Sommelier-SOMM Coin

What You Need to Know About SOMM

What is Sommelier (SOMM)?

Sommelier stands out as a non-custodial, cross-chain platform designed for the execution of intelligent DeFi vaults known as Cellars. Community members have the ability to create Cellars, leveraging advanced DeFi positions through smart contracts. These Cellars are fueled by Strategy Providers (SPs) who craft trading strategies, transmitting recommended actions to Sommelier Validators for execution within the Cellar to generate yield.

Cellars can encompass various strategies, such as a portfolio rebalanced based on machine learning-identified price trends of BTC and ETH, an NFT trading strategy utilizing Twitter sentiment around specific collections, or a liquidity provision hedging strategy on DEXes.

What are the Working Principles of Sommelier (SOMM)?

Sommelier employs a distinctive architecture, featuring the Sommelier Cosmos SDK blockchain, an off-chain execution environment ensuring strategy privacy while utilizing diverse off-chain data modeling techniques. Additionally, it incorporates one of the most efficient ETH bridges. This bridge allows strategy instructions to flow across, repositioning assets in Cellars. The bridge is expanding to provide access to other chains, ensuring strategies are not confined to high gas ETH markets.

Sommelier optimizes gas fees by aggregating and batching transactions, offering an appealing alternative to Ethereum’s high transaction costs. For security, Sommelier employs a decentralized governance mechanism run by validators, ensuring robust protection of user funds. While strategy instructions pass across the bridge, users’ assets are never moved across; instead, they are directly deployed into Cellars. Furthermore, Cellars are non-custodial, allowing users to withdraw assets at any time, with strategy providers never holding ownership of those assets.

Who are the Founders of Sommelier (SOMM)?

Sommelier was established by early Cosmos core contributors: Zaki Manian, Kristi Põlsdam, Jack Zampolin, and Kevin Kennis. Zaki, the CEO, has been a prominent figure in blockchain development since 2014. He independently studied cryptography and contributed to projects like Bitcoin, Ethereum, Zcash, and Tendermint. Zaki played a vital role in building the Cosmos ecosystem, launching the first public Cosmos testnet, and serving as the director of Tendermint.

What is the Total Volume of SOMM Tokens in Circulation?

Currently there are 500 million SOMM tokens in circulation.

Sommelier initiated its mainnet in September 2021, introducing 500 million SOMM tokens during its genesis. This distribution includes 30% allocated to the on-chain treasury (community pool), 20% held by the Sommelier foundation, 30% in possession of investors, and 20% managed by the Sommelier team. Since the launch, Sommelier has maintained a zero inflation rate. This is attributed to SOMM stakers earning real yield from the performance of Cellars on the platform, offering a sustainable incentive mechanism distinct from inflationary staking rewards. The platform fees grow linearly with the amount of liquidity present in Cellars.

What are the Functions of Sommelier Token?

SOMM, the native utility token, serves various purposes, including securing the proof of stake blockchain, processing transaction fees, running validator nodes via staking SOMM tokens, participating in governance votes, and distributing a portion of the real yield generated by Cellars to stakers.

Where can I Trade Sommelier (SOMM) Tokens?

SOMM Tokens can be purchased or sold on Uniswapv3, Gate.io, Helix, BIT and Coinex exchange.

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