Zenlink 4Pool & AstridDAO Tutorial
Zenlink 4Pool & AstridDAO Tutorial: brief AstridDAO introduction and tutorial for BAI and decentralized money market.
Zenlink DEX protocol is the underlying unified and universal cross-chain DEX protocol, enabling parachains to have DEX functionality and quickly share liquidity with other parachains.
In addition, the Zenlink DEX aggregator can connect to all DEX dapps on Polkadot, which together form the Zenlink DEX network with total liquidity.
Great! But how does Zenlink benefit me?
As a Zenlink user, you can access the ecosystem’s total liquidity. You can enjoy low fees, low slippage, and a high-speed trading experience.
Furthermore, you get a perception-free cross chain. In other words, we’re moving closer to the Web3 vision of seamless interoperability between chains. As a result, Zenlink provides you with a natural and convenient cross-chain transaction experience without perceiving multiple chains.
Finally, you get a rich composability DEX experience. Specifically, composability in blockchain technology means developers can freely use and integrate code from other applications into their products. This is because smart contracts — which control application logic — are open-source and available to the public.
In Zenlink’s case, each parachain can build a DEX with its characteristics by connecting to the Zenlink DEX module. As a result, you can easily experience different types of DEXs from Zenlink’s platform.
What is 4pool?
4pool on Astar Network is a specific form of the stable pool comprised of four stablecoins: USDC, BUSD, DAI, and BAI.
When you borrow $BAI from AstridDAO, you can add liquidity to 4pool on Zenlink and stake 4pool LP tokens to the LP Farm on Zenlink to earn rewards.
In short, you can go on 4pool and…
1. Add liquidity to get LP tokens, and then
2. Stake your LP tokens.
Additional tutorials:
- Tutorials: To learn more, please look at this 👉 tutorial.
- For 4pool farming, here’s a 👉 separate tutorial.
Why is 4pool important?
In the standard stable swap design, there are basepools and metapools. The basepool is the largest stablecoin liquidity pool, holding only the three to four biggest stablecoins (e.g., USDC-BUSD-DAI-BAI 4pool). And metapools allow for one token to trade with the basepool.
Stablecoins in the basepool have the best price stability and least system risk in the ecosystem. Additionally, the stablecoins listed in the basepool will have the most significant stablecoin liquidity and most transaction volume since all transactions in the metapool go through the basepool.
This also provides stablecoin holders in the basepool with the best yield opportunity and smoothest user experience. Their vision is to build USDC-BUSD-DAI-BAI 4pool as the basepool for the Astar ecosystem and further expand the BAI universe.
About ZenLink
Zenlink is the one-stop shop for trading Polkadot assets. In addition, it’s the DEX composable hub between all parachains.
About AstridDAO
AstridDAO is the multi-collateral stablecoin on Astar Network and for the Polkadot ecosystem. AstridDAO allows users to use risk assets as collaterals and borrow $BAI, a USD-pegged stablecoin at a minimum collateral ratio and 0% interest rate.
SOURCE
https://medium.com/@astrid_dao/zenlink-4pool-astriddao-tutorial-for-new-users-13bf684be770
