Venus (XVS) operates as a lending and synthetic stablecoin protocol on the BNB Smart Chain. It provides users with the ability to borrow and lend from asset pools without permission, as well as mint synthetic stablecoin (VAI) against collateral. The protocol was created to address the limitations of the Ethereum network in terms of cost and speed. Initially supported by the Swipe project team, control of Venus is now in the hands of XVS token holders. Following a significant liquidation event in May 2021 that resulted in a loss of $77 million, project management was taken over by a new Venus Council.
What is Venus (XVS)?
Venus is a lending platform and synthetic stablecoin protocol that operates on the BNB Smart Chain. It allows users to borrow and lend from asset pools without needing permission, and the interest rates are automatically determined based on demand. Users can also mint synthetic stablecoin (VAI) by providing collateral through over-collateralized positions. Venus aims to bridge the gap between traditional financial lending and decentralized protocols on the BNB Smart Chain, addressing the limitations of the Ethereum network. It combines a money market protocol with the ability to mint stablecoins, enabling users to utilize the same collateral for both functions within a single ecosystem.
Initially, Venus was fully supported by the Swipe project team, but control now lies entirely with XVS token holders. The community has proposed various governance changes, including upgrades to oracles, risk improvements, and changes in the interest rate model. The Venus V2 upgrade plan was approved by the community and implemented in April 2021. This upgrade introduced additional penalties for VAI liquidations, fees for minting VAI and redeeming assets, and the distribution of the Venus Reward Token (VRT) as a reward for XVS holders.
However, Venus experienced a major loss of $77 million due to bad debt following a significant liquidation event in May 2021. This event led to a sudden increase in the price of XVS, followed by substantial borrowing using XVS as collateral. When the price dropped back to normal, the liquidation of loans collateralized with XVS triggered a higher-than-normal deviation. As a result, the final liquidation value was insufficient to cover the bad loans, resulting in a net deficit that had to be resolved through the Venus Grant Program. In light of this event, the Swipe team and Venus’s founder, Joselito Lizarondo, are no longer managing the project, and a new Venus Council has been established.
How to Buy Venus (XVS) with TRY?
For investors in Turkey who want to buy Venus (XVS), Binance TR is the most suitable cryptocurrency exchange. Binance TR allows users to create an account quickly and offers over 100 cryptocurrencies for buying and selling, including XVS. To purchase Venus (XVS) with TRY on Binance TR, follow the steps below.
1. Open an Account on Binance TR:
Creating an account on Binance TR is simple. Visit trbinance.com and click on the “Create Account” option. Provide basic information such as email address, phone number, name-surname, date of birth, nationality, and T.C. identity number. Complete the email/sms verification process to confirm the information.
2. Verify Your Account on Binance TR:
Identity verification is a necessary security procedure on Binance TR. You can complete this process from your phone or through the official Binance TR website. Scan the QR code that appears on the website using your phone’s camera or click on the “Copy URL” option to receive the verification address via SMS. Follow the instructions on your phone to complete the verification process.
3. Deposit TL on Binance TR:
You can deposit TL into your Binance TR account from various banks, including Vakıfbank, Ziraat Bankası, İş Bankası, Akbank, Fibabanka, Şekerbank, and Türkiye Finans. Go to trbinance.com, click on the “Wallet” option, and select “Deposit.” Choose your preferred bank from the list and transfer the desired amount to your Binance TR account using the provided information.
4. Buy XVS Coin with TL on Binance TR:
After completing the deposit process, click on the “Buy-Sell” option on the Binance TR website. Type “XVS” in the search section and select the XVS/TRY trading pair. Enter the price and quantity of XVS you want to buy and click the “Buy XVS” button to complete the purchase.
What is Binance TR?
Binance TR is a cryptocurrency exchange launched by Binance, the world’s largest exchange by trading volume. It specifically caters to cryptocurrency investors in Turkey. Binance TR utilizes Binance’s technology, security measures, and liquidity provided through the Binance Cloud infrastructure. The exchange offers both fiat-to-crypto and crypto-to-crypto trading services, allowing users to deposit and withdraw Turkish lira (TRY) through direct bank channels. Users have access to market-leading spot trading liquidity, a robust matching engine, advanced security protocols, custody solutions, and risk controls through Binance TR.
Disclaimer:
The information provided in this article does not constitute investment advice. Investors should be aware of the high volatility and risks associated with cryptocurrencies and conduct their own research.
