0VIX

0VIX is a decentralized finance (DeFi) liquidity market protocol developed to enable users to lend, borrow, and earn interest on digital assets. The protocol is built on the layer-2 Polygon network, allowing users of 0VIX to bypass network congestion and high gas fees associated with the Ethereum network. By offering a liquidity pool, the 0VIX protocol enables lenders to earn passive income and borrowers to borrow in an over-collateralized manner. 0vix works to provide a protocol that can remove barriers for users of DeFi protocols by offering a scalable and decentralized platform with a focus on approachability, ease of use, and low fees.

0VIX, a decentralized finance protocol, was developed on the Polygon network by GOGO Protocol with the goal of making DeFi approachable for users of all experience levels. 0VIX was developed to do this through community-driven token emissions, or voted-escrow tokenomics (veTokenomics), and advancing jump rate interest models, intended to adapt to changes in market conditions and respond to competing protocols' APYs.

0VIX's DeFi lending platform is a liquidity market protocol developed to provide users an approachable user experience and smart tokenomics to try and future-proof the protocol while making it attractive to all users, including DeFi veterans and relative newcomers. The platform offers a list of assets and stablecoins for users to invest to receive what the protocol developers call a competitive APU, and users can borrow against supplied assets that are used as collateral against the loan. Further, interactions with the platform make users eligible for rewards offered in the protocol's native asset, VIX.

Voted-escrow tokenomics, or veTokenomics, is a token model originally launched by Curve Finance to combat problems with previous DeFi models; the main problem being protocols offering inflated incentives for platform usage to boost initial user growth, which could cause users, after earning most of the rewards, to dump the tokens and create a domino effect of panic selling. The original veTokenomics offers users an option to lock up their assets for up to four years, secure their funds, and boost yields and voting rights. Those with staked veTokens are able to dictate the allocation of the protocol's rewards and decide on which pools rewards would flow into and increase the liquidity of certain pools.

0VIX uses a market risk assessment approach through an agent-based model to maintain the long-term health of the protocol. To do this, 0VIX assesses the risk by accounting for price trajectories of tokens, user actions (such as depositing, borrowing, and swapping), and user portfolios on the platform. With these three inputs, 0VIX models the potential liquidation threshold of users, and the health of the protocol can thus be optimized using these results to reduce the overall risk to the protocol.

If rewarded VIX, the user can choose to lock up the asset for a predefined or custom time period, for which they will receive veVIX tokens proportional to the time period, which also gives users a chance to vote for the distribution of rewards across markets to all participants. 0VIX implemented a pre-mining incentive program to boost user growth, TVL growth, and TVL stickiness, or how much capital could be retained in the protocol as a result of the campaign.