From $200 to $0.20 Gas fee or less! How does Hord do it?

Hord Team
Hord Team
From $200 to $0.20 Gas fee or less! How does Hord do it?

One of Hord’s key features, aside from the ability to capitalize in real-time on Hord Champions’ portfolio management, is the near elimination of Tx fees that currently plague DeFi on the Ethereum network.

The problem with gas fees today

At the time of writing, a simple ETH transaction fee is already over $20, and swapping fees are hovering dangerously close to $200. The fluctuation, or, rather, the meteoric rise of Tx fees are the bane of DeFi, and no one knows when these killing fees will go down to levels enabling anyone to enjoy the benefits of crypto-investing and crypto-trading, even if investing small amounts or when spreading investments between many tokens.

Today’s prohibitive fees are a de facto barrier to entry into the crypto-sphere, and the unfair advantage it gives to large investors compared to individuals is in direct contradiction to the fundamental blockchain philosophy.

But on Hord, Tx fee issues vanish!

How does Hord solve this problem?

As Hord’s Head of Marketing Bart Rovers explains during the May 1, 2021 AMA with Crypto Zyte Community, transaction fees for Hord ETFs are so low that they become a negligible factor.

Conversation Transcript:

What makes us unique is that we allow constant rebalancing of ETFs by pooling transactions together

Not sure everyone understands this but I can give an example

If you want to purchase 10 ERC20 tokens on Uniswap

And the fee is $100

You pay $1000 in fees

Now if you have an ETF token with Hord, and the ETF is shared between 500 people, and the Champion buys the same tokens

The fee is $1000/500=$2

What would you rather pay? $1000 of $2?

This is very unique and after we launch many copycats will follow

But Hord will already be the biggest with the best KOLs on our side

That’s it for our biggest unique idea

How is this possible?

Actually, it is quite simple.

As you know — or if you do not, check it out here — when a Champion trades tokens, automatically, the mirror smart-contract that governs the Champion’s ETF makes the very same trade for all the Champion’s hPool ETF holders.

And there is where the magic happens!

For each trade, instead of each individual ETF holder paying the transaction fee for buying, swapping, or selling tokens, a single transaction pooling together all the ETF holders and the Champion’s specific trade is made.

Et voila!

One transaction to rule them all!

The cost of that single transaction is then shared equally between all of the hPool ETF holders, each ending up paying only a small fraction of the Tx fee.

Get ready to #JoinTheHord.

More info is coming out soon, but now is the perfect time to check out Hord’s champions and choose your favorite(s). You will need to be ready when the time comes!

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