Wormhole #5: PolyUnity Review
This review is independent and non-sponsored, but as always, we encourage you to DYOR.
It’s time for the next project (or investment vehicle) that we’ve selected for Wormholes — and it’s PolyUnity Finance!
But as a quick illustration, think of it as you visiting a bank to make some investments. You get recommended investment products based on your risk level / what returns you’re expecting. You invest in one currency, and you earn the returns in that same currency.
Think of us as your “fund manager”, and we review each project before deciding to add it to our Wormholes.
PolyUnity is a layer 3 farm by the same team behind PolySage (L2) and PolyWise (L1). PolySage is a project that we’ve reviewed and Wormhole-ed previously.
At the time of writing, L3 seems similar to L2 in terms of product features. It has the standard farming and dividend pool features, as well as auto-compounding for its native token — based on a bounty system where any user can compound UNITY for another user, and earn a fee.
Contracts (at time of writing)
For the newest layer, PolyUnity (UNITY):
- Max Supply: 5,700
- Emission Rate: 0.008 UNITY per block
- Listing price: $50
Assuming that emission rate remains constant, max supply will be reached at block 21245900 (~approx 21 days from farming launch).
Price action observations
Based on what we can see:
- Liquidity providers for L1 and L2 native token are still incentivized through the farming of L3 token.
- L1 and L2 natives are following the standard farm chart and found stable price floors — which means it could be consolidating for an upward movement. Nonetheless, natives are rather volatile, and providing liquidity can result in potential IL.
- L3 native will return to a stable price after ATH. APRs will continue to fall due to profit taking, so get in fast before it’s all gone!
Security & audits
The project has a Low Risk rating for its latest layer, PolyUnity, as well as its previous 2 layers. The project owner has also done a KYC, and you can read more about RugDoc’s KYC process here.
Any malicious actions from the KYC’ed applicant can be prosecuted with legal action, so developers undergoing the KYC process show the first steps towards transparency.
PolyUnity has also locked its liquidity with RugDoc:
- 0.00035355 UNITY-USDC LP tokens (~89% at time of update) — Txn Hash: 0x00d56…1c8bf
- 19.39 UNITY-WMATIC LP tokens (~39% at time of update) — Txn Hash: 0x97ec7…9e5a1
The project has completed a total of 2 audits across its layers:
- PolyWise: Paladin audit
- PolySage: Paladin audit
- PolyUnity: The project is not doing an audit for this layer as it states that PolyUnity will be using the same MC as PolySage. We’ve done a diff check comparing PolySage vs PolyUnity contracts and have only seen name and max supply changes. But as always, we encourage you to DYOR.
Paladin is one of the leading audit firms in the DeFi space and also a RugDoc recommended audit firm.
There are 3 risk levels that we’ve assigned to PolyUnity, namely:
- High Risk: Potential IL due to the project’s earlier layers dumping. If there’s low liquidity for the earlier layer, we recommend staking with small amounts, then DCA in with larger amounts to make the most of your profits. Our Wormhole contracts also protect you from any large slippage risks with a maximum slippage of 5%. This safeguard will thus cause your transaction to fail, thereby keeping your capital safe.
- Medium Risk: Potential IL is possible but less of a concern. For instance, let’s take a WMATIC-USDC LP. A chain native like WMATIC is naturally more stable than a farm’s native token. In fact, chain natives typically follow the movements of large caps — when paired with a stable, we can expect the LP token price to be less volatile as compared to single staking of the chain native. There are also deposit fees (to the specific project, not Timeleap) but you’re likely to earn it back through farming.
- Low Risk: Assigned because of deposit fees (to the specific project, not Timeleap), but once again, you’re likely to earn it back through farming
Standard risks also apply across all Wormholes regardless of project:
- Project decides to adjust multipliers to encourage liquidity migration to other pools
- Project decides to change emission rates
- Insufficient utility for native token may cause native dumping, which affects APR
- Poor community management resulting in FUD
Please make sure you understand the risks and the associated terminology prior to staking in a Wormhole!
At the time of writing, we’re seeing some amazing APRs and APYs — we had to display those APYs as Infinity % because there’s no way we could fit all the numbers into the card UI 😂
Even the Low Risk Wormholes are getting some of the sweetest APYs in the market for stables and large caps!
Wormholes are estimated to officially launch within the hour after PolyUnity launches its Unity farming layer.
This is so that we can verify that the project’s MC used on chain is the same as the one on their UI — a safety precaution as projects switching out their MC is a common type of rug.
- High risk: https://timeleap.finance/wormhole-risk-high
- Medium risk: https://timeleap.finance/wormhole-risk-medium
- Low risk: https://timeleap.finance/wormhole-risk-low
If you’d like to participate in this batch of Wormholes early (before the project even launches its farm), head to our Telegram to request for the URL to our beta site.
Note that this is high risk, high rewards territory. Although deposit and withdrawal transactions have been tested to work, we’re pending farming launch in order to verify that the MC on chain is minting correctly.
Only recommended for experienced yield farmers!