FinNexus Monthly Progress Report (May 2020)
May was the busiest month yet for the FNX team.
Now that FinNexus has finished Phase One of our fundraising efforts, we will be sharing our progress each month here on Medium. Transparency is important to us. If you have any questions about our project at all, please reach out to us on our Telegram, where we have weekly AMAs with members of our leadership team.
We have a lot to cover in our recap for this month so let’s get started!
Operational Progress
1. From May 11 to May 17, FinNexus held our innovative token offering ——Initial Convertible Token Offering (ICTO) — on Bitrue exchange, which received an overwhelming response. FNX tokens were fully subscribed every single day for 7 days. 40 million FNX tokens were distributed during this event.
2. At the same time (from May 11 to 17), a 4 million FNX token subscription event was held through Wanchain Wallet, in which 1,456,509.5662 FNX tokens were exchanged for WAN.
In a related transaction on May 27, the unsold FNX tokens from this allocation were burnt by sending them to the Wanchain community burn address, which can be observed in this specific transaction. The total burned amount was 2,543,490.4338 FNX in this transaction. With this burn, the initial circulating supply of FNX tokens dropped from 44,000,000 FNX to 41,782,610 FNX. This number includes all promotional airdrops conducted by the FinNexus team and in conjunction with Bitrue and BKEX.
3. On May 26, FinNexus (FNX) made its debut simultaneously on the cryptocurrency exchanges Bitrue and BKEX at 8:00 UTC time. On that same day, FNX made its debut on CoinGecko, where you can see all the information you need to know about the token. Volume has ranged between $900,000 and $1.6 million per day in all three trading pairs since the listing.
4. Our initial fundraising efforts concluded in May. Thanks to the massive support from all FinNexus communities, as well as the assistance from Bitrue and Wanchain, we successfully finished the offering process from May 11th to 17th. Approximately 4,060,000 USDT was raised in this public portion of the process, calculated according to the relevant subscribing token price on Coinmarketcap. These events concluded the fundraising process in Phase One as described in the FinNexus whitepaper, with a total figure of approximately 4.56 million USDT raised.
Now that these important operations have concluded, we now turn our attention to technical development. Our progress on this front during the month of May is included below.
Technical Progress
Our software engineers have been hard at work on a variety of initiatives. While our main emphasis is on the development of a cross-chain decentralized options platform, we also have our tokenization platform, Wandora Box and a new Wanchain dapp that we’ve worked on this month as well. Details on each are provided here:
- Decentralized options development progress
The holy grail in the traditional financial market is derivatives. The traditional derivatives markets are estimated to involve notional amounts over $1 quadrillion. Options are a major component of this emerging DeFi trend. Decentralized protocols that allow holders of the underlying assets of these derivatives are being developed to take market share away from the large centralized exchanges, like BitMEX, FTX and Deribit, that currently provide these products.
FinNexus is planning to launch its own decentralized options products in Q3 this year, which sets the stage for the initiation of our decentralized model, as mentioned in our 2020 roadmap. This model will incorporate staking the FNX token for profit. The development team has made enormous progress on this coding in May. You can see the first version of the OptionsContract that has been published on the FinNexus Github.
What will distinguish the FinNexus options model from the existing decentralized options platforms are some new features like multi-coin collateral, automated settlement, under-collateralization, and cross-chain functionality. More information on these plans will be revealed in June.
2. UM1S conversion and practice
After successfully finishing our fundraising and listing in May, the conversion process for turning FNX into UM1S via our decentralized smart contract has been working smoothly. Anyone may check the real-time conversion through this Wanscan address. If you click on the “Token Transactions” tab in the previous link, you will see FNX tokens coming in to the smart contract and UM1S going out. With each conversion to UM1S, more FNX is “burned” or, rather, another way to say it is that FNX goes into a black hole in the conversion smart contract. FNX goes in, but can never come out, thus reducing FNX total supply with each conversion. We renew daily the data on the ever-shrinking circulating supply of FNX in the following post.
Where does the money come from? What is backing the return on UM1S? After fundraising in May, FinNexus immediately used 80% of those raised funds to create UM1S in order to gain exposure to real-world cash flows. The underlying asset of UM1S is a package of Southeast Asian consumer loans that enjoys steady and frequent cash inflows and outflows.
The credit nature of the business is straightforward and steady, with clear and simple counterparty legal relations. The pool of assets is easily defined, collected, and supervised by a centralized entity. The exchange risks between the stable coins transacted during subscription to the product and distribution of that product, as well as the exchange risks of the fiat currencies used in real-world operations to support the tokenized products, are also limited.
More details on the process of UM1S tokenization and information on the real-world assets backing the returns can be found here.
3. Development on Wandora Box
In May, our Wandora Box game successfully integrated BTC/USD and ETH/USD price prediction markets. Those pairs are in addition to our WAN/BTC prediction market that has been operating once every 8 hours for a few months. The cool aspect of these new markets is that BTC turns over every hour while ETH turns over every 4 hours. That’s a lot more chances to stack WAN!
This month we drastically improved the interface to provide an easy glance at potential expected returns. The “Return Rate” window gives you an estimate, per 1 WAN that you commit in Wandora Box to an Up or Down price prediction, for how much WAN you can earn if you’re right. One can play Wandora Box by downloading our Wanmask Web3 wallet browser plug-in ang going to wandora.finnexus.app or via the desktop wallet. For the best user experience, we suggest downloading the Desktop version of Wan Wallet here.
4. Developing a Non-Loss Lottery Dapp
One thing that we have yet to really publicly reveal is that in May, the FinNexus development team, in cooperation with Wanchain developers, began coding a no-loss lottery DApp similar to Pool Together.
It’s called Jack’s Pot, after Wanchain founder Jack Lu, and will be launched in June. The idea is to turn the world’s most played gambling game (the lottery) into a savings game! What’s great about Jack’s Pot as compared to Pool Together is that with the very reasonable gas fees on Wanchain, as compared to recent high gas fees on Ethereum, WAN token holders can afford to contribute even small amounts of their WAN holdings for a chance to stack WAN!
Jack’s Pot allows DApp users a chance to win a lottery prize by staking their WAN into a smart contract. The staked WAN is delegated to a Wanchain validator, generating rewards as a part of the consensus process. The rewards are then pooled together in a single pot. At the end of the round, the principal amount of the WAN contributed is returned to all participants, plus some lucky winners will receive their principal plus a portion of the validator rewards earned by the pool. Unlike Pool Together, Jack’s Pot gives users the chance to choose their own lucky number.
Here’s a sneak peek of what Jack’s Pot is going to look like once it gets deployed on mainnet later in June. More info about this fun game DApp will be released soon.
Team Updates
- On May 3, FinNexus CEO Boris Yang and Financial Specialist Ryan Tian and Strategic Advisor, Professor K (Nicholas Krapels) joined WanTalk Episode 3 to discuss the innovative token sale model of FNX, upcoming FinNexus products like their tokenization model, and also explained how FinNexus contributes to the prosperity of the Wanchain ecosystem.
2. On May 8, the team joined the Wanchain Chinese Wechat community for an AMA event, introducing the FinNexus project vision and FNX token economic model, as well as their upcoming ICTO. The team received an overwhelming response and support from the Wanchain Chinese community.
3. On May 8, FinNexus team also joined Satoshi Club for an AMA event to introduce the project’s vision and upcoming products to global community members. As this was their second appearance in the Satoshi Club community, members of the community were very enthusiastic about the project and asked a lot of questions about the listing and ICTO. The founding team responded one by one and actively interacted with the community.
4. On May 10, FinNexus CEO Boris Yang, Financial Specialist Ryan Tian and Strategic Advisor Professor Nicholas Krapels attended an online interview with @Crypto_Crane. During the interview they talked about the FinNexus team, FinNexus’s value proposition, DeFi itself, Wanchain and XRP as well as the upcoming FinNexus token sale on Bitrue. The FinNexus team covered the core principals of the FinNexus project, which tries to create an overarching DeFi hub that the business world can more easily interact with, where not only cryptocurrencies but also tokenized real-world assets can be traded freely. To check out the video, click below.
5. On May 12, FinNexus CEO Boris Yang and Financial Specialist Ryan Tian and Strategic Advisor Professor Nicholas Krapels joined @on_the_chain in a conversation about a wide range of topics include DeFi, tokenization of assets, FNX token, building on XRPL, China’s upcoming central bank digital currency (CBDC) or digital yuan. Check out the interview here:
6. On May 14, FinNexus founder Boris Yang attended a virtual conference called Blockchain 2140 held in conjunction with Shenzhen Blockchain Week in China, spoke in front of more than 25,000 attendees at the online summit.
7. On May 15, the team joined an AMA held in the Bitrue Community on Telegram with Bitrue CEO Curis Wang. The AMA discussed DeFi, FNX, the token conversion mechanism, and answered questions from community members.
Ecosystem Development
On May 6, FinNexus partnered with Band Protocol, a decentralized cross-chain data oracle that connects smart contracts with scalable real-time external data, as a base layer price oracle to power decentralized asset-backed tokens and derivatives.
Band Protocol is backed by world-class investors such as Sequoia Capital and the top cryptocurrency exchange, Binance. Uniting both FinNexus and Band Protocol will enable truly decentralized and secure financial products to be created, bridging the gap between traditional and decentralized financial products. For more details, please check the article below.
Community Update
- On May 7, FinNexus released the following article that introduces FinNexus founder Boris Yang and reviewed the benefits of the FNX Initial Convertible Token Offering.
2. On May 7, FinNexus also released an article that introduced their concept of a “Crypto Supermarket,” which explained the three DeFi pain points that FinNexus plans to address through a series of stages.
3. On May 9, FinNexus released an article introducing the overarching goals of the FNX monetary policy and how the FinNexus team plans on bringing value to (and keeping value in) its crypto-economic ecosystem.
4. On May 11, FinNexus released an article delving into the specifics of the various sources of return for FNX token holders, outlin the plans for the future of the FNX token economy.
5. On May 24, FinNexus released a guidance of “How to Convert FNX to UM1S and Redeem UM1S at the End of the Conversion Period.”
7. On May 28, FinNexus held Weekly Chat in the FinNexus official telegram community this month. During the Weekly Chat, the founding team conducted in-depth discussions with community members and answered their questions.
8. Two 7-days quiz bounty campaigns were held in both FinNexus community and Wanchain community, over 500 community members joinned this campaign and 240 winners were announced.
9. On May 21, FinNexus completed the distribution for the Wandora box quiz campaign.Every participant has received 5 Wan in reward.
10. On May 31, FinNexus completed the $FNX airdrop for $Wan holders. For giving back to our community, FinNexus provided 2X Bonus for few lucky participants.
And that, in a nutshell, was the month of May for FinNexus. We’re all going to go take a nap now. We’ll see you back here in early July to provide a recap on what we’ve been doing this month!
About FinNexus
FinNexus is building an open finance protocol to power hybrid marketplaces that trade both decentralized and traditional financial products. The FNX token will live on the Wanchain blockchain to take advantage of the most robust cross-chain capabilities currently available in the industry. The first products FinNexus will release are innovative tokenized assets with value based on real world cash flows that live on Wanchain and XRP Ledger. The second product to be released is a fully decentralized bitcoin (and other cryptocurrencies) options model.
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