Saber Token: What is it?

The Saber platform (formerly StableSwap) provides a platform for stablecoins of the Solana ecosystem. The AMM mechanism is how Liquidity Providers will provide liquidity into the pool to allow traders to exchange assets. DEXs frequently use the order-book mechanism; Saber will adopt the AMM mechanism. It will be able to deal with the liquidity shortage associated with the DEX Orderbooks mechanism by using AMM. AMM stablecoin Curve Finance uses an operating mechanism similar to Curve Finance’s – a stablecoin that is currently implemented on all three Ethereum, Polygon, and Fantom networks.

Founders:

Developed by the Macalinao brothers, Dylan and Ian, Saber Labs is a team of blockchain developers. Saber Labs is a Philippine-based company.

In June, Saber Labs launched the project, and Dylan Macalinao said the team is expanding.

A venture capital (VC) round of $7.7 million has been raised by Saber Labs. In late July 2021, 10 investors raised the entire sum in a single round. Institutional and individual investors are contributing to the project.

Venture capital firm Race Capital is Saber’s major investor.

Features:

Anti-slip mechanism

You may wonder why a DEX is specifically designed for Stablecoins. Raydium and Saber are two AMM exchanges you can compare.

• Saber: 1000 USDC ⇒ 998 USDT.
• Raydium: 1000 USDC ⇒ 992 USDT.

The difference between SBR and Raydium is pronounced, with slippage of 0.2% in Saber and 0.8% in Raydium, with identical assets. Raydium slippage is as high as 1% for trades with a volume exceeding $100,000, which will carry even greater importance to Saber.

Building on Solana blockchain

Solana currently has the highest transaction speed in the blockchain market of 65,000 TPS, with the lowest transaction fee of 0.005 cents per transaction and the lowest transaction fee in the market. So, when users use Saber, they almost do not notice the delay. The swap is triggered immediately following the user swap.

it has the advantage of not facing competition in mature markets like Ethereum and Binance Smart Chain because of the implementation on Solana. The SBR project is now exclusive to Pegged Asset, which makes it easy to get support from other developers within Solana.

How Does it Work?

The key functionality of it is enabled by Saber’s Automated Market Maker (AMM). Unlike conventional exchanges, AMMs do not solely rely on connecting traders to execute a trade.

The funds are instead added by many liquidity pool providers, including USDT-USDC. By transferring a portion of the transaction fees earned by the protocol to the liquidity providers, they are rewarded. USDT for USDC can be swapped easily without having to wait for a trader to come along. A majority of larger, better-established protocols suffer from a lack of required coins as opposed to executing transactions against the pool.

 SBR Token:

According to Saber, no information has been released regarding tokenomics or token distribution. Whenever there is any information from the project, the CHK team will keep you informed right away.

The team also emphasizes this point during the development of the token before it is launched. Because the token is backed by real projects, not only white papers, the token becomes more valuable after launch.

Roadmap & Updates

According to the Q3 roadmap Saber published on August 2, 2021, it is as follows:

Integrations

At the moment, SBR’s focus is on providing liquidity and swapping assets by integrating with other teams/protocols. With Saber, you can collaborate with protocols coming from all different categories, including:

• Borrowing and lending (Acumen);
• Analysis of data ( DeFi Llama, Serum Pulse, CoinGecko);
• Step Finance (Asset Management);
• Wallets (Coin98 Wallet);
• SolFarm, Yield Aggregators, etc.

Pools and assets new

As part of the ongoing collaborative efforts, it will offer new assets and pools. To drive liquidity from other chains to Solana, SBR also partners with cross-chain bridges like Wormhole and Ren.

During the launch of a direct Terra > Solana bridge, Wormhole will support native UST and LUNA bridges.

Governance

As part of the SBR Labs infrastructure initiative, standardized governance will be enabled. We are exploring different ways to ensure that owners of long-term SBRs maintain a majority of the voting power within the Saber DAO.

Marketing Efforts and Community

As part of SBR Labs’ efforts to make Saber better known, the team will measure marketing results.

Stablecoin Swapping

As a DEX with very affordable fees, it already distinguishes itself in the market. All coin swaps incur fees of less than 1%.

Any two coins linked to the same asset can be swapped, regardless of whether they are fiat currencies or major crypto like Bitcoin. In contrast, swapping between coins pegged to different assets is not feasible, so the coins with unstable exchange rates can’t be swapped.

Liquidity Pool Staking

Additionally, to coin swaps, SBR offers LP staking. Funds can be contributed by liquidity providers to any pool they choose on our platform and earn yield. Our platform currently offers 25 pools.

DeFi standards do not compare to Saber’s annual percentage yield. Rates on crypto trading platforms can fluctuate wildly during a short time, which is quite common. Currently, there is a yield of 64% available. A large and popular pool, USDT-USDC, offers a 27% yield.

On newer platforms like SBR, these high yields may change abruptly overnight. If a liquidity pool is joined by more participants, the yield will decrease.

Because of Saber’s short operating history, long-term estimates of annual yields can only be made following the platform’s maturity.

The yields of staking are paid in SBR, the token of the Saber platform. In addition to being fungible, SBR is based on Solana’s standard SPL token, which is a token standard similar to ERC20 used on Ethereum.

SBR serves as both the protocol’s governance token and the native transaction token. Holders of SBR have the right to vote on important updates to the dApp and future directions.

A compatible wallet must be connected to Saber for it to work. Available wallets include:

• Solong
• Math wallet
• Sollet Extension
• Ledger
• Sollet
• Phantom
• Coin98