Recap: Hubble Exchange Community Call #4 | 51 Days of Mainnet

On our first community since launching on mainnet, we have a livid conversation about upcoming integrations and initiatives that are coming soon for Hubblers.

Key Stats

Over the last 51 days, Hubble Exchange has successfully garnered a fair bit of traction over its limited time on the Avalanche Network. At one point, the exchange was the third largest gas guzzler for a period of time.

• Cumulative Trading Volume: $41M
• TVL: $4.8M
• Total Trades: 17,133
• Avg. Daily Active Trading Volume: 800k

At the time of writing this, the liquidity in the AVAX-PERP vAMM is just over $6.2M. The insurance fund has garnered over $420k, establishing itself as a RealYield generating product on stables within the Avalanche Ecosystem. Open interest is a key indicator of usage and has consistently been making new ATHs, steadily growing from a few thousand AVAX to over 50,000.

If you missed the community call, but would like to hear it, here’s a recording on YouTube:

The Checklist

• Mainnet Launch
• Trading Competition
• App Upgrade
• ETH as Collateral

App Updates

Listening to the many support tickets, some of the requested features, such as Light Mode and Keyboard Shortcuts were implemented, amongst many other improvements to the user experience.

• vHubble rewards are now updated daily.
• Light Mode
• New Buy/Sell design
• Core Wallet Support
• Keyboard Shortcuts

An exhaustive list of changes and improvements are tracked in the Changelog in our docs: https://docs.hubble.exchange/changelog. You can also find a list of all the keyboard shortcuts there.

Integrating Yak Swap

Enables Trading within your Margin Account

We finally got an opportunity to work with our friends at Yield Yak — it’s an honour. They are OGs in the Avalanche-Ecosystem and have a strong track record of building very relevant products. This integration marks the beginning of our relationship with Yield Yak and we look forward to exploring more synergies to grow the derivatives landscape on Avalanche together.

Currently, there are two key advantages for traders and makers:

• You can make swaps and trade with the assets in your margin account. You could buy the AVAX or ETH dip with your hUSD while the capital acts as collateral for your perp positions. Or in the future, convert your AVAX margin into sAVAX, so you’re earning yield.
• Settle your hUSD debt without infusing new capital.

This Yak Swap integration takes us one step further in bringing a dFTX-like experience to our community of traders and makers, enabling greater flexibility.

Listing sAVAX as a collateral

BENQI has built a suite of yield-generating DeFi products, such as Liquidity Market and Liquid Staking. Their sAVAX product is the most popular liquid staking solution for AVAX with the deepest liquidity, highest TVL and most integrations, making it an obvious choice for listing as collateral on Hubble Exchange.

The sAVAX vault enables real and delta-neutral yield derived from sAVAX. While earning this yield, traders may also earn funding payments, as the strategy involves shorting AVAX and the funding rate on Hubble Exchange has consistently been positive (longs pay shorts).

This delta-neutral sAVAX yield is a compelling opportunity for a new stablecoin vault. And that’s exactly what a third party protocol is set to build upon the listing of sAVAX as a collateral. This vault would be primed to bring in more open interest and trading volume to Hubble Exchange. More details soon.

Bounties Committee

Upon the launch of Hubble Exchange on mainnet, a surge in developer interest has been observed, ranging from liquidation bots to those interested in contributing at the protocol-level with features such as limit orders. To finance and support projects and developers building on top of Hubble Exchange, a new Committee is proposed: bounties committee.

Its responsibilities include:

• Evaluate and Process Bounty Proposals.
• Fund projects building on top of Hubble Exchange.
• Support and build a community of devs.
• Effectively Allocate Bounty Funds to Grow Hubble Exchange through integrations.

A governance proposal is currently being drafted to onboard a few key community members to the Bounties Committee.

Retaining a MM

Retaining a MM is essential in reducing the price deviations between mark and index price.

Advantages include:

• Reduce unconventionally high funding payments.
• Competitively better pricing for traders (and makers).
• More Trading Volume

A new proposal will be incoming to iterate on the initial proposal offered by Bitlink Capital. After listening to the feedback and concerns from DAO members, a new MM proposal is on its way to the governance proposal. The initial proposal was a subject of great debate and encouraged healthy discussion amongst a diverse group of community members, such as traders, arbers and makers.

Adjusting Trading Rewards

One of Hubble Exchange’s biggest power-users, known as blr2022, suggested reducing the open interest rewards, while allocating them to volume rewards. A reason for this iteration to the rewards is most open interest is short and earning funding payments, which at points is double or triple digit yield on their capital. It’s therefore proposed the open interest rewards are perhaps a bit overpowered and should be allocated to those generating volume — a more effective use of the rewards.

Proposed Adjustment:

• Reduce OI rewards by 0.05%
• Increase volume rewards by 0.05%

New OI Rewards: 0.05%/mo

New Volume Rewards: 0.15%/mo

Educators Grant

Hubble Exchange possesses key features and yield-generating opportunities. To spread awareness around these, a grant program is proposed to fund educational content on Hubble Exchange. The program shall onboard more traders and makers while educating existing ones on making the most of the protocol.

The Hubbleverse DAO is required to assess grant applications based on:

1. Caliber of past content.
2. Credibility.
3. Reach.

Grantees are required to explicitly disclose to their audience they are a subject of Hubble Exchange’s Educators Grant Program for full transparency.

The Derivatooors

A Twitter Spaces Series where we chat with projects building with derivatives on and beyond Avalanche. So far, we have spoken with 3 projects: Arrow Markets, RoboVault and most recently, Polynomial Protocol.

The Derivatooors Initiative Encourages:

• Cross-Transfer of Knowledge and Users between chains.
• Building relationships with projects to facilitate future integrations.
• Onboarding and Creating Derivative Degens on Avalanche.

Keep an eye out on upcoming episodes with Brahma Finance, Arable Finance and more!

On-Chain Outreach to Derivatives Traders

The Hubbleverse DAO pioneered on-chain invitations earlier this year when it whitelisted those liquidated on GMX for a Hubble Space Cat. More recently, another multi-chain campaign was initiated where traders on Gains, Perp Protocol, GMX, Arrow Markets were airdropped an invitation to claim a Hubble Space Cat, provided they traded with at least $1000 in volume.

The Hubbleverse DAO is planning another on-chain outreach program to onboard more traders to the exchange.

Trader InReach and OutReach

Effective 1–1 Conversations

We are speaking with Traders within the Community.

• What can we do better?
• Listening to Product Feedback.
• Increasing Community Ownership

If you are a Hubble Exchange user and would like to take the time to speak with us, we would love to speak with you. Please reach out.

Speaking with Traders on Crypto Twitter

• Raising Awareness on Product Features.
• Onboarding Funnel for Educators Grant and Referral Partner Program
• Listening to key insights.

These calls so far have shown high ROI in terms of product feedback and trader onboarding.

Tradoor talks

A new initiative to foster a community of traders. Similar to Community Calls but focused specifically on trading and strategies.

• Learn about what strategies are possible with Hubble Exchange.
• Share your strategies
• Discuss with other Hubblers about markets

The first of these is coming to the Hubble Discord next week, don’t miss it!

Hubble Webtoon

Derivatives are complicated to understand!

Hubble Webtoon is a learning initiative that seeks to explain how Hubble works and what strategies can be pursued in simple terms

The first episode is launching this week!

Hubbleverse Art

The artists at Hubble Exchange DAO continue to do amazing work. This week we witnessed the initiation of HubbleRooms, a limited edition NFT collection for those who generate the most volume on Hubble Exchange each week of the trading competition (top 5). These on-chain artefacts are a way to build a strong community culture.

In the next few weeks, many more NFTs will be added to the Hubble Frens collection.

The first 51 days have been quite an interesting time. Hubble Exchange has garnered interest from developers and protocols as well as a diverse demographic of power users, including insurance funders, liquidity providers and of course, traders (and arbers). Some of the initiatives delineated in this proposal, such as the Bounties Committee, are to build a foundation for Hubble Exchange’s upcoming growth.

As always, its an exciting time to be a Hubbler. Hubblehugs.