What is Geist Finance: Lending and Borrowing on Fantom [Fantom Series]

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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.

 

Welcome to today’s show. I’ll tell you the crypto industry has been sizzling. Everybody’s talking about crypto even people in my life that didn’t talk about crypto before they’re now talking about crypto, the industry is exploding and this is an exciting time in crypto. Today’s episode is all about Geist Finance. And I’m excited to go over this one with you. So this one is part of the Fantom ecosystem series and I have a number of upcoming episodes that are all part of the Fantom ecosystem. So without further ado, let’s dive into today’s episode. So what exactly is Geist Finance? Well, Geist Finance is a decentralized noncustodial liquidity market protocol where users can participate as depositors or borrowers depositors provide liquidity to the market to earn a passive income while borrowers are able to borrow in an over collateralized or under collateralized fashion. Geist Finance was built on the Fantom opera blockchain based on one of the largest DeFi protocol, Aave, Aave has become one of the most respected and secure protocols in the space, but Geist is trying to do things just a little bit differently, in a different way.

 

So the Geist’s protocol has no governance and no VCs. Instead, it features a revenue-earning, token-sharing platform fee between token holders and liquidity providers. The protocol will always be permissionless for everyone to use on the same basis. So the available assets on Geist Finance our Stablecoin, Ethereum, Bitcoin and Fantom of course, and the skyrocketing growth of Geist has not only boosted the whole Fantom ecosystem by doubling the FTM price as well as increasing Fantom’s total lock value tremendously, but it has also emerged as a phenomenon and attracts new investors to Fantom. So Fantom itself is a fantastic project, I did an episode about Fantom I highly recommend you listen to it. But basically what I’m seeing is Geist Finance is really an awesome addition to the Fantom ecosystem.

 

So what are some of the benefits and technology of Geist. the Geist’s protocol market functions almost identically to Aave users can borrow and lend several assets with different interest rates. All of these interest rates are determined with an algorithm according to the utilization of the lending pool. When a lender falls below the required collateral ratio a financial incentive is provided for the liquidator who repays the under collateralized loan. As with Aave, anyone is free to perform liquidations unlike Aave, Geist does not support stable rate lending. Many of the core contracts are owner updatable. The ownership of all Geist’s smart contracts is placed behind a time lock contract with a two day delay for any action. The address of this contract will be posted and the community will be informed prior to any admin-related actions involving the timeline. The guy’s team also encourages community members to monitor incoming transactions to the Time Lock. The Geist’s team have taken every precaution to ensure the safety of user funds and to instill confidence in their work. Although they remarked that since this is a new technology, a certain amount of risk is still present, the team recommends it not deposit more than you can afford to loose and if you’re nervous about security may wish to wait until the protocol has been operational for some time without incidents before interacting with it.

 

Despite this, the code base has been well tested and peer reviewed, and is currently undergoing a formal audit, which expects to be concluded this week. The audit results will be published as soon as it’s completed. So who are the founders that Geist’s team members prefer to remain anonymous, although It is known there is the identity of at least one of them, several of them has been made public. So the co founders and the list of the people involved in the project will be on the website. So just look for today’s episode on on the site newtocrypto.io. So it is believed within the crypto community because of the complexity of the project that the team was formed by industry veterans with significant previous experience working on DeFi projects. So let’s get into the GEIST token and the ticker symbol is GEIST. GEIST is a native token within the Geist protocol.

 

GEIST is a revenue sharing token not a governance token, the protocol has no concept of governance or ownership and also no treasury. Instead, 50% of all revenue generated through lending is distributed directly to users who stake GEIST. Geist implements of feature by Ellipsis Finance, which is that all rewards are vested for three months. Users can choose to exit early for a 50% penalty which is distributed to full time stickers or claim 100% of the rewards after the three months lenders and borrowers are incentivized with Geist 400 million guised, which is 40% of the total supply is allocated for distribution in this way, incentives are weighed two to one in favor of borrowers. This is because borrowers are the key participants to generate revenue for the protocol and develop the project. Therefore, it is understandable that borrowers are receiving more rewards incentive start at 1.1 million GEISTS per day, and reduce every 30 days ending after five years. The distribution favors early users of course, over 65% of the GEIS incentives will be given out in the first year and Guice incentives are also given for users who provide GEIS to FTM liquidity on a decentralized exchange, a total of 200 million GEIST, or 20% of the total supply is allocated for distribution in this way. Additionally, Geist Finance has reserved 20% of its token total supply for Airdrops these air drops are released over literally over one year, the Aave the Lobster, the DAO and ellipsis communities will receive an initial AirDrop, a subsequent token release will be used to accumulate votes on the curve Fantom G pool via VLCVX and VECRV bribes. That continuous release means the protocol can continuously reevaluate where resources can be best allocated to support the protocol.

 

It is not aimed to become a reoccurring weekly Airdrop for these communities. This forced and gradual release mechanism is aimed to prevent sudden supply shocks or excessive selling of the token. Here’s the total allocation of the token release 40% incentives for lenders and borrowers with over 65% of those will be given out in the first year incentive start at 1.1 million GEIST per day and reduce every 30 days ending after five years. 20% incentives for GEIST to FTM liquidity providers released over a period of five years. 20% allocated for airdrops and incentives to related defy communities happening over a minimum of one year, Airdrops will also be vested to 20% to the team released literally over one year. Currently, the GEIST token serves multiple purposes, making it the core element linking every product in Geist Finance.

 

Some key use cases include staking and locking to receive a portion of the protocol’s revenue. Incentives for Geist to FTM liquidity providers, incentives for lenders and borrowers and incentives for other communities in the form of Airdrops, Airdrops have a limited claim period when a new Airdrop is created the total claimable GEIST is temporarily locked for distribution to the specific Airdrop. Potential recipients have one week to claim their Geist. Any tokens left unclaimed at this time are released and may be distributed via another future Airdrop. So I hope today’s episode has helped paint a better picture for you as to what is Geist Finance, it’s an awesome project and they’re just getting going as you can tell they’re, you know, in the beginning phases of their project compared to the years that they’re going to be operable here in the future. So if you like today’s episode, definitely like and subscribe to the podcast. I love reading your five star written reviews. If you want to reach out to me email me at show@newtocrypto.io again that show@newtocrypto.io I look forward to seeing you here too. Tomorrow, and until then make it a great day.

 

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By: cryptotravelsmichael
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Table of Contents

Welcome back to another podcast episode! In this discussion, we’ll go over the intricacies of Geist Finance. 

What Is Geist Finance? 

Geist is a non-custodial decentralized liquidity market system that allows users to engage as depositors or borrowers. Depositors receive a passive income by providing liquidity to the market, while borrowers can borrow in either an overcollateralized or undercollateralized form.

Geist Finance is a Fantom lending and borrowing market based on AAVE, one of the most popular DeFi protocols.

Geist aims to approach things differently from AAVE, which has developed to become one of the most renowned and secure protocols in the sector. 

The Geist protocol lacks governance and venture capitalists instead of relying on a revenue-generating token that splits platform fees between token holders and liquidity providers. 

The protocol will remain permissionless, meaning that anyone can use it on an equal footing.

Intricacies Of Geist Finance 

GEIST incentivizes both lenders and borrowers in Geist Finance. Nevertheless, the benefits are divided into a 2:1 ratio, with borrowers receiving the greater portion.

Therefore lenders are the primary source of revenue for the protocol and, as a result, the project’s development. As a result, it’s natural that borrowers are being rewarded more.

Liquidity Providers for the GEIST and FTM pool are also given GEIST. Only Spookyswap was first supported. Geist Finance will assist additional AMMs in the future. 

This move by Geist Finance indicates that customers are currently using Spookyswap for liquidity provisioning and farming. Spookyswap can profit from the process by getting a significant volume, as a lot of consumers and assets have recently flowed into Geist Finance.

Furthermore, 20 percent of the total supply of Geist Finance’s token has been set aside for airdrops. This award will be distributed to members of the AAVE, Lobster DAO, Curve, and Ellipsis communities, with Aave and stkAave holders receiving it first. The connection between these protocols and Geist is still a little hazy.

The quantity of GEIST tokens airdropped to those holders is the same regardless of how many Aave or stkAave they had. Geist Finance has benefited from a large Network Effect from the community, which has contributed to the company’s extraordinary success.

Let’s Talk About The GEIST Token

The Geist Finance ecosystem revolves around the GEIST coin. 

GEIST is a revenue-sharing token, not a governance or utility token, therefore implying that the protocol has no governance or treasury. GEIST Stakers receive 50 percent of the platform fees.

Geist uses an Ellipsis Finance functionality whereby all awards are vested for three months. Users could decide to depart sooner for a 50% penalty – which is only given to full-time stakers – or claim 100% of the benefits after three months.

Presently, the GEIST token performs diverse applications, giving it the central component that connects all of Geist Finance’s products.

Geist Finance was built on the Fantom opera blockchain based on one of the largest DeFi protocol, Aave. Aave has become one of the most respected and secure protocols in the space, but Geist is trying to do things in a different way.

- Crypto Travels Michael

Here's What We Discussed in Detail in This Interview

  • What is Geist Finance
  • Benefits and Features
  • The Founders and team behind
  • The GEIST token

Killer Resources

HOW TO REACH TO CRYPTO TRAVELS MICHAEL

Final Thoughts

Geist Finance is a Fantom lending and borrowing market based on AAVE, one of the most popular DeFi protocols.

There is no protocol treasury because GEIST has no governance or ownership. Rather, half of the revenue gained by borrowing is distributed to GEIST consumers directly.

The New to Crypto Podcast is designed to guide you through the crypto landscape with pinpoint accuracy. New episodes are added daily. Be sure to subscribe to the podcast and listen to all of the episodes to help you in your cryptocurrency journey.

I’d love to hear from you! Email me at show@newtocrypto.io and let’s chat.

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