On 30th of April 2022 at 11:00 AM UTC Crypto Talkz hosted AMA with O2DEX
šMs. Rachel – Community Manager of O2DEX shared us the Details about ā O2DEX ā and itās Unique featuresā¦ š
Host : šHello Chat , Welcome to another exclusive Crypto Talkz AMAā¤ļø
Today we are also very pleased to have @Richeal_o2
with us to talk about the development and progress of O2DEX! Hello @Richeal_o2 !
Rachel : Hello, everyone. It’s a great honor to be here with Crypto Talkz community
Host : Welcome @Richeal_o2 .It’s a pleasure to have you here, thanks for joining us š
Before we proceed, please introduce yourself to our community @Richeal_o2 š
Rachel: Okay I’m Rachel, the community manager of @O2DEX community
Nice to meet you all here
Host : A great start !!So, without making a delay…Let’s start our AMA with basic Introduction Segment š
Introduction Segment
SoĀ to begin with, please introduce the O2DEX projectĀ inĀ few sentences.
Rachel: Sure
First of all, O2DEX is a DEX and it changes the market-making system of conventional DEX.
By proposing an innovative UPF non-constant product formula, it can not only reduce the risk of liquidity provider, but also provides multiple rewards including liquidity mining, transaction fee dividends, selling dividends and etc..
This will greatly motivate users to actively participate in and benefit from the liquidity construction of O2DEX.
Iām interested in the background of the O2DEX team members, could you please share with us?
Rachel:
Of course
O2DEX is a group of programmers, who have been engaged in the development of SushiSwap.
All of the team member have more than 5 years of work experience in the field of blockchain and cryptography.
We have team members who were responsible for UI of SushiSwap trading and liquidity mining (yield farming), the building of SushiSwap analysis and statistics website, and the development of integrating SushiSwap and existing DeFi products.
We have our own understandings about DeFi and we all want to solve the liquidity problems facing DEX in DeFi1.0. Here we have O2DEX. And thatās the reason why we are here to introduce O2DEX with you.
To continue what you said just now, what changes did O2DEX bring to defi?
Rachel:
Thanks!
O2DEX has its own deflation mechanism. When users sell assets on our DEX, the assets will not enter the trading pool, instead, 50% of them will be automatically burned, with left 50% rewarded to liquidity provider.
In this case, the assets will become scarcer when there are more deals, so that the value of assets will continue to increase.
Whats more, our UPF model subverts the underlying logic of AMM in DeFi 1.0. People will soon see the powerful potential of this system.
If we make a summary of successful token models, it will be a sum of technical valueļ¼capital, application, lock-up and burning.
However, very few tokens have all these five elements. As you know, successful projects are rare.
Even only one or two elements are met, we will expect the price of this token. While the fact is that most tokens do not include any element. This is more obvious in the field of defi.
As we mentioned, it is never easy to include successful elements in token.
However, burn can be a great breakthrough. Some tokens use the profit to buy-back tokens for burning since they have the resource of profit. This is not easy.
To solve the burning problem, we must need a good system to achieve continuous burning, this is exactly what O2DEX have done.
What are the benefits of coin-burning in O2DEX?
Rachel:
I bet you wouldnāt ask this question if you have ever used our product.
First of all, it can protect against price fall.
If we assume there is a same token in both pancake and O2DEX and the number of them equals to each other in the liquidity pool, you will see a less price fall when you sell the same amount of tokens.
For LP holder, it is definite that they will win far more than the loss.
You will also find when you buy-back same amount of tokens you sold before, the price of pancake will remain unchanged while the price of O2DEX goes up a lot.
So you will pay a higher price if you want to buy-back tokens that you sold.
Thatās the reason why many people are unwilling to sell their tokens easily
Obviously, this is more friendly to the consensus crowd.
The APR of staking is very low compared to other projects. What do you think about this issue?
Rachel:
Thatās correct.
Many tokens have very high APR, as no one is willing to participate in low-APR staking. But oppositely, I would say low APR is our advantage.
High APR brings a problem. When there are decreasing funds flowed from the market, the price will be suppresses by the token generated from high APR.
This will result in the dilemma and risk that there is no participant or the price will continue to fall after a short-term rise.
The O2DEX model exactly solved this problem.
Low APR in the early stage will keep increasing with the fast burning of token. This is because the number of tokens for circulation and staking will decrease.
Eventually, The higher APR and lower absolute value will motivate more people to stake for rewards.
I noticed that most tokens in O2’s ecosystem are not restricted to selling. Will it stress the price?
Rachel:
Except that the rewards with quests are limited, other O2s do not have any restrictions.
As is already determined in O2DEX model, the price will go up if no one sells. If everyone sells, the price will even rise more in the later stage. So we donāt need any restrictions on selling but happy to see everyone sell more O2 at low price.
Tell us, What is the ecosystem of O2?
Rachel:
Speaking of ecosystem, I think all projects setting up POOL in O2DEX is our ecosystem.
O2 will start to run on April 30th when we launch the public beta version. The official version will be launched afterwards. All tokens within BSC can create pools on O2, you can use BNB+A, BNB+B, and of course You can also use O2+A, O2+B, which is totally up to you.
112.5M of O2 is prepared for rewards of using O2. Hopefully, more O2 will be bought and staked when the official version is launched.
Therefore the price of O2 will continue to go up. When these A, B or C, or even more tokens start to trade, each transaction will generate a fee of 0.3%.
Among the 0.3%, 0.25% belongs to the liquidity provider of these tokens, and a 0.05% transaction fee will be used to buy O2 for burning, which will be done by the contract automatically. O2 will be full of driving force.
Except from listing coins, there are many ecosystems suitable for O2DEX, such as IDO.
Next question.Will O2DEX build a DAO in any possibility?
Rachel: Definitely, the design of O2 is ready for DAO. There is no selling and reservation of token. Treasury funds are prepared for the operation of DAO
Regarding the treasury funds, did you have a plan on how to use and manage them.
Rachel:
Treasury funds are used for development expenses, marketing, daily operations, and DAO operation. We have 7 multi-signature managers to manage the treasury wallet. These managers will be selected by the community upon voting after O2 is launched. At least 4 multi-signature authorizations are required for each expense.
And lastly, If O2 is launched on other DEX, will the coin-burning in pool become insignificance?
Rachel:
I donāt think it will occur.
If token is launched at O2DEX and other DEX at the same time, our price is always more attracting. Once O2 is sold for more profit on O2DEX, it will initiate the burning. The consensus will attract people to make more transactions on O2DEX.
Host : Thanks for that well detailed introduction about O2DEXā¤ļø
Telegram Live Segment
How many %of the transactions is rewarded to the liquidity provider on 02??
Rachel: 0.24%
What is your new “UPF Non- Constant product formula”,
Can you please explain it in simple words?
As we all know, DEX uses the constant product market maker algorithm, names what we say K=X*Y (K equals to X multiplies by y), price =X/Y (price equals to X divided by Y), which is a classic model already recognised by the market. In O2DEX, instead, the non-constant product market maker algorithm is applied, which achieves truly innovation and applicability by adjusting underlying algorithm. More importantly, it is able to solve the problems of many tokens in an innovation pathway.
This will be a disruptive innovation, to say the least. Believe it or not, we deserve the title once you start to use it and benefit from it.
These are the mechanism of UPF. We have introduce the benefit ealier. The mechanism solve the problem of DeFi 1.0, as well as make the price drop less than other DEX
can you O2DEX provide a roadmap & brief overview of O2DEX tokenomics ?
I read in one of your conversations that you said “We protect the security of users’ funds and data by implementing a decentralized method”, but will that be enough? How do you manage the treasury wallet in O2DEX, who has the authority and how is it determined?
Treasury funds are used for development expenses, marketing, daily operations, and DAO operation. We have 7 multi-signature managers to manage the treasury wallet. These managers will be selected by the community upon voting after O2 is launched. At least 4 multi-signature authorizations are required for each expense.
The ultimate goal of the partnership is to bring in valuable users. To realize this goal, #O2DEX has launched the “Galaxy Plan”. Can you explain further? How does the Galaxy Plan get users to organize a community for #O2DEX?
The Galaxy is recruiting 40 talents, each of who will organize a community for us. If they complete their job (Organize community ā”ļø Manage the community ā”ļø Help them use and understand our projects and products), they would receive a large amount of $O2 as rewards. Also, some of them will be selected as the DAO core members of O2DEX DAO to manage the treasury. Apply:https://twitter.com/o2_dex/status/1516072607602262017?s=21&t=3aDwj0AHcp7AZm5sOfP4hQ
Host : Thanks for diving us deeper unto O2DEX. Chat thanks also for those great questions.
Rachel:
Thanks a lot to the community
Yes. All contributions will be rewarded in our community. For more news, please follow: Official Twitter: https://twitter.com/o2_dex
Developerās Twitter: https://twitter.com/o2dex
Discord: https://discord.gg/JCKgNHgvVn
Telegram for community: https://t.me/O2DEX
Telegram of Announcement: https://t.me/O2_DEX_Announcement