How Is Aevo Simplifying Onchain Options?
Custom Trading with Carbon | Optimism & DAOs |ZetaChain Crosschain dApps
GM, this is your Daily Bolt briefing.
In this weekend’s first briefing, we’re providing you with crucial extended previews on the latest in the crypto ecosystem, so you can stay as informed as possible.
Read on to learn about the recently launched Carbon trading platform built by Bancor, how the Optimism Foundation approaches DAO and grants decision making, and how ZetaChain enables builders to create crosschain dApps compatible with Ethereum, L2s, and even Bitcoin, and Dogecoin.
In our note of the day; learn all about Aevo, the latest onchain options trading platform, built by the folks at Ribbon Finance.⬇️
Stay alert and informed.
1/ blocmates - Introduction of Carbon
Preview: In this episode, blocmates invites the Bancor team on to discuss their new product, called Carbon. They discuss how to use the Carbon DEX and give a comparison between some of the features of Uniswap and Carbon. Click here to listen to the full episode (72 mins).
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Here are some key takeaways:
Bancor was the 1st to market AMM (Automated Market Maker) founded in 2017.
Carbon is an advanced onchain trading protocol featuring custom ranges, adjustable strategies, and more.
The team’s objective is to ensure that users can trade on-chain as easily as possible while having control over their training and liquidity strategies.
The specific problems that Bancor faced in 2017 don't have a lot in common with the problems they're facing now.
AMM technology should be sunset, and the original design that Bancor came up with needs to evolve.
AMMs don't do well from the maker side; users feel like victims rather than active agents or decision-makers.
Traders on Carbon can enter a nominal amount and choose which orders they want to trade against. The trades will be executed against the strategies that are allowed in the book.
Traders can select multiple orders represented in the routing table.
The team is ready to launch Bancor V3 very soon, the team is confident that they are ready to deliver after the DAO makes a decision. (Carbon is now live on Ethereum Mainnet).
The past 12 months have been horrific for everyone at Bancor due to the Project meltdown in June of last year. It was completely heartbreaking and cost them a lot of credibility. People made convincing threats against their life, especially those in public-facing roles.
2/ OP Radio #25: The Collective DAO Archives
Preview: In this episode of OP Radio, host Lindsay, is joined by Justine Humenansky who works at Optimism Foundation, to talk about experiments in the Context of Optimism Collective, the extensive body of research on DAOs, ETHDenver, and more. Read our notes below to learn more. Click here to watch the full episode (57 mins).
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Here are some key takeaways:
Justine joined the Optimism Foundation when it was launched and is now involved in governance.
Justine also designed the roadmap for what Optimism would look like as they decentralized and saw an opportunity to do all of those things.
The use of timelines when designing experiments on Optimism is used to inform the community when they want something and when they're ready for it, helping them understand the next steps.
Timelines help to understand the structures other people have experimented with and what has worked and what hasn't worked.
DAOs have transitioned from direct democracies to more representative democracies by delegating decision-making to elected council members.
The takeaway from this category is that not all token holders should vote on everything and that delegating decision-making is not necessarily the best way to make decisions.
DAOs operate on proposals and the question is how to make sure that people fulfill their promises.
DAO funds are deployed to working groups separately, which is unsustainable and underfunds core initiatives and overfunds non-strategic initiatives.
The rate of change has been high each season at Optimism, but the expectation for experimentation was set early by the Foundation and the delegates are open to trying things and are time-bound.
Between seasons, there is a reflection period where delegates get feedback and propose experiments they would like to try in the next incentives season.
3/ Chjango Unchained - Introduction of ZetaChain
Preview: In this Interchain.FM episode, Chjango Unchained invites Tanmay from ZetaChain to introduce the protocol and share the latest developments. They go over the utility of Zetachain and the $ZETA token, what makes unique ZetaChain unique compared to other crosschain messaging protocols like Axelar, as well as what to expect in the near future from ZetaChain Click here to listen to the full episode (44 mins).
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Here are some key takeaways:
Tanmay has been part of the Cosmos space for about four years, working on various projects using Cosmos SDK and building ABCI (Application Blockchain Interface) apps.
Tanmay got involved with ZetaChain last year around August when he came across their vision of building something different from other projects out there.
ZetaChain is an omni-chain aggregator that provides a generic solution for message passing in a trustless way across chains; it allows you to pass messages from one blockchain to another, which can be used for token transfers or executing logic on other chains.
ZetaChain builds a blockchain whose validators act as notaries for what state it observed in its supported chains like Bitcoin, Dogecoin, Ethereum, and each Ethereum layer 2, and Solana.
On their Cosmos SDK chain, the ZetaChain team has allowed for smart contracting on it, allowing chains that aren't smart contract-enabled like Dogecoin or Bitcoin to do that by proxy.
Cross-chain applications that leverage the message-passing layer could be a killer use case for ZetaChain, cross-chain NFTs would also be a cool application to see.
Both ZetaChain and Axelar have a message-passing layer and certain levels of automation at the protocol level for deploying contracts in multiple chains. Both projects also plan to upgrade their contracts.
ZetaChain Mainnet launch is planned for Q2 of this year.
If you read these 3 Notes on Revelo Intel you would have saved: 2 hours and 36 minutes!
Aevo Twitter Spaces - An Introduction to Aevo
In this Twitter Spaces, Julian and Ken from Ribbon Finance, introduce Aevo, a decentralized options exchange. They also discuss the technical challenges, design choices, and future plans for Aevo. Read our notes below to learn more.
Background
Julian (Host) - Co-founder of Ribbon Finance
Ken (Host) - co-founder and Chief Technology Officer of Ribbon Finance
Aevo - a decentralized options exchange that operates an off-chain order book with on-chain settlements.
Ribbon Finance - a suite of DeFi protocols that help users access crypto-structured products.
Introduction to the Founders and Aevo
Julian and Ken founded Ribbon Finance two and a half years ago to replicate structured products that were previously only available to large BTC miners and whales, for smaller players.
After the success of Ribbon Finance, the team decided to build a fully-featured exchange for crypto traders, not just DeFi yield farmers.
Since its launch, Aevo has over a million dollars in daily volume and over 300 accounts using the platform.
Development and Technical Challenges in Building Aevo
Building Aevo took 10 months, involving overcoming technical, i.e., design and engineering, challenges, and hiring new team members.
Some of the challenges they faced were designing a robust and user-friendly platform, building a complex tech stack, ensuring security and reliability, integrating with other DeFi protocols, and overcoming regulatory challenges.
Features and Design Choices for Aevo
The team used roll-up technology to improve scalability and efficiency and to maintain decentralization.
The team chose a limit order book for Aevo to cater to institutional players. Limit order books also provide better prices and faster speeds.
Aevo uses an off-chain order book with on-chain trade settlement, similar to DyDx.
The team chose roll-ups for EVM compatibility and L2 smart contracts for on-chain trade settlement.
Aevo stands out by providing an order book experience instead of relying on automated market makers.
Roadmap for Aevo and Community Involvement Initiatives
The roadmap for Aevo includes launching $BTC options and perpetuals, integrating market makers, enabling multi-leg strategies, and creating an altcoin options product.
The team plans to open the exchange to more users, explore composability with layer one contracts, create a public dashboard, and potentially use a token-based incentive model.
Users can get involved by trying features, providing feedback, and engaging in the Ribbon Finance Discord.
The team plans to hold more regular discussions, possibly monthly.