Mercurial Finance - Everything you need to know about MER Token

What is Mercurial Finance?

Mercurial Finance is building the first dynamic vaults for stable assets, providing low-slippage swaps for stable coins, allowing liquidity providers to leverage dynamic fees to improve LP profits as well as assigning power to users/ communities to participate in making decisions through its DAO program.

What are the issues which Mercurial Finance (MER) is trying to address in the DeFi space?

• High slippage: Trading stable pairs on traditional AMMs have high slippage which leads to higher costs for users.
• Unsatisfied LP rewards: Fees are static, resulting in wasted fee opportunities for Liquidity Providers when the market demand is high.

How does Mercurial Finance work?

Low slippage swaps for stable pairs

Unlike traditional swaps, Mercurial Finance provides up to 100 times better slippage for stablecoin swaps compared to traditional AMMs.

How can Mercurial Finance execute its ideas? Mercurial Finance will utilize a price curve to concentrate liquidity in the desired range. Users who trade when the exchange rate is out of range will get less supported liquidity.

Dynamic Fee Program

All the vaults in Mercurial share the same dynamic fees program. The program will store the market volume, and volatility data, and update the LP fees accordingly. Dynamic Fee Program will then follow rules/commands below and leverage market conditions to improve LP profits.

• High market volatility: Higher LP fees, reducing Impermanet Loss and capturing higher profits.
• Low market volatility: Lower LP fees to encourage trading.

Dynamic Vaults, Yield Programs and DAO Program

Yield Programs

Allocation of assets deployed to external platforms like lending protocols will be managed by Yield programs to earn additional interest and yield. This management also includes interest and yield collection.

These yield programs will need to be approved by the DAO before they can send capital in the vault to external platforms. The % of deployable assets will also be determined by the DAO for each vault.

Deployment to external platforms includes flash loans, collateral for lending platforms, leveraged stable lending. Platforms will be selected based on the returns, risk profiles, and ease of retrieving liquidity.

New programs can be added to existing vaults to improve the earnings of the base capital.

DAO Program: The DAO will decide key decisions include:

• Base fees and commissions: From the swap and vault operations.
• Usage of the fees: Whether the fees will be burnt or distributed.
• Deployment destinations: Where capital can be deployed to.
• Max loan to liquidity ratio: The maximum amount of capital that can be externally deployed per vault.

Detailed information about MER token

Key metrics MER 

• Token Name: Mercurial Finance.
• Ticker: MER.
• Blockchain: Solana.
• Contract: MERt85fc5boKw3BW1eYdxonEuJNvXbiMbs6hvheau5K
• Token type: Utility, Governance.
• Circulating Supply: 55,000,000
• Total Supply 1,000,000,000
• Max Supply: 1,000,000,000

MER Token Allocation

MER Token Unlock Schedule

MER Token Use-cases

MER token will be used for 2 main use cases: Utility & Governance.

Utility: Mercurial Protocol is designed to have a wide range of mechanisms for accruing value to MER holders.

• Fees from swap: MER holders will get a portion of the swap fees, also will benefit from activities of buy and burn MER tokens.
• Commission: MER holders will get commissions as the interest and yield accrued by the vault.
• Collateral for synthetic stables: MER holders can use MER tokens as collateral to mint synthetic and other stables.

Governance

• Governance: MER Holders will govern key parameters such as swap fees, strategies used to maximize yield for the vault, etc.
• Vote on collateral for synthetic stables: MER holders will vote on new synthetic stable assets as well as new types of collateral.
• Liquidity rewards: MER tokens are used as rewards to liquidity providers and stakers.
• Insurance Pool: MER tokens could be used as a part of insurance to cover losses from unexpected events that pegged assets have high volatility.

How to store MER Tokens

You can store, send, receive MER Tokens on Coin98 Wallet with a few single steps. The guides on how to make transactions with MER on Coin98 Wallet are as follows.

Step 1: Open Coin98 Wallet & click Receive on the home screen.

Step 2: Search MER Token.

Step 3: Click on the correct result, copy the wallet address and send MER to this address.

How to buy MER Tokens

Using Coin98 Exchange

You can use Coin98 Exchange to swap other tokens for MER following these simple steps with: exchange.coin98.com

Step 1: Connect Coin98 Extension Wallet.

Step 2: Choose coin/token for trading:

• Search MER.
• If the result does not come up, you can paste the contract of MER into the search box: MERt85fc5boKw3BW1eYdxonEuJNvXbiMbs6hvheau5K

Step 3: Adjust the amount you want to swap.

Step 4: Adjust the gas fee, then click Approve.

Other exchanges

For now, Coin98 Exchange has not supported users to buy MER tokens. The top exchanges for trading in Mercurial Finance are currently Gate.io, Hotbit, and Raydium.

Team, Investors & Strategic partners

Founders/ Team members

Mercurial is headed by a team of experienced operators in the technology and blockchain space:

• Siong (Lead): Founding engineer at Envoy and resident engineer at Expa. YC alum and UIUC CS graduate
• Ming (Co-Lead): Strategic advisor to Instadapp, Blockfolio, Kyber Network. Founding team in WBTC, Handshake.
• Loi (Co-Founding Advisor): Founder of Kyber Network, Forbes 30 under 30 list for Asia in 2017, and Top 10 Innovators under 35 for Asia Pacific by MIT Technology Review.
• Andrew (Head Researcher): Founding engineer and technical manager at Kyber Network. He has deep expertise in AMM and DeFi strategies and is the author of DMM protocol. He was also the winner of the Maths Olympiad for University Students in Vietnam for 2010.

Investors

Along with seed investors such as Alameda Research, Solana, HuobiGlobal and OKEx, Mercurial Finance also has a set of long term, high value adding investors led by DeFianceCapital, imToken, Signum Capital, Coin98, gate.io and many others.

Strategic Partners

Mercurial Finance partners include: Serum, Parrot Finance, Fantom, DeFi Alliance and many others.

Is Mercurial Finance (MER) a good investment?

Following are some highlights for your consideration:

• Highlight 1: Mercurial Finance for now is only supporting 4 stable tokens which are USDC, USDT, PAI, wUST. Meanwhile its competitor built on the same blockchain Solana - Saber is supporting more than 30 stablecoins. It seems that Saber is better at attracting liquidity than Mercurial Finance currently.
• Highlight 2: Mercurial Finance has not published its road map. Meanwhile Saber is having a clear and detailed one. Its tokenomics are very similar to a well-known stabecoins AMM Curve Finance.

There is still a long way to go for Mercurial Finance. Traders/ Holders should find a good price to buy as well as watch the MER development for further investment decisions. Also, MER holders can compare the project with similar projects such as Saber, Curve, etc. to have some price forecasts.

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