What Is Mercurial Finance?
Mercurial Finance is a decentralized finance (DeFi) protocol with the unique offering of dynamic vaults. These vaults provide low slippage on stablecoin swaps and enhance liquidity providers’ profitability through dynamic fees and flexible capital allocation.
Background
Siang, Ming, Pierra Arowana, Andrew Nguyen, Ben Chow, Zhengyu Tay, and Izuddin Helmi founded Mercurial in 2021.
How It Works
The assets in the liquidity pool aren’t left idle; they’re used over time to generate yield. Dynamic fees are designed to compensate liquidity providers for their impermanent loss, encouraging more participation. MER, the utility and governance token of Mercurial Finance, earns holders a percentage of trading fees and yield farm commissions. It also serves as collateral for synthetic stables and grants governance rights.
Mercurial Finance has now rebranded to Meteora. Mercurial Finance is no longer in development.
Key Takeaways
- Mercurial Finance is a decentralized finance (DeFi) protocol that introduces dynamic vaults.
- These vaults provide low slippage on stablecoin swaps and enhance profitability for liquidity providers through dynamic fees and flexible capital allocation.
- The assets in the liquidity pool are used over time to generate yield, eliminating the need for liquidity providers to choose between earning trading fees or yield.
- MER is the utility and governance token of Mercurial Finance, earning holders a percentage of trading fees and yield farm commissions.
- MER also serves as collateral for synthetic stables and grants governance rights to its holders.
