What is Solar Finance?
Solar Finance is a high yield staking Dapp like HNW. This is a “Degen” high risk/reward opportunity to earn 15% daily. Like all Degen plays, this could be here today gone tomorrow. But this is different from other high ROI dapps.
What makes Solar Finance different is the anti-abuse tax system that makes it harder for whales and other manipulators to negatively affect the contract balance. There are extremely strict tax structures that penalize those investors whose behavior threatens the life of the contract.
As with all “degen” plays, you should only ever risk what you are willing to lose. But that said, this project has shown over the early launch period that it has what it takes to be a sustainable high yield Dapp for those looking to score a huge ROI in DeFi.
Solar Finance provides investors with an allowance that limits the amount you can withdraw before suffering a tax penalty. The base abuse tax comes into effect after selling 5X the amount of your deposit. If you sell too much you will receive a 50% tax on the amount withdrawn. The amount you can withdraw goes up the more you compound and reinvest. If the user attempts to bypass this system in any way the protocol reserves the right to blacklist their wallet address to prevent any further selling.
There is also a dumb abuse penalty. If the user attempts to sell an amount greater than their “fresh value,” liquidating large amounts of the TVL all at once the user will receive a 50% tax and 10% panels reduction penalty, also stackable with other punishments.
Lastly, there is a an anti-spam punishment, which punishes those who are selling too frequently. If you sell before at least 15 compounds there will be a hefty 75% tax and 5% panel reduction.
How to get started with Solar Finance
In Solar Finance you begin by buying “Panels” with BNB. Once you own your panels they start generating your ROI daily rewards. You must pay attention “Compound Power,” and “Sell Power” so you can take profits in a healthy way, in line with the protocol to avoid paying unnecessary fees.
Often with these types of protocols, getting in early is the only way to profit. However, with the unique tax penalty system, this protocol will be free from the abuses of many other Degen high ROI Dapps. That means the life of the contract will be longer, and there is a longer period of optimal time to enter and start earning passive income.