In addition to a good infrastructure, a blockchain needs various qualified projects to grow, and Harmony is an example of a chain with at least one highly promising game in its ecosystem.
According to Footprint Analytics , Harmony currently ranks 21st in TVL for blockchains . Its TVL rose 529% in just one quarter to $753 million as of December 26, in large part due to the popularity of GameFi project DeFi Kingdoms (or DFK), which makes up 50% of Harmony’s TVL. Harmony even surpassed Ethereum and BSC in terms of volume in the GameFi sector in the last seven days. Ronin, an Ethereum sidechain built specifically for Axie Infinity, and WAX, a gaming-focused chain, also failed to outperform Harmony. Harmony: Fast out of the starting block
Harmony, the mainnet of which went live in June 2019, aims to build a highly scalable, secure and low-energy chain based on a sharding architecture. Footprint Analytics explored how Harmony plans to overcome the challenges other projects have faced with sharding technology in Will Harmony Be the Next Chain with 10x Growth?
Harmony’s active GameFi projects are DFK and Freyala, with DFK accounting for 98% of their TVL. While Axie Infinity has been the benchmark for GameFi projects and once led the industry with its play-to-earn model, DFK has outperformed Axie Infinity in terms of volume for 10 days in a row starting December 17. What exactly is DeFi Kingdoms?
DFK, a play-to-earn game launched on the Harmony chain on August 23, is a nostalgic pixelated kingdom containing games, DEXs, liquidity pools and NFT marketplaces. The team aims to blend elements of DeFi into a more fun and synergistic game that can be played like a game with daily quests to upgrade to increase rewards and collect rare NFTs. Some locations that DFK players can currently visit are the Portal, Docks, Tavern, Marketplace, Gardens, Bank, Meditation Circle, and Wishing Well.
DFK is a heavily DeFi -centric project at this point, with a much emphasis on in-game clothing. The development team announced it is planning more interesting modules in the future, such as lands, pets, buildings, equipment, guilds, PvE (Player versus Environment) and PvP (Player versus Player). How DKF Combines Gaming and DeFi
DFK gamifies functions one normally sees on an exchange such as Uniswap by tying them to different locations in the kingdom, thereby making DeFi investing more fun. Marketplace: Players can swap tokens.
Gardens : Players can add liquidity to make LPs to earn fees from other users when converting tokens and mine the platform token, JEWEL.
JEWELs can be harvested in two states, Locked and Unlocked. The number of JEWELs that can be unlocked increases over time. The amount of JEWELs unlocked and locked depends on the “epoch”—or collection of blocks—the reward belongs to. Each epoch has 302,400 blocks, and if each block has a speed of two seconds, it would take one week to unlock an epoch.
After epoch 51 (estimated to be in Q3 2022), no new rewards will be locked and locked JEWELs will begin to be unlocked slowly. They are estimated to be fully unlocked in Q3 2023.
When a user wants to remove liquidity, DFK will charge a withdrawal fee based on the length of time held. The minimum fee will be 0.01% for deposits over 4 epochs, and the maximum fee will be a 25% slashing fee for withdrawals within the same block , stated in the official docs.. Withdrawal fees and locked rewards are built in to help DFK retain its value rather than become purely a vehicle for speculation. Bank
The Bank allows users to stake currency. Users can stake a single token, JEWEL, as a voucher to receive xJEWEL. JEWEL is used as the primary token for in-game daily transactions, and xJEWEL as the governance token will have access to community airdrops and other rewards.
The Bank’s revenue comes from one-third of the user’s transaction fees in the game, so there is no fixed APY and there will be more revenue when the game releases important events. After depositing JEWEL, the ratio of JEWEL to xJEWEL will keep increasing, so that when users take JEWEL out of the Bank, they will always receive more JEWEL than when they put it in.
Unlike JEWELs obtained in a Garden, JEWELs obtained in a Bank do not have lock-up periods or withdrawal fees, much like traditional bank demand deposits. Heroes
Besides DEX -related elements, NFT “Heroes” are a central part of DFK, where they serve […]
source Footprint Analytics: How DeFi Kingdoms powers the Harmony blockchain
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