May 2022 Axial Newsletter
Leading up to a month of exciting new upcoming releases, we should review the past few weeks and see all that has taken place and where we are headed:
OpenSwap Bridge Founders Program
Early this month we partnered up with OpenSwap in their Bridge Founders Program in order to have AXIAL be apart of their upcoming innovative and decentralized bridging infrastructure. Read more about this partnership and announcement in our more in-depth article here.
The Next Version of Axial
This month our team has continued the hard work of getting everything we need to launch the next bigger and better version of Axial, which will be what we always envisioned the protocol would look like.
This involves everything from a new user interface, which we’ve teased on Twitter, to new pools and reward structures with the addition of AXIAL staking and on-chain governance:
While we will have more content coming out to cover each of these features individually, let’s go over a high-level description of each:
The underlying structure of our pools and the tokens in them will be changing, not only to adapt to the current DeFi environment and new tokens, but to also drastically improve the capabilities of our smart contracts.
We carefully considered what tokens we want to utilize in these new pools and hosted a discord event to hear from our community regarding this topic:
We managed to gather a lot of valuable feedback from the event, as well as very interesting possibilities for our new pools’ composition. Keep an eye out for fully detailed release notes coming soon!
New Reward Structures
An awesome new feature of our revised pool contracts is the ability for partnering with anyone or any protocol(s) who wish to incentivize liquidity in any of our pools. This allows us to not only have a more decentralized rewards infrastructure, but also have multiple reward tokens for any given pool.
As one of the most anticipated features of this update, anyone will now be able to stake their AXIAL tokens! There will be two types of staking: one focused on granting on-chain voting power to the community and the other focused on boosting one’s rewards from the protocol’s liquidity pools.
The first type of staking, sAXIAL, will involve locking one’s assets for any amount of time up to a maximum of two years. This will provide an incentive for those with voting power to place their vote towards anything that will help the protocol in the long-term. Differently from Snowball’s xSNOB token, the lock’s release will be linear over time, rather than only at the end of the lock period.
The second type of staking, veAXIAL, will provide an opportunity to boost rewards. The longer a user stakes AXIAL for veAXIAL, the more veAXIAL will be accrued. veAXIAL will not have any lock period, as any rewards boosting will simply cease given a withdrawal of AXIAL.
With the introduction of sAXIAL, we will have a simple manner with which to conduct our governance proposals, votes, polls, and otherwise protocol-wide decisions on-chain with direct input from our community.
We believe that while snapshot voting was appropriate near the beginning of the protocol’s launch, this more robust framework can more appropriately guide Axial in the long-term.
All the smart contracts necessary to make these awesome features a reality are reaching the end of their development, and the majority have already been audited as per our partnership with Halborn. All the relevant reports will be publicly released prior to full release.
Funding From Snowball Treasury
In order to complete the work needed to wrap up development of our new and improved Axial, the Snowball DAO has brought forth a proposal to direct some of its treasury funds towards this end. The proposal has since been passed and executed upon.
The 5,000,000 AXIAL tokens distributed as part of this fund were withdrawn from the treasury and distributed to the specific individuals working on the next version of Axial through a 1-year vesting contract.
A newsletter is not complete without looking into some interesting stats collected throughout these last few weeks. Check them out below:
- AXIAL Supply - We have currently issued approximately 31.2% of AXIAL’s maximum supply.
- Tokens Swapped - Users have swapped over $643 Million in token value through Axial’s many pools, with over 68,500 transactions to date.
- ParaSwap TXs - ParaSwap’s users have transacted over $141 Million in token value through Axial, over 9,000+ transactions.
- Swap Fees - Over $257,000 has been collected as fees from the many transactions through Axial’s pools.
- Peak Volume - April’s peak weekly volume was of approximately $10M in total volume traded.
- Average Swaps - The average swap volume sits at around $8,200, whereas the AM3D pool has an average swap volume of over $14,500.
- Token Demand - The token with the highest swap demand is currently MIM, with over $226M being bought through Axial’s swaps.
Axial is an Avalanche-native decentralized exchange that is the centerpiece for liquidity of value-pegged assets in the ecosystem. It provides traders swap functionality with ultra low fees and slippage and is integrated into the best DEX aggregators in the space. Axial specializes in providing liquidity between a variety of stable assets, including bridged, synthetic or derivative assets.
The Axial DAO was the first project to be launched as a spinout of Snowball Venture Studio, which is led by one of the most experienced teams on Avalanche with a great record of transparency, community-focus and innovation.