The Smarts Ecosystem

The uncertainty around the Decentralized Finance space has created the opportunity for different blockchain-based projects to bring improvements to the growing DeFi market. Aside from Smarts, there are several DeFi projects on track for the transitioning finance. Smarts is staged to do this in an advanced and improved way with its smart services which will be integrated with unique and sustainable features.

Thus, It's no doubt Smarts is on a mission to be the new face of the decentralized finance system in an open, trustless, and secure manner. And as such, we will be passing the baton of power to the community to spearhead the direction of the project via our smart governance model. Transparency is our core ethos, in effect, we conclude to adopt trustless operations with the use of a Multisig Wallet function for our smart contracts deployment and project development funds. This will be achieved by liaising with known influencers who have no direct connection to the project to be part of the key holder council for transaction signing and approval.

Bring It On!

We are an open, community-centric DeFi platform.

Smarts introduces an improved liquidity mining feature by combining Core's Mining model in conjunction with that of Uniswap coupled with a mouth-watering addition of our fixated lockup feature. Our staking feature commands different dynamics with high-yield incentives on staked native assets while approved non-native tokens will also feature in the mix and be eligible for rewards. We are taking our lending proposition to a different level by implementing a double reward program by routing the liquidity pool of the contract to the latest strategy of a known Yield-farming platform while the primary incentive with SMAT token remains active.

To maintain the smartness of the Smarts ecosystem, the network governance will gradually be eased onto the community once operations become stable and sustainable. The community will have the right to make proposals and vote for changes.

Our Mission

We aim to democratize our products by adopting an open but fair economy that can bring about true decentralization. Smart just like the Ethereum blockchain on which it is built upon, fully embraces anonymity. So token holders via community tools of engagement such as proposals and voting dictate how the platform is governed.

This was an important decision we took due to the alarming rate at which a lot of new DeFi projects exit the space.

Smarts Ideology

Smarts Finance is unique in the sense that; while most existing money market models operate on assets backed by real-world physical assets; we relish the idea of creating smart markets via the community rules of engagement using tools such as proposals, voting, and governance; of which the latter will be gradually eased onto the community to create a truly decentralized model.

Hence; unlike other markets' models, Smarts offer new insight into how a simple rule of thumb; such as 50/20/30; applied, can ensure a balance of interest.

In reality, almost no one follows the rule of thumb strictly; Do a fifty(50) on a mortgage, rent, or loan… A twenty(20) on savings and a thirty(30) on wantons. The scale is always higher on the latter which means a credit system for its subject overtime.

The solution is to create an economy on the opposite sides of this spectrum; the lenders; frugal spenders and the borrowers; heavy spenders.

And therefore one of the first implementations of Smarts is the introduction of additional vesting of the newly distributed tokens given to investors as a reward for providing liquidity to keep the SMARTS Tokenomy healthy in a bid to avoid tokens being flooded into the market or instigate constant selling pressure.

DeFi Platform Opportunities, Challenges, and what next?

DeFi is to finance what blockchain is to money!

Savers, lenders, and borrowers; the three (3) major players in the traditional financial system all operate in a system where they have little to no control over how their funds are managed as the case may be.

With traditional finance, it is still a challenge to maintain full privacy of users and their tentacles are not far-reaching as we still have a lot of people left out; Away from this, the cost of doing transactions on these platforms is ridiculously high even with government regulations. DeFi on the other hand presents its users with full-fledged ownership and control within the security-rich blockchain technology. With the added pull of earning incentives for their assets when they engage in staking, mining, lending, and borrowing of crypto commodities.

However, while it is true that DeFi offers solutions to some of the inherent issues in traditional finance, the concept is yet to be fully conceived especially as the industry is still in its infancy.

Smart contract bugs, liquidity, asset over-collateralization, high transaction fees are some of the few issues associated with most DeFi projects.

Smarts Solutions

Fighting these drawbacks is no easy feat to achieve as no system can be 100% perfect. However, innovations bring about improvement in usage, experience, and possible advantage or profit of use. Smarts with its unique and dynamic approach to DeFi products and interaction will usher a new model of application and usage via its offerings.

Smarts Staking

Initially, smarts will support the staking of its native token (SMAT) alongside a non-custodial staking of non-platform established tokens like COMP, UNI, and YFI. The addition or removal of these tokens is subject to community governance decisions. More information will be explained in our upcoming Whitepaper.

Smarts staking rewards will be distributed in the form of a daily reward pool according to the share and allocation of a particular pool.

The daily reward for each staking period will differ according to the longevity of the staking period, with longer staking periods having higher yields.

Smarts Lending & Borrowing

Just like every other money market, borrowers can request a loan from the smarts protocol provided they meet the minimum required collateral to back such requests.

Hence, Assets serving as collateral backing the requested loan will be over-collateralized (i.e you can only get a certain percentage relative to your locked collateral).

To commend this endeavor, lenders and borrowers will be eligible for rewards in SMART which feature a daily reward scheme and a currently adopted farming strategy token. Thus, bringing about different streams of passive income to stakeholders of the contract pool(s).

Liquidity Mining

Just to expand this proposition a little bit to different categories of users, understanding the role of a liquidity pool is essential to getting the real picture of liquidity mining.

What is a liquidity pool?

A liquidity pool is simply a pooling of funds in a smart contract. Usually, a pool contains a volatile coin pegged with a stable coin. With an instance of the most popular DeFi pool being ETH/DAI. To take part in such a pool, you have to supply an equal amount of ETH and DAI.

Liquidity mining in decentralized settings encourages and facilitates readily liquidity and active trading of a pair of crypto assets by incentivizing liquidity providers with trading fees from the trade of the token pair.

Now let’s look at liquidity mining as in the case of Smarts. Initially, Yield farmers will have the license to farm many pools starting with SMAT/ETH pool. This pool will form the primary pool at which 50% of mining rewards will be directed to. To allow a stable pool operation. SMAT/ETH pool will be subjected to a lock-up period of 6 months and will be the first product launch of the ecosystem with capability for high yield and rewards in the early phase.

Additional pool options will be added on later and may feature the stablecoins category or established coin like ETH, WBTC, etc for less risky mining which may take a direct or indirect mining function (more details on this later on). Consensus to add a new pool will be decided by the community voting exercise via the governance function.

One of the main problems users are facing with the Ethereum network is the high gas price paid to carry out transactions. This is so crucial that people are willing to transfer their funds to a project wallet rather than a contract address despite the risk of losing their money to dubious ones. We realize how important bringing a solution to this would mean to our investors; hence we are implementing a liquidity mining that helps reduce the gas cost by 100 folds by pooling the pool and executing it via a single transaction which is a no-brainer.

This is adopted to encourage seamless onboarding and usage to all categories of users.

Smarts Features

Secure; apart from being hosted on the ethereum blockchain, all Smarts applications will undergo rigorous testing and auditing by internal and external security experts.

Community — Driven; Smarts operations will be gradually eased to the dynamics of community proposals and decisions of SMAT token holders.

Transparency; Smarts team is vested in the project’s sustainability so we aim to keep an open book for the team token as well as adopting a multi-sig wallet with independent influencers.

SMAT Use Case

SMAT is the governance token and the basis of value creation and generation of the Smarts ecosystem. It is built on the Ethereum blockchain using the ERC-20 token standards.

Holders of SMAT will be able to perform the following role in governance:

• Change a market or service interest rate
• Propose listing of a new token market
• Redefine reward structure and their distribution
• Propose contract terms or update oracles

Additional functionalities may be assigned to SMAT token holders in a case that warrants such exercise.

To stay updated with the Smarts Finance project.

Navigate to our prototype website at Smarts Website to get more familiar with the project.

Join the discussion on Our Telegram to be part of the community.

Check us out on Twitter and follow our updates.

Our Discord server is also an exciting place you would want to be.