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Welcome to the New To Crypto podcast designed to guide you through the crypto landscape with pinpoint accuracy created for the new and intermediate crypto investor. Join your host Crypto Travels Michael as he takes you through the different facets of getting started and succeeding in your crypto journey. New to crypto podcast brings you new episodes daily Monday through Friday with surprise bonus episodes sometimes on the weekend. Let me ask you, are you new to crypto don’t know where to start? Are you more experienced but have questions? Then you’re in the right place. This podcast is designed for you, coming at you from the training center in the lifestyle design studio. Here’s your host Crypto Travels Michael.
Hey, welcome to today’s episode, we have now been heard and downloaded in 112 countries around the world spanning 1400 cities. So I truly welcome you and I thank you for all of your support and today’s episode is another one in the Fantom series. It’s all about Scream.
So let’s jump into what is Scream? Well, Scream is a lending protocol built on the Fantom network Scream provides peer to peer lending solutions that are fully decentralized, transparent and non custodial. Scream aims to build high velocity markets for more traditional crypto asset lending services, but it has the goal of improving overall capital efficiency across a wider range of Fantom based assets similar to existing lending platforms like Compound Finance, Aave and Cream Finance users will be able to lend any supported assets on their money markets and use their capital as collateral to borrow supported assets. At launch Scream will enable borrowing and lending money markets across a set number of assets, with community governance expected to be fully implemented by q4 of 2021. This year.
As Ethereum continues to gain the largest institutional ready adoption layers and defy the bias towards existing networks and protocols will exist Scream aims to become a disruptor by offering new and innovative lending markets on Fantom rather than just being another cross chain alternative, Scream we’ll explore lending and borrowing capabilities across Fantom based assets. So let’s dive into some of the benefits and technology, shall we. Scream will enable users to borrow and lend tokens directly on its platform with low fees, this is basically due to the high scalability of the Fantom network where the fees are cheaper for transactions and users can get an excellent experience while utilizing services on the protocol and real time information.
Scream aims to offer one of the highest liquidity platforms on Fantom. By offering money markets with the highest liquidity at launch and aligning their incentive strategies with these markets Scream will introduce additional money markets including stable coins, DeFi tokens, LP tokens and other major markets utilizing the FTM bridge, Scream can quickly and efficiently swap assets between all FTM supported blockchains. The goal is to build a one stop shop for lending products on the Fantom network. Governance over the protocol will be a key milestone once the platform accomplishes its technical milestones in the coming months. Scream has integrated SC loans into its Fantom money market. SC loans are developer tools that provide access to under collateralized loans, pending the borrowed amount and fee that is returned within one transaction block on the network.
SC loans will offer a wide range of use cases including arbitrage and collateral swapping opportunities and interest rate swapping. SC loans derived from Aave’s flash loans, except SC loans are implemented on Scream’s lending token SC token. Similar to Cream Finance, there are three major differences between SC loans and Aave’s flash slow developers can directly interact with SC tokens instead of the lending pool. To execute an SC loan users must know the specific asset address of SC token so fees are really low point 0.2%. Scream implements the collateral and reserve mechanism implemented by the Compound Protocol reserves are an accounting entry in each SC token contract that represents a portion of historical interest. Basically, it’s like set aside as cash which can be withdrawn or transfer through the protocols governance of course once that’s enabled you for a small portion of borrower interest accrues into the protocol determined by the Reserve factor the reserve factor is the percentage of interest paid to the Scream Protocol.
If the factor reserve or if the reserve factor is 10, then that would imply a 10% rate of the interest paid on the borrowed asset allocated to Scream as see tokens have a collateral factor that can range between zero up to 90%. And it represents the proportionate increase in liquidity, which is the borrower amount the borrower amount and that account receives by minting the SC token, large or liquid assets tend to have high collateral factors, whereas smaller or more illiquid assets will tend to have lower collateral factors. If an asset has a 0% collateral factor, it cannot be used as collateral or seized in a forced liquidation event basis. However, the asset can still be borrowed. So basically, in summary, the collateral factor is the maximum you can borrow against a particular asset. Scream will have a governance protocol, the protocol that will enable community voting once locked liquidity milestones have been sufficiently met. The Srceam protocol requires reliable, up to date, and secure price feeds. To ensure uptime fast and reliable acid data, Scream uses three on chain Oracle’s to operate its lending platform,
it uses Chainlink, Bandchain, and the Scream Oracle, they actually have their own Oracle. And if you’re curious as to who the founders are, the team and the founders have remained anonymous. So let’s break down some info about the Scream token the Scream token will have a total max supply of 2 million tokens at lunch. The initial circulating supply of Scream is expected to be just over 107,000 SCREAMS. Scream tokens are used to incentivize lending, and for that reason, the team has decided to allocate half of the total supply to lending and borrowing rewards. At launch, total emissions will be 12171 SCREAM per day, and the Scream team have agreed to a six month lockup of team allocation, which will start vesting on a monthly basis for 48 months. And this starts in the last day of this year, December 31 2021.
So I hope today’s info has basically painted you a picture about Scream you might have heard about it but didn’t know anything about it. You might have been curious. And this is just another fabulous project on the Fantom network. I’m a big fan of The Fantom ecosystem and everything that Fantom has going so if you liked today’s episode, like and subscribe and I look forward to meeting you here tomorrow. Until then make it a great day.
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