Xenify is the cross-chain aggregator of aggregators that redefines the way users engage in token swaps. Xenify offers seamless efficiency, optimal rates, and an innovative tokenomics model that integrates 27 aggregators operating on 50 networks, granting users liquidity and the best prices while distributing rewards for every swap. By harnessing the power of XEN and integrating with various protocols, Xenify provides users with unparalleled benefits, creating a decentralized and community-driven ecosystem.
XEN and its role in Xenify
At the core of Xenify’s functionality lie XEN and YSL.IO, the two utility tokens of the platform. XEN and YSL serve as the keys to unlocking Xenify’s incentives within the ecosystem. With XEN and YSL.IO users can participate in burning, token swaps, stakeing, earning rewards, and contributing to the growth of the platform. Xunicorns and Epic XENFTs get a special bonus, while opening the doors to XENFT renters creates a new kind of market that didn’t previously exist.
Everything starts with XEN. XEN is the building block of Xenify, and it contributes to creating Xenify’s XNF token; however, it’s not as straightforward as it seems. XEN needs to be burned first to create vXEN which is pegged to $1 through Chainlink. The burner pays a fee in the native protocol token like ETH, BNB, or MATIC, depending on the chain on which the burn is made. The fees match the amount of XEN burned, so for example, for each $1 worth of XEN burned, the user pays $1 worth of the protocol fee in exchange for $2 vXEN. While XEN is burned, the fee is split for buybacks between the XEN-ETH and XNF-ETH liquidity pools. Every time a XEN burn is made, the user’s address is added to the X1 burn record for XN token allocation.
Once vXEN is in the wallet, it can be burned to get an XNF token, which gives access to all possible rewards. Burning vXEN requires another protocol fee, which is minimal if the burn happens at the beginning of the cycle and grows with time. The fee is also proportional to the batch size. The more vXEN batches a user burns, the less the fee is paid. Burning vXEN in daily auctions generates XNF, and the fee is set aside as a reward for XNF stakers. XNF stakers also enjoy native tokens generated from 0.5% swap fees.
Burning XEN reduces its supply, increasing its perceived value, while the rewards coming from cross-chain swaps create more demand for the XNF token and, as a consequence, for XEN. While the fees to burn XEN and mint XNF are high, the protocol is designed to perform buybacks of XEN and XNF and push their prices higher.
Token swaps and cross chain aggregation
Xenify’s primary focus is to facilitate cross-chain token swaps by creating routes and aggregators and enabling users to execute single-click swaps across 50 leading chains. This integration eliminates the need for users to navigate to multiple platforms to swap XEN and look for liquidity.
Users can receive the most favourable exchange rates with minimal fees and time by leveraging APIs from various decentralised and centralised exchanges. This approach maximises efficiency while providing users with access to a vast liquidity pool, resulting in optimal swap experiences and lowering slippage.
Tokenomics and mechanics of Xenify
Xenify’s tokenomics revolve around the XEN token and YSL.IO, which play a vital role in the platform’s functionality; however, here we’ll concentrate mostly on XEN as they’re quite like two separate ecosystems that find a focal point in Xenify’s XNF token. Here are key aspects of Xenify’s tokenomics with regards to XEN:
Token Distribution
Xenify adopts a fair launch approach, with no pre-mining or pre-allocation of XEN tokens. The token supply begins at zero, and tokens are minted exclusively through user participation within the ecosystem.
Proof of Participation
Users earn rewards proportionate to their active engagement and contributions within the Xenify ecosystem. This merit-based reward system promotes fairness and inclusivity, ensuring that participants are rewarded based on their level of involvement.
Staking and rewards
Users can stake XNF tokens to earn native chain tokens such as ETH, BNB, and MATIC on a daily basis. Stakers receive rewards based on their veXEN holdings and associated power, creating an incentive for active participation and staking.
Amplified burn effect
XEN holders who own Phoenix Ape NFTs, Class 1 APEX XENFTs (Xunicorn), or Class 2 APEX XENFTs (Exotic) can unlock an amplified burn effect when burning vXEN or vUSDy tokens of the YSL.IO ecosystem. This effect increases their batch count, allowing them to secure a larger share of the daily distribution of XNF tokens and benefit from significant discounts on burn fees. Owning or renting at least four of these NFTs the daily bonus can reach even 1000 batches.
How to get XNF
XNF is Xenify’s token, which gives access to daily rewards coming from the protocol fee when burning vXEN and a 0.5% swap fee. XNF has a limited supply of 22.6 million tokens, and the supply creation process is similar to that of the DBXen protocol.
Each day, a smaller amount of tokens gets released until no more new XNF are produced in 2461 months, or 205 years. The difference is that XNF starts with the initial 100,000 XNF, which are assigned for XNF liquidity creation, and an airdrop of 1,500,000 XNF is deployed on each chain before XNF activation. 21,000,000 XNF are assigned for the daily auctions, where half of the newly minted XNF goes to vXEN burners and another half goes to swaps. Airdropped tokens are locked, with gradual unlocking over 730 days.
Recycling
Staking veXNF gives users access to the native token rewards, but each claim costs 25%. To avoid it, the user can use a Recycle button and use the accumulated rewards balance to participate in the daily burn auction of vXEN and the distribution of the protocol rewards, as well as XNF and XEN, which are acquired from the liquidity pool.
XNF Airdrop
Xenify with the XNF token will be released first on the Binance chain, after 60 days on Ethereum, and after the next 60 days on Polygon. During the pre-launch, users will be able to participate in the airdrop starting on Friday, May 21 at 2PM UTC. Users who swap tokens will be rewarded with an allocation of 1,500,000 XNF tokens, which will be initially distributed among swap participants according to their daily non-cumulative swap contributions as locked tokens on the launch day. They will be unlocked daily for the next 730 days. They don’t generate any rewards until the protocol launches, at which point they can be staked as veXNF.
Conclusion
By offering user incentives at almost every step of dapp usage, Xenify revolutionises the landscape of cross-chain swaps. It’s no longer a routing solution but a one stop DeFi with reward amplification. Seamless swaps offering transactions at the best rate in the shortest time are a great feature in themselves, but burning XEN and having the possibility to gain rewards from Xunicorn and Epic XENFTs is a utility much needed within the XEN ecosystem. Xenify fosters users participation and mutual growth of each of the moving parts. Although the protocol implements additional protocol fees in many interactions, at the same time, it also tunnels incentives to active participants. Through protocol liquidity pool creation, the XEN burn and buyback from the liquidity pool, Xenify generates positive pressure on the price of XEN.
