MoonSwap: High speed,0 GAS AMM DEX Based on Ethereum and Conflux
AMM is a huge innovation in the entire crypto space. It has changed the way people swap cryptocurrencies. Hayden Adams developed Uniswap with his extraordinary creativity: liquidity pools allow users to easily switch between tokens in a fully decentralized and non-custodial way. Meanwhile, liquidity providers earn passive income from transaction fees proportionate to their share in the pool.” SushiSwap has made further improvements to Uniswap, at the same time, SushiSwap’s user base growth from sketch is also impressive.
These well-designed protocols are all very exciting, but as Ethereum becomes more “prosperous”, the GAS fee is also getting higher and higher. We aim to solve this problem by combining the excellent ideas of Hayden Adams and NomiChef with the Layer 2 solution of Ethereum, and at the same time bring more surprises to users: Up to 6000 TPS, the security level of each transaction is equivalent to 30 blocks on Ethereum, ZERO GAS fee, more diverse DAO governance, and more passive income to be earned.
We developed MoonSwap and Moon Token. MoonSwap introduced Layer 2 solution to AMM, so that users who hold assets on Ethereum can also enjoy the “high-speed and zero GAS fee” experience, while also achieving higher asset utilization. MoonSwap upholds a pioneering spirit and has huge passion towards the great work “Star Trek”. Hence, we embrace the famous “five-year mission”: To explore strange new worlds. To seek out new life and new civilizations. To boldly go where no man has gone before.
This is our mission. Every member of MoonSwap community is a crew on the “Enterprise” starship, Enterprise will lead us to explore and connect with this Crypto Universe composed of lots of Blockchain Planets: To boldly go where no man has gone before, while getting $Moon as rewards.
A high- speed and 0-GAS- fee architecture based on Ethereum and Conflux
During the construction of MoonSwap, we have received a lot of help from Conflux. They are an excellent blockchain team, committed to building an efficient and secure blockchain system. Conflux inherited the core design idea of Bitcoin system: Computing power is the only weapon competing for the right to generate blocks. By adopting the Tree Graph (TG), Conflux realized a high throughput rate of 3000–6000 TPS in our internal network testing without compromising decentralization, fees per transaction will also be much lower than a cent. One transaction can be confirmed within 23 seconds , and its security level is equivalent to 6 blocks on Bitcoin, or 30 blocks on Ethereum.
In our plan, we will treat Conflux as the Layer 2 of Ethereum, which gives us the ability to build a high- speed AMM and receive cross-chain assets. Our protocol will help users on Ethereum map their assets to the Conflux and generate cTokens. Ethereum users can finally say goodbye to the “400GWEI and transaction failed”.
Multiple incentives for liquidity providers
We agree with NomiChef’s view that in traditional AMMs, “Liquidity providers only earn the pool’s trading fees when they are actively providing liquidity to that pool. Once they withdraw their shares in the pool, they can no longer receive that passive income.
Moreover, as the protocol gains traction, despite being early liquidity providers, they risk getting their return diluted as (bigger and wealthier) stakeholders such as venture funds, exchanges, mining pools join the protocol with a huge amount of capital.” We kept part of SushiSwap’s design, and added multiple incentives to LPs at the same time.
1) Become MoonSwap LPs and earn $MOON
2) Become MoonSwap LPs and earn transaction fees
3) Become MoonSwap LPs and earn FC (provided by Conflux community, highly appreciated)
4) Become MoonSwap LPs and earn tokens from MoonSwap’s airdrop partners
5) When the community grows, we will release new incentives, which will be announced at the due time
We will issue MOON Token, 98.75% of which will be distributed through mining (The other 1.25% has been burned). 90% of MOON released by mining will be distributed to users and 10% is reserved for the team. In order to let more people experience the outstanding performances of Conflux, the Conflux community provided us with some of their FC token, which will be sent to our LPs also.
There will be 0.3% trading fees and 0.25% of it will go directly to LPs, and the remaining 0.05% will be used to buyback $MOON from MoonSwap, which will be burnt after. So, from this point of view, $MOON is deflationary.
The total supply of MOON is 100,000,000, which will be released throughout about 7.6 years, of which 98.75% will be distributed through mining (The other 1.25% has been burned). 90% of the MOON released by mining will be distributed to users and 10% is reserved for the team. Mining will be divided into 5 stages:
Genesis Mining:100 MOON/block with 50,000 blocks in total (~7 days)
Stage 1:10 MOON/block with 5,000,000 in total (~1.9 years)
Stage 2:5 MOON/block with 5,000,000 in total (~1.9 years)
Stage 3:2.5 MOON/block with 5,000,000 in total (~1.9 years)
Stage 4:1.25 MOON/block with 5,000,000 in total (~1.9 years)
In addition, many DeFi projects use their tokens to encourage users to provide liquidity for their pairs in Uniswap. We will discuss with these teams, proposing that as long as the users become LPs in MoonSwap, they don’t need to transfer their LP tokens to another place for staking, and can directly participate in yield farming and receive rewards. Currently, we received positive feedbacks from some projects, like ForTube and dForce.
We attach great importance to the power of the community. When our community is strong enough, we will release new incentives and we look forward to that moment.