Arc Finance has achieved a great feat by utilizing the power of DeFi 2.0 to offer an efficient and lasting solution to the issue of liquidy. Arc Finance’s solution was achieved by their trade to earn technique which was set up to offer lucrative rewards to users that provide liquidity.

By incentivizing the positive trading behavior of users, Arc Finance has proven that the liquidity crisis can indeed be resolved more efficiently than was presented by DeFi 1.0 which had many downsides. The trade to earn mechanism was born out of the integration of the Automatic Unlocking Mining (AUM) algorithm and Arc Finance’s Liquidity Premium Pool protocol service which motivates all users on the platform to trade to earn rewards.

Presented in this article is a brief description of “Arc Finance’s amazing technical feature Automatic Unlocking Mining and the various technologies that serve as its technical support”.


Automatic Unlocking Mining is an algorithm that is employed to automatically regulate the speed at which r-tokens are unlocked, presenting users with the benefits of receiving higher annual percentage yield income without attracting any additional cost.

The essential constraint of the Automatic Unlocking Mining algorithm is that the more regularly a client carries out a transaction, the more r-Tokens they will unlock. Additionally, during the transaction process users will be rewarded for their positive trading behaviors with platform tokens.

The fundamental aim and working principle of the Automatic Unlocking Mining algorithm are to recognize the transaction activity of a user as the criterion to unlock and release the locked r-Tokens.

Presented below is a brief description of the technological backing of the AUM mechanism:

  • Timelock Mechanism

The timelock mechanism is utilized to deny admittance to certain functions of a smart contract in such a way that a period of time can be established for the culmination of the said function. The timelock mechanism secures users’ funds by implementing MasterChef’s setMigrator and transferOwnership technique after a hesitance of 48 hours.

  • Heterogeneous Framework

A multi-chain Network is an essential technical support for the AUM mechanism, as it resolves the need for multi-chain heterogeneous compatibility by achieving the application situations that can at the same time support multi-chain, cross-chain, and asset interaction.This makes it easy for cross-chain transactions to be accomplished in the Arc Finance ecosystem.

  • Tower Byzantine Fault Tolerance

Tower Byzantine Fault Tolerance also known as Tower BFT is an enhanced version of the Byzantine Fault Tolerance algorithm that helps the network to achieve consensus by implementing a common time source called proof of history (PoH). Hence, creating a permanent reference for all nodes of the network.

  • The Wormhole Protocol

The wormhole protocol is a link that connects users exclusively to the Ethereum ecosystem. The wormhole protocol supports ETH and ERC-20 tokens. The wormhole protocol assists holders of ETH to swiftly gain access to the Ethereum ecosystem in a manner that accomplishes maximum productivity with minimum cost, making it seamless for ETH holders to participate in the Arc Finance platform.

Arc Finance is an outstanding decentralized exchange built on the Binance Smart Chain that offers superior liquidity market capitalization management services to DeFi projects.

Arc Finance empowers DeFi startups and other financial ventures to rely less on Whale Capital by attracting a horde of retail financial backers to actively contribute to trading and the overall development of the project. Arc Finance achieves this by providing lucrative rewards for trades and integrating the Automatic Unlocking Mining Algorithm and the Liquidity Premium Pool.

By incentivizing the positive trading behavior of clients, Arc Finance is determined to enhance the market nature that was practiced in the past, where users passively provide liquidity to procure income.

Hence, users need not deposit assets into liquidity pools to passively increase the liquidity but create transaction premiums according to their attitude towards transactions

By utilizing the capabilities of DeFi 2.0, Arc Finance aims to revolutionize the tokenomics of decentralized finance.

Find out more about Arc Finance via the following links:






Medium: Arc Finance



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