Before the bear market, DeFi users showed a clear demand for gamified DeFi, with protocols such as DeFi Kingdoms rising to popularity. BWS aims to build on this by providing a variety of DeFi strategies made simple via a gamified front end. D-squared finance will help provide the quant vault infrastructure to enable these strategies on both Arbitrum and Avalanche.
In this D-Squared AMA, D-Squared cofounder DeFiDope gives a demo of the BWS game. He is joined by Luca, founder and CEO of BWS, who goes into detail on how BWS works, and what you can expect.
Read our notes below.
What is BWS?
BWS is a gamified front end that connects users to BWS vault strategies on some of the most popular DeFi protocols.
The theme includes a resort island with two main sections:
AVAX section, where users can use popular protocols including Trader Joe, Aave, Beefy Finance, Hubble Exchange, Avalaunch, and Colony.
Arbitrum section, includes protocol strategies run by D-Squared (DSQ), including Dopex and GMX.
Protocols are shown in the UI as houses, which users can enter and find NPCs to interact with.
Game includes mini-games that will integrate into NFT and tokenomics system.
Goal of BWS
The goal is to make the back end a hedge fund.
There’s a lot of complexity with options strategies, which is made even more complicated when deployed on DeFi.
BWS gamified strategies can help onboard new users by providing a simple interface to help them understand on-chain options.
Gamified front end can keep users engaged and build community.
Users will also be able to help shape the protocol and aesthetic gameplay elements.
Users will come for the gamified front end and stay for the returns that the team’s strategies deliver.
Protocol could quickly grow to $10m-$100m TVL.
In the short term, gambling and investing are the same, but in the long run, the correct strategies win.
Eventually Luca will target institutions he has connections with from TradFi background.
GMX Partnership
GMX recently listed on FTX.
GMX provides good tokenomics model.
Protocol provides real-yield.
BWS plans on implementing a GLP strategy, will release lite-paper.
50% of fees will be shared with the BWS users.
Depositors will earn BWS and GMX rewards.
Later BWS will implement a rewards system similar to esGMX (escrowed GMX).
Will implement a system that rewards early users for giving feedback and spreading awareness of protocol.
In the GMX house, the process to enter the BWS GLP vault has been gamified into buying a bottle of champagne from a GMX promo girl.
Q&A
Q: How will the tokenomics work?
A:
Many protocols introduce great ideas but ruin their potential by allowing bots to skew token launch.
BWS will try to minimize token launch botting and encourage users to DCA.
The plan is to turn off token rewards when the protocol begins generating enough fees.
Ideally it will take 6 months – 1 year to get to this point and for rewards to start becoming deflationary.
Q: When will BWS launch?
A:
Limited test product could be ready by the end of the month, Luca will back protocol with his own money in case of exploit at first.
Could launch to public mid-late November.
Q: What will the DSQ vault strategies look like?
A:
DSQ strategies are on chain using GMX and Dopex.
It is harder to locate liquidity for Dopex strategies.
Team needs to evaluate effect of slippage.
Need to be able to adapt parameter conditions via external model.
Solidity contract for trading will have limited execution
DSQ (anon) is partnered with BWS Labs (doxxed).
BWS is establishing 24 hour trading teams in Asia and Switzerland.
Current team includes 25-30 members, with ~ 13-14 fulltime.
Q: Will dynamic NFTs be incorporated into the game?
A:
Yes, NFTs would be better suited for marketing purposes during bull market.
One NFT integration will read users’ wallets for certain partnered NFTs and display in-game cosmetics accordingly.
Q: When is public sale?
A:
Protocol will raise seed round first and then release token on secondary market.
Q: Will poker be one of the mini games?
A:
Team is in contact with people in poker space.
Many possibilities for integrating games with rewards into the protocol.
First priority is building the DeFi protocol.
Team sees overlap between crypto and gambling, can take action on providing services in this area later on.
Q: When are audits?
A:
In contact with multiple audit firms.
Firms charge for every change to protocol, team will optimize audit schedule accordingly.
Looking for audit firms that also provide $10m insurance, so that they have skin in the game.
Important Links