Short Introduction to Bonding Curve
A bonding curve defines a mathematical relationship between the price of a token and other token parameters, mostly total supply. The basic idea is to define such a function so that as the more the token is supplied, the higher price of the token should be (otherwise there is no incentive to buy the token). An example of the bonding curve is as below (Bancor):



where ReserveTokenBalance is the number of reserve token in the pool, and ReserveRatio is a pre-defined constant.

Note that the function is a continuous price function, while to obtain the actual price to buy/sell some amount of the token, we need to take the integral of the price from pre-tokenSupply to post-tokenSupply after a trade.



Here is the short introduction, which is sufficient to describe the rest of the article, but if you are interested in more details in bonding curves, you could find more details in https://yos.io/2018/11/10/bonding-curves/#:~:text=A%20bonding%20curve%20is%20a,supply%20of%20the%20token%20increases.

Bonding Curve for Swapping Stablecoins
When comes to swapping stablecoins, e.g., tokens USDC and USDT, we have prior information that both tokens should have the same intrinsic value and most of the trades should be 1:1. However, the actual price varies around 1:1, and sometimes due to some extreme events, the price may fluctuate a lot. The question now is that could we also use bonding curves to price stablecoins so that most of the time the trades are 1:1, while the price may vary if a large number of such token are sold/bought in the market?

To design such a curve, first of all, we need to determine the token parameter of the price function. Clearly, using total supply is a bad choice ? total supply does not reflect the intrinsic value of the token. Instead, we use a pooled method and price a token using its percentage in the pool as the pricing parameter:

• 1:1 trade is guaranteed if a token?s percentage is under a pre-defined value, or
• the price of the token reduces if the token?s percentage exceeds the threshold.

Setup
Assuming we have a list of stablecoins with amounts [x_1, x_2, ? , x_N] in the pool, so that S = sum(x_i). Furthermore, the liquidity providers that supply the tokens have S amount of sUSD ? the LP token to buy/sell the stablecoins in the pool:

Buy LP tokens: A user can sell a stablecoin for sUSD by calling mint(), which will deposit x? amount of a stablecoin k and return s? sUSD back. s? must <= x?, and If s? < x?, x? ? s? sUSD will be evenly distributed to existing LPs.

Sell LP tokens: A user can buy a stablecoin k with s amount of sUSD by calling redeem(), which will deposit s? sUSD and return x? amount of stablecoin k. x? must <= s?, and if x? < s?, s? ? x? sUSD will be evenly distributed to existing LPs.

Bonding Curve for Buying LP Tokens
Similar to Bancor, let us define the curve as follows:

ContinuousLPTokenPrice = 1 if ContinousTokenPercentage_k < Weight_k or 1 + (ContinousTokenPercentage_k ? Weight_k) / (1 ? ContinousTokenPercentage_k)

where ContinousTokenPercentage_k = x_k / S, and Weight_k is the pre-defined threshold so that the swap between LP token (sUSD) and the stablecoin is 1:1, or if the threshold is exceeded, the LP token will be more expensive and the price grows to infinite if the percentage approaches 1.



The above graph shows the bonding curve with Weight_k = 0.5. To obtain the price of a swap, similar to Bancor, we could apply integral (the red part) to the bonding curve to calculate the area as the price of swap.

Bonding Curve for Selling LP Tokens
Selling LP tokens can be formulated as if a user wants to retrieve back x? amount of stablecoin k, how much LP token the user should offer? This is a bit more complicated as the percentage of stablecoin k decreases, while all other stablecoins? percentage increases, where the curve should account for. Let us define the curve as follows:

ContinunousLPTokenPrice = 1 + sum_{j \neq k} 0 if ContinousTokenPercentage_j < Weight_j or (ContinousTokenPercentage_j ? Weight_j) / (1 ? ContinousTokenPercentage_ ? j)

The curve is very similar to the mint one, except that it uses all stablecoins? percentages other than percentage kth stablecoin as a pricing parameter.

Special Case for Swapping a Stablecoin to Another
If a user wants to swap a stablecoin A to another B directly, one way is to use A to buy LP tokens and then sell the LP tokens for B sequentially, which will need all percentages of the stablecoins as pricing parameter. One observation is that, based on the model, the output amount of B must <= the input amount of A ? this means that all tokens? percentages will be decreased except A. As a result, we could only perform the bonding curve using stablecoin A?s percentage as pricing parameter, which can save a lot of gas cost (calculation and storage read).

The Experiment
We have implemented the idea of the bonding curve for swapping stablecoins and launch a testnet product at beta.smoothy.finance. Besides the bonding curve, smoothy.finance has the following unique features:

• Extremely low gas fee with about 77k gas vs 127k gas of Curve (sPool)
• One pool for all stablecoins (10+) without increasing the gas cost of gas fee ? this prevents diverged liquidity of multiple pools.
• Dynamic cash reserve algorithm for LPs to earn both interest and swap fee with low gas cost swapping.

If you are interested in it, you can find more details about the project at smoothy.finance/#/. Welcome to join and provide valuable feedback.

About Smoothy:
Twitter: @smoothswap
Telegram: t.me/Smoothy_finance
Discord: https://discord.gg/8zFZXtx

Why Equalizer?
Uniswap describes a vision of a fair decentralized trading protocol: on the one hand, anyone can exchange two paired tokens anytime and anywhere; and on the other hand, it uses fair incentives to encourage everyone to provide liquidity for trading. All records are recorded in the chain and are immutable. Uniswap has been working hard to implement this vision. The recent emergence of UNI, which is Uniswap’s governance token, should have provided greater impetus to this vision, however, has harmed the fairness of the entire system in real practices. At present, UNI’s token incentive mechanism is only for four trading pairs. In order to obtain the governance token, more liquidity floods into these four trading pairs, but the LP of other trading pairs cannot get incentives UNI token no matter how much they contribute.

The same problem is more obvious on SushiSwap. At present, SushiSwap has 100 trading pairs, but only the liquidity providers (LPs) of 18 trading pairs can get the governance token Sushi as a motivation. These 18 trading pairs accounted for more than 90% of the liquidity on SushiSwap, while other trading pairs without incentives have almost 0 trading volume.

Obviously, under such a governance token distribution model, the trading pairs that get incentives for governance token can get more attention and liquidity. Not only Uniswap and SushiSwap but all swap projects on the current market are subjected to a one-time decision by the development team which trading pairs can obtain governance token liquidity mining incentives and the corresponding mining weights. Even if the trading pairs and weights can be modified through community voting later, the whole process is inflexible and slow with a long time waiting. Such a governance token distribution mechanism loses the decentralization, which is the real meaning of DeFi, and runs opposite with “universal swapping”. Therefore, we hope the incentives to return back to the free distribution of the market from artificial decisions, also, we aim to achieve an equal and efficient governance token distribution mechanism.

Our Design
Learned from the development experiences of the previous projects, and combined our own understanding of the DeFi industry, we will launch Equalizer — on the basis of having the mainstream functions of DEX, we added major innovations that maximize value capturing of governance tokens with equal and self-adjusting token distribution.

Governance Token — EQL
EQL is the governance token of Equalizer, which is used for decentralized governance of future projects and asset liquidity incentives.

The trading fee ratio is initially set at 0.3%, of which 0.15% will be allocated to LP, and 0.15% will be used to buy back EQL and burn. When the daily buyback amount is greater than the new daily-generated EQL amount, the entire system will become a deflationary mode.

Although the trading fees received by LP have been reduced, the governance token income obtained through liquidity mining is expected to be higher (the governance token captures greater value). On the whole, not only there is no loss, but the overall gain may be greater.

1. Trading pairs can be added freely, and the governance token will be distributed intelligently by the activities, without subjective distributions by the team.

Equalizer’s system adopts a unique liquidity mining mechanism, in which governance tokens will be distributed intelligently by the trading volume. The system will adjust the weight of each trading pair on the EQL liquidity mining pool automatically every 8 hours(the frequency can be adjusted by community voting later). Anyone can add new trading pairs at any time, and the trading pair can have the weight of EQL for its trading volume. The new weight is related to the amount of EQL buyback and burn by each trading pair in the previous rounds. The greater the number of EQL buyback and burned, the higher the weight of the trading pair on EQL liquidity mining pool, i.e., the more active trading pairs are, the more rewards they can get, forming a positive feedback mechanism.

In order to avoid skyrocketing and plummeting trading volume under some extreme circumstances, and to reflect the real market popularity by liquidity, we introduced the EMA (Exponential Moving Average) mechanism, which calculates the value based on the existing and historical trading data.

For a simplified example:
Assuming there are three trading pairs and no new trading pairs are added, the second round of weight adjustment is shown as follows (The data is for reference only.):

                 1st round liq       The EMA weighted       2nd round mining
                 mining weight     number of EQL            weight after
                 of EQL (%)         burned (number)         adjustment (%)
ETH-AAA   |     50%          |           5000             |             25%
ETH-BBB   |     30%          |          10000            |             50%
ETH-CCC   |     20%          |           5000             |             25%

If a new trading pair ETH/DDD is added. The weight of the first round of mining is 0, but because the transaction volume is growing rapidly and the number of EQL buyback and burn is large enough, the corresponding EQL mining weight will be increased in the second round for this trading pair. (The data is for reference only. The optimization effect of the curve cannot be reflected due to the time limitation)

                 1st round liq       The EMA weighted       2nd round mining
                 mining weight     number of EQL            weight after
                 of EQL (%)         burned (number)         adjustment (%)
ETH-AAA   |     50%          |           5000             |             25%
ETH-BBB   |     30%          |          10000            |             50%
ETH-CCC   |     20%          |           5000             |             25%
ETH-DDD  |        -             |            500             |             2.4%

Only on the first day of launching, we will pre-designate 10 trading pairs and the corresponding liquidity mining weights. After that, anyone can add new trading pairs at any time, the mining weight of all the other trading pairs will be automatically adjusted every 8 hours, according to the number of EQL buyback and burned based on the trading volume (the adjustment interval can be changed by governance voting, and users can also burn EQL directly to gain more weight of a pair).

2. Other innovative design — Use a DeFi-optimized token economics
In order to better encourage early liquidity providers, and have enough tokens to incentivize the long-term development of the ecosystem at the same time, we have developed a quasi-fixed-supply (QFS) distribution model. Similar to the standard periodic reduction model, this model will halve the emissions after each production cycle (a.k.a., epoch). But the difference compared with the standard reduction model is, the new epoch time will be twice as long as the previous epoch. To illustrate the advantages of our distribution model, we draw a comparison chart of our model and others in terms of emission rate and total supply over time. From the charts, our distribution model allows early liquidity providers to enjoy the incentives brought by the halving. Meanwhile, compared to the standard reduction model, doubling the duration of a new epoch can also better support future participants. In addition, compared with the constant emission model (such as SushiSwap), the reduced emission design could alleviate the concern about the value dilution caused by future issuance.

Initial trading pairs and weights (in the units of EQL) are listed as follows:
ETH-EQL (3x), 3000 EQL
ETH-UNI, 1000 EQL
ETH-SNX, 1000 EQL
ETH-QKC, 1000 EQL
ETH-YFI, 1000 EQL
ETH-USDT, 1000 EQL
ETH-LINK, 1000 EQL
ETH-COMP, 1000 EQL

ETH-EQL trading pair will have 3x liquidity mining reward compared with other trading pairs. The weights will be automatically adjusted for every 8 hours, and the initial decay parameter for EMA is 0.75.

Token Distribution
0 Pre-mined, no private sale and no public sale
The 10% of liquidity mining on EQL is set aside for auditing, developers, and future employees, among which 1% mined in the 1st month will be donated to the Uniswap team for the appreciation of their contribution to DeFi and promote healthier development of DeFi with a better mutual benefit mechanism among projects, rather than simple malicious plagiarism and forks.

When Equalizer is launched, we will use the following parameters to start our QFS distribution model:

The first epoch is at 20,000 blocks (about 3.5 days)
The first epoch will produce 10 EQL per block

That is to say, 200,000 EQLs will be mined in the first 3 days, and then 200,000 EQLs will be mined in the following 7 days, and then 200,000 EQLs will be mined in the following 14 days, and so on.

Development Plan
Phase I
The current smart contract code of Equalizer is under auditing. We plan to launch the first version of Equalizer, including DEX and EMA-based dynamic governance distribution, on Ethereum in about one week (please pay close attention to our social channels for the exact launch date: Twitter/Telegram).

Phase II
Next, we will constantly improve Equalizer, including introducing DAO governance.

Phase III
The next important goal is to solve the gas fee and performance issues of the network. We plan to use other high-performance public chains (such as QuarkChain) and cross-chain solutions to address ETH throughput issues. Relying on the high performance and low cost of QuarkChain’s mainnet, the use value of Equalizer can be increased. Furthermore, the tokens on Equalizer can be native-tokenized, which can be used to pay the gas fee and calling smart contracts directly without pre-authorization steps

About Us
Equalizer was led by the co-founder of the QPocket team, Mr. Johnny Chu. All the engineers in the team come from top-notch IT companies such as Google, Microsoft, Adobe, etc., with extensive experience in blockchain development.

Qi Zhou, founder of QuarkChain, helps design the innovative token economics model and core code. Moreover, he provides full support in the engineering side as one of our advisors.

Code Audit
The code is under auditing by a professional audit company right now, a fully audit report will be published before Equalizer is launched.

Join us
Website: equalizer.fi
Telegram: @equalizer_fi
Twitter: @Equalizer_Fi
Medium: @EqualizerFinance

Efficient But Simple! How QuarkChain Multi-Native Tokens Change the DeFi Concept

DeFi is the hottest topic in the blockchain society these days, and the active on-chain behavior has given new vitality to many public chains based on Ethereum. However, due to structural flaws in Ethereum1.0, there is a vast authority difference between native tokens and ERC20 tokens, and it has restricted the development of DeFi. QuarkChain aims at building the next-generation DeFi platform through sharding and multi-native token to solve the problems facing DeFi today: high GAS cost, poor user experience, insecurity, and vulnerability to attacks.
 
Let’s experience the security and the ease-of-use of the next generation of DeFi. These DeFi products will be launched shortly, but before that, we need to introduce why our multi-native token function will help us realize a new revolution to DeFi.

DeFi, the most prominent trend in crypto?
DeFi provides users with a new way to increase passive income. Compared with the inflation model of PoS pledge, DeFi income comes from a series of derivative transactions such as staking and lending operations of the mainstream cryptocurrencies, rather than pure token creation. The expected inflation rate is lower, which makes income more stable and more reliable. Once the bull market comes, in addition to the interest on loans, one can also enjoy the benefits of staking tokens. Coupled with the newly launched “lending is mining”, it has made this year’s hot market even hotter.

Data on DeBank showed that in the context of rising global asset prices, the lending amount in the crypto market was $1.08 billion. In terms of users, the current number of DeFi users is less than 240,000. Compared with the nearly 40 million ETH addresses held on Ethereum, DeFi may be able to leverage the entire market, but things do not develop so smoothly as expected.
 
Network congestion and skyrocketing gas fees
Affected by the epidemic, Bitcoin plummeted by almost 50% to $3,800, and ETH fell as much as 65.2% just on March 12 and 13. The plummet caused a run, the Ethereum miner fees that carried a large number of DeFi and DApps skyrocketed, and the network was also congested. DeFi users were unable to redeem and borrow in time, and the forced liquidation was triggered due to the inability to replenish the positions in time, causing considerable losses to the users on it.

As we all know, Ethereum relies on the consumption of GAS to complete its economic operation. Every step of the chain requires the consumption of GAS. The miners will determine the order of transactions based on the price of the GAS fee. From Mar. 12 to 13, due to a large number of transactions such as transfers, replenishment, deposit, and withdrawal of users on the chain, the Ethereum GAS fee increased to 10 times of the usual, and the GAS fee was once as high as 1 ETH to successfully package transactions. The high handling fee restrains the demand for transactions. However, the value growth of DeFi comes from frequent transaction activities on the chain. It says that the high GAS fee has limited the upper bound of the value of Ethereum DeFi. ETH can only pay the GAS fee. Any ERC20 token issued on it cannot achieve this function, setting a bar for new users, and DeFi’s dependence on ETH, further restricting DeFi’s free transactions.

Your eyes are on the passive income, but the hackers are eyeing your principal.
“If you transfer Bitcoin to an Ethereum-based platform, you must pay attention to security issues, because the security of the two blockchains of Bitcoin and Ethereum is not the same. Although Ethereum has advantages and flexibility, the investment in security does not seem to be enough. This means that you may encounter various risks, such as a sudden increase in the gas price which leads to other related problems. All of these will cause you to lose part or even all of your investment funds.” Said by Andreas Antonopoulos, a well-known KOL in the cryptocurrency industry, made the above evaluation of Ethereum-based DeFi.

Why is there a vast hidden danger in Ethereum’s DeFi? The first thing to know is that when an ERC20 token is issued, an ERC20 contract is created. This ERC20 contract defines some necessary interfaces, which are mainly used for bookkeeping. But this ERC20 contract is a contract subordinate to Ethereum, and the authority of this contract is different from Ethereum itself.

Let’s introduce in detail, what the difference between native ETH and other ERC20 tokens is on the DeFi products of Ethereum.

If you use Ethereum’s native token ETH, the operation is simple. As long as the ETH is transferred to the contract of the target DeFi application, the contract operation will be the same as when we use cash to invest in stocks or wealth management products. No other operations are required.
 
However, the operation of tokens minted using ERC20 contracts is very different from native ETH, regardless of whether the tokens minted by these ERC20 contracts are well-known. Before trading, the ERC20 contract first authorizes the DeFi platform’s contract to transfer a specified number of ERC20 tokens on the account, such as USDT, USDC, or WBTC. After approval, the DeFi contract is called to transfer money. The intuitive understanding is to avoid frequent password input in small transactions, we authorized Paypal to open a password-free payment, so that the payment can be directly deducted during consumption. It sounds convenient, but is it that good?
 
There is a crucial problem here: if the DeFi contract is malicious during the approval process, this DeFi contract has the right to transfer all the ERC20 tokens on our account to any account. It is similar to that we authorize Paypal to perform a password-free operation of the balance, but if a hacker attacked Paypal successfully, this hacker could transfer all our money to his account. Similar things have happened before.

There is a famous project called Bancor, which used to rely on the type of authorization contract for ERC20 processing. However, there was a bug in the contract that allowed the contract to transfer the tokens in the user’s wallet to any hacker designated address after the user was authorized, which caused a loss of almost 100,000 US dollars.

The loss was not so significant because it occurred in the early stage of DeFi development. If it happens today that the DeFi asset scale on Ethereum already reached hundreds of millions, it would cause severe damage to the entire Ethereum ecosystem and the development of DeFi.

Therefore, many problems DeFi met were due to the imperfect design of the ERC20. However, we also observe fewer attacks on native tokens because of the complete authority control and the shorter operation chain. Therefore, to solve this problem, we can just increase the authority of ecological tokens so that they can have the same functions as native tokens. All tokens can become “first-class citizens” in this public chain ecology and enjoy the same convenience.

The next generation of DeFi platform
Many public chain projects, especially Ethereum itself, have, in fact, deeply recognized their own shortcomings and have also proposed new solutions. The fundamental core is to improve processing efficiency and avoid network congestion. Using PoS consensus instead of PoW can improve throughput and reduce packaging cost, which means reducing GAS cost. Of course, improving transaction efficiency and reducing GAS cost will become the primary long-term goals, but this does not enhance the security and usability of DeFi on Ethereum. In our opinion, a mature DeFi platform must have the following characteristics:

High efficiency: Have faster concurrent processing capabilities, which means higher TPS.

Low GAS rate: Lower fees can encourage the DeFi users’ enthusiasm for using it and even stimulate the development of high-frequency trading.

Safer: There are fewer interactive links in the contract, which at least structurally avoids the problems caused by the permission difference, such as the complexity of ERC20 interaction, the lengthening of the operation chain, and the increase of vulnerabilities.

Easier to use: Various types of multi-native tokens can be used to pay transaction fees during the transactions, and there is no need to use designated tokens to pay for that.

Easy to combine: It can support a wide range of contracts, including the combination of different consensuses on the same chain, ledger structures, and other elements. It can even open up other chains, and make DeFi like a real Lego game.

People always want a faster horse until the car appears.
In the QuarkChain mainnet, the multi-native token is the primary function for building the next generation of the DeFi Network. The multi-native token has the same status as QKC in the QuarkChain system. They can call contracts, cross-chain, and pay transaction fees under certain conditions. In addition to being unable to participate in QKC network governance, the multi-native tokens can achieve all of the QKC’s functions, including cross-chain transfers. Most of the non-native asset inconvenience problems faced by Defi can be solved. In the future contract, the functions of the multi-native token will be the same as QKC, eliminating the last barrier to applying multi-native tokens. We will launch our DEX afterward when users genuinely feel the unimpeded DeFi platform on QuarkChain.

The new DeFi world will start with the creation of personalized multi-native tokens.
Ethereum performance and contract security restrictions have affected the development, which is why DeFi will become the leading new field of QuarkChain. After intensive development and testing, the multi-native token function is ready to be officially delivered to the community. The QuarkChain community members can mine their tokens, as well as use them for transfer (including cross-sharding transfer), payment of fees, and directly call smart contracts very soon. All the users can experience the convenience and innovation that the multi-native token brings to the blockchain system in conjunction with the DEX we will soon launch.

Smoothy.finance
A novel single pool liquidity protocol specialized in same backed assets with low-cost zero-slippage swapping and maximum interest earning

DeFi industry trend

• The DeFi industry is booming with total value locked (TVL) reached >$8 billion USD recently
• The innovated Automated Market Maker (AMM) products with attractive returns has
  contributed a lot in the DeFi ecosystem for such explosive growth

DeFi protocol specialized in same-backed assets

• There are multiple tokens backed by the same assets ( USD, BTC,
  GOLD etc.) with need of swapping and financial management
• Pricing slippage can be considerably high if using Uniswap and
  there is no extra interest earned
• Several ways are proposed to improve the slippage issue and offer
  more financial options including StableSwap (accessible via
  curve.fi) and mStable

StableSwap (Curve.fi)
Combining Uniswap invariant and constant-sum invariant
Pros:

• Less slippage compared with uniswap

Cons:

• Cannot guarantee 1:1 ratio for swap
• Need iterative computation, which leads to
  Comparatively high gas fee for swapping
• Existence of multiple pools reduces liquidity and
  increases slippage

mStable
Can perform 1:1 swap as long as the
percentage is below a predefined weight

Pros:

• Simple
• Can swap any token with 1:1 ratio which
  StableSwap cannot guarantee

Cons:

• Not flexible, swap is prohibited if predefined
  weight is reached
• Unfriendly for swap due to high gas cost
  (because all backed tokens are transferred to
  Compound/Aave)

SmoothSwap (Smoothy.finance)
Goal: single pool with low-cost zero-slippage
swapping and maximize interest earning

• Zero slippage*
• Swap anytime
• Low gas fee
• Better liquidity and LP rewards

*According to function of SmoothSwap: there will be a soft weights, If the soft weights are satisfied, 1:1 ratio swap will be performed; If not, swap
can still be executed by imposing a penalty

Method: Soft weights

• If the soft weights are satisfied, 1:1 ratio swap
• If not, a penalty will be imposed

Method: dynamic cash reserve algorithm

• Unlike Curve which has multiple pools used as swap-only (sUSD Pool) and swap+save (Y Pool), there is only one pool to concentrate the liquidity for Smoothy
• 10%* of the cash will be reserved for swapping while rest will be injected into Ytoken pool to earn interests. The rebalance will automatically take place if the % of reserved cash break range of (0%-20%)

Zero slippage
Guarantee 1:1 ratio swap for Smoothy as long as the pool is balanced

• All percentages satisfies the weight constraints

Swap anytime
Even the weight constraints are broken, the Smoothy protocol still allows the users to swap the tokens at higher price.

Low gas fee

• >80% lower gas fee for Smoothy based on ETH testnet compared with Curve
  and mStable
• The low gas fee is more swap-friendly for small-amount swap requests

Better liquidity and LP rewards

• Smoothy has one single pool to meet both needs of swapping and interest generation with low gas fee and high liquidity, thanks to dynamic cash reserve algorithm
• Curve has multiple pools which lead to liquidity reduction, for example: sUSD pool for swap
  only and Y pool for swap and interest earning (with high tx fee for swap)

Better liquidity and LP rewards
LP can collect swap fee, penalty fee and automatically generated interest though Smoothy protocol

Features

• Swap: Swap same-backed-asset tokens at any time with lower gas cost
• Mint and Redeem: Conveniently provide and remove liquidity and get smooth token (sm)
• Save: Collect rewards by depositing smooth token (sm)
• Farm: Earn governance token (SMTY) via liquidity mining

SMTY (Smoothy.finance)
Value capture: SMTY is the governance token of Smoothy.finance

• To coordinate decentralized governance
• Incentive of the bootstrapping of asset liquidity
• The initial swap fee is set as 0.04%*, where 0.03%* will be
  distributed to LP and 0.01%* will be converted to SMTY and then
  burned
• 5% of the interest earned will be converted to SMTY and then
  burned

*The number can be changed by governance

Roadmap

Q2 2020

• Research
• Experiment code
• White paper

Q3 2020

• Documentation
• Product test and Demo
• V1 product launch including: swap/mint/redeem/save/farm and governance module

Q4/Q1 2020

• V2 product launch with advanced governance module
• Pricing function with better slippage

Q2/Q3 2021

• V3 Product launch with lending

Token distribution

• There is no private sale. The only ways to get SMTY token either by joining the test round through
  application or providing liquidity in Genesis round after Smoothy is launched
• For test round application: send email to contact@smoothy.finance with brief introduction and what you
  can offer for the community
• For the emission rate of SMTY, we develop a pseudo-total-supply emission algorithm as the middle
  ground of constant emission (infinite supply) and fixed-time reduction emission (fixed supply). This means that SMTY will have much less inflation than that of constant emission, while the emission is long enough
  to attract LP to stay in Smoothy in the long term

Twitter: @smoothswap
Telegram: @Smoothy_finance