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What Is PowerPool?

Oct 25, 2022
5 min read

This blog post will cover:

  • About PoverPool (CVP)
  • Where did PoverPool (CVP) come from?
  • What are the advantages of PoverPool (CVP)?
  • What are the disadvantages of PoverPool (CVP)?
  • How to buy PoverPool (CVP)?

About PoverPool (CVP)

The PowerPool protocol provides various automated products in the DeFi space. They are built on the basis of the Power Agent intelligent network and have high profitability, and they also show good capital efficiency. These products include smart token baskets and vaults.

PowerPool provides users with the following products:

  1. xCVP is a version of the main CVP token that generates revenue (protocol fees and participation in governance contests);
  2. YLA allows access to a basket containing the most profitable vaults of Yearn stablecoins;
  3. Torn Vault maximizes profits by redistributing rewards;
  4. PIPT was offered by Delphi Digital. It provides access to Defi's blue chips;
  5. YETI gives you full access to the Yearn Finance ecosystem products.

Power Agent is based on Ethereum and performs different functions in all of the above products.

CVP is the native PowerPool token. The abbreviation stands for "concentrated voting power". With its help, the distribution of all income among DAO members takes place due to the xCVP mechanism. It also provides PowerPool management; meta-management and is the token of the Power Agent network.

Where did PoverPool (CVP) come from?

The PowerPool protocol started in August 2020. It was originally designed as a meta-management protocol in order to accumulate control powers in DeFi. After a while, the team focused on developing automated products at DeFi thanks to the opinion of their community and important advisors (such as Delphi Digital). Such a change of activity led to the designing of the Power Agent network, which in turn is responsible for the reliable and fast execution of all transactions, and also automates complex intranet strategies.

PowerPool has two co-founders: LeeRoy Oshiya (a successful broker, considered one of the most influential people in the field of cryptocurrency) and Not.Satoshi (part-time CTO of the company, one of those who got into crypto before it became mainstream). It is also worth mentioning the chief architect of the project, Gordon Gekko, who has many years of experience in advising on strategies and investments.

As you can see, only the aliases of some team members are listed on the official PowerPool website. However, there is no doubt about their experience.

The CVP token did not have venture funding at launch and was distributed as follows: part went to the team, part to community members, and part to liquidity providers.

What are the advantages of PoverPool (CVP)?

  1. Staking opportunity
    Staking is able to provide great returns. The platform also provides a rate calculator which allows users to compare the income of different levels of participation, and then choose the most suitable option.
  2. More access
    This means that the index structure in PowerPool is very suitable for traders who are looking for openness.
  3. Asset management is modular
    Those automated products that we mentioned above are created without coding. Thus, many technical barriers have been eliminated and the possibility of implementing blockchain has become even easier. That is, now companies that want to start using blockchain solutions will spend fewer resources on it.

What are the disadvantages of PoverPool (CVP)?

  1. The profit from farming is limited
    This is due to the fact that passive income is only possible through the mining of native tokens and swap fees. Thus, the APY that the user receives is quite low.
  2. Inconvenient commissions
    Users are forced to pay commissions even if they just have a deposit or if they buy out the underlying assets.
  3. High susceptibility to attacks and price fluctuations
    Such pool attacks and price volatility are due to the possibility of swap and arbitrage.

How to buy PoverPool (CVP)?

If you have read the detailed information about the PowerPool protocol, its advantages and disadvantages, and would like to purchase some CVP tokens, follow the instructions below:

  1. Let's say, you decide to swap BTC to CVP. Select the currency you want to exchange (BTC) in the first drop-down list. Enter the quantity you want to swap.
  2. Select CVP in the second drop-down list. You’ll see the estimated amount that you’ll get after the exchange.
  3. Click the Exchange button.
  4. Enter the Recipient's Address. CVP will be sent to this address. Be careful and make sure you use the correct address.
  5. Create the exchange.
  6. You will see the Bitcoin deposit address. You need to transfer the necessary amount of BTC to this address to start the exchange.

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SimpleSwap reminds you that this article is provided for informational purposes only and does not provide investment advice. All purchases and cryptocurrency investments are your own responsibility.

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