Progress Update
Hello folks, I believe now is a good time to update you on our development efforts. We were glad to get the beta version of MarginSwap out there and into people’s hands, and thank you for working with us to iron out the kinks of the user experience!
Also worth mentioning is the newest addition to our team, John, who hit the ground running and is now leading all our frontend work!
With the most critical UX issues sorted, we get to turn our sights on greater and more exciting stuff coming down the pipeline, like staking, distributing incentives to users, and finally v1.0. One of the well-known issues facing full-featured on-chain apps such as Marginswap has been gas cost. We have come up with a deep bench of countermeasures to ensure the long-term viability of our community, whichever way the transaction cost on Ethereum may go. For simple swaps and without calls to the price oracle, a trade on cross margin can be made for as low as 1.5–2x the gas price of a wallet-to-wallet swap on Uniswap.
Furthermore, we will be launching an isolated margin trading system that will allow us to list more exotic tokens, which should increase lending liquidity and grow the number of users on Marginswap. Due to the simplicity of Marginswap permissionless isolated margin, we should also be saving a fair amount of gas on trades. I dare say that lending stables for people to go long on less liquid tokens will be an attractive option for new token listings looking to get that extra boost from margin trading.
Next up on our list of measures: we are going multi-chain! We are building partnerships with various Ethereum-compatible chains so you can trade with very low transaction fees using the same interface. Even more interesting is that these chains already have the liquidity that Marginswap can leverage for trades!
Finally, we get to the nexus of off-chain order books, L2, limit orders, etc.: We have a variety of options here. As our liquidity providers move towards L2, we naturally will be able to join them. That said, we also believe that we should be investing in systems for bundling orders to curb slippage, save gas and enable efficient limit orders. Stay tuned for more on this channel!
Of course, fighting the gas monster isn’t the only game in town; we have more tricks up our sleeve! One new feature that we have in the works right now is to conveniently leverage our margin trading system for overcollateralized borrowing, similar to what you would do on CREAM or Compound. So with one click, you’ll be able to deposit one token and withdraw up to 66% in the value of another token, all within your cross margin account.
To make things even better, we are in some exciting negotiations to bring convenient and safe aping strategies with synthetic assets to you. Imagine being able to freely trade with 10s and 100s of thousands of dollars that, if you lose, get returned to you in about 2–4 years! As I said, stay tuned!
One last thing: You may not be aware of it, but an underappreciated feature of our system is that our current spot and margin swapping UIs will choose the best price between Uniswap and Sushiswap automatically for you. Since both Uniswap and Sushiswap work using individual liquidity pairs and one swap can go across several different pairs, we went the extra mile: You now can mix and match Uniswap and Sushiswap in a path, in one single trade! Even better, our spot swapping router takes no extra fees! I trust that if you compare this to the gas cost and fees of other cross-exchange providers like 1inch, you’ll find that marginswap measures up extremely well. :)
Looking forward to sharing more infos as we buidl!
Happy swapping!
