OpenSwap AMA at Kriptobi — Recap: 24 August 2021
On 24 August 2021, we hosted another AMA on Kriptobi Telegram platform and had an amazing time with the community. It is our honour to see many of the members are curious about our tokenomics and Interchain Protocol. During the chat, we have explained more about OpenSwap recent developments and exclusive features. We will work hard to expand our community before the IDO. The below is the full recap for people who have missed the AMA, enjoy!
Hello Bruce 🙂
Welcome our community.
We are happy to have you here for this AMA :)
Hi Kriptobi Community! it’s a pleasure to be here! Looking forward to our conversation
1.) Could you give us a brief introduction about yourself and the OpenSwap Protocol? What do you aim to do and what problems will you solve in the DeFi space?
I’m Bruce, a core member and founder of the OpenSwap project, a recovering enterprise dev, enlightened by blockchain in 2018 and never looked back.
At the core, the OpenSwap team’s strength is technology, however, what we have been aiming to do is build up a community of talent that crosses boundaries of technology, finance, marketing, and more through many partnership we have developed and continue to build. We hope to attract more developers and contributors to our team through participation event such as hackathons that ultimately build up the DeFi community.
As the DeFi universe continues to expand, liquidity will only be increasingly scattered across multiple chains and the situation is poised to get worse as more new chains emerge with individual DEXs on each chain. On-chain trading and liquidity lack the flexibility and choice found in centralized options. This is a problem that we at OpenSwap aim to solve by introducing new technologies and concepts such as liquidity queues, hybrid smart routing, and inter-chain liquidity swaps.
We present this to the community through partnerships with other projects and with our own DeFi hub where we will be able to offer the best on-chain pricing and multi-chain arbitrage opportunities.
The project began about a year ago during the summer of DeFi 2020 when UniSwap was gaining popularity with its AMM liquidity pools. We wanted to address the two primary issues at the time: slippage and impermanent loss. The idea was to provide on-chain spot market-priced swaps in the form of liquidity queues. From there, we won a grant from the OAX Foundation and have been BUIDLing for nearly a year.
Our team believes that users should have the choice, the freedom to swap with any liquidity source. Instead of competing for liquidity with other AMM DEXes, we want to support them and let the users make an informed decision on the optimal swap for their situation. The liquidity queues provide spot-market price swaps without slippage, offering users a reference price to compare with other sources.
Sounds good, But I have to ask the following question:
2.) What are your main features that distinguish you from other swaps in the market and what are the competitive advantages of liquidity queues?
As said earlier, as the DeFi universe continues to expand, liquidity will only be increasingly scattered across multiple chains and the situation is poised to get worse as more new chains emerge with individual DEXs on each chain.
OpenSwap’s solution to this is to become a comprehensive DeFi hub offering the best on-chain pricing and multi-chain arbitrage opportunities, allowing users to experience revolutionary benefits through optimizing their trades with our unique features, liquidity queues, hybrid smart router, inter-chain liquidity swaps, and of course, DEX aggregation.
Our primary goal is to revolutionize on-chain liquidity with a series of tools culminating in reducing friction with inter-chain swaps. It all starts with the DEX aggregator offering users the choice to fulfill their swap with any liquidity source on any chain. Liquidity queues will be one of these sources of liquidity that provides more attractive prices by bringing spot-market priced swaps on-chain without any slippage. Hybrid routing will allow OpenSwap to utilize existing liquidity in AMM pools in conjunction with OpenSwap Liquidity Queues to execute swaps in the most efficient manner providing the most return for your swaps. All these critical pieces will be linked up to make interchain swaps a seamless reality.
First, the initial iteration of Liquidity Queues will bring spot-market priced swaps on-chain with no slippage to the user. All Spot Priced Queues will execute swaps based on an Oracle price feed that tracks the market price. For the average user who wants to perform a swap, OpenSwap will show various options from DEXes including OpenSwap’s own Liquidity Queues. We expect the spot-market price of Liquidity Queues will offer some of the most attractive pricing due to zero slippage compared to AMM pools.
The end game is to reduce the friction of moving digital assets between chains. The DEX aggregator provides the interface to see liquidity available, the optimum routes using the hybrid router show you how to get from one token to another leveraging a blend of existing liquidity in other DEX AMM pools and OpenSwap Liquidity Queues. Liquidity Queues and Hybrid Smart Router will be launched on other chains (initially targeting EVM compatible ones). Finally, our bridge vaults managed by our bridge troll protocol manages the flow up assets between chains in a decentralized manner to enable interchain swap utilizing OpenSwap Hybrid routers.
thanks for the detailed answer.
3.) We’ve seen your recent coverage on Coindesk and CryptoBriefing, can you tell us about your latest funding round? And who are your strategic partners and investors?
We are super grateful for all the support thus far, starting from the community and all the way to all the partners who have come onboard to participate in our strategic round of funding. The response has been incredible, and our round was oversubscribed. We had to handpick the partners that provided the best fit to our on-chain liquidity revolution!
Our investors include funds who will provide liquidity on the platform and become the power users of our platform, BUIDLers of projects we plan to integrate with, and communities who provide us with reach in local regions such as Kriptobi.
Our round consists of more than 20 backers including NGC Ventures, Coin98 Ventures, BR Capital, Legos Capital, Double Peak Group, Prime Block Capital, Illusionist Group, All In Ventures, Muhabbit Capital, and angels from prominent individuals in the DeFi space such as Julien Bouteloup (Flash Loan OG, Rekt News, Curve Finance), Leo Cheng (Cream Finance), Ravindra Kumar (Frontier), and Mark Borsten (affiliate investor Flow Ventures).
4.) Let’s talk about the tokens, what are the Tokenomics and utilities of the $OSWAP tokens?
The OpenSwap protocol will issue a governance token called $OSWAP as part of the protocol’s release. The token will be established as an ERC20 token with a hard-capped total token supply of 1B tokens and will be bridged to Binance Smart Chain to enable the governance of the BSC version of OpenSwap during the initial launch.
The $OSWAP token will be able to be used for the following purposes:
- For liquidity providers, they can stake OSWAP into Liquidity Queues to increase the priority of their liquidity, prioritizing their earnings for trade fees.
- Node operators for the Open Interchain Bridging Protocol can stake $OSWAP to earn the eligibility to be a bridge troll, and earn fees as assets cross the bridge.
- Yield farming by providing liquidity for $OSWAP pools as well as other contests.
- For users to participate in governance by staking OSWAP to create proposals or vote on risk parameters for the protocol.
5.) How is #Openswap development going? Can you describe the current development status, upcoming market expansion plans, expected technology rollout? And what should users get excited about?
DApp development is going full speed ahead, and our team is most excited about the pending release of our Liquidity Queues and the underlying decentralized framework we have developed to enable different flavors of queues to address different usage cases in the DeFi space.
Up first will be our Spot Priority Queues which will allow DeFi traders to swap at spot market prices without slippage and with transaction fees that match what centralized exchanges offer. Soon after that, we will introduce Spot Range Queues that allow liquidity providers to set a floor price for their trades. Other queues that will be coming included pegged queues that offer fixed price for a token and limit offer queues that enable institutions to set the price for the liquidity based on their pricing strategy.
Thank you very much for your answers in this section. If you are ready, I continue with the Twitter section 🙂
My pleasure. Incredible questions, you guys did your homework!
Twitter Question 1-( from @iseker1905 )
I saw that OpenSwap intends to build an Inter-Chain Bridge. What exactly does it mean to be “Inter-Chain,” and how would this bridge function? What benefits may consumers derive from its implementation?
Interchain refers to moving tokens across different chains. Our bridging function is facilitated by our Open Interchain Protocol network of validators called Bridge Trolls who must stake $OSWAP as a bond to participate in earning transaction fees as tokens cross the bridge. Each chain will have single asset bridge vaults governed by a smart contract allowing liquidity providers to contribute without impermanent loss due to the single asset nature of these vaults. Once the token has crossed chains through the bridge vaults, it will be fed into our Hybrid Smart Router to determine the most efficient path to fulfill your swap and receiving the native token you requested.
From a user perspective, interchain swaps will provide an end-to-end solution where the user can take a stable coin from a specific chain and use it to buy any token on any chain. No more figuring out how to swap and convert synthetic tokens into the token you actually want.
Twitter question 2 -(from @PoyrazOmery)
In the market there we already have many DeFi aggregators such as 1inch, Zapper, http://Octo.fi ...etc. So, how does OpenSwap compare to them? How OpenSwap is planning to compete with them?
Our DEX aggregator is really just a gateway for users to access our Liquidity Queues, which is a new way of providing on-chain purpose-defined liquidity. Providers may specify the price ranges, date ranges, prioritize their liquidity or even restrict their liquidity to a certain list of users. The end game for OpenSwap is to reduce the friction in moving tokens across different chains. The DEX aggregator provides one piece of this puzzle and interchain swaps require all the pieces to work together including the Liquidity Queues, Hybrid Smart Routers, Bridge Vaults, and the Open Interchain Protocol.
In fact, we don’t really see the other DeFi aggregators as competitors and we believe in the co-opetition model, the beauty of the DeFi space is that it is not a zero-sum game, it’s an environment that thrives with collaboration. Our team hopes that other aggregators will leverage our liquidity queues in the future. In short, other aggregator are actually our potential partners in revolutionizing on-chain liquidity!
Now it’s time for community questions.
Jetonlarınızın kullanım durumu hakkında bilgi almak istiyorum?Stake yapabilir ve pasif gelir elde edebilir miyim?
If my Turkish is correct, your question is referring to our tokens. Our team minted 20M $OSWAP and bridge them over to BEP20 to stake in our governance portal to vote for risk parameters for the platform during the initial guardian phase of the project. There are no $OSWAP tokens in circulation at the moment and our IDO is coming soon and will take place on the Impossible Finance Launchpad. So get your $IDIA ready for staking on Aug. 26 to secure your allocation.
We also currently have staking campaigns for $IF and $C98 on our earn page if you want to get a head start and earn $OSWAP. Stay tuned for more exciting rewards programs such as farms which will be released soon after the IDO.
𝕀𝔽 𝕋ℍ𝔼 𝔹𝔼𝔸ℝ 𝕄𝔸ℝ𝕂𝔼𝕋 ℂ𝕆𝕄𝔼𝕊 𝕨𝕚𝕝𝕝 𝕪𝕠𝕦𝕣 𝕥𝕠𝕜𝕖𝕟 ℙℝ𝕆𝔹𝔸𝔹𝕃𝕐 𝔻𝕌𝕄ℙ? 𝔻𝕠 𝕪𝕠𝕦 𝕙𝕒𝕧𝕖 𝕒𝕟𝕪 𝕡𝕝𝕒𝕟 𝕥𝕠 𝕡𝕣𝕖𝕡𝕒𝕣𝕖𝕕 𝕗𝕠𝕣 𝕥𝕙𝕚𝕤𝕓𝕖𝕒𝕣 𝕞𝕒𝕣𝕜𝕖𝕥? ℍ𝕠𝕨 𝕨𝕚𝕝𝕝 𝕪𝕠𝕦 𝕙𝕒𝕟𝕕𝕝𝕖 𝕥𝕙𝕖 𝕡𝕒𝕟𝕚𝕔 𝕤𝕖𝕝𝕝?
You got my attention with the interesting font type. If my eyes serve me correctly, you are asking about my thoughts on the bear market. TBH as a BUIDLer, bear markets are when the real projects get developed, in the last bear projects such as SOL and 1inch were germinated. Bear markets are also a great time for projects to acquire talent and build up their teams to ready themselves for the next bull.
There are recently some of the projects did rug pulls and took people’s money so how can we know for sure that your project will not do this?
Our OpenSwap team are allergic to rugs. We embrace anti rug pulls both externally and internally. From an external perspective, one of our upcoming features is our Restricted Group Queues, which offer project owners with a way to “bet on themselves” by providing future guaranteed buyback on their tokens at a preset price. This sets a floor price for the IDO participants where will be investing in IDOs in an environment where their losses are capped. This is the OpenSwap way of saying “screw you” to rugpull projects.
And from an internal perspective, the both the team and our backers’ allocation are subject to longer vesting periods whereby our backers’ allocation vests up to 24 months and the team allocation vest up to 48 months. As you can tell, we are here for the long haul and in it for the tech. Let’s revolutionize on-chain liquidity together!
Thank you for your sincere answers to our and our community’s questions 🙏
Thank you for the wonderful questions, your community members really know their stuff when it comes to DeFi!
Thank you very much for your precious time.
Best of luck to you and OpenSwap✌️☺️
For further questions feel free to reach out to us on our socials. Hope to see you in our community!