The world of decentralized finance (DeFi) is constantly evolving, with innovative programs and platforms emerging regularly. Two noteworthy names in this space are Linea, a novel blockchain platform and Overnight Finance, which have partnered up to offer an exciting opportunity for DeFi enthusiasts and yield farmers: The Surge.
Introduction to Linea and Overnight Finance
Linea Blockchain is a Layer 2 scaling solution developed by ConsenSys for Ethereum. It leverages zero-knowledge proofs and rollup technology to enhance transaction speed and efficiency on the Ethereum network. Linea is designed to offer an EVM-equivalent environment with improved security features like lattice-based cryptography. By utilizing zero-knowledge proofs, Linea ensures transaction authenticity without revealing sensitive details, maintaining security and decentralization similar to the Ethereum main network.
One of its most intriguing initiatives is The Surge, a program designed around a concept known as “Volts.” It aims to incentivize liquidity providers by offering them LXP-L points, a variation of the existing LXP system tailored specifically for those contributing liquidity to the network.
Overnight Finance, on the other hand, is a DeFI protocol that offers a stablecoin called USD+ and other stablecoin-based financial assets. It is designed to be compatible with V2 and CL DEXes like Uniswap V3 and lenders like Aave/Silo. Overnight Finance is unique due to its combination of stablecoins, rebasing stables, and delta-neutral yield strategies. It is built natively from scratch and stands out for being fully onchain, keeping collateral, including perp positions, onchain only. With this, it enables users to participate in these programs and benefit from the rewards. Combining these two platforms’ strengths, The Surge offers a unique opportunity for yield farmers.
Exploring Linea’s Innovative LXP-L Program: The Surge
The Surge, stands out as a pioneering initiative designed to enhance liquidity and network engagement through its unique LXP-driven system. This program, structured around a concept known as “Volts,” seeks to incentivize liquidity providers by offering them LXP-L points, a variation of the existing LXP system tailored specifically for those contributing liquidity to the network.
The Mechanics of The Surge
The Surge operates over six months or until the network’s total value locked (TVL) reaches $3 billion, whichever occurs first. It is divided into six distinct epochs, each termed a Volt, lasting one month. This structuring allows for thematic and educational diversifications in each Volt, creating a dynamic and engaging environment for users. Points are allocated based on liquidity contributions, with an early adopter modifier enhancing rewards for those who were quick to participate.
How LXP-L are calculated?
LXP-L is intended to recognize and incentivize meaningful contributors within the Linea ecosystem. These points encompass a variety of actions, such as being an early adopter, owning assets on Linea, engaging with different protocols within the ecosystem, demonstrating past involvement across other blockchain networks, and more. You can find detailed information here: https://docs.linea.build/use-mainnet/linea-surge/linea-surge-model
Getting Involved with the Surge
Overnight users can participate through multiple avenues: minting USD+ and deploying funds into USD+ pools on Velocore and Lynex. The process is straightforward and user-friendly, making it an excellent opportunity for those new to DeFi and seasoned yield farmers alike.
Mint USD+ on Linea
- Connect your wallet and make sure to switch to Linea Network.
- Click on Mint/Redeem
- Choose the token to use for the minting and the amount of tokens.
- Click “Mint”
And that’s it! With this, you can easily earn LXP-L points and profit from rebases thanks to the magic of Overnight.
Adding Liquidity to Velocore Pool
- Go to https://linea.velocore.xyz/swap
- Click on Pool and select “Stable”
- Find USD+/USDT/USDC pool
4. Click on the arrow next to USD+
5. Type the amount of USD+ you would like to Deposit
6. Click deposit LP and Stake!
7. You’re done
Adding Liquidity to Lynex Pools
- Go to https://app.lynex.fi/liquidity
- Find USD+ pools
3. Choose the pool you like and click “Manage”
4. Enter amount of tokens you would like to stake
Conclusion
The Linea Surge program and its integration with Overnight Finance create a compelling landscape for DeFi enthusiasts and yield farmers. By carefully assessing projects, understanding the yield-generating mechanisms, and staying informed, you can potentially capitalize on the high-growth potential offered within this ecosystem. The Surge are paving the way for a more engaged, liquid, and decentralized financial future.
