DeFiRaccoons
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DeFiRaccoons

AMA RECAP : DeFi Raccoons x Biconomy

Date : 14 May 2021
Host : @DeFiNaut
Guest : Biconomy Team (Aditya Khanduri)

INTRODUCTION .
DeFi Naut | Owner @DeFiRaccoons:
Hello everybody, thank you for joining us today for another DeFi Raccoons AMA session! Today we’ll be talking with the team from Biconomy!

Blockchain transactions made simple. Powerful APIs to abstract away blockchain complexities so Dapps can delight everyday users.

Aditya Khanduri:
Great to be here among all you Raccoons! :D I am Aditya. I am the Head of Marketing at Biconomy. I have been working in the crypto space for almost 4 years. Like most of you, I am passionate about blockchain technology & building a great crypto future! 💪

So Crypto is awesome but it’s complicated to use. Learning how to use wallets, paying gas fees, connecting to different chains etc. We help dApps make their user experience much simpler. We handle blockchain related complexities at our end so dApps become easy to use!

Thus, we are the default multi-chain transaction infrastructure for web3.0 to improve its experience. Almost 50 dApps have integrated our products & we have processed over 1 million main net transactions for clients such as Zed Run, Aavegotchi, Curve Finance, Decentral Games, Perpetual Protocol among others.

DeFi Naut | Owner @DeFiRaccoons:
Nice ok so you guys handle the technicalities and they can focus on the business stuff if that makes sense

Aditya Khanduri:
No our architecture is evm compatible so it works on most chains such as Ethereum, matic (polygon), binance smart chain, xdai, arbitrum etc.

Yes you can say that :) anything that makes transactions easier for their users, we handle that on behalf of them as well as their users.

DeFi Naut | Owner @DeFiRaccoons:
oh so your architecture is deployed on other blockchains and is sort of a ‘middle ware’ then between the blockchain and the client’s services?

Aditya Khanduri:
Yes precisely!

Aditya Khanduri:
We actually celebrate our 2 year anniversary this month! Wow it has been a while. The starting thesis has always been that we have to make crypto easier to use for the masses.

DeFi Naut | Owner @DeFiRaccoons:
ok yes, that’s probably the biggest bottleneck for a lot of businesses

Aditya Khanduri:
Every crypto interaction — whether it’s simple tasks like buying, selling, sending, receiving or complex interactions with a variety of Defi contracts/apps or other DApps like games — relies on complicated on-chain transactions. We still see difficulties in what is supposed to be quick and easy transactions using blockchains and its unfamiliarity is a huge barrier to the adoption of DeFi, gaming and other Web3.0 trends that we predict will scale in the next couple of years.

So that’s what we started out to build. Have gained tons of industry feedback over the years & perfected our products. Through our APIs, developers can enable a simple and customized transaction journey so that their end users don’t get frustrated by blockchain complexities. That’s the future we want to enable — A simple gasless Web3.0 experience that will drive crypto mass adoption.

DeFi Naut | Owner @DeFiRaccoons:
Adoption is all about user experience

Aditya Khanduri:
Absolutely! It has to be easy for ppl to understand and use.

Aditya Khanduri:
So we are 8-10 members now. And growing fast. Most of them are developers with technical backgrounds. I have an engineering background too & help with marketing & product. And we also have smart ppl handling business development, design, partnerships, operations etc.

Mostly we are nerds if I am honest haha 😅

Aditya Khanduri:
So our first product enabled free gasless transactions has been live for 6+ months now. And we launched a feature in February to allow users to pay gas in their fav tokens instead of ETH.

And next week we will launch another product that allows instant transactions between different chains. So it will enable easy on-ramp to layer 2s. So currently we are working on this latest product launch to enable instant cross chain transactions between Ethereum & matic. And we are constantly integrating all our products on new chains such as Binance smart chain, Arbitrum etc. And also adding more features on existing products depending on feedback from clients.

DeFi Naut | Owner @DeFiRaccoons:
Nice that’s very impressive, I can see why projects are immediately interested if you would tell them this

Aditya Khanduri:
Haha yes. We are constantly always in personal touch with all the projects we work with so we can collect feedback all the time. Definitely helps build trust :)

Essentially, meta-transactions are like delegating the complexities of blockchain interactions to someone else. They ensure a smoother UX for their end-users where the end-user only needs to sign a transaction, and then our relayers manage the gas, take care of other headaches, and submit the transaction on-chain. That's how we handle blockchain complexities on behalf of the user.

Meta transactions can enable interesting use cases such as gasless transactions, network agnostic transactions (so the user won’t need to change RPC to change their network), as well as the ability to pay gas fees in ERC20 tokens, and more.

Many of our clients offer free transactions to their users so they don’t need to pay any gas fees! This is enabled by Biconomy using our meta-transaction protocol.

Aditya Khanduri:
For example meta transactions also help ensure no transaction fails

DeFi Naut | Owner @DeFiRaccoons:
to remove the edge that whales have when trying to be first?

just thinking out loud , making it fair for everyone

Aditya Khanduri:
Yeah! We work with a few DEX on Matic that enable gasless transactions to their users. Swap without paying any gas!

Yep you are right. We ensure the transaction goes through successfully

Aditya Khanduri:
So the idea behind paying gas in other tokens is that most of us hold ETH as an investment. And if you paid say 50$ of ETH as gas last year, maybe that ETH is now worth 200$ or more! So essentially you paid 200$ in gas because of rising ETH prices. It’s like buying milk with say tesla stocks haha. When the tesla stock goes up your milk will keep getting more expensive. So if you could pay gas in say stablecoins, you would save on your ETH investment. If you paid 20 usdt you always paid what's worth 20$ even a year from now. So we have easy APIs so any dapp can enable this feature on their dapp.

DeFi Naut | Owner @DeFiRaccoons:
ok that makes sense.

Aditya Khanduri:
The second is what we call gasless transactions as we were discussing! As I mentioned, many clients use us to sponsor the gas for their users so they don’t have to pay any gas at all.

As the usage of L2 increases and ETH 2.0 gets closer, we will see gas prices drop drastically. Thus, over the next few years we will see multiple projects enable gasless transactions to sponsor all the gas fees for their users. Thus, the user just needs to sign the transaction & then our relayer pays the gas fees on behalf of the user!

DeFi Naut | Owner @DeFiRaccoons:
ok but isn’t that bad for business?

Aditya Khanduri:
That's also possible in some cases let's say a game is on Matic and the user doesn't hold matic. Currently you need to hold matic even if you are only just playing the game. But if you could pay gas in the game's native token then you don't need to own matic token or even know what that is.

So the gas is paid by the dapp. We just facilitate the tech that helps them sponsor this fee.

DeFi Naut | Owner @DeFiRaccoons:
But is that sustainable if there’s load of adoption?

Aditya Khanduri:
So Netflix doesn't charge you an AWS (Amazon Web Services) fee for every video you watch, so why should dApps charge users a gas fee for every single interaction.

Netflix rather has subscription plans, and its users don't have to go through a cumbersome process of paying fees every time. The future of web3 would be similar where users won’t even know what gas fee is! & Biconomy will help enable that.

I think so. Not on Ethereum of course because the gas fee is so high. But on layer 2s the gas fee is much lower. So Dapps don't mind sponsoring some or all gas fees.

DeFi Naut | Owner @DeFiRaccoons:
this is why I love doing AMAs 😄 I learn so much - usually I get dumber every day with all sorts of memecoin spamming in here, but having a nice AMA with a solid project like Biconomy makes up for that

Aditya Khanduri:
As Ethereum scales I think we will see multiple L2 options even after eth2.0. So the syncing issues would be resolved as well but it's a good point. Essentially it doesn't matter what layer it is but everything has to work as one ecosystem

Aditya Khanduri:
Yeah. One of the key metric if a layer 2 solution is great is how securely its data syncs with Ethereum.

Ohhh that's an interesting question. I don't know if there's one answer tbh. Matic (polygon) has been doing well lately. Binance has a lot of users but ppl have concerns it is centralized. Optimism isn't launched but the industry is really look forward to it.

Aditya Khanduri:
So https://optimism.io/ uniswap would be working with them. They have a lot of support already from the industry. They have a new way of scaling Ethereum with its own benefits.

A token is something we are looking into. But we are adamant to not launch a token for token sake. We are working hard on our economic models to make sure all stakeholder’s interests are aligned. And that we can capture maximum value from our entire suite of products as well as share these profits with our community in an efficient manner. We will get profitable as we charge a small commission for every transaction we process for our clients. And currently we are doing 50K per day.

Aditya Khanduri:
As we start looking into progressive dencentralization, we will invite node operators to run some of our infrastructure. Token holders can also stake with them to earn rewards. On the other hand, we are also looking into cross-chain bridges. These, along with our other products, require liquidity on multiple chains. That would be another way community members can benefit from our success by providing liquidity to earn rewards.

However, as I said there’s a lot to be finetuned. We are confident what we are building will be a major factor in making Web3.0 mainstream. Thus, while we are all eager to share token launch details with everyone. we are also patient enough to bring our products and token economics closer to perfection before we launch. So stay tuned!

So as I just mentioned, the token launch. We want to make it big! We will be launching our roadmap soon as well. As we have 3 products already launched, we are going to focus on getting integrated with as many projects as possible in all major chains.

Apart from that we would to build a great community & reward them. So there are going to be tons of reward programs & how awesome ppl like Raccoons here can contribute & help us in our mission to bring web3.0 to mainstream adoption!

Sure! You guys can also follow us on Twitter to stay updated! https://twitter.com/biconomy

LIVE AMA QUESTIONS .

Aditya Khanduri:
So we have a ton of things planned for sure! Till now we had been focussed on building the product & getting partnerships.

But going forward we will launch an ambassador program within a month. So definitely stay tuned! There will also be a ton of ways community can contribute. Moreover we have major investors with high following coming on board who will help promote our project among the industry. apart from that yoh can expect to see us in hackathons, major crypto events etc.

Ooo our ambitions are definitely very high! We want to integrate 70-80% of the top 200-300 Dapps/crypto projects. I can't say anything regarding market cap etc as it depends on so many things but we definitely want to be a top 20-25 project in the world. Be a major player that brings crypto to the masses.

Aditya Khanduri:
So regarding insta-exit (which is now branded as Hyphen & will launch officially next week).

Currently if you want to move your funds from Ethereum to any layer 2 it's really expensive and slow. Takes minutes, some take hours! So what a lot of our clients have told us is that this creates a lot of friction for users. That's where Hyphen comes. It enables ppl to instantly moves funds within seconds. So they can move funds between Ethereum to matic or xdai or binance smart chain in seconds & very cheap.

Aditya Khanduri:
✅ free gasless transactions (although it's done before we have brought it to mainstream)
✅ Simple & fast user onboarding to layer 2
✅ Pay gas in your favorite ERC20 token
✅ Delegate all blockchain complexities through meta-transactions
✅ Instant cross-chain transactions between different L2s
✅ No need to manually change RPC settings to connect to chains

Aditya Khanduri:
Yes we take it very seriously. We are completely non-custodial so we do not manage or save user's private keys. Our system is trustless by design as we cannot tamper with any data. And all our product releases go through an official audit before we launch it.

IMPORTANT LINKS .

Visit their website : https://Biconomy.io
Here’s their telegram: https://t.me/Biconomy
And twitter: https://twitter.com/Biconomy

Group’s Description:

An investor community for everything related to DeFi, NFT, IDO, Blockchain, and much more. We share our analysis, fundamentals and hold AMAs with all sorts of projects!

That’s all we have time for today, until next time, consider joining our socials underneath to join our DeFi Discussion!

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Now for a disclaimer — I’m not a financial advisor, anything you read on my Medium isn’t financial advice, it’s a log of myself doing due diligence on projects, please verify any and all information presented (error reporting welcome) and make your own decisions.

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