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Uniswap and Sushiswap, for example, were the first DEXs to launch on the Ethereum network. In the case of Goose Finance, it was a PancakeSwap fork on the Binance Smart Chain (BSC), with most of its functionality derived from SushiSwap on the Ethereum network.

The Goose Swap FORK

Goose Finance was a decentralized exchange that bootstrapped users and liquidity using automated market-making technologies and yield farming techniques. The team's goal was to improve on standard AMM protocols by introducing a second-generation yield farming mechanism that takes use of sustainable yield farming, as well as a revolutionary deflationary tokenomics model.

What exactly is a DEX AMM?
Uniswap and Sushiswap, for example, were the first DEXs to launch on the Ethereum network. In the case of Goose Finance, it was a PancakeSwap fork on the Binance Smart Chain (BSC), with most of its functionality derived from SushiSwap on the Ethereum network.

The decentralized and permissionless nature of this exchange platform allows for smooth token swaps. This is accomplished by combining AMM technology with the fundamentals of blockchains. In the case of Goose, we'll look at their unique approach and vision for creating high-yield farming.

Goose Finance has seen a slew of AMMs pop up on the Binance Smart Chain (BSC), and they planned to launch a new protocol that exploits their flaws. They've done this by layering a variety of novel solutions on top of classic AMM models. To begin, the team had implemented a burn mechanism on all liquidity deposits, which was used to fund the Omega Large Lottery Pool, which was comparable to PCS' lottery system. The team was also working on a layer two farming system, which would be available later. This would have been an un-ruggable and sustained yield agricultural system, according to the team.

The protocol had seen enormous acceptance since its launch, with over 90,000,000 in total value locked on the protocol (TVL). TVL is a useful metric since it shows how many people are prepared to deposit money on a platform; the notion is that the more money deposited, the more established a project becomes.

The Layered System
The "Incubator," a tiered farming system, attempted to provide an everlasting and presumably rug-proof yield farming solution. The team did this by using layered farming, which serves as both a sustainable yield farming method and a deflationary mechanism.

Every fourteen days, the team achieved this by releasing a new "Layer x Goose" LP token. Users had to stake EGG on a first-come, first-serve basis in order to get these LP tokens, and the staked EGG was subsequently burnt. Egg users would receive these "layered" LP tokens in exchange for burning, allowing them to earn huge yields with "Layer x Goose" LP tokens.

The team had allowed layers to remain on as long as earnings may be recovered in order to preserve numerous layers of sustainable yield farming. Furthermore, because the LP tokens are capped after first staking, the first-come, first-served model allowed for more reliable payouts.

In conclusion
Goose Finance's layered farming system, combined with two distinct deflationary mechanisms, put a new spin on typical AMMs. The ecosystem's purpose was to provide sustainable and safe farming for individuals who wanted to earn high-risk tokens while simultaneously catering to those who wanted to hold the platform's native token EGGs, which had less volatility. While this coin attempted to generate a long-term income, the incubation mechanics finally failed, and the project was shut down.

The Goose Fork was subsequently used by multiple new projects that copied the layered system in order to give users improved and high yields, but it had never become sustainable.

Written By

Petrache Ionut

Jun 3, 2022