As early as the summer of 21 (July), we saw HashMix launch the Filecoin deposit/lending product, which is mainly aimed at Filecoin ecosystem investors and K workers, to solve the current K worker lending fund problem and investors' more flexible participation in FIL computing power mining K.

More than a month later, we found that the TVL of the HashMix platform was close to 600,000 FIL. Based on the average FIL price of $76 at the time (I would feel nostalgic when I think of the price of the currency at that time), it was nearly 300 million RMB, which was indeed an amazing result.

For a long time, the entire K industry has been faced with the practical problems of a single form of computing power and lack of liquidity. Although there have been many solutions such as computing power tokens, overall, they can only solve some problems. Problems such as inflated prices, difficulty in tracing, and trust crisis remain unresolved.

After taking a closer look at the project, we found that HashMix connects K workers, computing power investors, and DeFi liquidity participants by NFTizing computing power, enabling transparent trading of computing power. At the same time, it increases investor returns through effective incentives and reduces the financial difficulties faced by K workers in mining K, aiming to build a decentralized cloud computing power platform.

Innovation of HashMix computing power deposit and loan model

Since the official launch of the Filecoin mainnet on October 15, 2020, the network computing power has continued to rise by 30-50P per day, and the enthusiasm of new K workers to enter the market has continued to rise. At the same time, the Filecoin K mining economic model also requires every new K worker to pledge a large number of FIL tokens to encapsulate sectors, which obviously has a high requirement for the capital threshold of K workers.

As a pioneer of Web3.0, the IPFS network storage protocol underlying Filecoin occupies a key position in Web3.0. Many people have high hopes for Filecoin. The better the project, the more participants there are. The more participants there are, the greater the demand for mortgage coins. This contradiction becomes more and more intense, further increasing the market's demand for liquidity and tokenization of FIL computing power.

HashMix chose to enter the Filecoin K mining computing power field at this moment and launched deposit and loan and joint K mining products. It is estimated that it also saw the rigid demand and gap in this market.

HashMix deposits and loans and joint mining K are mainly aimed at flexible deposit and withdrawal investments and time deposit investors, and their profit distribution is also different.

For investors, by depositing FIL into the project contract in a flexible way, they can then obtain corresponding NFT computing power tokens and HSM governance token incentives, as well as corresponding interest income. This NFT computing power token model is similar to the common DeFi liquidity mining LP token model, and the conversion of LP tokens into NFTs has also been widely used in UniSwapV3. Therefore, NFT-based computing power warrants have become a trend in the tokenization of computing power.

Currently, Filecoin deposit, loan and joint mining products are in the early stages. It is reported that HashMix will soon launch NFT computing power tokens for investors, and the income from investors' deposits will be distributed normally. It seems to be a good time to participate. At the same time, investors who participate in HashMix flexible deposits can obtain a certain number of HSM governance token rewards. Through the value of HSM in the system, the investment rate of return can be further improved, thereby encouraging more investors to participate and ensuring that HashMix can take the lead in the tokenization and liquidity of computing power.

HashMix Participation Methods

Some functions of HashMix have been improved, but investors can already deposit FIL to obtain investment returns. In practice, the steps to participate in the HashMix platform are relatively simple, and functions such as FIL flexible deposit, joint mining, and lending have been launched.

1. Flexible deposit

1. Enter the HashMix page. The first time you use it, you need to register and log in with your email address. We directly fill in the email address. The system will send a verification code. Just open the email and enter the verification code.

2. In the "Deposit/Loan" column, find the link to withdraw coins and recharge FIL as required

3. After the recharge is completed, make a deposit and enter the deposit amount.

Conduct user deposits and K-worker loans

4. If you need to withdraw money, you can also withdraw money directly on this page

Flexible deposit and withdrawal methods for FIL

There is a very critical parameter in flexible coin deposit, which is the fund utilization rate. The fund utilization rate refers to the ratio of the deposited funds of flexible coin deposit users to the borrowed funds of K workers. For example, when an investor flexibly deposits 100FIL and the fund utilization rate reaches 59.35%, it means that K worker has borrowed 59.35FIL from the HashMix platform for staking mining, and the remaining 40.65FIL is still on the HashMix platform and has not been borrowed. Generally speaking, the higher the fund utilization rate, the higher the annualized rate of return of flexible coin deposits will be.

Of course, the higher the fund utilization rate, the better. On the one hand, since investors use flexible deposit and withdrawal methods, they must meet the withdrawal needs of some investors at any time. Therefore, a part of FIL will be prepared as a "reserve fund", and the other part can be used for lending to K workers. When the utilization rate is too high, in extreme cases, it is very likely that users with flexible deposits and withdrawals will be unable to withdraw funds temporarily. Of course, the increase in annualized yield will also attract some investors to continue to deposit coins, thereby gradually reducing the fund utilization rate, and investors can continue to withdraw funds at any time.

Generally speaking, this phenomenon will maintain a dynamic balance, so the utilization rate of flexible deposit and withdrawal funds will fluctuate within a relatively reasonable range in the long run, which is normal.

2. Joint mining K

Joint K mining is a way of depositing coins for K workers to borrow and lend regularly. In this model, investors participate for a fixed period of time and cannot withdraw FIL in the middle. At the same time, K workers need a large amount of FIL to mine K in a short period of time, so it is necessary to lock up investors' FIL for a period of time in order to obtain higher returns than flexible deposits and withdrawals. We can regard joint K mining as a way of financial management with regular deposits.

Since the funds in joint mining are in a regular mode and cannot be withdrawn in the middle, the utilization rate of funds in this case is 100%, that is, the FIL invested by investors is finally used completely in the mining of K workers. The main feature of joint mining is to raise a large amount of FIL in a short period of time for K workers to build multiple nodes at one time. Therefore, this model requires stable funds, rather than flexible deposits and withdrawals, so it can only be used in a regular mode.

3. K-worker loan

If worker K needs to borrow FIL for mining, whether for short-term or long-term use, he can contact HashMix officials by email according to the page prompts, follow the official steps, pledge Owner permissions, and participate in FIL mining.

The advantage of this is that the loaned funds can only be used to mine K. K workers only need to prepare mining hardware and network resources. Other FIL that need to be written into the sector are provided by the user funds deposited in HashMix. In the future, HashMix will also launch a mode suitable for K workers to operate on the chain, which will enable K workers to borrow and mine FIL at any time when they need it, thereby improving the efficiency of fund use.

When worker K borrows money, HashMix will have certain control over the mining node K (referring to the node's authority on the chain, and the node's hardware equipment is still controlled by worker K), ensuring that the funds can be used to repay the loan and interest as soon as possible, and preventing worker K from using the funds for other purposes privately, which can effectively reduce investor risks.

After the K-node repays the loan and interest, HashMix will also return the node control rights. This will allow HashMix investors to obtain higher investment returns, while the K-node will reduce financial pressure, ultimately achieving multiple goals at one stroke.

HSM Deposit Incentive Program

The HSM incentive plan is mainly aimed at investors who participate in the deposit of coins. Eligible participants (who deposit more than 20FIL) will share HSM token rewards. The third phase ends on August 27, 21.

The participation period is from 10:00 am (EST) on August 11 to 10:00 am on August 27. If the total deposit reaches 500kFIL, eligible participants can share a reward of 250kHSM. According to official data, the total amount of HSM is 1 billion, and the only way to publicly obtain HSM is to participate in the deposit.

It is worth noting that HashMix raised US$3 million in May this year. The main financing institutions are HashKey Capital, Distributed Capital, Continue Capital, GBV, SevenX Ventures, Kenetic Capital, FBG Capital, LongHash Ventures, Qtum, Morningstar Ventures, A&T Capital, etc. The lineup of investment institutions is very strong, and HashMix deserves long-term attention.

Comparison of investment income and K-worker loan

For investors, investment returns are a very critical parameter. Since DeFi attracted the attention of investors last year, many DeFi investment products and other solutions for FIL have appeared on the market. There are two main modes for FIL: DeFi liquidity mining and computing power pledge mining. We selected some projects' flexible deposit and withdrawal yields for comparison, and the results are as follows:

1. Deposit comparison

From the perspective of the current deposit rate of return, CrossFi and Fido have good total returns because of the project governance token rewards in their ecosystems. HashMix's incentive token HSM has not yet been listed for trading, so its value is not yet known. However, HashMix's performance in FIL deposit APY is also remarkable, comparable to LendMi.

2. Loan comparison

As for the K-worker lending rate, currently DeFIL, CrossFi, and Fido use the pledge lending method, while LendMi and HashMix use the K-worker node Owner to provide permissions for staking. This model is currently more suitable for entry-level FIL miners.

HashMix lending rates are open and transparent, and are very friendly to K workers. At the same time, for investors who deposit coins, participating in HashMix deposits can not only earn interest on their coins, but also allow them to conduct HSM "blind mining". Coupled with the optimism of institutional investors, it can be estimated that the yield of "blind mining" in the later stage may reach a considerable level, so it is also very attractive to current investors.

The impact of HashMix on the Filecoin ecosystem

As blockchain technology gradually moves towards application, Web3.0 infrastructure is becoming the focus of many institutions, and Filecoin provides distributed storage services for Web3.0, which is a very critical layer for Web3.0. Because of this, the storage space of the Filecoin network has been increasing, and the value of Filecoin has also been reflected in this process. For K workers, the short-term demand for FIL has become a major obstacle to K workers' further expansion of storage space, which will also affect the further growth of Filecoin storage space.

Using the HashMix model, by staking K-worker's Owner permissions, FIL is provided to K-worker to encapsulate effective computing power. The funds are mainly from the flexible deposit and withdrawal and joint mining of Filecoin investors, which is equivalent to HashMix providing a FIL computing power solution, allowing K-worker to maximize the limited funds to invest in hardware and operation and maintenance optimization (for example, previously only 100P of computing power could be provided, through this method the funds originally used to buy FIL can continue to be invested in storage space, thereby increasing computing power) to increase Filecoin network storage space, and investors can also obtain part of the mining income, ultimately enabling all participants in the system to increase their returns.

For investors, they are actually participating in the mining of nodes, and the income comes from the K mining income of the nodes. We can regard HashMix as ultimately creating a decentralized, open and transparent computing power NFT model. This fundamentally eliminates the false computing power phenomenon of computing power companies, thereby purifying the various chaos in the K mining industry and ensuring the healthy development of the computing power industry. At the same time, the value of HSM in the entire ecosystem can also be further reflected.