Hermes Protocol burst onto the Metis DeFi scene in early 2022 and immediately turned heads with its innovative improvements on the ve(3,3) model. Since then, Hermes Protocol has been a stalwart DEX on Metis through providing low cost, near zero slippage trades and achieved product market fit as a favorite place for Metisians to trade and provide liquidity.
With Hermes Protocol, traders enjoy lower slippage when compared to other AMMs with similar levels of liquidity on stableswaps due to the protocol’s unique bonding curve for pricing assets. Further, through an in-built gauge and bribing mechanism, fees are allocated to the veHERMES holders who vote for pools instead of liquidity providers, meaning that liquidity flows to where it is most utilized and thus most needed. This means that traders can expect there to be greater liquidity in highly traded pools and as such, Hermes Protocol achieves its headline feature of near zero slippage trading. The team at Hermes Protocol are also constantly building upon the foundation of the ve(3,3) model by consistently deploying new features such as the upcoming Hermes v2 or enabling direct incentives for liquidity providers in the pursuit of an ever more efficient trading environment.
To further establish the foundations for the Web3 Economy Hub, MetisDAO Foundation is allocating a total of 54,000 METIS tokens to be distributed over 25 weeks to veHERMES lockers and other net positive participants in the Hermes Protocol ecosystem. Hermes Protocol’s marathon begins on Thursday 20 October 2022 at Midnight GMT. Our goal is to bring even deeper liquidity to the Metis Ecosystem, which will improve our users’ already great trading experience.. These incentives will also have a considerably larger impact given Hermes Protocol’s unique design to maximize capital efficiency.
For Hermes v1, METIS tokens will be used to bribe veHERMES lockers who vote for the following pools to promote deeper ecosystem liquidity on major pairs:
We can’t wait for the Hermes Protocol to help us foster liquidity among projects in the Metis Ecosystem. This will bolster the user experience of one of the most loved protocols in Metis’ DeFi, while directly contributing to the flourishing of the ecosystem as a whole. The Metis Marathon has been a great success so far and we are excited to help support the dApps that make Metis such a vibrant and innovative L2!