CETF Archives - 2100NEWS

BrankoNovember 3, 2020
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6min121

Market veterans are hesitant to enter the market unless liquidity is sufficient. They know something the rest don’t.

DeFi is booming for many reasons. One of the more important factors behind this boom has been the development of the concept and the emergence of decentralized liquidity pools.

The decentralized liquidity acts as a backbone in refining DeFi space more convenient and efficient. When provided from a wide range of parties whose behavior is deeply uncorrelated, liquidity is fundamentally more robust: it is less likely to evaporate in a crisis and more indicative of a healthy market. Therefore the health of DeFi is largely identical to the health of decentralized liquidity venues.

Decentralized liquidity provisioning is emerging through a mechanism that does not exist in traditional financial markets — automated smart contracts. This is a totally new vector of provisioning liquidity.

What are 2100NEWS DeFi liquidity pools?

Liquidity pools, in essence, are pools of tokens that are locked in a smart contract. Contracts are simply pools of 50% ETH and 50% CETF Tokens. They are used to facilitate trading by providing liquidity, so the users can always trade and they don’t have to wait for another counterparty to show up. There are two players in pool trading. The exchangers, who use the pools to exchange tokens, and the liquidity providers, who offer their liquidity to the exchangers. They earn exchange fees whenever exchangers make use of their liquidity.

Traders buy either asset directly from the contract, causing the prices to move algorithmically. When differences emerge between the algorithmically-determined price offered by the contract and the market price, arbitrageurs close the gap.

Uniswap liquidity pools use a constant product market maker algorithm that makes sure that the product of the quantities of the 2 supplied tokens always remains the same. A pool can always provide liquidity, no matter how large trade is. The main reason for this is that the algorithm asymptotically increases the price of the token as the desired quantity increases. The mechanism through which the price adjustments are made for each token swap on the liquidity pool is termed as Automated Market Maker (AMM).

Whenever someone trades on the exchange, the trader pays a 0.3% fee which is added to the liquidity pool. Since no new liquidity tokens are minted, this has the effect of splitting the transaction fee proportionally between all existing liquidity providers.

Liquidity providers

Anyone can replenish liquidity in the contracts by contributing liquidity to the pools, he would have to add both CETF Tokens and ETF at their current ratio to the Uniswap exchange contract, to maintain the same price for the trading pair. In return they are given tokens from the exchange contract which can be used to withdraw their proportion of the liquidity pool at any time. . This concept of supplying tokens in a correct ratio remains the same for all liquidity providers that are willing to add more funds to the pool. Doing so entitles them to a pro-rata share of the trading fees (0.3% per trade) that accumulate in the contract. The crypto users who stake or store their assets in these liquidity pools to yield more assets or income through the concept of DeFi Yield Farming are known as a liquidity provider.

About interest

The interest in Uniswap could be very high for some trading pairs. The yearly interest of 30+% is not necessarily a rarity. But how can it come to such high-interest values?

  • the field is fairly new, and many still don’t know what liquidity pools are or how high the interest is.
  • Furthermore, providing liquidity comes with risks, since it’s still new and prone to mistakes. A larger mistake in the code could mean total loss for users.
  • Pool trading has advantages when compared to CEXs, all the tokens can be listed fairly easily, there is no KYC requirement and the costs are low when not considering transaction fees. Therefore, many trades on pool trading platforms which generates high interest in the form of fees.

This interest should in theory adjust over time and drop significantly since more investors will want to use them to generate fees. With more liquidity in the pools, the interest rate falls, since the collected fees will be divided on more staked capital.

Key Advantages of Liquidity Pools in DeFi

  • Provides and bootstrap liquidity Providing Network
  • Reduces Liquidity Risks in decentralized finance.
  • Liquidity Providers earn passive income

BrankoSeptember 20, 2020
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7min201

CETF (Crypto Exchange Traded Funds) tokens – NWSET, NWSLT NWSBCT, NWSCOT

Our main motivation during the development of 2100CETF (Cryptocurrency Exchange Traded Funds) tokens has been our belief that they are essential for bringing the digital asset economy to traditional wealth management.  Our unique financial background makes 2100CETF also a very suitable investment for institutional investors and savers. 2100CETF  acts as a bridge and increases transaction ease and efficiency.

For those unfamiliar, digital asset-backed tokens are blockchain-based units of value that are pegged to digital assets, such as crypto funds, crypto strategies. Digital Asset-backed token:

  1. offer back-and-forth convertibility,
  2. is an extremely useful financial tool,
  3. enable people to own assets in a liquid form,
  4. is not a synthetic or a derivative – users own the tokens that constitute the capitalization-weighted index.

Enter Digital asset-backed tokens, which are pegged to the price of crypto funds or crypto strategies, have secured a decent place in the industry as well. Nonetheless, one of the most significant categories of digital assets is represented by digital asset-backed tokens.

The characteristics of the 2100CETF are the originality of the design and innovation built into it. As the architects at 2100News, we were driven by the goal to create something to satisfy as many different users as possible. We are proud to have achieved this. The market will now have a product available that works just as well for a regular consumer in the new digital economy as it does for a banking institution that also wants to become a part of the digital future. Traders should also find 2100CETF  as one of the most suitable products to use when they want to react to market situations quickly.

Some of the most successful cryptocurrencies have seen outlandish gains. However, the industry is still surrounded by uncertainty and plagued by heavy volatility. For this reason, many investors would prefer to use a vehicle like a CETF to participate in the cryptocurrency space.

Another benefit of a CETF is that it can be used to track multiple digital tokens at once. The cryptocurrency world is highly compartmentalized, and investors looking to hold a basket of, say, 20 different tokens may have to own and operate multiple wallets and accounts across various digital currency exchanges.

2100CETFs are:

  • Stable

The 2100CETF is 100% guaranteed by digital currency over-collateralization. It cannot be over-issued, it is completely freely circulated to ensure the stability of the exchange rate.

  • Trustworthy

The 2100CETF is credible because all tokens are minted by smart contracts.

  • Open

All account details are public. You can view pledged assets and transaction flows at any time in the blockchain browser without third-party financial auditing.

  • Fast

2100CETF  performs digital transaction settlement on the Ethereum blockchain, enabling digital asset allocation in real-time, even in the untraditional banking hours.

  • Supported

2100CETFs  want to be one of the most widely used CETF tokens today. You can buy, sell and use 2100CETF tokens on Limitlex.com.

2100CETF tokens information:

  1. 2100CETF tokens are digital asset-backed tokens backed by a basket of crypto strategies on Iconomi. Every 2100CETF asset-backed token is 100% backed by a basket of crypto assets on Iconomi and for every settlement token minted, Iconomi holds digital assets.
  2. 2100CETF is a key component for leveraging the advantages of DLT-based financial infrastructure, including investing more efficiently
  3. 2100CETF can also serve holders of highly volatile cryptocurrencies to simultaneously avoid risk-taking of an individual currency.
  4. 2100CETF can be transferred in real-time, resulting in almost immediate settlement of transactions.
  5. The 2100CETF tokens don’t have a premine or token sale.

How to use 2100CETF ?

2100CETF asset-backed token enables all the combinations for entry or exit for any investor or user. Crypto traders and speculators can use the 2100CETF tokens by sending them to the smart contract and convert tokens directly into a strategy on Iconomi or vice-versa. Traditional users can move into 2100CETF  by depositing digital assets or FIAT  on Iconomi

Further information about 2100CETF can be found on http://www.2100news.com

Disclaimer: This document was prepared by 2100News. This document may contain forward-looking statements and may be subject to change. The opinions expressed herein are those of 2100News, its affiliates, and partners at the time of writing. The document is for informational purposes only and contains general material. It does not constitute any advice or recommendation, an offer or invitation by or on behalf of 2100News to purchase or sell assets or securities. It is not intended to be used as a general guide to investing and should be used for informational purposes only. When making an investment decision, you should either conduct your research and analysis or seek advice from an expert to make a calculated decision. The information and analyses contained in this document have been compiled from sources believed to be reliable. However, 2100NEWS makes no representation as to its reliability or completeness and disclaims all liability for losses arising from the use of this information.



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We are the new economy news hub. 2100NEWS is the professional index, data, and tools provider in the digital asset space, offering Crypto Market Intelligence, providing the perspective you can trust and equipping you with information edge you need to stay ahead. (Real-time data of token issuers and news, analysis and commentary from community.) We are very excited to contribute to the evolution of the industry and build an ecosystem around our offering (the institutional-grade data infrastructure required to enable institutional investments in digital assets). We want our contributions (Contents and Tools on 2100NEWS.com) to be useful for helping investors.


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