Wolfonaire Chatbox : AMA With Reef (November 11, 2020)
Hello! Wolfonaire Family & Crypto Enthusiasts!
We recently hosted an AMA with Reef Finance, on 11th November, 2020 at 12:30 PM UTC. This Session was phenomenal. If you have missed then here is the precious AMA transcript, for those who missed the live session this will enlighten you for sure…
Guest Speaker : Mr. Denko Mancheski | CEO, Reef Finance
(Note: This is the transcription of the event. Please note that the transcript was edited for comprehensibility and coherency, while the content was not changed.)
Mr. Denko : In short, Reef is a DeFi operating system — a permission-less smart liquidity aggregator and yield engine where any financial hub can integrate into. Powered by Polkadot, it shares its security model with the ecosystem, and enables cross-chain integrations across top DeFi protocols. Reef gives the retail investor access to the DeFi landscape with a very low technical barrier of entry while at the same time it augments the decision making process based on user’s risk levels.
A bit less technical intro: A one-stop place where anyone can get quickly invest into DeFi taking into account their aversion to risk
We are a global team, covering pretty much all the timezones. The development team is based in Slovenia, we have an office in Ljubljana. The rest of the team is distributed. The marketing team is in San Francisco and India
🐺 Wolf : For our members who are not already familiar with the project, can you give us a very high-level overview of what Reef Finance is and what competitive edge it brings to the DeFi landscape?
Mr. Denko : We provide a way for the average retail user to access to the whole landscape with very low technical barrier of entry and additionally augments the decision making process based on user’s risk levels. Imagine a single hub for all the DeFi ecosystems.
🐺 Wolf : Awesome👏, Have you met all your goals in the roadmap till now? And were there any difficulties that you didn’t expect and were not prepared for?
Mr. Denko : Actually we are ahead of schedule with the product. We are currently in discussions with Tier 1 exchanges and the outcome of those conversations will define our TGE date and public sale mechanism.
🐺 Wolf : Good To Hear Denko Mancheski , Does Reef Finance do presale? Where can we contribute ? And can you provide details about the total supply and the token price?
Mr. Denko : We finalized the private sale. Full details about tokenomics can be found here:
You will be able to participate in the public sale which will be determined soon.
🐺 Wolf : Great! Why did Reef Finance choose to build on Polkadot ecosystem? What is the main advantage of using Polkadot ecosystem?
Mr. Denko : Polkadot’s parachain communication (XCMP) and bridging mechanism, combined with the possibility to run solidity code on parachains such as Plasm, use native Ethereum addresses and huge ecosystem support (Web3, Parity) were the reasons why we chose to build on Polkadot. Reef being cross-chain gives us flexibility, which means we are able to shift our product and features based on where the users are (currently on Ethereum) and what the users want/need in the future.
🐺 Wolf : Yeah personally I’m Polka Fan
I believe It will bhuge... Trade at best price,earn the best return of staking. How do you assure the “BESTs” favtor, what mechanism of your system provides all these features.
Mr. Denko : Reef yield engine allows you access to all the currently available yield farming protocols. Since it’s powered by an analytics engine, it can maximize your yield by routing your funds to the highest yielding pools. The problem is that farming protocols and instances have different risk levels. We derive risk levels based on multiple metrics, from social media traction, to on-chain traffic. This way, the users have a better understanding of how they allocate their funds, and can adjust based on their risk tolerance. We will publish our methodology on how the model is grading different DeFi activities on our blog.
🐺 Wolf : Why the Reef Intelligence Engine is an Off-chain Oracle? There not better option be On-Chain? Why you decided keep It away?
Mr. Denko : The intelligence engine will be off-chain because there is a lot of data and a lot of high-frequency processing. The moment we are able to deploy our solution in a decentralized cloud (eg: Crust.network) we will move the whole infrastructure there.
Also the intelligence engine is powering certain baskets. We plan to introduce third party baskets as well.
🐺 Wolf : Great Man, Last Question Before Round 1…
How do holders of the Reef Finance token benefit in the ecosystem? What power within your model do individuals hold? Why is it so attractive and what are the basic requirements to participate?
Mr. Denko : Great question. To answer this question properly, I have to explain the utility of the token and the revenue streams that the Reef's ecosystem has.
Income streams which will allow the tokenholders to benefit from the revenue the ecosystem is earning:
Reef currently has 3 income streams: Basket engine, protocol fees and interest paid by power users who borrow tokens from the Reef pool in order to increase their voting power. All the 3 income streams are currently flowing in the Reef pool. In the future, through voting, we plan to introduce Reef Treasury which will be the recipient of the income streams, and the DAO can further decide how to allocate the funds (eg: grants, buybacks, etc.)
The reef token is a governance token, so the users will be able to vote on different proposals (releasing new features, readjusting certain parameters in the system, etc.). Besides governance, the token is powering our infrastructure, so you can pay the protocols fees with it. It can also be used to stake into the Reef pool and get RPTs (Reef Pool Tokens), but it's also going to be used in the yield distribution mechanism (customizable payout ratio for the yield that the basket generated), which will allow the user to farm the Reef token and directly stake it into the pool.
Besides those things we will be adding something completely new: Projected Price and Basketizing existing positions.
Projected Price is a really innovative idea which is possible only with the design that the reef’s basket engine has.
🐺 Wolf : Getting Positive Vibes From Reef. Thanks ❤
Let’s Move For The Community Questions
Now Group Question & Answer Session 1 Began
Q1. Does this Reef will support the local businesses? Does this project believe to integrate people from world who don’t have access to the banking system? Like Rfuel is doing?
Mr. Denko : Reef is a B2C product, which means retail investor is our main customer.
Yes, this is one of our bigger goals. We will be integrating FIAT gateways immediately, so we will be able to start onboarding non-crypto users. Besides the easy onboarding, we will provide proper education so they get to understand how this landscape works and what are the risks around it.
Q2. What is business model of your project? How it works ?
Who are your potential customers and which markets are you targeting on?
Mr. Denko : ^ + Read the revenue models in the previous session.
Q3. What is your strongest advantage that you think will make your team leading the market? In contrast, what is your weakness? How do you plan to overcome it?
Mr. Denko : The fact that we are powered by analytics engine + cross-chain. The other one is the team being both blockchain and data science. Its a huge edge over competitors.
Q4. Who is your investor? How do you generate revenue to sustain the project? What are your goals to the end of 2020 and beyond?
Mr. Denko : Some of our investors are tier 1 funds in this lanscape such as: NGC, QCP, Woodstock, LD Capital, Genesis Block, Kenetic and more.
I wrote detailed explanation about the revenue streams above.
Q5. It is unfortunate that some projects remain half way because their developers abandon the concept because they cannot achieve the desired capitalization in the long term; how do you plan to make this project sustainable for its development?
Mr. Denko : Reef being cross-chain gives us flexibility, which means we are able to shift our product and features based on where the users are (currently on Ethereum) and what the users want/need in the future.
Q6. Why does Reef still use Ethereum blockchain while it has a slow speed and high gas fee?Do you have any plans to launch your mainet or convert to other blockchains in the future?
Mr. Denko : Reef is a Polkadot project. We are defragmenting the DeFi landscape through their interoperability layer.
Q7. The first cross-chain DeFi operating system" Why do you call Reef as an "operating system"?
Mr. Denko : Because it is a one-stop place where anyone can quickly invest into whole DeFi landscape taking into account their aversion to risk.
Q8. With the software product that you offer involving personal assets, what guarantee do you provide for the safety of the users of your product? are there any details explaining about this regulation?
Mr. Denko : Reef is completely non-custodial, so everything can be tracked and seen on the blockchain (we will provide tools which will allow easy monitoring). We are currently in the process of being audited by multiple companies.
Q9. 👉 Truly, you’ve done AMA in many telegram groups, so what next, what other way will you make your project more popular? Related to Liquidity Locking for people who want to lock it into a safe. Are there terms and conditions that must be fulfilled to be able to lock in such liquidity? For example, like the minimum amount, you can only accept certain tokens or coins or something else?
Mr. Denko : You will be able to lock in Reef tokens or lock in LP Tokens. We are currently running a private ecosystem bootstrap program with the initial investors. We will expand this program to everyone after TGE
Q10. How is #REEF development going? Can you describe in detail current development efforts, market expansion plans, expected applications, and when will they become commercially available?
Mr. Denko : We have the live roadmap here: https://reef.finance/roadmap. A more detailed technical roadmap will be published on github once the audit is done and the codebase is open sourced
Q11. You organized a very useful AMA session and received lots of questions related to utilities and technology, visions of the future, ...
So now I want to ask you what would you like to receive from the community?
Mr. Denko : Make sure to follow our latest developments on our telegram: https://t.me/reefdefi and participate in the bootstrap program once it goes live! Right after, we would be happy to have you as users on the platform and listen to the feedback that you give.
Now Group Question & Answer Session 2 Began
Q12. As we know, every successful trading platform has a few stories behind the scenes, what’s the story behind #Reef success? What was that vision when it first emerged as an idea? Are there any special prototypes or upcoming digidinar updates that you want to show/share with us?
Mr. Denko : Great question. The best way to learn about our story would be to read this short blogpost: https://medium.com/reef-finance/reef-origin-story-5a16a4f346a8
Q13. Do you have plans to have your platform fully audited by a third-party? How can we as investors make sure that the offered APY is actually the highest one on the market and that it’s invested in the correct pool?
Mr. Denko : We are currently in the process of getting audited.
Our analytics engine collect on-chain data, social media and exchange data. We have built indexers to make sure that we are covering pretty much the whole landscape. A lot of activities need to meet minimum requirements in order to be shown a basket (its a mechanism to filter out scams).
Q14. Reef is able to connect several DeFi Protocols including Uniswap, Kyber, Compound, etc. What is the infrastructure that performs this ability?
Mr. Denko : Reef will have infrastructure on multiple ecosystems. Through Polkadot’s interoperability layer we can defragment the ecosystems. Our initial version is based on Ethereum with a side-processing unit on Plasm.
Q15. How do you plan to spread awareness about your platform in different countries where English is not spoken well? Do you have local communities for them to let them better understand about your platform?
Mr. Denko : We will be translating the platform on multiple languages as well as publish different educational material. Besides that we plan different programs built into the product to engage with the community. At the moment we have https://gleam.io/JWfq5/reef-fundraising-contest and Quiz live in our telegram group: https://t.me/reefdefi
Q16. What is your background and how did you come to the idea to create your project?
Mr. Denko : I have a tech background myself. Started development in early high school with C++ (did algorithmic competitions for few years), then moved into the enterprise world where I worked for 2 ERP providers (built some modules and some mobile apps which are still used to this day). Few years later I moved to one of the biggest healthcare platform providers in Europe. Worked there for over 2.5 years and the last 6 months I was leading a team (we were building a complex app for healthcare data modelling around the OpenEHR standard). 5.5 years ago I got into crypto and started blockchain development myself. My first experience was with NXT (then turned into Ardor), and I have also been doing a lot of Solidity (Ethereum), Steem and some EOS.
Follow us on twitter, medium and the announce group to stay up to date
🐺 Wolf : Thanks ❤ Denko Mancheski
Personally I have learned alot from this AMA session
Getting positive vibes from Reef,I believe it will be huge...
Now the session ends with lots of thanks to our Guest Speaker…
Here is some important links of Reef Finance ⛓⛓