Cetus Protocol

Cetus Protocol & Crew³ Bounty Quests — Step by step for participations.

What is CetusProtocol

#Cetus #Aptos

Today, providing liquidity in DeFi is already quite unattractive. Liquidity Steam (LP) investors face various dangers, including volatile losses and opportunity costs that are not adequately compensated by the transaction fees charged for their service. Others profit from decentralized liquidity through the miner / maximum extractable value (MEV), while LP holders take all the risk.

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As a result, Cetus Finance has developed a solution that is heavily influenced by Liquid Finance. Cetus Finance protocol will work on two different tokens : cETH and CETUS . The main token (cETH), which the protocol can mint and redeem, will be tied to the price of ETH.

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Cetus Finance Treasury will own several assets paired with cETH , such as WETH, LINK and WBTC. When the price of these coins changes relative to the price of cETH , we will be able to arbitrage our pairs and extract MEVs that will be distributed to CETUS holders.

Cetus financial protocol can completely normalize the market price of cETH . This is because only the protocol has the ability to increase and decrease the amount of cETH in the Cetus Arbitrage Mechanism (CAM) and, as a result, transfer token to ETH without creating market inefficiencies elsewhere.

When cETH exceeds PEG, the protocol mints cETH using reserve assets and sells it until it reaches PEG. Profits are added to the reserve along with the ETH used for mining.

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When cETH falls below PEG, the protocol uses reserve assets to buy back cETH until it reaches PEG.

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By capturing mismatches between PEG and market prices, both strategies generate income that benefits Cetus Finance Reserve.

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We are confident that our protocol will foster a truly decentralized financial system and expand the Arbitrum® layer.

For more info, visit https://www.cetus.zone  Twitter : https://twitter.com/CetusProtocol  Telegram: https://t.me/cetuscommunity

Medium : https://medium.com/@CetusProtocol

My contact (discord): pael#4844