Spell Token is an ERC-20 token used as a governance and incentive token within the Abracadabra ecosystem. The primary uses of the SPELL token include governance within the Abracadabra protocol and the fees earned from the protocol.
What is Spell Token (SPELL)?
Spell Token (SPELL) is the cryptocurrency that serves as the governance function of the decentralized platform called Abracadabra Money. Abracadabra uses interest-bearing tokens as collateral to mint Magic Internet Money (MIM), a stablecoin pegged to the USD. Currently, interest-bearing tokens that can be used as collateral include LP tokens from Convex, Curve, and Yearn.
Liquidations on Abracadabra differ from other stablecoin lending protocols like MakerDAO. Each collateralized CDP (Collateralized Debt Position) is unique and has its own liquidation price. When the liquidation price is exceeded for an individual CDP, anyone can purchase the position by paying off any outstanding MIM.
Abracadabra is a multi-chain lending protocol that uses interest-bearing tokens as collateral to mint Magic Internet Money (MIM), a stablecoin pegged to the USD. SPELL is the governance token that can be staked to receive the protocol’s revenue.
Where Can You Buy SPELL Coin?
Spell Coin can be safely traded on Binance, the world’s largest cryptocurrency exchange by trading volume. SPELL Coin is traded on the Binance platform in SPELL/BTC, SPELL/USDT, and SPELL/BUSD pairs.
To purchase Spell Token (SPELL), you first need to sign up on the Binance exchange. Once the registration process is complete, you need to transfer cryptocurrency or fiat currency to your Binance wallet. After the transfer is finalized, you can buy SPELL Coin from any of the three pairs mentioned above. For purchasing from the SPELL/USDT pair, you must navigate to the interface of this pair. In the limit tab, enter the amount you wish to purchase. After specifying the amount, execute the purchase by placing a buy order with the “Buy SPELL” button.