Trade.io | Things to know about the Liquidity Pool

in #cryptocurrency5 years ago (edited)

source

Some couple of days ago I received two emails about trade.io and it was later that day a realized that the first email I received wasn’t from the trade.io team when trade.io sent a swift alert that an intruder was trying to game the system. However, the community and the team had a strong grip on the situation and as a result of that, the issue was prevented from causing a loss of funds in the system.

The event showed the strength in the trade.io community and the swift response from the customer care service also played a major role in this. Here are a few screenshots from the actual emails received by random users.



from trade.io email


The trade.io ecosystem is superb and for me is one of the major products in the cryptocurrency space today. The reason is that they have a model that creates the room for users (non-traders and traders) to maximize their stake on the platform; expanding their portfolio. This is done through an automated trading process with the Liquidity Pool.

The trade.io Liquidity Pool is one of the most profound innovations I’ve seen since the beginning of blockchain technology implementations. You can participate in the Liquidity Pool with at least 2,500 TIO’s and the pool generates profits or losses at the end of each trading round. The good thing here is that only the profits will have an impact on your account balance; the loss will not be deducted from your balance.

Trade.io deposits 50% of the total asset in the Liquidity Pool while the remaining 50% is provided by the traders that participate in the Liquidity Pool. After each trading round, the profit is also distributed in the same manner (i.e. on a 50% - 50% basis). 50% goes to trade.io and the remaining 50% will be distributed among all the traders participating in the Liquidity Pool.

Trade.io bears the major risk in this case by providing the highest amount of liquidity for maximum profit generation which also cushions the effect of losses on traders’ accounts. A trader can also choose to exit the pool whenever he wishes to for any reason. There are no actual risks involved in the Liquidity Pool participation; the only risk involved is the opportunity cost of not being able to use the funds that you loaned to the Liquidity Pool for 24 hours; which is the interval for each trading round.


Here are some basic steps to participate in the Liquidity Pool;

  • Convert any of the major cryptocurrencies to it on the platform and get some TIO’s (trade.io token)
  • Loan at least 2,500 TIO’s to the liquidity pool
  • Trade.io puts in 50% of the total assets in the pool
  • You earn interest in the order of how much you loaned to the pool

It is important to know that you remain in control through these various processes. This is because, you don’t get to lose any funds in the process, even if any loss was generated by the pool and you can choose to recall your loan whenever you wish to.

The liquidity pool comprises of the following components;

  • 50 million TIO in reserve to cover the risk margin and provide extra liquidity.
  • A $50 million USD capital seed provided by trade.io
  • The items above places trade.io at the forefront of bearing any risks associated with capital loss.
  • The various balance sheets; the balance sheet of trade.io and the balance sheet of participants or users.
  • Other assets loaned to the liquidity pool such as fiat, cryptos, and precious metals.

These are the elements of the Liquidity Pool. It is worthy of note that the major currency in the Liquidity Pool is the trade.io native token. However, this doesn’t mean that profits from each trading round will be distributed in the same denomination. Profits will be distributed with the currencies that are in excess from each trading round. The trade.io token will not be used as the means of payment for interest on trades because; the amount of these tokens in circulation is limited. So profit disbursement may come in form of any cryptocurrency from the Liquidity Pool.

Another thing is that, others tokens or coins can also be loaned to the pool but it is necessary that at least 2,500 TIO’s are available on the trader’s account balance.

This is one sure way of making some amazing profits while reducing the risks involved to the barest minimum. So if you are a trader looking for a means of generating passive income, try trade.io. This is Bait and I’m bringing you words from the Offline Minnow School.

References here if you would like to understand trade.io better:
Trade.io website
Trade.io LinkedIn
Trade.io Telegram
Trade.io Medium
Trade.io Instagram
Sources:

source 1,source 2,source 3

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I get so tired of the phising emails! Why do people have to be so garbage, eh! Bravo to you for pointing out to all of us that we need to be more careful when checking our emails because not every email is legit.

The liquidity pool sounds interesting, I love your breakdown of it in this post because its really easy to understand. Sometimes the way its explained on the company website isn't allows easy to follow. But you have given a great run down!
Jeff

Thanks for visiting @ascorphat... I'm glad you enjoyed what you read.

Why do people have to be so garbage, eh!

The underlying thought behind every phishing link is to gain unauthorized access to funds or other valuable items.

I agree with you that whitepapers can be very difficult to understand most time and there's need to put the ideas embedded in them inside some kind of "condenser" so it's clear to everyone.

I got the same email! I'm so glad you brought this up because many of us need to be careful of blindly following links in an email because it can compromise our personal information or our accounts. The liquidity pool sounds like an interesting concept, I hadn't completely understood it before but your explanation has helped out :)
Is the Liquidity Pool from Trade.io something that you would invest in yourself?
Ivy

@ivyriane the LP is great and I'd personnaly like to participate/invest in. However, I would recommend that the trade.io team breaks this down in such a way that will be more flexible for all to participate in. 2,500 TIO's could discourage a lot of people. I guess their target for the LP investment isn't small account owners.

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