The Avalanche ecosystem is bound to experience greater growth as TrueUSD launches the TUSD-AVAX liquidity pool on Pangolin. Launched on 22 November 2021, the pool will reward users who contribute to the liquidity with PNG, Pangolin’s native token. Since its launch, the TUSD-AVAX liquidity pool has maintained an APR of 561%, making it the most profitable stablecoin pool ever.
Pangolin is a decentralized trading platform based on the Avalanche ecosystem. The upgrade to V2 has brought a lot of changes that have made it a much more suitable platform for traders. It comes with improved DEX parameters and streamlined trading and LP experience. Apart from the improved smart contract, users of the V2 Pangolin receive much better rewards for providing liquidity.
To encourage users to migrate from V1 to V2, the platform has distributed $4 million in PNG to liquidity providers and now a daily mining reward of 175,000 PNG. TrueUSD is already working on migrating its liquidity from V1 to V2 and users can mint TrueUSD based on Avalanche to help build the Avalanche ecosystem.
TrueUSD has been in partnership with Avalanche since early this year when the latter built a cross-chain bridge with Ethereum. Their final partnership in March made TrueUSD the first stablecoin on the Avalanche ecosystem. In October, TrueUSD announced its Fountain Incentive Plan. The aim was to empower early projects with higher liquidity by introducing TrueUSD and other digital assets worth $1 billion to DeFi ecosystems.
Similarly, Avalanche launched Avalanche Avalanche Rush this year. This is the biggest liquidity mining incentive program, with $180 million in AVAX as a reward to power the growth of DeFi applications in the Avalanche ecosystem. The partnership between TrueUSD and Avalanche is expected to greatly further the growth of the DeFi ecosystem through the Fountain Incentive Plan and Avalanche Rush to hasten the realization of DeFi 2.0.