📚Core protocols

Core protocols such as a decentralised exchange, a perpetuals exchange as well as a lending& borrowing app are the critical DEFI infrastructure on Haven1. And they accrue value to H1 token

Haven1 introduces a unique proposition where the core protocols are owned by the network, addressing key challenges in the Web3 space and enhancing the utility of its native H1 token. All the essential pillars of DeFi infrastructure - the AMM, Lending & Borrowing protocol, and the Derivatives platform, are owned by the Haven1 network and accrues fees and rewards to H1 token holders.

Addressing Liquidity Fragmentation

Liquidity fragmentation is a significant barrier in Web3, restricting trading opportunities and efficient arbitrage for both traders and retail users.

Haven1's innovative approach consolidates liquidity, facilitating deeper and more efficient markets. This strategy not only enhances trading experiences but also bolsters the intrinsic value of the H1 token.

Introducing Haven1’s Core Protocols

Haven1's three core protocols are designed to form the backbone of a more integrated on-chain infrastructure:

AMM DEX supporting concentrated pools
  • Primary liquidity and trading hub for the chain, providing users with a secure and efficient way to buy, sell, and trade tokens.

  • Deep liquidity pools will allow for cross-chain arbitrage opportunities.

  • The protocol will incentivize users to provide liquidity in return for fees and further liquidity mining rewards.

  • Haven1 will also allow ALMs(automated liquidity managers/9 built on this AMM DEX to support more profitable liquidity provisioning for our LPs

Perpetuals protocol
  • On-chain financial market where contracts are traded based on the value of underlying cryptocurrencies.

  • Enables traders to speculate on the price movements of cryptocurrencies without owning the actual assets with access to futures contracts, options contracts, swaps, and other financial instruments tailored to Haven1 userbase.

  • The derivatives market in crypto provides opportunities for hedging, leveraging, and risk management, allowing traders to profit from both upward and downward price movements in the industry.

RFQ DEX
  • Our RFQ dex will complement the AMM DEX by enabling by fetching quotes and allowing trade execution supported by liquidity on several different chains and OTC via cross chain liquidity aggregators

  • This ensures that any arbitrage opportunity on Haven1 is quickly exploited and ensures that users get more efficient execution and price stability on the AMM

Borrowing and lending market
  • Operates as a permissionless market, providing a wide range of assets for lending and borrowing activities, offering real-world and on-chain synthetic assets.

  • Enables users to earn interest by lending their assets and allows borrowers to access liquidity using their collateral, operating through smart contracts to ensure transparency and automated execution of loan agreements.

  • It allows for greater composability, enabling the integration of various protocols and applications on-chain. This opens up opportunities for the creation of more advanced financial applications and the seamless interaction between different DeFi services.

Combined with the provable identity framework, these protocols enable real-world use cases currently not possible in the anonymous and unregulated world of DeFi.

Benefits of Network Ownership

Advantages of Haven1 owning Key Infrastructure:

  • Reduction in Liquidity Fragmentation: Creates a unified, deep market, enhancing the trading experience.

  • Value Enhancement of H1 Token: All fees, revenues, and governance rights from these products directly benefit H1 token holders, elevating the token's value proposition.

The H1 token

The H1 token is central to the Haven1 ecosystem, with multiple roles enhancing its value and utility:

Application Fee share from Core Protocols

Fees generated from the use of Haven1's core applications contribute to the token's value, benefiting holders.

Governance

H1 token holders play a pivotal role in shaping Haven1's protocol, with governance mechanisms that include voting for protocol updates, distributing incentives through the Governance Fund, building grants, and participating in project management decisions.

Validator, Developer, and Community Incentives

H1 tokens are used to incentivize various stakeholders in the network, including validators, developers, and community members, aligning their interests with the growth of the Haven1 ecosystem.

Revenue Share from Third-Party Applications

A portion of the revenue generated by third-party applications on the network is distributed to H1 token holders, creating a direct financial incentive.

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