Scream is a lending protocol built on the Fantom network. It allows for users and protocols to attain deep liquidity within the network itself.
It is a fully decentralised, transparent and non-custodial protocol. The main reason why Scream was deployed on Fantom network is due to the fact that it is highly scalable.
This in turn enables users to borrow and lend tokens directly on the platform with cheap fees. With its low transaction costs and quick speeds, Fantom allows protocols to provide the best possible user experience.
Scream is currently ranked third in terms of total value locked on the Fantom network with US$796.25 million.
The SCREAM token will have a total supply of two million. 31% of the total supply is allocated to Treasury funds for future development opportunities in the SCREAM ecosystem.
SCREAM tokens are used to incentivise lending. Thus one million SCREAM tokens have been allocated to lending and borrowing rewards.
There are currently more than 435,000 SCREAM tokens in circulation at the time of writing according to CoinGecko’s website.
The price of SCREAM right now is currently trading at $27.20, 87% away from All Time High (ATH).
Getting started with Scream
To get started with Scream, one needs to have some FTM in the wallet for gas fees.
There are four different types of wallets you can choose to connect for you to start earning on Scream; MetaMask, Trust Wallet, Wallet Connect, and Coinbase Wallet.
I personally use Metamask so the following example will be done using my MetaMask wallet.
After connecting your wallet, you are all set to use the protocol to earn interest on your assets.
How to get SCREAM tokens
SCREAM is listed on CoinEx, a Centralised Exchange (CEX) which was founded in December 2017 with its headquarters in Hong Kong.
However, I do not recommend getting SCREAM on CoinEx simply because there isn’t much liquidity on the platform. This makes for unfavourable prices.
The ideal way is to purchase FTM from a CEX, withdraw it to your MetaMask wallet (make sure it is on the Fantom network and not ERC-20), and swap it for SCREAM from any of the DEX on Fantom.
I usually choose SpookySwap over SpiritSwap or any others as it offers a slightly better rate.
Lending and borrowing rates
There are 16 different tokens where you can supply and earn interest on your idling assets. Supplying BIFI gives you the highest APY at 32.31%, while the highest APY for stablecoins come in at 4.46% for TUSD. Supplying your tokens will earn you interests in SCREAM.
After earning interests from supplying your tokens, you can choose to stake your earnt SCREAM for 36.04% APY.
In return, you will be issued xSCREAM tokens. Your share of xSCREAM increases your holding of SCREAM as fees are accumulated to do buybacks of SCREAM token. This way, the value of SCREAM per xSCREAM constantly increases.
In addition, xSCREAM can be staked further on the other protocols such as reaper farm and beefy finance to earn more interest.
If you are willing to take on a higher risk, you can provide liquidity to SCREAM-FTM LP and earn an APY of 135.76%.
Scream is the largest lending protocol on Fantom. With a market cap slightly above US$21.5 million and a TVL of US$871.01 million, this put its Mcap/TVL under 0.025.
Spooky Swap, the leading DEX on Fantom in terms of TVL, has a Mcap/TVL of 0.14266. This shows how undervalued Scream is as its market cap has a lot more room for growth.
I am very bullish on Scream protocol and the SCREAM token and feel that this is a hidden gem. Scream has the lowest Mcap/TVL out of all the other protocols deployed on Fantom despite having the third largest TVL.
A return back to all time highs would be close to an 8x from here and I believe we can see that when Fantom see a new high as well.
[Editor’s Note: This article does not represent financial advice. Please do your own research before investing.]
Featured Image Credit: Fantom Blog