Rari Governance

What is Rari Capital?

Rari Capital operates as an autonomous yield farming protocol, generating profits from stable assets while maintaining acceptable risk levels.

The primary objective of Rari Capital is to draw in liquidity from the decentralized finance (DeFi) space and deploy it in the most efficient manner possible.

To address challenges associated with the Ethereum blockchain, such as gas fees, speed, and scalability, Rari Capital has strategically allocated capital across different blockchain networks using its created bridge.

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Recent Video Interview

Main points of the interview:

• Rari Capital has democratized decentralized finance (DeFi) with permissionless pools.
• Their innovation, Fuse, allows anyone to create and manage lending pools without centralized control, akin to Uniswap's liquidity model.
• Rari's success lies in its community-driven approach and a fair launch model, distributing 87.5% of its tokens to users.
• Aims to redefine the DeFi landscape by providing capital efficiency and broad asset support.

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How Does Rari Capital Work?

Rari Capital maximizes profits by leveraging a sequence of stable assets (swapped through 0x) across three distinct asset pools, each categorized by varying risk levels:

• Stable Pool (Pool 1): Ensures secure interactions with exclusively audited contracts, prioritizing safety.
• Yield Pool (Pool 2): Offers opportunities for optimal profits, whether through leveraging or utilizing unaudited contracts. This pool employs a risk strategy to automatically identify and capitalize on the highest yield.
• ETH Pool (Pool 3): Focuses on safe and stable profit distribution based on ETH assets.

In essence, Rari Capital seeks to generate profits by engaging in lending and farming activities through DeFi protocols such as Compound, dYdX, yEarn, among others. Additionally, the platform aims to broaden its approach to secure off-chain stable profits in the future.

Rari Capital's Products

Rari Capital encompasses key components, including a yield aggregator facilitating deposit and interest generation, Fuse—an open interest rate protocol for peer-to-peer lending and borrowing, integration with Saffron Finance's risk-mitigating tranches offering guaranteed interest rates, and Pool2 providing additional incentives for RGT liquidity providers on decentralized exchanges. These features contribute to Rari's comprehensive DeFi ecosystem.

Security

Security is of paramount importance to Rari Capital. The protocol has undergone rigorous security assessments conducted by Quantstamp and other third-party entities through multiple rounds.

Furthermore, Rari Capital introduced Rari V1 to enhance lending optimization between two major protocols, Compound and dYdX, while also facilitating rebalancing among stablecoins using 0x.

Key measures taken by Rari Capital to ensure protocol safety include:

• Implementation of fundamental protocol evaluation criteria before integration.
• Gradual expansion of deposit limits over time (initially capped at $350 during launch, the deposit limit has since been increased).
• Adherence to transparency and open-source principles.
• A strong focus on community involvement and engagement.

What is Rari Governance Token?

RGT serves as Rari's Governance token, fulfilling the following functions:

1. Governance: Both the Rari team and holders of $RGT can propose and vote on initiatives to uphold and enhance the Rari Protocol. They can also delegate their voting rights to other addresses with voting capabilities.
2. Fee Discount via Staking: Users can obtain a fee discount in the Rari Protocol by staking their $RGT holdings. While Rari typically imposes a 9.5% fee on total profits, staking $RGT may, at times, lead to reduced fees.

Project Development

As the Tribe DAO concludes its activities, the official frontend applications of Rari Capital at http://rari.capital and http://app.rari.capital will be deactivated on February 29th.

Furthermore, the opportunity to redeem REPT-B will also come to a close on the same date.

Rari Governance Price Analysis

As of November 24 2024 Rari Governance has a marketcap of $3M. This is {{percentagefromath}} from its all time high of $64.62. In terms of its tokenomics, there's a total supply of 12M with 90% currently outstanding. Keep in mind Rari Governance has a fully diluted value of $3.4M which many investors might interpret as overvalued.

Of course, don’t trust price predictions alone, always check the Coinrotator token screener to follow the trending market.