Meet again with me Wahyu Nahrul on the other Steemit Crypto Academy homework. Today I will be working on homework given by one of our professors @sapwood.
The homework given by our professor this week is about Sun.io and Sunswap.
Okay, just get to the discussion. Happy Reading !!
Various Features of Sun.io
Sun.io is a decentralized platform that exists on the Tron Blockchain ecosystem. The Sun.io platform was created to assist users on the Tron Blockchain in carrying out various activities related to Blockchain and cryptocurrencies, while the main goal of making Sun.io is as the first platform on the Tron Blockchain that allows stablecoin exchange, stake-mining, self-governance.
To realize all the goals of this platform, Sun.io has developed and become a platform that has various excellent features that are very unique to the entire Tron ecosystem. These features include:
1. Swap Stablecoins
The first feature that stands out on Sun.io is the exchange feature between Stablecoins. There are 4 types of stablecoins that can be swapped on Sun.io, namely USDT, TUSD, USDJ, and USDC. All of these stableoins can be exchanged quickly and easily without the need for pending orders because they do not use the order book system like the one in CEX.
2. SUN Pools
The next feature is the SUN Pools feature, this feature allows users at Sun.io to participate in providing a liquidity pool where they will later get rewards from the Pools they share and they will also get LP Tokens which they can stake later. There are 2 types of Pools available on Sun.io namely 3pool and USDC.
3. Swap Tokens On Sunswap
The next feature is on the Sunswap.com website. At Sunswap users can swap between TRC-20 tokens very easily and quickly. This feature is almost the same as the Swap Stablecoin feature that I explained earlier, but in this feature the type of token that can be swapped is not Stablecoin but all TRC-20 Tokens.
4. Participate In Pools
On the Sun Platform, users can participate in the liquidity pool to swap tokens on Sunswap. Everyone can add liquidity by choosing the liquidity token pair he wants for example NFT-TRX, SUN-TRX, etc. There are currently more than 100 liquidity pairs available at Sunswap, which can be selected according to the wishes of the Liquidity Providers. Then there are several Liquidity pairs where the LP Token can be staked and mined like the SUN-TRX LP pair.
5. LP Pools
In this feature, users can use the LP Token that they got from providing Pool Liquidity that they did previously to do Liquidity Mining, so far there have been more than 8 million TRX staked in all Liquidity Mining and there are a total of 9 pairs of Mining Liquidity provided by Sunswap, the details will be explained in the next discussion.
Scan feature is a feature that shows details of all activities that occur on the Sun.io and Sunswap platforms. We can see details such as number of pairs available, pair liquidity, trading volume on each token pair in the last 24 hours and 7 days and we can also see how much fee was collected on each trading pair in the last 24 hours.
7. SUN Swap
The next feature is the SUN Swap feature. This feature is a place where users can exchange old SUN tokens, namely SUNOLD, into new SUN Tokens. As we know that the SUN Token has Redenominated Tokens some time ago with a ratio of 1:1000.
8. Burn Sun
In this feature we will be shown how much fee will be taken for each trading pair that will be used to buy back the SUN Token and the SUN Token will be burned to improve the performance of the Token.
This feature will show details of the weight of the Liquidity pools that have been voted on by veSUN holders. This amount of weight will affect how big the percentage of APY that will be obtained in each Liquidity Pools at the time of mining.
In the Stake feature, miners can lock SUN Tokens to get veSUN tokens. This veSUN token can be used for various things such as increasing mining speed, getting voting rights in the voting process on governance features, and veSUN holders will get a reward in the form of TUSD.
In addition, miners can stake the LP Tokens they get from providing Liquidity Pools which they have done in Feature Pools. However, not all LP Tokens can be staked in this feature because there are only 3 Liquidity Pools provided, namely 3Pool LP, USDC LP, and SUN-TRX LP.
LP pools and LP Tokens on Sunswap, Fee Percentage Within 24 Hours To Buy Back and Burn SUN
1. LP Pools on Sunswap
We can get TRC-20 tokens by stake LP Tokens and mining through the LP Pools that have been provided that match the LP Tokens that we have staked. As of the time this article was written, Sunswap has provided 9 types of LP Pools which are distinguished by pairs of LP Tokens for each Pool. For details on the LP Pools available on Sunswap, see the image below.
Of the 9 Pools provided, the NFT-TRX LP pair is the LP Pool that has the largest APY value when this article was written, the percentage of APY offered is 38.11%.
2. LP Tokens on Sunswap
Currently, Sunswap has been upgraded so that it has two versions namely V1.0 and V1.5 and each version has a different set of LP Tokens. In V1.0 the number of pairs of LP Tokens available is 17,499 Pairs of LP Tokens
While in V1.5 the number of pairs of LP Tokens available is 113 Pairs of LP Tokens.
3. Fees in the last 24 hours and which are used to buy back and burn SUN
To see how much Fee has been collected in the last 24 hours on Sunswap, we can see it in the Trading Pair column on the Scan page on Sunswap.com. In this column, data will be provided in the form of LP Token Pair Name, Liquidity, ,Volume (24hrs), Volume (7d), and Fee (24hrs). So we can see the amount of Fee collected for each pair of LP Tokens in the last column and from that data we can find out how much Fee will be allocated to buy back SUN and burn it.
For example, you can see in the image above. I will calculate how much Fee will be charged to pair of LP Tokens SUN-TRX to buy back and burn SUN.
We can see that the amount of Fee that has been collected in the last 24 hours is $31.7086 meaning that the Fee that has been collected from the exchange of TRX and SUN tokens that has been done by people at Sunswap.com is $31.7086. As we know that 5/6 of the total fee collected will be distributed to all Liquidity Providers. Then the remaining 1/6 will be used to buy back and burn SUN.
So, if we take the data that we have obtained and calculate it with simple mathematical calculations, then we will get the following results:
From these calculations we can conclude that the $5.2847 Fund collected from Fees on the SUN-TRX pair will be used to buy back and burn SUN. While the remaining $26.4239 will be distributed to all participating Liquidity Providers.
Staking SUN To Obtain veSUN
Now I will show you how to staking/lock a number of SUN Tokens in order to get veSUN. In this example, I will practice it using an application called "TronLink Pro" which we can download on smartphones via the Appstore or Playstore. So that you understand it properly, pay attention to all the following steps carefully.
Step 1Open the TronLink Pro application on your smartphone, then select the "Discover" menu in the menu options below your smartphone screen.
Step 2Select DApp "SUN" in the DApp option which looks like the picture on the right.
Step 3After you enter the Sun.io start page, select the button with the 2 line symbol in the top right corner of the page.
Step 4After that, various other menu options will appear. Select the 'Stake" menu.
Step 5On that page, click the purple button that says "Lock SUN to get veSUN"
Step 6Enter the number of SUN tokens that you will lock, after that select the time period for locking the SUN tokens according to your wishes. In this example I will lock 15 SUN with a period of 4 years. After that, click on the "Deposit" button at the bottom of the page.
Step 7A notification will appear regarding authorization. This is a security measure where we will always be asked to enter a password for the authorization signing process. We just click "Continue" to be able to continue the process.
Step 8After that, a notification will appear to approve the transaction that we did. Click the "Confirm" button to continue.
Step 9Now we will be asked to enter the transaction password so that our transactions can be processed. Enter the password in the column provided, then click the "Done" button so that our transactions can be processed immediately.
Step 10Another pop up will appear once, a notification this time to confirm the SUN staking process that we will do. Click on the "Confirm" button to continue the process.
Step 11After that, we will enter the transaction password again to complete the SUN token staking process.
Step 12After the whole process is successful, we can see the results of the Lock SUN that we have done on the Stake home page on Sun.io. For example, you can see in the picture on the right, I have locked 15 SUN and got 14.96 veSUN.
From the process of locking the SUN token, we will be charged several transaction fees, namely Bandwidth Fee and Energy Fee. For example, like the SUN token locking process that I did earlier, I was charged a Bandwidth Fee of 379 Bandwidth and an Energy Fee of 474,944 Energy. Because my account does not have enough Energy, as a replacement, the amount of TRX in my wallet was burned to replace the lack of Energy Costs, the amount of TRX that was burned was 132.98404 TRX. To make it clearer, you can see the details of the transactions that I did here.
veSUN stands for Vote Escrow SUN, this is a token that plays an important role in the mining ecosystem on Sun.io. By having veSUN tokens, miners will have several advantages compared to miners who do not have them in the mining ecosystem on Sun.io.
Every miner can have a veSUN token by locking a number of SUN Tokens into the system. The number of veSUN tokens that miners will receive will depend on how many SUN tokens they lock and how long the lock period they choose, the longer the period chosen by the miners, the more veSUN tokens they will get. Currently, the period that miners can choose is 6 months, 1 year, 2 years, and 4 years.
To calculate the number of veSUN Tokens that will be obtained by miners, we can use the following equation:
3-in-1 benefits of veSUN
As I explained earlier, by holding veSUN tokens, miners will get several benefits from mining on Sun.io, while the benefits of holding veSUN tokens include:
1. Earn TUSD
The first advantage of holding veSUN Tokens is that miners can get rewards in the form of the TUSD stablecoin. This reward is given as much as 50% of the fee obtained from the Stablecoin Swap Pool on Sun.io.
When this article was written, the current APY percentage offered from TUSD Rewards is 10.08%.
2. Voting right to decide the weights of liquidity pools
The next advantage of holding veSUN is that miners can directly participate in determining the weight of the liquidity pool on Sun.io. This way they can choose which liquidity pool will get the greatest weight so that they will also get maximum mining results from the mining process they do.
At the time this article was written, the Liquidity Pool that has the largest weight at the moment is SUN-TRX LP with a weight of 48.379% of the total Liquidity Pool on Sun.io.
3. Increase mining speed up to 2.5x
The last advantage that is no less interesting is that miners can increase the speed of mining they do in their chosen Liquidity Pool by using their veSUN. The maximum speed that can be accelerated at this time is 2.5x of the default mining speed, and the amount of veSUN required to increase this mining speed will be determined by how many LP Tokens will be staked into the Liquidity Pool.
The more LP Tokens that are added to the Liquidity Pool, the more veSUN Tokens are needed to increase the mining speed. For example, we can look at the 2 examples of calculation images below.
In the first example, I will try to stake as much as 10 LP Tokens into SUN-TRX LP, to maximize mining speed up to 2.5x then I need veSUN Tokens as much as 8.82 veSUN. Whereas in the second example, I will try to stake as much as 1000 LP Tokens into SUN-TRX LP so that the mining speed can be up to 2.5x, so I need 882.90 veSUN Tokens.
From the two examples of calculations, we can see that the number of veSUN Tokens needed in order to maximize mining speed will be pegged to how many LP Tokens will be staked by miners into the Liquidity Pool.
Stablecoin Swap Facility On Sun.io
The Stablecoins Swap facility available on Sun.io is a tool created by the developer so that miners at Sun.io can own and use Stablecoins for the entire Tron Blockchain ecosystem. The TRC-20 standardized stablecoin is something that was recently released by the CEO of Tron, Justin Sun. He took this step because until a few years earlier Stablecoin was not compatible with the Tron Blockchain.
On Sun.io every miner can swap between stablecoins quickly and easily. Then the advantage of the stablecoin swap on Sun.io is that the minimum swap amount is very low at $0.01. To date, Sun.io facilitates swaps between stablecoins which include: USDC, USDT, TUSD, and USDJ.
Then each Stablecoin owned by these miners can be staked into the Liquidity Pool on the Sun.io platform this is possible because Sun.io has indeed provided 2 types of Liquidity Pools that use Stablecoins, namely 3 Pool LP and USDC LP.
In 3 Pool LP miners will need LP Tokens which consist of 3 different types of Stablecoins, the stablecoins include USDT, USDJ, and TUSD. After miners successfully add the 3 stable coins into the Liquidity Pool, they will get 3 Pool Tokens which they can stake and they can start mining. As for USDC LP, miners need 2 types of tokens which are USDC and 3SUN. 3SUN tokens can be obtained by exchanging them for USDC, 1 USDC is equivalent to 3SUN.
Last Word (Conclusion)
The readiness of a platform in providing services to its users is something that must be considered by a platform in the Blockchain ecosystem. Sun.io, which is a platform on the Tron Blockchain, is an example of a platform that can be said to be quite good at providing these services. Sun.io offers a variety of services ranging from stablecoin swaps, stake-mining, and self-governance and this platform is also able to keep up with all the demands of its users by making all of these features work well with each other.
Although Sun.io is still fairly new, it has shown how serious it is in the Tron ecosystem, this can be improved by acquiring JustSwap to become Sunswap, which shows that the developer of the SUN Platform is really serious about developing their projects.
Those are some of my explanations regarding Sun.io and Sunswap, I apologize if there are still many mistakes that you can get when reading my explanation earlier, I would be very grateful if you told me in the comments column below.
Thank you for reading my blog, hope it will be useful for all of you. 😁