Ignite Finance (IgniteFi ) is a multifunctional AMM DEX
Ignite's V2 AMM is based on the Uniswap V2 constants formula, with a custom implementation of Solidly type logic for stablecoins.
Ignite AMM includes a dual liquidity model for trading pairs and introduces dynamic directed fees, as well as a swap channeling mechanism for affiliate applications.
What is spNFT?
A key feature of IgniteFi is the introduction of an entirely new approach to providing liquidity, based on positions with non-fungible staked positions (spNFT).
By creating an LP from a combined asset, you're adding liquidity to the protocol. This position then transforms into a staked position (spNFT), functioning similarly to staking your positions in a yield farm. The staked position can be locked, managed in various ways, yield-boosted with , and deposited into a Nitro pool for enhanced rewards. Your rewards are not locked. You can harvest them at any time.
Upon creating a position, the deposit is sent to a specific corresponding NFTPool contract in exchange for a staking position NFT, which can be viewed as a kind of deposit receipt. The owner of a spNFT is the actual owner of the corresponding LPs, even if he did not deposit them originally.
Nitro Pools
Nitro Pools are fixed term pools designed to accept spNFTs from users, offering them a new level of yield reward on top of what these positions are already generating.
This is a permissionless way for protocols to incentivize their liquidity. The game changer here is the ability to add a set of requirements, giving projects the unique ability to target the exact profile of the user who wants to be rewarded, or to focus incentives on a specific type of liquidity.
In the requirements, you can specify the amount of NFTs, the duration of the lock or time until it ends, the whitelist, or even a contract with special requirements.
