquidity are the elements that Poop uses to create a new paradigm in encryption. Whether Poop can enable Shitcoin to re-implement “value landing” and create a sustainable Meme effect still needs to be verified over time.
Poop official website: https://poop.fi/
- Introduction to ZK Stack by Matter-Labs – Building a modular framework for ZK-powered sovereign chains
- Application of liquidity in PoS: Examples of Berachain, Tenet, and Mangate
- Inventory of 11 Celebrity Cryptocurrency Scammers: Jake Blockingul, Floyd Mayweather, John Wall…
- Application of Liquidity in PoS: Examples from Berachain, Tenet, and Mangate
- Interpretation of How to Earn Profits with PENDLE
- Introducing two new NFTs launched this week: Ether and Azuki Elementals.
- The Ethereum team has tentatively scheduled the launch of a new testnet called Holešky on September 15th to replace Goerli.