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popopolyhedra
what is Polyhedra? Polyhedra is a project where you can transfer your assets between networks and share data between web2 and web3 systems. You can also send direct messages onchain with your wallet through different blockchains, and it works just like internet emails. Polyhedra uses advanced zero-knowledge proof (ZKP) technology for its capability of providing high security, scalability, and privacy and aims to provide a reliable platform for asset transfer, onchain massaging, and in total, ...
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Level: The DeFi Game-Changer Redefining Stablecoin Yield GenerationIn the ever-evolving world of cryptocurrency, a remarkable innovation has taken the DeFi landscape by storm. Level's lvlUSD isn't just another stablecoin—it's revolutionizing how we think about passive income in the digital asset space. In just five short months, this yield-generating powerhouse has exploded to an $80 million market cap and attracted serious attention from the crypto world's biggest players...
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Abstract This article explores the Redbelly Network, a groundbreaking solution for compliant asset tokenization that leverages distributed ledger technology (DLT). The Redbelly Network aims to address information asymmetry and enhance efficiency in financial relationships, ultimately fostering a fairer financial system. This article provides an overview of the network’s architecture, consensus mechanism, and key infrastructure components, as detailed in the Redbelly Network Whitepaper. Prelud...
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popopolyhedra
what is Polyhedra? Polyhedra is a project where you can transfer your assets between networks and share data between web2 and web3 systems. You can also send direct messages onchain with your wallet through different blockchains, and it works just like internet emails. Polyhedra uses advanced zero-knowledge proof (ZKP) technology for its capability of providing high security, scalability, and privacy and aims to provide a reliable platform for asset transfer, onchain massaging, and in total, ...
popoLevel: The DeFi Game-Changer Redefining Stablecoin Yield Generation
Level: The DeFi Game-Changer Redefining Stablecoin Yield GenerationIn the ever-evolving world of cryptocurrency, a remarkable innovation has taken the DeFi landscape by storm. Level's lvlUSD isn't just another stablecoin—it's revolutionizing how we think about passive income in the digital asset space. In just five short months, this yield-generating powerhouse has exploded to an $80 million market cap and attracted serious attention from the crypto world's biggest players...
popoRedbelly Network: Revolutionizing Compliant Asset Tokenization with Distributed Ledger Technology
Abstract This article explores the Redbelly Network, a groundbreaking solution for compliant asset tokenization that leverages distributed ledger technology (DLT). The Redbelly Network aims to address information asymmetry and enhance efficiency in financial relationships, ultimately fostering a fairer financial system. This article provides an overview of the network’s architecture, consensus mechanism, and key infrastructure components, as detailed in the Redbelly Network Whitepaper. Prelud...
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Vest Exchange: Revolutionizing Decentralized Perpetual Futures with a Risk-Adjusted AMM
Introduction
Vest Exchange is a decentralized perpetual futures exchange that aims to democratize the financial system by allowing users to propose and trade almost any asset. By understanding human nature and the reasoning behind trades, Vest Exchange seeks to create a platform that captures the belief systems of different groups of people. This is achieved through a cutting-edge risk-engine shaped by academic literature and modern market-making techniques. In this article, we will discuss the challenges faced by existing decentralized exchanges and how Vest Exchange addresses these issues through the use of a risk-adjusted automated market maker (AMM).
Challenges in Decentralized Exchanges
Despite the prevalence of perpetual futures markets, there are still many issues that need to be addressed. These include:
High barriers for market listing: Current exchanges are hesitant to list long-tail markets due to their inability to adapt to extreme market conditions. As a result, decentralized exchanges (DEXs) repeatedly list the same markets, providing no new exposure to long-tail assets.
Lack of risk management: In 2022 alone, DeFi experienced millions of dollars lost and multiple protocols shut down due to market manipulation and oracle attacks.
Unclear risk/return for liquidity providers (LPs): LPs are exposed to various types of risk, including insolvency and adverse selection. Exchanges attempt to compensate by imposing high trading fees.
Vest Exchange's Solution: Risk-Adjusted Automated Market Maker (AMM)
Vest Exchange addresses these pain points through the use of a risk-adjusted automated market maker (AMM). This innovative AMM matches buyers (longs) and sellers (shorts) asynchronously, allowing for temporary inventory imbalances. To mitigate the risk associated with holding such inventory, the AMM charges a premium or provides a rebate based on each position's marginal contribution to the risk. Furthermore, a funding mechanism guarantees that the AMM will cover any residual risk that the premium or rebate does not account for.
Conclusion
Vest Exchange is revolutionizing the decentralized perpetual futures market by addressing the challenges faced by existing DEXs. By utilizing a risk-adjusted AMM, Vest Exchange not only improves capital efficiency and enables liquidity to move freely but also allows markets to better reflect human nature, psychology, logic, and current events. This innovative approach to decentralized finance has the potential to create a fully democratized financial system, opening up new opportunities for traders and investors alike.
official links :
website :
twitter :
Vest Exchange: Revolutionizing Decentralized Perpetual Futures with a Risk-Adjusted AMM
Introduction
Vest Exchange is a decentralized perpetual futures exchange that aims to democratize the financial system by allowing users to propose and trade almost any asset. By understanding human nature and the reasoning behind trades, Vest Exchange seeks to create a platform that captures the belief systems of different groups of people. This is achieved through a cutting-edge risk-engine shaped by academic literature and modern market-making techniques. In this article, we will discuss the challenges faced by existing decentralized exchanges and how Vest Exchange addresses these issues through the use of a risk-adjusted automated market maker (AMM).
Challenges in Decentralized Exchanges
Despite the prevalence of perpetual futures markets, there are still many issues that need to be addressed. These include:
High barriers for market listing: Current exchanges are hesitant to list long-tail markets due to their inability to adapt to extreme market conditions. As a result, decentralized exchanges (DEXs) repeatedly list the same markets, providing no new exposure to long-tail assets.
Lack of risk management: In 2022 alone, DeFi experienced millions of dollars lost and multiple protocols shut down due to market manipulation and oracle attacks.
Unclear risk/return for liquidity providers (LPs): LPs are exposed to various types of risk, including insolvency and adverse selection. Exchanges attempt to compensate by imposing high trading fees.
Vest Exchange's Solution: Risk-Adjusted Automated Market Maker (AMM)
Vest Exchange addresses these pain points through the use of a risk-adjusted automated market maker (AMM). This innovative AMM matches buyers (longs) and sellers (shorts) asynchronously, allowing for temporary inventory imbalances. To mitigate the risk associated with holding such inventory, the AMM charges a premium or provides a rebate based on each position's marginal contribution to the risk. Furthermore, a funding mechanism guarantees that the AMM will cover any residual risk that the premium or rebate does not account for.
Conclusion
Vest Exchange is revolutionizing the decentralized perpetual futures market by addressing the challenges faced by existing DEXs. By utilizing a risk-adjusted AMM, Vest Exchange not only improves capital efficiency and enables liquidity to move freely but also allows markets to better reflect human nature, psychology, logic, and current events. This innovative approach to decentralized finance has the potential to create a fully democratized financial system, opening up new opportunities for traders and investors alike.
official links :
website :
twitter :
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