Polkadex x Satoshi CLUB AMA Session 25 Feb 2021

Polkadex x Satoshi CLUB AMA Session 25 Feb 2021



PART 1. Introduction of Polkadex project and community questions.

Hello, Satoshi clubbers and guests of this site. We are happy to present you with a project called Polkadex.
Polkadex: The trading engine for web3 and Defi. A fully decentralized, peer-peer, orderbook based cryptocurrency exchange for the Defi ecosystem in Substrate.

The plan of AMA session:

  1. Part — Introduction and preselected questions.
  2. Part — Live questions
  3. The Quiz about Polkadex finance

The reward pool is 500$

Leading the AMA our clever and fun admins:

Gold Rocket | Satoshi Club — @GoldRocket27 and Andrés M. | Satoshi Club — @AndresM77

The Representative of the project:

Gautham — @gautham_polkadex — CEO | Polkadex

Vivek Prasannan — @vivekprasannan — Executive Director.

Introduction of Polkadex project.

 

Andrés m. | satoshi club:

Good day everyone, welcome to a new exciting ama session

Gold rocket | satoshi club:

Hello, dear satoshi clubbers!

Andrés m. | satoshi club:

Today our guests are from Polkadex an interesting project, @gautham:_Polkadex, and @vivekprasannan how are you? Welcome today

Gold rocket | satoshi club:

Welcome to satoshi club @gautham_polkadex and @vivekprasannan

Gautham:

Hey Andres! It’s going great! Thanks for having us

Andrés m. | satoshi club:

It’s an honor to have you here with us

Gautham:

Same to you!

Vivek prasannan:

Hi guys, great to be part of this!

Gold rocket | satoshi club:

We are very happy to have you here today!

Vivek prasannan:

Likewise!

Andrés m. | satoshi club:

To begin the ama, could you give us an introduction about you and about Polkadex?

Gold rocket | satoshi club:

Therefore, we expect from you interesting facts about your project.

Gautham:

I am Gautham, CEO and the lead engineer of Polkadex.

Polkadex is a decentralized orderbook based exchange and an AMM pool with zero transaction fees.

Vivek prasannan: — executive director.

Gautham:

Polkadex tries to improve the experience and safety of orderbook based exchanges and solves the problem of gas fees, minimized impermanent losses in our AMM pool (a.k.a Polkapool)

Andrés m. | satoshi club:

Any specific exchange or all of them?

Gautham:

People are going to centralized exchanges even when we have Uniswap and other decentralized solutions so the goal of Polkadex brings traders who currently use centralized exchanges to our decentralized orderbook based exchange while maintaining the same experience, convenience and better safety of funds!

Vivek prasannan:

It’s a project built on the substrate the same framework that powers Polkadot. It’s an application-specific blockchain with a dedicated trading engine and AMM pool.

Andrés m. | satoshi club:

Could you explain more about the AMM pool topic?

Gautham:

Yes, Polkapool or AMM in Polkadex is an extended version of the weighted constant product binary pool. Supported by chainlink oracle to minimize impermanent losses.

The main feature is the feeless swaps. People are paying 60–70 USD per swap now in eth. Polkadex is not claiming low fees but zero fees. Forever!

Vivek prasannan:

AMM pool of Polkadex will have zero trading fees, automated market making, and bots that the market makes on-chain. It helps users to be market takers at specific prices, since it’s done on-chain, there will be minimal spread possible. Those users who want to do large trades can make use of our order-book exchange.

Gold rocket | satoshi club:

Sounds good

Gold rocket | satoshi club:

Thanks!

If you’re done with the intro, we can proceed to the community questions.

Gautham:

Sure!

Preselected questions about the Polkadex DeFi project.

 

Andrés m. | satoshi club:

Thank you for this clear introduction.

Q1 from telegram user @xusuo

I learn that the Polkadex project is fully 100% decentralized, so can you please explain how is the governance work for the user who holds your token? Is there any voting or token holder possible to do in the Polkadex ecosystem?

Gautham:

  1. Polkadex orderbook is maintained off-chain with on-chain settlement so in case the off-chain operator gets compromised the governance will vote for the proposals to help release the funds people locked for trading in orderbook.
  2. Every user needs a minimum balance of Polkadex tokens in their wallet (sufficient to pay the transaction fees but they don’t need to pay it just stake in your own wallet) to do swaps in our AMM pool
  3. The treasury funds are also managed by the Polkadex token holders via on-chain governance proposals

Vivek prasannan:

Done.

Gold rocket | satoshi club:

Great answer!

Andrés m. | satoshi club:

How much is that minimum quantity?

Gautham:

Polkadex tokens worth 2–5 USD is more than enough

Andrés m. | satoshi club:

A low fee, great work

Gautham:

Just enough to pay the swap you are going to do but you don’t need to pay just stake it in the wallet. It’s not a fee. You are just staking yourself. You don’t lose it when you do the swap.

Andrés m. | satoshi club:

Every user can have their own pool? Or it is something general of the platform¡?

Vivek prasannan:

There is only one liquidity pool for each trading pair.

Gautham:

Just like Uniswap, balancer, etc.

Andrés m. | satoshi club:

Got it, thank you so much for the clarification. And how many trading pairs do you have?

Vivek prasannan:

5 initially, On the launch.

Gautham:

But the public can create their own pools and provide liquidity.

Andrés m. | satoshi club:

Could you mention them?

Vivek prasannan:

We haven’t decided on the pairs yet, but we are planning to launch 5 pairs on the blockchain at the launch.

Andrés m. | satoshi club:

Of course, DOT will be there

Gautham:

Dot will be available when Polkadex becomes a parachain, initially, we will launch as a standalone network and when we win the parachain auction,DOT will be available.

Andrés m. | satoshi club:

Amazing info, we will be expecting more news about that.

Gold rocket | satoshi club:

As far as I know, you have already implemented testnet right? Tell us a little about it.

Vivek prasannan:

Yes, we have launched 2 versions of testnet, mainly aimed at benchmarking the exchange transactions and testing the load on the substrate chain. We have taken it down, it will be available in the testnet release version 3. It was up until 2 weeks ago.

Andrés m. | satoshi club:

Has it been audited?

Vivek prasannan:

It’s not audited yet, we will be completing our work by march and the audit begins in March.

Andrés m. | satoshi club:

Thank you so much, would you like to add something else before proceeding with the second question?

Gautham:

No, we can proceed.

Andrés m. | satoshi club:

Q2 from telegram user @crypto_fanss1

Polkadex introduces FSP (fluid switch protocol) that will showcase how multiple AMMs interact with the orderbook. So can you tell us more details about fsp & how it works? Also aside from solving liquidity problems, what else do AMM pools intended to solve?

Gautham:

Fsp combined with the onchain market maker solves the liquidity. AMM is mainly focused on people who are concerned about KYC. Orderbook based decentralized KYC but the AMM pool doesn’t have KYC

Vivek prasannan:

Fsp when combined with onchain market making will minimize the spread for smaller transactions. It is a way to allow people using the AMM pool to place smaller trades at specific prices.

Andrés m. | satoshi club:

Amazing

So Polkadex doesn’t need KYC, right?

Vivek prasannan:

We will use KYC for orderbook exchange using ZKP in kilt protocol to accommodate institutional market making, but will avoid KYC for AMM pool as it will eventually be launched as a decentralized protocol.

Even in the orderbook interface, we don’t call it KYC, but rather ‘proof of identity”

Andrés m. | satoshi club:

Users should provide an official id or only ask some personal questions?

Gold rocket | satoshi club:

Everything is clear to me. I read about your collaboration with fractal. Can you please share this with our community?

Vivek prasannan:

Yes, for the order-book exchange on which we use several layer 2 solutions to accommodate high-frequency trading in the order-book ( mind you, this is not the AMM pool), we will be utilizing a ZKP from kilt blockchain, using which users can store their own data and identify themselves using external identity providers like a fractal. The recent association with kilt and fractal was a way to achieve this and bring institutional market making into the Polkadex orderbook interface. The AMM pool, however, will be protocol-based that runs on Polkadex blockchain and will not be a layer 2 solution like orderbook, as it need not accommodate hft, traders will be happy with 3s-6s block time.

Andrés m. | satoshi club:

Are you preparing more fantastic partnerships like that?

Vivek prasannan:

Of course, we are partnering extensively with other projects in the ecosystem that will allow interoperability with our exchange. Since we are also planning to connect to Ethereum ecosystem, we have great projects like snowfork, moonbeam, etc which are potential partners.

Gold rocket | satoshi club:

Thank you very much for the information and clarification! Ready for the next question?

Vivek prasannan:

Yes!

Andrés m. | satoshi club:

Q3 from telegram user @brainchest

I’m a fan of using bots in trading. Tell us about the unique architecture that allow dynamic entry and exit based on the market situation.

What is this algorithm? You developed it based on historical price movement data.

Will it be possible to use custom settings based on the macd, ma, rsi, etc.

Will there be a usage fee?

Will there be copy-trading?

Vivek prasannan:

Yes, all of that can be accommodated in our order-book exchange, which can be compared to more like a layer 2 solution that allows high-frequency trading. This means, all data needed for trading can be handled off-chain which means, there are no fees to enter and exit a trade. Copy-trading and all forms of algorithmic trading will be possible. The only limitation is the settlement on the native chain, which is limited by its block size and processing time. ( which again is a scalable system that is improving every day). To start, however, our layer 2 solution for order book is capable of settling thousands of trades and balance transfers per second already with full onchain verifiability using off-chain workers.

Usage fee — network fees therefore == zero

Copy-trading = and more possible.

Hft = very low latency — possible

Algorithmic trading — possible.

Andrés m. | satoshi club:

Thank you for these clear answers

Gold rocket | satoshi club:

Thanks for your answer!

Copy-trading usually charges a usage fee. What percentage is planned to be taken or will it be determined by the trader?

Vivek prasannan:

Copy trading is not part of the project. I just said it is possible to run on top of ours, it will need to be set up as a separate service. Anybody can build a service on top of this. We can provide data.

Gold rocket | satoshi club:

Please provide the participants who are interested.

Vivek prasannan:

We will focus on the underlying protocols and perfect them first before launching any kind of trading service on top of this. Will be happy to provide APIs if anyone is willing to launch a service.

Gold rocket | satoshi club:

By the way, you can share all the helpful links and information with our community if you like.

Vivek prasannan:

Sure!

Andrés m. | satoshi club:

After that, we can proceed to the next question.

Vivek prasannan:

People who’d like to know more about the project can join our:

  1. Telegram channel: https://t.me/polkadex
  2. Github page for development updates: https://github.com/polkadex-substrate
  3. Twitter for public announcements: https://twitter.com/polkadex

Telegram channel also has a faq section that will answer most of the commonly asked questions. Hope that helps!

Gold rocket | satoshi club:

Thanks

Andrés m. | satoshi club:

Q4 from telegram user @borysfireball

I see that you are the 7th wave’s web3 foundation open grant program recipient. Tell us more about how’re your applications going? How important it is for your project? Which benefits will Polkadex receive from it?

Vivek prasannan:

Polkadex is one of the earliest projects that got open grant funding to build an order book dex for the polkadot ecosystem. While most projects are AMM pool-based and building on the success of Uniswap protocol in Ethereum, we wanted to extend that innovation into building a better user experience for dexes. We saw that combining both AMM pools on one side (for solving high gas fees problem) and layer 2 solutions for order book (for solving user experience and hft problem) will give something useful for the community in the long run! We are also working on solving the hardest problems in the dex space. I am happy to say that the team has achieved tremendous progress so far!

Gold rocket | satoshi club:

Congratulations! By the way if let’s talk about the team. What is your team? How many people, what functions do they perform?

Andrés m. | satoshi club:

Congratulations on your effort, it’s true that currently are several projects AMM pool-based, but yours have important features that make the difference from your near competitors.

s

Vivek prasannan:

Getting selected into the open grants program definitely gave a lot of legitimacy and early bootstrapping for the project and the dot ecosystem deserves a project like this where scalability and high gas fees are making DeFi unsustainable.

This will eventually benefit all projects as all our core protocols will be open for other teams to collaborate and make use of, once we launch!

Gold rocket | satoshi club:

I have no doubt about it!

Vivek prasannan:

Gautham is the CEO and lead engineer,

Deepansh is the coo and works on everything operational

I bring mentorship and overall experience in the crypto space as an engineer.

Support by a team of 6 other developers, one full-time designer, head of marking, few community managers, and at least 2–3 large marketing teams focused on different regions….we have a team size of around 15 people.

Gold rocket | satoshi club:

Thanks for the answer. Not a very large team for such a large-scale project

Ready for the next question?

Vivek prasannan:

Thank you. We are trying to build something usable. Hope we get community support.

Andrés m. | satoshi club:

Do you have different local communities?

Vivek prasannan:

Building it one at a time. We have just started

Gold rocket | satoshi club:

Good luck with this

Vivek prasannan:

Yes, but we are fully funded and rapidly expanding our team. If anyone is interested to join hands, please write to business@polkadex.trade

Gold rocket | satoshi club:

Satoshi club! Note! Great offer!

Andrés m. | satoshi club:

Q5 from telegram user @lzamg

It is mentioned that there are two ways of bringing liquidity on Polkadex: Polkadot parachain and snowfork. Can you explain further what are each one and their main utility on Polkadex? Do the users benefit directly from both Polkadot parachain and snowfork?

Vivek prasannan:

Well, snowfork bring liquidity from Ethereum, and parachain will bridge liquidity from the dot ecosystem. Yes, users benefit from both!

Andrés m. | satoshi club:

Which benefits users will receive for each of them?

Vivek prasannan:

Btw, snowfork itself once production-ready will itself be a parachain, so connecting to them is easier.

Benefits — users can bring any erc20 tokens to Polkadex through snowfork parachain and they can bring any substrate-based tokens into Polkadex through parachain bridge to Polkadot.

Andrés m. | satoshi club:

And they will receive some revenues? Any staking problem for example?

Vivek prasannan:

Liquidity providers will definitely be rewarded from the trading fees, and we have a perpetual liquidity mining program being tested at the moment. It will be useful to bridge liquidity in the long run and will act like an interest-bearing account.

Andrés m. | satoshi club:

Now we have the last question for the part 1

Q6 from telegram user @rhedd

Since the advent of Uniswap, everyone is thinking that AMM pools are the end of the world for dexs, but traders don’t have control over the trade prices in an AMM pool. So how can you prove to the community that Polkadex is an orderbook based DEX ? and in what way can you provide more liquidity and also the presentation/production of a centralized exchange.

Vivek prasannan:

Polkadex at its core solves two problems:

  1. An AMM pool far better than Uniswap — no gas fees, great UI and liquidity bridged through reward curve and mining programs.
  2. An orderbook exchange (runs on our layer2 verifiable solution) with great UI/UX, supporting hft, but fully non-custodial and verifiable on-chain transactions with great security with very low attack vectors.

Best of both worlds? Yes, that’s what we are building

Andrés m. | satoshi club:

Thank you Vivek for these amazing answers, I’m sure our community really appreciate it

Vivek prasannan:

Thanks, my pleasure!

PART 2.Questions about the Polkadex project from the live chat of the telegram community.

 

In this part, we open a chat for the crypto community for 120 seconds. Then the guests from the Polkadex crypto project choose the top 10 questions. The 10 crypto enthusiasts have earned cryptocurrency in the sum of 100$.

Q — 1 from a telegram user @Brainchest

There are a lot of fraudulent pools right now. Ubiswap simply warns you that you may not want to contact this pool. And Polkadex will filter projects? If you want to create a mechanism allowing to eliminate scammers?

Vivek Prasannan:

If there is any filtering mechanism in the future, it will be handled through governance.

Q — 2 from a telegram user @cengizhantekin

What solutions do you provide for price slippage and impermanent loss?

Vivek Prasannan:

Better bonding curve, and layer2 solutions for low latency.

Q — 3 from a telegram user @BlancaSdF

Besides the DEX itself, do you plan to add different other markets such as Launchpads, futures, synthetic assets, margin, or otc / p2p?

Vivek Prasannan:

Once the basic optimal blockchain read/write on substrate chain is perfected, you can add anything on top of it. It is just a matter of time.

Q — 4 from a telegram user @anh1973

Explain the recent major achievements made by?

Vivek Prasannan:

Improving latency and scalability to more than 1000 trade settlements per second. Up from 300 tps and network latency design at the beginning of the project.

Q — 5 from a telegram user @esrarengizbtc

Will Polkadex be able to achieve higher speeds than its competitors?

Vivek Prasannan:

We will achieve higher speeds than other off-chain solutions with better and faster verifiability.

Q — 6 from a telegram user @Btc3589

What are the advantages of using Polkadex compared to other Projects?

Vivek Prasannan:

We are not comparing to other projects. We are solving problems. So, our solutions will be uniquely solving all of those pain points I mentioned before about DEXes.

Q — 7 from a telegram user @Questing_Beast

Cam you tell us something about the tokenomics of the upcoming Polkadex token?

In what ways will the token be used on the platform?

Vivek Prasannan:

Tokenomics is private now. Will be shared after exchanges finalize listing formalities.

Q — 8 from a telegram user @Maksyrn

My question is about SAFT-based Token PreSale. And more specifically about its results. What can you acquaint us with? And what can we know about when the Public ICO will be held?

Vivek Prasannan:

It is not an initial coin offering. It will be an IDO following by an IEO. Will try to get the best places for the community to trade.

Q — 9 from a telegram user @smelekin

Can you give us some key points to convince us and other investors to invest in Polkadex and trust it?

Vivek Prasannan:

Please do your DD.

Q -10 from a telegram user @alptrader

What are the risks of using AMM pools on current projects currently on the market and what is it you are creating for our safety?

Vivek Prasannan:

At the moment, we are on track. If there are any delays connected to third-party approvals like auditing etc, it will be announced publicly.

Part 3 — Quiz about project

 

In the final part, we tested the knowledge in terms of the Polkadex project. They’ve prepared 4 questions for this part, so everyone could be a part and answer. Participants had 10 minutes to answer. 300$ was distributed between the winners.

Our contacts for more details:

English Telegram group | Russian Telegram group | Spanish Telegram group | Telegram Channel | Twitter | Website

Our Crypto Partner by this AMA: Polkadex

Telegram group | Light paper | Tweeter | Website | Medium


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