Welcome to the future. Welcome to Hummus.
Today we are announcing Hummus–The Automated Market-Maker (AMM) built exclusively for swapping stablecoins on the Metis Andromeda network. We have combined the speed, security, and efficiency of Metis with an ultra-low slippage stableswap mechanism and dynamic staking rewards system.
Like the delicious food, the Hummus Exchange can be both an ingredient for traders and arbitrageurs, or the final product for farmers and general DeFi users.
Using Hummus gives users several advantages over traditional swap protocols:
- No impermanent loss risk for liquidity providers
- Single-sided liquidity provision
- Ultra-low slippage for traders
- Minimal fees
Read on to learn more about the advantages of using Hummus, our fundraise, and our upcoming fair-launch IDO on Netswap!
- Hummus combines the speed, security, and efficiency of Metis with an ultra-low slippage stableswap mechanism and dynamic staking rewards system, replacing heritage swaps.
- Users will be able to swap stablecoins with miniscule loss, stake stablecoins to earn $HUM, and use staked $HUM rewards to increase yield on the staked stablecoins.
- The Hummus team has raised $1,500,000 from several well-known groups and individuals, led by the Metis Genesi DAC.
- Hummus will have its fair-launch IDO on Netswap in the coming days.
Hummus Solves Old Problems
In heritage AMMs the liquidity of otherwise fungible tokens is fragmented across multiple pools. This design flaw invariably results in low liquidity, which begets high (and thus very expensive) slippage.
Additionally, these older AMM protocols require multiple tokens of equal value within a pool (say, USDC, USDT, and DAI), which quickly complicates liquidity pool compositions and creates the undesirable requirement to pair LP tokens with new tokens. Ultimately, this prevents the quick and seamless scaling of a protocol with new tokens and a far less than ideal user experience (UX).
Hummus is Fresh
The Hummus Exchange introduces a flexible liquidity pool architecture utilizing a single-sided staking mechanism allowing for maximum capital efficiency and ultra-low slippage.
The essential ingredient? A novel approach to the LP token. Instead of representing a share of the liquidity, which is standard practice otherwise, Hummus will record the exact token and exact amount of tokens deposited. When withdrawn by the user, the exact same amount will be returned, in addition to other rewards.
Furthermore, adaptative pool composition allows each token used by the protocol to scale organically.
Lastly, many yield farming protocols require the deposit of exotic token pairs to generate decent yield, thereby subjecting the users to a high risk of impermanent loss. Hummus allows users to deposit and withdraw seamlessly without worrying about impermanent loss, all with a gorgeous Web3 interface.
Where Hummus Began
Only a chickpea in the team’s eye a few months ago, Hummus has developed quickly into a new major project on the burgeoning Metis network. The Hummus team has raised $1,500,000 from several well-known groups and individuals, led by the Metis Genesi DAC.
We also want our new and growing community to benefit from our future successes, so let’s talk about our IDO.
We’re very excited to welcome the Metis community from the launch thanks to our friends at Netswap! Hummus’ IDO will take place on Netswap’s Launchpad. For information on how to get ready to invest in Hummus via the Launchpad, please see Netswap’s excellent Medium article describing the process. Put simply, it works like this:
- Stake NETT to get wNETT as the ticket to enter Netswap Launchpad.
- Use accrued wNETT to deposit equivalent stablecoins into the active event on launchpad.
- Wait for the launch time to receive new tokens and refunds (if any).
Why Metis is Perfect for Hummus
Metis has developed an “Optimistic” rollup solution to bundle and sequence transactions on the layer above Ethereum and then send that data back as one transaction to the Ethereum Layer 1 main chain. In doing so the Metis Network is able to offer extremely fast transactions that take just a few seconds and cost just a few cents, while still maintaining the security of the Ethereum network.
For other such Optimistic rollups the withdrawal time from Layer 2 back to Ethereum is 7 days. Once the Metis network is fully deployed, withdrawal times will be cut down to just a few hours and eventually minutes. We are excited and proud to be a part of this incredible new ecosystem!
Metis is being built with DeFi in mind. It is also built to be flexible, and it’s growing very quickly. Hummus will bring a novel and essential capability to support this innovative ecosystem.
About Hummus Exchange
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