Perlin Coin is a blockchain protocol that describes itself as an “Asset Liquidity Engine.” This protocol offers a cryptocurrency that can be used as both collateral and a liquidity asset. The cryptocurrency, which had its initial coin offering (ICO) in 2019, made waves upon its release, with the asset being listed on Binance, the world’s largest cryptocurrency exchange, in a short amount of time. This led to an increase in adoption, and today, PERL is among the top 200 cryptocurrencies.
According to the whitepaper on the project’s website, Perlin is a distributed ledger based on a DAG (Directed Acyclic Graph) that provides high scalability and efficiency. This protocol uses the Avalanche blockchain and operates as a decentralised and synthetic liquidity pool for the DeFi ecosystem. This allows users to engage in liquidity mining and synthetic asset production. Through PERL coin, the project also facilitates fast and seamless trading of all types of assets. If you’re eager to discover more about this project, check out this article on Zatrun.com.
What is Perlin (PERL)?
Perlin Coin is a DeFi platform that enables users to trade all types of assets with one another through incentivised liquidity mining and synthetic asset production. This interface platform operates through liquidity pools supported by the Balancer protocol, offering users earning opportunities such as incentivised liquidity mining. Participants can stake PERL to provide liquidity and receive rewards for doing so. Rewards are initially distributed in PERL, BAL, and UMA cryptocurrencies for liquidity provision.
The blockchain is highly scalable and efficient, capable of handling 30,000 transactions per second, according to a paper published in 2019. This is achieved through DAG-based distributed ledger technology. Even in 2023, 30,000 transactions per second is better than many blockchains.
Perlin also serves as a DeFi interface for its users, enabling them to create any synthetic asset they desire. The ability to create synthetic assets increases the ecosystem’s popularity.
How Does Perlin Work?
Perlin was founded in late 2017 as a company that aimed to connect existing traditional markets and economies to the blockchain ecosystem. The company, supported by ICC and a partner of ICC’s private blockchain, launched projects such as the Centre of Future Trade, ICC Clarify, ICC TradeFlow, and ICC Carbon Council, expanding its blockchain-based services and experiences. The ecosystem aims to bring real-world assets to the blockchain, using decentralised liquidity pools and synthetic asset creation.
Perlin uses the UMA protocol to create synthetic assets. Each asset is supported by a decentralised oracle called the Data Verification Mechanism (DVM) by UMA. This solves the problems of central and corrupt oracle price feeds. All synthetic assets are denoted by the prefix “px” in PerlinX. The project aims to merge traditional financial systems and products with DeFi, democratizing market access.
What is PERL Token? Is It a Good Investment?
PERL coin is the native cryptocurrency of the Perlin ecosystem, used for collateral purposes. The cryptocurrency serves both as a liquidity asset and a collateral asset. Users who join the platform can provide liquidity by buying PERL shares or earn rewards by collateralising their tokens to create synthetic assets. Between 2017 and 2019, PERL coins were sold in three different rounds at prices determined by the project’s development and technological progress.
PERL is used to encourage deep liquidity through liquidity pools supported by the Balancer Protocol. Users on the Perlin platform stake their PERL coins to earn rewards and provide liquidity. Additionally, the token acts as the sole collateral asset for creating synthetic assets on Perlin.
Perlin has been in the blockchain market for years, making PERL coin a reliable token. Its IEO on Binance reinforces this trust. Looking at price data, the token has a highly volatile graph, indicating it could be a good option for making profits, but also increasing the risk of high losses. As PERL is listed on Binance, it has a large investor base. Despite the current bear market, the asset continues to appear in investor queries.