This guide provides a technical overview of the Metavault.Trade Official DEX, focusing on its core liquidity mechanism, the MVLP Vault, and how it functions on the Metavault on Polygon network.
Step 1: The Core Architecture
Metavault.Trade is a decentralized spot and perpetuals exchange that operates on a single liquidity pool model, not a traditional orderbook.
Mechanism: When you Trade on Metavault, you are trading against the MVLP (Metavault Liquidity Provider) pool, which acts as the counterparty for all trades.
Advantage: This model allows for deep, unified liquidity, minimizing slippage for traders and providing a streamlined experience.
Step 2: The MVLP Engine Explained
The MVLP Vault Explained: This is a basket of blue-chip assets (like ETH, BTC) and stablecoins.
For LPs: Users provide liquidity by depositing an asset into the vault and minting the MVLP token. In return, they receive a share of the platform's trading fees. This provides a source of Metavault Real Yield.
For Traders: The vault absorbs the profit and loss from all leveraged trades. The system is designed to be market-neutral over time, with Metavault Fees (from swaps, opening/closing positions) creating revenue for the LPs.
Step 3: Staking and Governance
The protocol has a dual-token system.
MVLP: The liquidity provider token that accrues fees.
MVX: The governance token. The Stake MVX Guide details how users can stake their MVX to receive a separate stream of fee revenue and participate in MVX Governance.
Step 4: Security Model
The question "Is Metavault.Trade Safe?" is primarily answered by its smart contract security and the design of the MVLP. The use of a diversified basket of assets and dynamic funding rates helps ensure the pool remains solvent and can cover trader profits.
For all smart contract addresses and architectural details, refer to the Full Official Documentation.
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