Coinversation Builders Program application proposal

Project Overview
Coinversation Protocol is a decentralized exchange with customizable curves and synthetic assets. It is also the first dApp developed with native contracts. Liquidity mining is embedded in the exchange for users to earn rewards. Coinversation Protocol is committed to making breakthrough contributions to exchanges and DeFi in the Astar ecosystem.

The customizable curve exchange created by Coinversation Protocol is decentralized. We support bridging real-world assets through Polkadot parachains. Coinversation is different from other decentralized networks since it can customize the curve, the number and weights of tokens, and the fee. We can also create liquidity for Astar ecological projects and link all polkadot assets.

Users can forging CUSD stable coin and other assets by CTO, and can also use these assets to trade or receive LP by join our liquidity pool.

Team
Founder:Lin Chen

  • CEO and Cofounder of Cryptogeek,the earliest Chinese blockchain tech community
  • Chief Investment Officer of Ricebank capital,avc founded by Alibaba cofounders
  • Early investor of Polkadot
  • Alibaba senior product operation

Sam:
Senior Technical Expert of Alibaba
First-line architect of decentralized exchange
10-year program development experience

Hyman:
4-year blockchain product experience
Focusing on blockchain product development and innovation

Jin:
Data scientist specializes in big data analysis, blockchain product design, on-chain data processing, and smart contract development
12 years of program development experience 10 years smart contract development at Ant Group

Irene:
Head of investment business of Kaistart crowdfunding platform 5 years of Internet financial program operation and marketing experience

Jingru:
4-year experience in private equity
BS in Applied Mathematics from Columbia University

Gieno:
Advisor at Coinversation with 7 years of experience in blockchain technical structure and business implementation
Former product R&D at Reuters, former technical consultant of blockchain architecture for FCA regulatory sandbox in the UK, former chief technical advisor at Asia Digital Bank and former CTO at Dark Horse
Also worked at Microsoft, Alibaba and Amazon

Team Website
en

Team Code Repos

code

Project Details
Most of the modules will be coded in ink!. The main modules of the entire system are as follow.

  • Add liquidity:
    User can deposit 2 or more kinds of token into the liquidity pool, then he will receive corresponding LP Token. The number of LP Tokens received represents his share in this pool. Providing liquidity can earn rewards from transaction fees.

  • DEX:
    Users can trade Polkadot assets on Coinversation. If the cross-chain bridge is subsequently opened, users can trade all the on-chain assets through our dApp. Traders on our exchange pay 0.2% fee, of which 0.15% will be added to their trading liquidity pool, and 0.05% will be decided by vote later through project governance.

  • Liquidity mining:
    Coinversation allows users to earn transaction fees by collateralizing LP tokens while still earning CTO.
    Reward calculation:
    For example, when we have 38 million US dollars in liquidity, 24-hour trading volume is 3.8 million USD. 7-day trading volume is 76 million USD.
    To calculate APR, we take a 24-hour transaction volume of $3.8 million to get the fee share of LP holders, which is 0.25% (3.800000*0.25/100=$9,500)
    Next, we estimate the annual fee based on the amount of 24 hours (9,500 USD * 365 = 3,467,500 USD).
    Then, we calculate the cost APR by dividing the annual fee of the size of liquidity, which equals to 9.125% (3,467,500/38,000,000=0.09125).
    With the cost APR, we can add the cost APR (9.12%) and farm APR to get the new total APR.

  • dApp staking:
    Allow users staking Shiden native token through our dApp.

  • Minting Center:
    The synthetic assets issued by the entire system are generated by users pledging certain collateral. The initial collateral includes CTO (Coinversation token) and DOT, and the collateral ratio is 800% and 500%, respectively. In the future, the collateral asset and ratio can be adjusted by community governance. When users pledge collateral and forge synthetic asset, corresponding debts will be generated. When the user wants to unlock the collateral, the person must repay the debt, that is, destroy the synthetic assets generated before.

  • Oracle Integration:
    To integrate existing Oracle contract or pallet to get trustable asset price to feed to the Minting Center as forging and liquidation price.

  • Governance:
    Utilizing smart contract to allow users adjusting trading fee and other community proposals.

  • Front-end:
    The web page corresponding to above mentioned features which could also adapted to mobile phone.

Development Roadmap

Total Estimated Duration: 3month

  • Milestone 1 – implement Liquidity pool and Dex’ core contracts
Number Deliverable Specification
0a. License GNU General Public License v3.0
0b. Documentation a basic tutorial that explains our pool and dex’s principle for users.
0c. Testing Guide Core functions will be fully covered by integration testing. In the guide, we will describe how to run these tests.
0d Docker Our contracts will run on the parachain, so it’s no need to make a Dockerfile to test.
1 liquidity pool Contracts that allow users to adjust the pool’s binding tokens, join and exit the pool, calculate price, trading using user-specified param and collect trading fee.
2 pool factory Contracts that allow users to create liquidity pool
3 LP token We will create a ERC20 like contract that dedicated to manage LP tokens.
  • Milestone 2 – implement Liquidity minting and dApp staking
Number Deliverable Specification
0a. License GNU General Public License v3.0
0b. Documentation a basic tutorial that explains our minting and staking principle for users.
0c. Testing Guide Core functions will be fully covered by integration testing. In the guide, we will describe how to run these tests.
0d Docker Our contracts will run on the parachain, so it’s no need to make a Dockerfile to test.
1 liquidity minting Contracts that allow user to stake LP to earn.
2 dApp staking Contracts that allow users to stake Shiden native token to earn.
3 front-end Web pages that allowed users to utilize all the contracts mentioned above.
  • Milestone 3 – implement Minting center and Oracle integration
Number Deliverable Specification
0a. License GNU General Public License v3.0
0b. Documentation a basic tutorial that explains our forging and Oracle principle for users.
0c. Testing Guide Core functions will be fully covered by integration testing. In the guide, we will describe how to run these tests.
0d Docker Our contracts will run on the parachain, so it’s no need to make a Dockerfile to test.
1 Minting center Contracts that allow user forging CUSD stablecoin or other assets; Liquidating when collateral ratio is too risky
2 Oracle integration Utilizing the Chainlink pallet to get trusted price to feed to Minting center for forging and liquidating.

Future Plan
To cooperate with other projects to trade, stake, and minting by our liquidity pools

2 Likes

Hello Coinversation team,

Thank you for your application. Recently we have published this article to make the difference between Builders Program and Grant Program clear.

Currently, Coinversation is in the application category. And the grant will be send based on the dApp staking and on-chain data (eg. transactions, active addresses). As a first step, we would like to nominate our SDN tokens to Coinversation so that Coinversation can earn SDN token as rewards. I assume your dApp staking reward exceeds $50K in the coming months.

By the way, this application looks good to me! And as a next step, we will approve Coinversation and invite the Builders Program. Feel free to ask any questions!

6 Likes
Coinversation Builders Program Application
  • Yes
  • No

0 voters

3 Likes

Very ambitious project, like it

1 Like