Erichsu’s Daily Share (DeFi Recommendation): "Scallop - SUI chain No. 1 lending protocol, this week will launch major lending incentives, worth paying attention to"

1. Project introduction:

Scallop is a lending protocol based on the SUI chain and is the first DeFi protocol to receive official funding from the SUI Foundation. Through its unified platform, it provides users with high-interest lending, low-cost lending, AMM and asset management tools. The first quarter strategic investment round has received an investment of 3 million US dollars led by @cmsholdings and @6thManVentures.

2. $SCA token introduction:

In March, Scallop TGE launched their official token $SCA, and the current market price is about 9 times the initial listing price. Token information as of now:

- Current market cap: $31M

- Current price: $0.88

- 24h volume: $7.15M

3. Introduction to the veSCA model:

- veSCA (Vested Scallop Coins) is a special token model in the Scallop ecosystem that is designed to enhance the utility and stability of the main $SCA token. By locking SCA tokens, users will receive veSCA, which in turn directly affects investors' profit potential and decision-making power within the platform.

- veSCA can receive Boost bonuses, and holders can significantly increase their income by increasing the annual interest rate of our lending pool. For example, by holding veSCA, the standard 20% annual interest rate can be magnified to 100%, thereby increasing the return on pool investment. (See the link below for details)

https://medium.com/scallopio/vesca-boosted-borrowing-incentive-7e0b215a68e2

According to statistics so far, there are 3.28M veSCA on the chain, and 3.84M SCA has participated in the lock-up, with an average lock-up period of 3.41 years. It can be seen that Scallop has a strong community and investor group. By locking assets, the risk of token dumping leading to a drop in the price of the currency is reduced.

4. Personal opinion:

- Scallop released their ve model directly after TGE, and the market price has remained stable since then. I believe that with the healthy development of the SUI ecosystem, $SCA will have a greater potential for growth.

(Conclusion: Small amount of configuration, wait for the wind to come)

- Major lending incentives will be announced this week, so everyone can keep an eye on it.

(Conclusion: Those who like to play DeFi can participate, the APY is very good)https://x.com/Scallop_io/status/1784515074763469135