As you may already know, there is already existing some stablecoins on the crypto market. There are some fiat-backed coins like USDC or BUSD, some are pure algorithmic like BDO or MDO.
Fiat-backed aren’t fully decentralized and algorithmically stabilized coin can go off peg and have an hard time catching up on it.
So what makes Iron different?
Iron is the first partial-collateralized stablecoin on the BINANCE Smart Chain
The iron protocol use 2 tokens:
The IRON token, pegged at $1, who is partially baked by BUSD and STEEL
The STEEL token, that is backed by seigniorage revenue and excess collateral, which also serve as governance.
At the time of writing this article, IRON is collateralized in BUSD by 92% and 8% STEEL, which means that even if STEEL reach $0, Iron will still be valued at 92 cents per coin.
Where to exchange IRON and STEEL?
You can swap (buy and sell) both tokens, on Iron Finance’s partner site, ValueDefi. You can exchange Iron coins here an exchange STEEL here.
What can you do with your freshly acquired tokens?
First, let me warn you, this is not financial advice, but my personal opinion only.
IRON: If you want to play it safe or you’re simply not interested in STEEL, you can just farm IRON/BUSD pairs on ValueDefi vSafe, you’ll get a sweet 256% APY! You can also farm it it with vDollar for a 252% APY.
If you’re interested in STEEL, which is at $2 right now, that I believe to be greatly under-valued, but if you'd prefer to avoid the possibility of impermanent loss, you can stake your IRON/BUSD LP on vFarm or IRON/vDollar.
After acquiring STEEL, you can simply stake them on the Foundy that will give you a sweet APR of 275% at the moment.
Profits come from IRON minting and redemption fees and a partnership with ValueDefi with a special private Vaults and another project, DiamondHands, that I’ll talk about in another article.
Lastly, if you really want to acquire more STEEL and don’t fear impermanent loss, you can create STEEL/BNB LP and stake them here.
My personal strategy
I’m bullish on STEEL. I believe strongly in the future of this project so that’s why I purchase regularly STEEL. I stack most of it in the Foundry and put the remaining in the STEEL/BNB farm. I also have a liquidity in IRON/BUSD in the vFarm as well. This is only my opinion and not an investment advice.
What is coming up next for the iron future?
Coming up next week, IronFinance developers will release a lottery where everyone can participate by purchasing tickets with IRON and where the prize is paid in IRON as well!
After that, they’ll release a NFT marketplace and a lending platform!
Conclusion
IronFinance has a great potential and a mostly risk free way of earning passive incomes with the IRON/BUSD LP and a Foundry that prints out money as well.
I’m personally excited about it and can’t wait till the end of march just to know what is coming up next on their platform.
Specials thanks to @raccooneu.
Disclaimer
I do not have any partnership with Iron Finance. I simply wanted to share this project on PUBLISH0X because I found no article talking about it.
Warning! This article represent the opinion of the author only and it may be factually wrong or inaccurate. Also, this article is for general information and educational purposes only and is not intended to constitute investment advice. The information contained herein is not, and shall not constitute an offer to sell, a solicitation of an offer to buy or an offer to purchase any cryptocurrencies or tokens nor should it be deemed to be an offer, or a solicitation of an offer, to purchase or sell any investment product or service.
