RAMP DEFI
Published in

RAMP DEFI

RAMP 2022 Roadmap: FAQ 1

Following the release of the RAMP 2022 Roadmap, we have received a range of questions from the community around the token swap, RAMP product management and more.

This article aims to address user questions around the above topics. As there are many similar questions, we have consolidated them to provide answers.

About the RAMP Platform

What does it mean to deprecate the RAMP platform? Will the RAMP platform continue to be supported?

  • Deprecation of the RAMP platform does not mean that it will immediately cease operations and close down. Deprecation of the platform means that firstly, no new code or integrations will be added for the platform, and the platform will simply operate on an as-is basis.
  • Secondly, because significant emissions are given out to drive platform utility, RAMP emissions will be progressively winded down over a 1–3 month period until it reaches zero.
  • Thirdly, as users repay rUSD debt over time, subject to liquidity and risk constraints, the max borrowing limits will be progressively reduced.
  • In summary, the RAMP platform will continued to be maintained for existing users even after the product transition — vaults will continue to autocompound, users can still deposit, mint (for assets with available borrowing capacity), provide liquidity and repay debt.

What happens to minters? Can users still mint and use the RAMP platform? Is there a hard deadline for minters to repay their debt?

  • Minters can repay any debt outstanding on the platform in their own time.
  • Minting will still be available, with lower max borrowing limits to prevent further depeg of rUSD.

Can we mint rUSD with LEVER tokens?

  • No, LEVER tokens cannot be used as collateral for rUSD minting.
  • Users with debt positions on their RAMP will need to repay their debt before they can exchange RAMP for LEVER via the on-chain swap contract.

What happens to vested RAMP tokens?

  • Vested RAMP tokens from the incentive program can still be claimed from the RAMP platform going forward, based on the vesting schedule.
  • RAMP tokens claimed can be swapped to LEVER via the on-chain swap contract, which will be maintained until all RAMP tokens are swapped into LEVER.

About the RAMP to LEVER Token Swap

When is the token swap expected to take place?

  • Subject to community approval, exchange discussions and swap contracts development, the token swap is targeted to take place in June 2022.

What happens during the token swap?

  • Every RAMP token can be swapped for 35 LEVER tokens via an on-chain token swap contract starting from the day of the token swap commencement.
  • Users can choose to swap anytime.
  • The swap contract will be maintained until all RAMP tokens are swapped into LEVER and removed from circulation.

What if our RAMP tokens are on exchanges and not on-chain?

  • We will reach out to exchanges to make the swap for exchange users without for users having to go on-chain.
  • This is still subject to partner exchanges’ evaluation and agreement, and details will be provided after support from partner exchanges are confirmed.

Is the LEVER token minted? What is the contract address?

  • The LEVER token is NOT yet minted.
  • There is no token contract address.
  • Please do not interact with any LEVER tokens until an official announcement has been made via official channels.

Will having a larger token supply create price pressure for LEVER?

  • The token swap is simply a change in ticker and denomination, and the change in token supply by itself does not create price pressure on LEVER.
  • As an example, assume a user holds a single $1,000 dollar bill (token supply = 1).
  • Swapping the $1,000 bill for 1,000 $1 coins changes the token supply from 1 to 1,000, but the user still holds $1,000 in either case (no reduction in total value owned by the user).

Will RAMP price go to zero after the token swap?

  • RAMP price will not go to zero after the token swap because RAMP can always be swapped for LEVER.
  • As an example, assume that each LEVER is trading in the open market at $0.0029.
  • This imply that each RAMP is worth $0.0029 * 35 = $0.10, since each RAMP can be swapped for 35 LEVER.
  • If somehow RAMP price drops to $0.09 (below implied value of $0.10), users can buy RAMP and swap for LEVER for a risk-free arbitrage opportunity.

Will RAMP still be listed on Binance after the token swap? Will LEVER be listed on Binance after the token swap?

  • Subject to Binance’s evaluation and agreement for the token swap, what will happen is that on the day of the token swap, RAMP will be delisted and LEVER relisted in its place.
  • A sample process to expect can be found here for the BZRX to OOKI token which was supported by Binance. Note that the RAMP to LEVER token swap is still subject to Binance’s approval and is not confirmed as at time of this writing.
  • The token swap with other partner exchanges is likely to take place in a similar process.

About LeverFi

Why on-chain leveraged trading? Is this unique?

  • While on-chain leverage trading as a concept is not new, projects that have tried in the past did not take off due to either inefficient capital design or security hacks.
  • We believe that there is an opportunity to close this gap and deliver a highly efficient on-chain leveraged trading platform that can service DeFi communities across multiple EVM ecosystems.
  • LeverFi banks on the team’s existing product expertise in asset management, coupled with original R&D to develop a powerful yet intuitive platform that works seamlessly with other fundamental DeFi legos.
  • On-chain leveraged trading has enormous potential to become a powerful driver of on-chain activity while substantially increasing idle TVL utilization, making LeverFi an ideal partner for Layer1 chains and their native DEXs.

What is the current stage of development and expected completion date for LeverFi?

  • LeverFi is already under development, and we expect the platform to be ready for audit in June 2022. This timeline is still subject to confirmation.
  • We aim to launch the product shortly after the token swap is completed.

Which ecosystem(s) will LeverFi be launched in?

  • LeverFi aims to kickstart the platform’s utility in high-speed, low-fees EVM Layer 1s with strong communities such as Avalanche, Arbitrum and more.
  • An Ethereum deployment will be released shortly after live deployment on low-fee networks are proven to be resilient and smooth running.

28 June Update: As gas optimizations are already accounted for during smart contract development for an Ethereum deployment, LeverFi will directly deploy on Ethereum as the first chain.

  • LeverFi focuses on multi-chain, but will not be cross-chain. This means that native versions are deployed on each L1, similar to how Sushi Swap is deployed. This has the added benefit of positioning LeverFi favorably for on-chain incentives by the respective L1 networks.

Is LeverFi same as Lever Network?

  • Lever Network, which operates under the LEV token ticker, was hacked in November 2021 in a flash loan and is now a dormant project.
  • LeverFi’s code, security system, capital design and trade settlement mechanisms that power its leveraged trading engine is developed through internal R&D, and has no relation to Lever Network.

Will the code for LeverFi be open sourced?

  • Yes, the code for LeverFi will be open sourced from the beginning, and will undergo audits and bug bounties prior to release.

Have Questions?

--

--

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store