Decentralized finance (or DeFi) has gained popularity among investors over the last few years. Blockchain has been disrupting the financial industry by getting rid of trusted third parties in the system.
Drip Network is a new DeFi initiative aiming to increase its online community through a referral program. This deflationary platform promises to pay a passive income amounting to 1% daily return on investment (ROI) to each user.
Our review will mention a few of the main features that characterize Drip. This impartial analysis will help the reader make an informed investment decision.
A few words about Drip Network
Some projects in the DeFi world may need a high investment (or a long time) before granting a good passive income. Drip Network’s ambition is to provide traders with a high daily ROI and no capital entry limits.
The project launched its native token, $DRIP, in 2021. The coin uses the BEP-20 protocol and runs on Binance Smart Chain (BSC).
The following sections will tell us more about the primary features of the initiative.
Drip’s referral system
Traders can help other users join the system through a referral system. As Drip Network’s whitepaper puts it, referring friends can increase the level of rewards one can receive. The platform promises to pay higher rewards whenever someone has at least five direct referrals (or “team wallet”).
The Drip community is growing using a team-based approach by sharing referral links. Some investors decide to join the system individually, and Drip Network promises a passive income in this case as well.
How does Drip Network work?
One can better understand how Drip Network works by looking at its three contracts, described as follows:
Contract #1 – Drip Token: as we mentioned previously, $DRIP is a deflationary token driving the whole reward mechanism of the system. The portal applies a 10% tax on the operation each time users sell coins. The fee aims to send liquidity to the Faucet Pool and enable Drip to pay rewards and daily ROI.
Contract #2 – Reservoir: another way to earn passive income is to use the crypto yield farming strategy. The contract lets users claim the daily 1% return or compound it over time. The use of a compound interest rate can be a way to enhance passive income with potentially high returns.
Contract #3 – Faucet: most crypto enthusiasts are generally familiar with the idea of staking. The Faucet contract enables users to lock their $DRIP to earn the promised daily 1% ROI. At this point, anyone can either claim the passive income or compound it, as previously explained.
This system transfers 90% of the stake into the liquidity pool of the project, using the remaining 10% to pay out referrals.
About the tax system
The sustainability of the ecosystem comes from a combination of token burning operations and taxes. Specifically, Drip Network’s tax system works as follows:
Deposit tax: 10%
Faucet withdrawal tax: 10%
Hydrate (i.e., Compound) tax: 5%
Whale withdrawal tax: going from 50% (with withdrawals over 10% of the liquidity) to 0% (in case of operations below the 0.99% threshold).
What’s next in the official roadmap of the project?
The project is proceeding toward the implementation of each milestone in its roadmap. The presale and public sale of the $DRIP token already ended successfully in 2021, and the following quarters should see some exciting developments.
Among these, Drip Network plans to enter the world of non-fungible tokens (NFTs). The NFT economy was an enormous hit last year, and many projects are studying its potential.
Specifically, Drip aims to integrate NFTs into its reward system. While we will probably have more details on this mechanism in the future, the team anticipates granting NFT rewards for:
Team competition
Hitting specified goals on the platform
Using a cross-chain bridge (which will allow the swap of ERC20 and TRC20 tokens).
What can we conclude on Drip Network?
Drip Network is already seeing significant growth in the size of its online community. The official numbers show that several investors trust the project, and it will be interesting to see future developments.
Anyone can join Drip by following a few steps:
- Go to https://drip.community/fountain and exchange $BNB for $DRIP.
- Enter a Buddy address in the Referral section, or simply click here
- Deposit at least 1 DRIP (Ensure you have enough $BNB to pay for the gas fees)
- You’re set up on DRIP. Get ready to receive 1% daily!