Community owned yield optimizer with a liquidity mining program on the Avalanche C-Chain
What is the Cycle Protocol?
The Cycle Protocol is a yield optimizer containing vaults and a liquidity mining program.
Each vault aggregates deposits into an underlying strategy which in turn deposits into a 3rd party liquidity mining program. The rewards earned from this aggregate deposit will be 'harvested' back into the principle strategy deposit, compounding continuously.
The Cycle Protocol differentiates itself by attaching its own reward program to each vault. Instead of the depositor being minted vault shares, those shares are deposited into a reward contract on behalf of the depositor and CYCLE token rewards will be earned.
The vaults are also differentiated by adding an ease of access and exit mechanism. Participants can choose to deposit and withdraw AVAX directly, only incurring a slightly higher gas fee and having to pay the AMM swap fees. Under the hood, the AVAX is wrapped, split into the necessary tokens, provided as liquidity and then the resulting amount of liquidity tokens are deposited into the vault. This saves the time and pain of having to manage multiple tokens, swaps and approvals.
CYCLE token holders are the owners of the protocol and eventually will be the sole source of decision making power when determining which proposals to integrate. The maintenance and control of the protocol will remain with the core development team during the initial phase with the plan to transfer to a Gnosis Safe as soon as it is appropriate.