Research Summary
The report provides an in-depth analysis of Shezmu, a pioneering platform in the realm of crypto guardianship. It offers a cross-chain router dex and elastic-supply protocol with a deflationary token model. The platform incentivizes participation by allowing users to burn Shezmu tokens to mint Guardian NFTs, which decreases the overall token supply and potentially increases the value of remaining tokens.
Key Takeaways
Shezmu’s Unique Ecosystem
- Evolutionary Design: Shezmu’s ecosystem is designed to evolve, with plans to introduce features like collateralized lending of ERC721s and ERC20s, bonding products, and cross-chain swaps to enhance asset yield maximization.
- Guardian NFTs: Guardian NFT holders can earn rewards in Shezmu tokens, fostering active community engagement and long-term participation. Guardian NFTs come in six distinct tiers and provide daily earnings of 0.1 SHEZMU per NFT owned.
Shezmu’s Oasis
- Hybrid Collateralized Lending: Shezmu’s Oasis, currently in testnet, is a hybrid collateralized lending product that aims to bridge the liquidity gap between DeFi and NFTs by allowing ERC-721 collateral in lending agreements.
- Proprietary Risk Management: Oasis employs a proprietary risk management algorithm to assign Loan to Value (LTV) rates and Liquidation Thresholds (LQ) to collections, based on factors like volume, floor price volatility, asset history, and distribution of holdings.
Shezmu’s Deflationary Tokenomics
- Token Supply Control: Shezmu launched with a total supply of 10,000,000 tokens, with 75 Ethereum raised in a public presale and 95% of the supply burned at launch, leaving 500,000 Shezmu in circulation to control inflation.
- Token Burning: The deflationary tokenomics of Shezmu are reinforced by burning 12 Shezmu tokens for every Guardian NFT minted, with rewards for Guardians paid as a fractional allowance of the Shezmu burned, minus a Claim fee.
Shezmu’s Fiscal Policy
- Shezmu Treasury: The Shezmu Treasury, tasked with maintaining fiscal policy, receives about 20% of all rewards claims to ensure liquidity and control over the protocol’s supply.
- Sell Tax: Shezmu’s fee structure includes no Buy Tax to encourage protocol adoption, while a 6% sell tax at launch, which can be adjusted but never exceed this cap, funds the Treasury and supports protocol longevity.
Actionable Insights
- Exploring Shezmu’s Ecosystem: Investors interested in NFTs and DeFi could explore Shezmu’s unique ecosystem, which combines a deflationary token model with Guardian NFTs and a hybrid collateralized lending product.
- Understanding Shezmu’s Tokenomics: Understanding Shezmu’s deflationary tokenomics could be beneficial for investors, as the platform burns tokens for every Guardian NFT minted, potentially increasing the value of remaining tokens.
- Monitoring Shezmu’s Fiscal Policy: Keeping an eye on Shezmu’s fiscal policy could provide insights into the platform’s sustainability, as the Shezmu Treasury receives a portion of all rewards claims to ensure liquidity and control over the protocol’s supply.
