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The Future of Digital Communities
The Building Blocks of the Quantum Future
The Heart and Soul of the Exo Ecosystem
The Hunt for Maximum Liquidity Accumulation
Strap in and get ready for a ride to the Moon and beyond
Our primary goal in creating the decentralized future is to make no compromises on the one key guiding principle: Absolute Accessibility.
While crypto, blockchain and especially web3 as a whole have ownership and accessibility for everyone as their main selling points, it becomes increasingly harder for all builders involved to honor this noble promise, due to inherent flaws in the design in some of the systems. The root of all evil in this context are ever increasing gas costs caused by network congestion, at the direct and disproportionate disadvantage of the common man investor. Incidentally and perhaps not surprising, it is also the single biggest inhibitor of any liquidity flows - If the transaction costs amount to (around) the same dollar value as the principal investment itself, then the worst case scenario in terms of capital allocation happens: The money stays in the wallet and no capital flows. Arguably ground zero for any operation. This is precisely why we need to peel away the different layers and recognise the main problem at hand: That the costs to transact have outpaced even the costs of traditional systems, which Web3 tries so desperately to abolish.
It is therefore imperative to optimize all of the smart contracts to a degree, that (regardless of network upgrades or other non-influenceable external factors) bring the interaction costs to an absolute minimum and open up new capital, that was already always there, but was never able to flow, because of prohibitively high fees.
We are proud to announce that our core products already have been optimized to the degree of being 60 to up to 80% cheaper, than all the other competitors like UniSwap, SushiSwap, etc.
However, while being the most important one, it is by far not the only thing we have significantly improved upon. Buckle up and let's go for a ride around the Exofi Solarsystem at present and to which galaxy it is headed.
The Beginnings of a Fantastic Intergalactic Voyage
Exofi is a new community-driven organisation with the mission to be the most advanced decentralised platform on the market. The term "most advanced" constitutes six guiding principles, with 5 of them (Efficiency, Accessibility, Utility, Convenience and Speed) providing the foundation and base layer to the decentralised singularity: Liquidity.
The whole operation is attuned to weaving the fabric of decentralised space-time with the singular focus of making the underlying infrastructure invisible and effortless in order reach peak usability for the average user, to truly unlock the quantum potential within crypto. Only then will we be all able to successfully execute on the promise of onboarding the first 1 billion users as the most important milestone on the path of humanity's quantum supremacy
Got 2 minutes? Check out a video overview of our product:
Follow our handy guides to get started on the basics as quickly as possible:
Learn the fundamentals of the Exofi Platform to get a deeper understanding of our main features:
Let Your Capital Work for You
Stake your tokens into different deposit boxes like e.g. the Dyson Sphere to start earning Fermions and extra rewards + unlock yield boosters and multipliers by locking your stakes.
All of your rewards auto compound, so no more worries about consistently claiming your yield and re-staking it - We made sure to provide you a simple "Set-and-Forget" user experience.
Quantifying the Capital Flows in Fusion Reactors
The
The Gift that Keeps on Giving
The rewards distribution system within the Exofi platform is the focal point of any given interaction and serves as the primary incentives structure to ultimately further the goals of the protocol.
Because of that and just like in real life, no one is born equal. With the liquidity being the most important marker in a multitude of factors, it lends itself credence to carefully monitor and adjust distribution parameters as much.
For those tasks, we have introduced three defining characteristics that influence the rewards distribution to either pool: 1) Dyson Sphere Type, 2) Reactor Liquidity and 3) $MASS Density
The Liquidity Pools and Magic Wells of Swaps
The Power of a thousand Suns
(HMMI) Once SamarQand launches in full (elaborated here), we will introduce an additional staking feature alongside the LHC called the “Heavy Metal Mass Igniter”. This is a direct reference to the architecture of a nuclear weapon (specifically a two-stage design that summons a thermonuclear explosion aka hydrogen bomb) to set off nuclear fission (similar process used in nuclear power plants) and subsequently trigger a nuclear fusion chain reaction thereby releasing a gigantic amount of energy.
Oversimplified, the primary stage fission explosion detonates the actual secondary stage fusion explosion, whereby the density of the exposed heavy metal (most often plutonium) reaches a supercritical state (also known as ‘critical mass’, which is is the smallest amount of fissile material needed for a sustained nuclear chain reaction), starting a nuclear fission chain reaction. The fission products of this chain reaction heat the highly compressed, and thus super dense, thermonuclear fuel, igniting fusion reactions between fusion fuel nuclei and fundamentally unleashing the power of the sun. This creates a canonically elegant conflux, as it requires fission and fusion in two stages (i.e. two components like the ENERGY and CRYSTAL tokens) and creates high density critical mass, which aptly describes the increased governance and earning power.
Similar to the previous designs of the LP and governance tokens, this will in essence act as a leveraged version of MASS tokens, and will have the same properties like the Boson (non-transferable and non-tradable), consequently referred to as cMASS (acronym for ‘Critical Mass’). Holders of the cMASS tokens will have the same opportunities and features as the standard MASS holders, but with [X-times] increased voting power and rewards disbursements.
This mechanic incentivizes liquidity providers on the platform to more actively diversify their portfolio across the different Exofi products, which of course benefits the protocol and the community as a whole.
Advanced Order Types to the Rescue
Fitting to its namesake, the “Phaser Cannon” describes the dedicated order book layer that allows more complex and sophisticated orders, similar to a centralized exchange experience, something that has been lacking in the decentralized space. It opens the opportunity to a myriad of options and order types as it also intertwines with the rest of the protocol.
Examples include: Margin/leveraged orders by directly tapping into SamarQand (this lights the way, to attract even more concentrated liquidity), executing complex conditionals/chain reactions via interlinked warp jump system, direct OTC deals including an RFQ style order system (and whitelisting for private market makers) to enable a large scale institutional style trading experience, a pro trading terminal UI with essential pro features like market depth, full PnL Management, an aggregated positions manager, full trade history, news and insights widgets to never leave the dashboard, and much more.
Solving Protocol Upgrades in an Immutable World
Another important aspect is to future proof the protocol - how can one do that with an immutable infrastructure and staying true to the core of its ethos? Upgradeability is a no-go in fully decentralized platforms and for good reason - apart from introducing limitations and disadvantages using such proxy systems. At the same time the current shenanigans in existing protocols don’t do its decentralized beauty any justice by making upgrading a laborious process, forcing the user to manually migrate the locked liquidity to the new version. For this, we propose a new system, introducing actual future proofing and making any future upgrades simple and automated: We call it “Updateable” contracts.
They differ significantly in its makeup to “upgradeable” contract, in that when updated, the underlying tokens, functions, etc. are not simply changed to a completely new, separate set, but rather “updated” (hence the term) pointing to a new contract, but with the pre-existing infrastructure intact - All controlled by an admin contract. One keen-eyed observer might now postulate the same problems, that plague upgradeable contracts, however there is a main difference: the access keys to the admin contract can easily be relinquished by the initial admin and awarded to a DAO, that now has granular control over the protocol, and only enacts changes through the collective power of the community henceforth.
This makes it a much more enjoyable experience for any user, as finally this cumbersome element of decentralization would move into the background and can always enjoy the most up-to-date product, without worrying about keeping an upgrade calendar and moving around their liquidity manually and without compromising the integrity and decentralization of the project.
Chasing the Decentralized Dream
This constitutes projects that are either already under active development or soon will be. The Following chapters represent our vision of the future of the platform and offer an exciting glimpse of what's to come. Of course, discourse around the whole roadmap and the future in its whole is very much welcomed and encouraged and we are calling on the community to help us build out the decentralized dream.
Autopilot for the Spaceships
chaining actions and building full strategies (like FuruCombo) => pick “Vortex Modules” (action pieces/yield strategies), build a “chain reaction” in the “warp core” configurator and then deploy/execute the warp jump. This will allow the user to build complex interactions and strategies, allowing possibilities like flash loans, recollaterization swaps, etc. in a no-code configurator UI, where the user will then also be able to track each chain reaction and warp jump. Because we also have built-in asynchronous response mechanisms, it will also enable cheeky and savvy users to take the warp jump configs a step further by building different chains and jumps and combining those to an amalgamation, with custom triggers and time parameters. In essence the “Maelstrom” provides the resources to power up the chain reaction in the warp core and launch the warp jump to power fully automated decentralized agents, executing the logic (e.g. take 10% of my Warp Drive balance at the end of every month, take a leverage position on SamarQand in the EXOFI/ETH market, and then stake your CRYSTAL Token into the Dyson Sphere to earn on your liquidity and lock the Fermions into the Higgs Field to earn supercharged rewards and gain governance rights). Eventually, with the launch of the Flux Capacitor Protocol (Futures/Derivatives) and the pro trading terminal, the ‘Warp Jump’ system will be directly implemented into the order book layer, to allow complex execution logic right from the trading terminal. Technically, the possible interlacing is so far reaching, one could literally build a fully automated business operation with it (especially, once Web3 and specifically oracle networks grow, and the overlap between Web3 and Web2 further blurs the lines).
Look Deep into the Eye of the Storm
VortexBEAM (Continuous Payment Channel), VortexLOCK (Vesting/Conditional Payments),VortexVOID (Automated Buyback and Burn Contract) and VortexEYE (sweep specified or all available tokens at once and execute an action like a simple transfer or swapping them collectively to another specified token/s. It provides modular and composable base logic module blocks, comprised of base contracts with application specific contracts on top, providing the fuel for the engines of the “Warp Jump”. To power up and launch the warp jumps, so-called “Vortex Modules” are deployed, that execute the predefined (e.g. “take 10% of my salary at the end of every calendar month and deposit into a liquidity pool. VortexBEAM is a fully composable peer2peer channel between two addresses to stream money between them (even “perpetually”, meaning open ended and without a termination date) with many interesting use cases like streaming insurance payments every second for a bought coverage in a “pay-as-you-go” manner, only paying for the exact timeframe, it was in use. Another one would be streaming salaries or similar payments instantly and by the minute, perfect for gig-economy workers, who can instantly benefit from continuous cash flow daily, while on the job. The other base contract is VortexLOCK, which is a simplified vesting contract (practical for new projects or even two or more counterparties interacting and setting conditionals and milestones with payment releases according to the set parameters in the contract). Lastly another nifty base implementation is the VortexVOID, which automatically buys and transfers the assets (for example transferring it to a rewards contract (e.g. MFG), which then distributes those to stakeholders (e.g. EXOFI DAO Participants) or transfer them simply to a burn address, in a scheduled framework, as set by a DAO. Those are just some of the base modules and open up an infinite number of combinations. The plan is to open up a kind of “App Market” around it, allowing external parties to build on top of the warp drive SDK and provide them in the marketplace for other users with attached monetization, revealing a new revenue opportunity for everybody involved.
No more Swaps - The Quantum Universe is "Flipping"
While the term “Swap” is now firmly engrained into the minds of every Web3 user to describe the de facto standard mode of decentralized exchanging, we (as with the platform as a whole) went the extra mile to apply our own custom nomenclature befitting of this new frontier to fully immerse you in the digital voyage across the Cyber Rift that is the Exofi platform. Derived from the logic of terra forming and other matter altering sci-fi operations, the “Quantum Flip” symbolizes the effortless reassembly of plasma - Exchanging energy to provide a different form of plasma (i.e. From one token to the other).
Both plasmas of every pair are of course needed to act as a liquidity provider. However, with the introduction of the "Fusion Grid" framework, it will introduce asymetric liquidity addition, meaning that after initialization of the pair, any user can deposit just one token of the pair - This will be an important step to improve the UX as well as a new enabler for increased liquidity flows, as it drops another significant barrier of entry of participating in DeFi.
God Particles, Assemble!
In spirit of the Large Hadron Collider in CERN/Switzerland, Sub-atomic particles like Protons (that are stable and positively charged Hadrons, in this case part of the sub-family of Baryons, which are part of the broader family of Fermions, that make up all of visible matter and are the building blocks of the universe, hence our platform token being named “Fermion”) are accelerated to near light speed and then brought to a controlled collision in the hunt to create and observe other particles like Bosons (specifically the Higgs Boson), that are force-carriers between other particles and in the case of the Higgs-Boson give all the matter in the universe its Mass, once Fermions (i.e. “Matter”) pass through and interacted with the Higgs-Field (which is fitting in regards to the DAO and the underlying Governance, as one needs Fermions ($EXOFI) to stake and thereby lock into the Higgs Field time lock contract, in order to acquire Bosons ($MASS), i.e. voting rights).
The LHC is designed to yield a fixed 10% yearly interest rate and poses as the base index value for the governance rewards multiplier, with no lockup periods, so it stays always available to you. This sets important precedents and effectively achieves 2 things: Providing a stable yield generation program for the end user - This is specifically designed for Institutionals in mind, to offer a simple, low risk, high yielding product to drive capital flows and thereby liquidity to the protocol.
More on that later in the upcoming “Governance” section.
A Decentralized Federal Reserve
An advanced Token Vault, that acts as a self driving unit allowing for far more complex actions + smoother interactions => All other products are built on warp drive to enable advanced products and services (e.g. SamarQand, Fusion Grid, Warp Jump, Maelstrom, Rift Gate, etc.). It acts as a virtual accounting system and generates yield with the capital deposited in it. It is similar to the traditional banking system, in that it leverages the same underlying system of fractional reserve banking. The goal and mission is for the protocol to invest the idle funds into low risk protocols and strategies, generating steady yield over the long term + improving liquidity where needed (e.g. depositing tokens in SamarQand for lending yield, supplying $EXOFI to the Hadron Collider, to generate more $EXOFI). The extra fees earned from those automated strategies directly flow either directly into the community treasury or to $EXOFI holders. It will feature a full SDK and APIs for other projects to take advantage of this base layer, unlocking new dimensions of liquidity. Inherent in its design, it is meant to foster collaboration, rather than competition and should provide the necessary tooling and infrastructure to build fully composable apps on top, just as we are already doing. This multi-dimensional monetary lego brick would herald a new era of capital efficiency as the costs to transact within the Warp Drive (and by extension the whole ecosystem) fall dramatically and liquidity improves across different planes of existence. This works, because it builds on the principle, that individual positions can mutually benefit from shared liquidity - By lending out the deposits and deploying the capital in other yield generating ways, extra income is generated, without incurring losses to the underlying principle, due to the focus on low risk instruments and proper collateralization levels to support - THAT is how it was devised and should work. For instance, if you as a user create a limit order on Exofi, the capital used and deposited in the contract to make that limit order would be utilized by the “Warp Drive” to earn yield, while you wait for your order to be filled. This leads to much higher overall capital efficiency (which is actually the goal of financial instruments in general) However in traditional finance (where fractional reserve lending is used, that leverages this exact system), that benefit would directly flow only to the banks themselves and with the organization as a whole driven to maximize profits, the whole operation becomes fuelled (and incentivised unfortunately) by pure greed. That beautiful system not only becomes a problem, as it only benefits the people taking your money but also outright invites them to gamble the principle away in high risk speculative instruments, all in the name of maximizing shareholder value in search of ever increasing profits. This money creation pyramid now gets fully flipped upside down on its head to benefit the protocol and through that, the liquidity providers themselves - all governed and controlled by pure computer logic (i.e. Smart Contracts). This unlocks wealth for growth and as an investment vehicle on a hyper scale and will change finance forever: Now, instead of relying on a over compensated and highly undercollateralized institution like a bank to gamble away your money and enriching themselves (instead of investing your money through sound and proper allocation models), ANYBODY can now lend his own money (in all kinds of opportunities and ways he sees fit) and profit directly, while benefiting the collective of the community of the protocol as a whole, thereby increasing his returns even more. By order of decentralized finance, we are finally free to move to a model, where literally EVERY participant is highly incentivised to work together and for the greater good of the collective without compromises. Financial Institutions like Banks are allowed to borrow their capital (primarily customer deposits) many times over with only a fraction of collateralization necessary, being only required to hold cash reserves in the ballpark of 5-10% by law. This also means effectively that an institution can leverage greater amounts the larger the reserves are. The implications are manyfold, but it crystalizes one simple truth: the proportional value of a dollar increases exponentially in correlation to the size of the principle. In plain terms this means in essence, that the value of a single dollar is greater for institutions with larger reserves, than for institutions with smaller ones - by simple virtue, that the cash amount an institution can leverage increases proportionally to their holdings - Quite literally a tale of “The more you have, the more you earn). Conversely, the value of a single dollar in the Warp Drive is greater than in any other wallet, account and/or especially AMM after the launch of the “Fusion Grid”. Consequently, this capital efficiency is distributed directly to the Depositors (i.e. Users) themselves instead of the middlemen (i.e. the Banks). This revelation surmises elegantly the often mentioned connotation of DeFi “disrupting” and “disintermediating” traditional finance and underlines not just the power, but even more so the importance of decentralization, transparency and auditability (through Blockchain) and immutable and automated programmes (through Smart Contracts) to effectively welcome a new age of prosperity and independence.
The Emergency DAO to Save Us All (Only when it Must)
A riveting callback to the equally named governmental insider committee of the Majestic 12 bestowed with the highest top secret security clearance possible and tasked to examine the UFO sightings, including the analysis and interaction of the extraterrestrial space programs here on earth. As the name suggests, it will consist of 12 appointed members of the community and serves as an emergency intervention system, as the name already suggests.
The Council, when activated, shall act when there is danger of loss of funds or other imminent threats to the protocol and the residing value within. It is able to call the implemented ‘kill_switch’ function across all Exofi Fusion Reactors to disable any and all functionality temporarily. The Fusion Reactors can be reinstated, once decisions and/or measures have been taken by the MJ-12 or by the Exofi DAO itself, as an override authority.
The MJ-12 Council itself is controlled and governed by the DAO which has full governing authority over the composition of its members, enabling it to instill as well as discharge members of the MJ-12. The Council itself executes decisions according to simple hard coded parameters, with those encompassing a general 51% quorum majority to be able to take action and a 66.999% majority support requirement to enact those decisions.
Whenever the council would not be needed anymore, the Exofi DAO holds the power to revert control back to itself at all times. It is and will be a critical tool to weather any storms in the future.
Trade Fast & Highly Efficient between Tokens including Stableswaps, with Advanced Order Types & Cross-Chain
Exofi is an automated liquidity protocol first and foremost. This “Automated Market Maker” model (AMM) is the de facto standard in exchanging digital assets in a decentralized, yet easy and efficient way.
The AMM model, paired with the constant product formula delivers an elegant solution to the now extinct problem of users not having options to trade tokens permissionless, in a fully decentralized manner with no intermediaries to prioritize censorship resistance and security. In a nutshell, no actual ‘trading’ as we know it from TradFi happens - The AMM model at a fundamental level simply manipulates the supply of a given pair pool. When the user wants to swap, he basically deposits the token A, he wants to trade into the pool and in return receives a converted amount of token B back from the pool. It kickstarted the summer of DeFi and with it cemented the new Web3 revolution.
Currently we have a standard 0.3% fee in place on all trades across all pools. This will subsequently change, once we migrate to the next generation fusion grid, allowing a multitude of different configurations, optimized for every use case like a lowered 0.01% fee for concentrated liquidity pools for stablecoins for example (more on that in the future section in the corresponding “Fusion Grid” chapter). That is precisely, why in an AMM System the liquidity and its provision is paramount to the vitality of the DEX itself, the cashflow its literal lifeblood.
For reasons of increased capital efficiency for the liquidity provider, we not just have the "Quantum Flip" (our version of the "Swap") as our core engine, we also provide features like the "Phaser Canon" (a.k.a. Limit Orders). Find out more in the next chapters.
The Keys to Community-Powered Liquidity
All Fusion Reactors (i.e. “Pools”) have its own Dyson Sphere (i.e. “Yield Farms”) deployed, harnessing the ENERGY (i.e. “Liquidity”) within, yielding Fermions as a reward - At the same time they also function as a gauge, each measuring the staked liquidity. This is done to put the power into the hands (or shall we say ‘wallets’) of the stakeholders of the platform (i.e. the governance participants). To achieve this, we will also deploy a weighting index called „Mass Density“, constituting how the daily Fermion emission will be distributed among the Dyson Spheres. This allows governance participants to directly spend and allocate their MASS tokens to the Dyson Sphere of their choosing, effectively voting for the Fermion distribution. The amount of voting power of a User directly impacts the distribution, thereby especially empowering and rewarding heavily invested power users. Per design, the user needs to first delegate his voting power, either to himself as a default or to another entity. The latter option opens up new possibilities, whereby other participants (individuals, protocols, etc.) can compete for an allocation. This provides also an important protection mechanism against sell pressure, as whales will be highly disincentivized to sell their $EXOFI holdings, as their earnings would slowly disintegrate and erode to 0 (as the emission flow is controlled by governance participants). After the release of the next-gen “Fusion Grid” framework, there will also be different fusion reactor types (standard, stable, concentrated, etc.), enabling what we like to call “Turing Complete Liquidity'', as it provides full composability for all applications and thereby provides absolute monetary efficiency.
Once the DAO is launched, we plan to release a full IPFS hosted UI for users to easily interact with the protocol. Already coming soon is a full native integration of all Exofi features directly within the Exo Wallet, providing unparalleled usability. Especially useful will be the built-in governance feature set, enabling users to open proposals, discuss and vote all within the wallet.
To actually receive and accrue MASS, the user will have to lock his Fermions into the “Higgs Field”, a time lock that determines the voting power based on the length of the lock applied. Voting power itself is also dynamic and not static, meaning in this case primarily, that the voting power will decrease over time, with a linear regression of 25% per year, incentivizing the liquidity provider to continuously provide more liquidity. The full dynamics of the Boson token are detailed in the next section.
Deciphering the Math behind the Economy
The tokenomics of the Fermions are straight forward and allow for decentralization while also rewarding the earliest backers. The distribution is as follows:
To kickstart the project we have launched a special liquidity mining event to bootstrap initial liquidity, incentivized by a rewards multiplier offering increased rewards by 330% to all early liquidity providers as a bonus with an applied 3-month-lock to ensure a smooth start and initial growth phase. The Event will run for around 100k blocks (roughly 2 weeks) with an initial set of around 10 pools to collect LP tokens across a range of the most liquid markets. We also went the distance to offer liquidity migration from multiple protocols like UniSwap, SushiSwap, Curve, etc.
Even though enacted with a pre-mine, we went as far as to put a system in place to allow a gradual release in order to have a controlled inflation and making sure to keep all shareholders aligned and long term in the project. In this regard the starting supply will start, like a normal fair launch project at 0 and the emission rate is initially set at 1 million tokens per day. The emission curve will follow an exponential algorithm with the emission rate dropping gradually with every block through recalculations equating to a rate reduction of roughly 25% per year with a set end-goal of reaching the hard cap of 1 Billion Token after exactly 4 years. The emissions will be distributed according to the laid out tokenomics plan, with the token reserved for the shareholders applying a vesting contract of 2-4 years (advisors with a shortened 1 year vesting period) enhanced by a gradient algorithm that allows unlocking a portion of the tokens with every block. This enforces all the shareholders to remain invested, while still allowing them to use partial proceeds akin to an allowance to fund the operations and reduce reliance, if any, on outside investments (VC’s, etc.). The token ecosystem comprises two main “particles”: The “Fermion” (Ticker: EXOFI), the protocol native rewards and governance rights token, as well as the “Boson” (Ticker: MASS), the actual Governing Token, representing one's voting power and with which voting and everything else is performed. The implications of each are further explained in more detail in the following paragraphs.
The Eternal Market
SamarQand is a lending and margin trading platform, and the first app to be built on Warp Drive directly. It provides the foundation for all credit activity on Exofi and works as a key component of the Flux Capacitor (Derivatives & Futures). It's a fully permissionless, isolated risk market with elastic interest rates and supports all the cutting edge features, especially in terms of orders (Full TWAP support, margin leveraged orders by way of the phaser canon, an advanced liquidation engine, etc.). It offers a flexible and open oracle framework, to allow any token to be listed. This setup solves a couple of issues, other markets or setups have had, particularly in the decentralized space: Implied by the isolated markets, this isolation is the key to unlocking independence and stability - Historically other DeFi-specific money markets like Compound or AAVE, have unified pools and therefore share the risk across all listed assets. The crash of one asset has giant ripple effects across the whole system and can draw down the full grid a substantial amount with it. On paper, this asymmetry facilitates a user-friendly application, as the premise is basically “Any collateral in, any leverage out” but any high-risk asset can introduce risk to all other markets, potentially collapsing the entire protocol. Additionally, because of its aforementioned nature, the choice of assets available is quite narrow and reserved only to the largest and most liquid ones (like Bitcoin, Ethereum, etc.), to reduce the likelihood to a minimum - That measure, while understandable given the dynamics, makes it again prohibitive to the general public and poses an outright block to full neutrality and decentralization. Precisely for those reasons we introduce isolated markets, as it solves those key things: Keeping risk within only affected markets/pairs, allowing the permissionless initiation of any market/pairing and powering advanced features like activating leverage with one click. Specifically the last mentioned feature of leverage opens up a host of new cross use cases. In other, standard direct lending and borrowing money markets, the process is quite cumbersome, as the user would have to borrow on one platform to lend on another and repeat. Because SamarQand is structured in pairs (not only like swap pairs but specifically reminiscent of trading pairs on a centralized exchange), lending and borrowing within the same market is fully composable, thereby enabling instantaneous leverage, without the user ever leaving the platform or making other amends.
Calculating the Density of $MASS
Density Matrix
Harness your Rage... and ENERGY
All Fusion Reactors (i.e. “Pools”) have its own Dyson Sphere (i.e. “Yield Farms”) deployed, harnessing the ENERGY (i.e. “Liquidity”) within, yielding Fermions as a reward - At the same time they also function as a gauge, each measuring the staked liquidity. This is done to put the power into the hands (or shall we say ‘wallets’) of the stakeholders of the platform (i.e. the governance participants).
To achieve this, we will also deploy a weighting index called „Mass Density“, constituting how the daily Fermion emission will be distributed among the Dyson Spheres. This allows governance participants to directly spend and allocate their MASS tokens to the Dyson Sphere of their choosing, effectively voting for the Fermion distribution. The amount of voting power of a User directly impacts the distribution, thereby especially empowering and rewarding heavily invested power users.
Once the DAO is launched, we plan to release a full IPFS hosted UI for users to easily interact with the protocol. Already coming soon is a full native integration of all Exofi features directly within the Exo Wallet, providing unparalleled usability.
Especially useful will be the built-in governance feature set, enabling users to open proposals, discuss and vote all within the wallet. To actually receive and accrue MASS, the user will have to lock his Fermions into the “Higgs Field”, a time lock that determines the voting power based on the length of the lock applied.
Voting power itself is also dynamic and not static, meaning in this case primarily, that the voting power will decrease over time, with a linear regression of 25% per year, incentivizing the liquidity provider to continuously provide more liquidity.
The full dynamics of the Boson token are detailed in the next section.
The Soul of the Exofi platform
Non-tradable and non-transferable voting rights within the DAO, only emitted to staked and locked Fermions. The imperative of any economy is “Control the Flow”, which is why through the Boson token, participants critically have control over the emission of Fermions across all ecosystem products, now and in the future.
Users can choose between the timeframes of 1, 2, 3 or 4 years, with the full voting power of 1:1 only accounting, when the user locks it for the full 4 years - otherwise the voting power conversion drops by 25% per year, meaning that if the user for example locks it for only 1 year, his voting weight (i.e. his MASS ‘Density’ would be only a quarter as 0.25:1 => as a more illustrative example, when the user locks 100 Fermions for 4 years, he would receive 100 MASS for voting - However if he would lock them for only 1 year, he would receive “only” 25 MASS voting power for his 100 Fermions. The voting rights are dynamically bound to the duration of your lock - This means, that your voting power automatically adjusts, as the time on your locks ticks away - Effectively reducing your voting power over time, if the user doesn’t interact with the protocol anymore.
However, everyone can increase their stake in the ‘Higgs Field’, to again increase the time-in-lock and thereby voting power. This mechanism incentivises participation not just once or only in the beginning, but continuously over time. Locking liquidity into the ‘Higgs Field’ also activates the ‘Plasma Booster’, which amplifies your default staking reward from the LHC by a significant margin, dependant on the amount staked and length of the lock - In general, the setup is as follows: 1 Year: 2x Rewards, 2 Years: 2.2x Rewards, 3 Years: 2.5x Rewards. And finally 4 years: 3x Rewards. Similar to the gradient in the governance implementation, the rewards also decline over time per algorithm to the predefined values (e.g. If a User would lock the minimum threshold (for max yield) of 300 Fermions for 1 year, thereby granting 2x rewards, the multiple would slowly drop to the default rate of 10% the closer the timer runs to 0). The Users resulting lock position is issued as a tradable NFT, representing the Users overall liquidity position in a tokenized way (as every position is completely unique in it's make up). This directly permits for a single address to own more than one of those NFT locks, making it possible to amass a sort of leveraged position. All of the NFT's balances are cumulative and thereby each lock contributes to the overall $MASS balance.
This also allows for other revolutionary ways to utilize it's liquidity position, e.g. as collateral to borrow against in the SamarQand Lending Market, among other things.
The incentive is obviously to maximize the locked value to simply ensure deep liquidity and a shared and mutual interest in being actively involved in the platform, to equally participate in the governance as a vital point. Aligning the interests of everybody powered by such a self-reinforcing system, the stakeholders (i.e. YOU, the User) are able to gain a larger share of the daily Fermion emission. The voting itself is executed by way of a gasless voting quorum, leveraging simple key signatures. This not only allows the User to prohibitively vote because it's free, but also simplifies implementation into other protocols or specifically apps (e.g. our direct implementation of all the Exofi features including the governance into the Exo Wallet - especially making participation enjoyable, with full push notification support, so the User is always notified and can participate in known fashion with the simple click).
Once the Exofi Protocol matures, we will also introduce other incentivization mechanics like making it mandatory for Boson holders to allocate their votes every cycle (weekly) in order to still receive their rewards. This is a strong dynamic driving interaction with the protocol, as it directly encourages (and literally rewards) participation, benefitting the platform and everybody involved. After all, making decisions and continuing to do so is vital to the survival and long term growth of any community.
Beyond the Veil of further Development
The Golden City... Of the Community
An Odé to the mystical giant goldland in South America fueling the greed of the spanish conquistadors hundreds of years ago (and even still today the dreams of some adventurers) acts as the community treasury and will also be built on the Warp Drive platform and will play a critical role in the future development and growth of the sprawling platform and ecosystem.
It will be directly in charge of funds allocated to grow the protocol. Distribution cases include developer grants, bug bounty disbursements, contributor compensations, strategic capital investments in external parties, and more. Some of the predefined cases also include strategic deployments into infrastructure essential modules, like the ‘buy back and burn program’ and ‘liquidity protection insurance fund’ among others. Those ensure a comprehensive, yet efficient operational structure from day one to further sustain the platform and nurture growth.
The Exofi DAO has full control over those resolutions and can adjust those at the behest of the community at any time.
How to manage your Liquidity Positions
Add Liquidity
Remove Liquidity
Open New Reactor
Migrate Liquidity
Import Liquidity
The Homeport of a Thousand Projects
Aptly named after the rocket launch site of SpaceX for their future launches to Mars and the rest of the solar system, it provides the foundation for other projects to launch and comes equipped with necessary tools up front, to better manage the process pre- and post-launch. To open an and run and auction it will require a base amount of Fermions to be staked beforehand (as a kind of fee/deed to be listed autonomously) with a set of auction types to choose from like Dutch Auction, Batch Auction and Crowd Sale. Payments to buy into the auction are done exclusively in $EXOFI (and $EXO for certain featured projects) with the subsequent listing being a direct pair exclusively between the project token and $EXOFI.
All of those parameters provide 4 key things that strengthen the Exofi protocol and the $EXOFI token:
1) It incentivizes Teams/Projects to raise as much $EXOFI as possible from their community to lock them for provision of high liquidity right at launch [alternatively buying them directly and accruing beforehand]
2) Community members can be incentivized through token airdrops or similar to delegate their voting rights to incumbents.
3) Projects holding/locking $EXOFI after launch still reap rewards through pure staking and their respective Dyson Sphere.
4) It now also becomes interesting for Yield Aggregators to build up positions in $MASS to achieve the highest yield for their respective communities [similar to the gauge wars around the Curve protocl and CRV].
It already includes basic elements like a Multi-Signature Smart Contract Account (similar to Gnosis-Safe), vesting and liquidity lock up mechanisms powered by the “Maelstrom” contracts and the Exofi DAO (more details in the $EXOFI tokenomics docs) and reward/incentives schemes through the “MFG” (Magnetic Field Generator, origin of the $EXOFI Token and the whole rewards infrastructure) contract. The idea is to build a comprehensive commando bridge for anybody to setup up shop from within the Exofi UI and platform and to quickly ideate, create, launch and manage any project with a no-code dashboard (very much similar to a standard SaaS service), as we are quickly approaching again a point of no return, where advancement and complexity of even standard projects/protocols are rising, yet still the main plumbing and foundation for any start remains the same - it shouldn’t be a requirement for everybody to start from scratch with the most minute things, when safe and scalable solutions have been setup already and already became an afterthought, yet are vital as the basis to even start any given project in the first place.
The vision for this system is to provide a kind of StartUp OS, where anybody can quickly spin up a project through a built-in configurator and focus on raising funds from the community and building further on top. Because it is conceptualized as a Auction Factory framework, the possibilities are endless and allow all kinds of use cases, e.g. Youtube creators launch their own social token that comes with specific perks or acts as a membership certificate to unlock further content and goodies, potentially even voting rights for future content, so that the community can decide what they want to consume - represented as an NFT. Creators and fans alike could then manage those processes again through the Exo Wallet with the built-in features. The possibilities are quite literally as endless as the multiverse of madness we are living in.
The Heart of the Exofi Platform
The natvie ecosystem reward and DAO governance token. Fermions are elementary particles (like electrons, protons and neutrons) that form the basis of all reality as they are the subatomic building blocks, from which atoms are created (with multiple atoms creating molecules, and which in turn create all tangible matter, as we know it). They are the foundation of our existence and as such a fitting description and name for our platform native DAO Token, the Fermion ($EXOFI). The Main purposes of the Token are the incentivization of liquidity providers on the Exofi platform and in general, with a self-sustaining rewards-based economy, to incentivize as many users as possible to participate in the governance of the protocol.
Currently $EXOFI comes with four key features: Voting, Directing, Earning and Amplifying.
1) Voting: The main utility of the Fermion. It bestows you with the rights to actively manage the protocol and steer its future as a community. Through the Fermion you become a direct stakeholder in not just the Exofi platform but the Exo Ecosystem as a whole. Anything related to governance is manifested in the form of Boson ($MASS) tokens - They represent directly your vote units and are only usable to vote within the Exofi system, as they are non-tradable and non-transferable. The only way to acquire Bosons is to lock your Fermions into the "Higgs Field" (A time lock smart contract) for a set amount of time (from 1 month up to 4 years, for maximum benefits). You can find more on the Boson mechanic here.
2) Directing: A key interaction element of the Exofi DAO and it's liquidity pools is the possibility to also vote on incentive allocation - Meaning Users (and with it other external protocols/projects/etc.) are now able to actively influence the Fermion rewards distribution and potentially yielding the largest rewards amount, thereby 'directing' liquidity to the desired pool (the old adage of 'follow the money' really rings true here). This dynamic actively spurs competition among liquidity providers, creating an eternal win situation for the underlying Exofi Protocol.
3) Earning: There are multiple ways to earn within the Exofi ecosystem and by virtue of being modular and composable, even more options to aggregate and stack yield, as some products are building upon each other (hence being referred to as "Stacked Yield"). They entry step (and in spite of this the easiest but lowest earning option) is to simply provide liquidity into the different swap pools. Participants free earn fees according to their share represented by the issued LP tokens ("ENERGY"), with no obligations. The next step to maximize yield and start piecing the optimal yield puzzle together is to deposit all your ENERGY tokens into the corresponding Dyson Spheres that issue Fermions as rewards to all stakers. The next option is to simply stake your Fermion rewards again into the LHC for some more Fermions at a fixed rate. Eventually even more options will become available through locking fermions (to boost the base yield and earn even more Fermion rewards by directing liquidity to your best liquidized pool) as well as distributing liquidity across the ecosystem (stackable incentives to further push liquidity not just into trading pools but also other products like Samarqand)
4) Amplifying: The amplification can arise in different contexts, with the most native implementation being the feature of boosting the base APY of LHC staking but extends further through directing liquidity and other voting mechanisms.
All four of those elements constitute the pillars of the 'Utility' behind the native Fermion token and by extension the Exofi ecosystem as a whole
The Futures and Derivatives Framework for Exofi Ecosystem
The Ultimate Quantum State of Power
In the future with the growth of the ecosystem and new product additions, the stage is set to introduce a leveraged form of the cMASS tokens itself: The ‘SINGULARITY’ token. The singularity itself occurs primarily at the absolute center of a black hole, rendering the ultimate form of mass density.
As succinctly defined by the Britannica dictionary: “A black hole can be formed by the death of a massive star. At the end of a massive star's life, the core becomes unstable and collapses in upon itself, and the star’s outer layers are blown away. The crushing weight of constituent matter falling in from all sides compresses the dying star to a point of zero volume and infinite density called the singularity.” it constitutes the perfect term to describe the densest form of the MASS system, whereby the $SINGULARITY token grants the largest amount of voting power and rewards.
$SINGULARITY is rewarded when Users stake the LP tokens of all the available products across the Exofi ecosystem into the “Quasar”, akin to the cMASS proposition. The Quasar itself is not really a material object but rather constitutes an active galactic nucleus (a AGN is a compact region at the center of a galaxy that has a much-higher-than-normal luminosity and mass density) powered by a supermassive blackhole, eloquently describing the sheer power concentration.
The Future of Cross Protocol Liquidity
A new kind of framework that improves on the existing permission-less AMM model of the exchange (that works and scales fairly well, but has its own set of trade-offs) and provides a new foundation to not just the usage but further development as well. It is a hybrid model that combines the best of both dimensions, as a combination of a permission-less AMM coupled with decentralized order books, both on- and off-chain powered through oracle networks. The key to unlocking the full potential of future liquidity flows however, will be the abstractions of the underlying fabric of Web3 SpaceTime: the different layers and networks themselves. The first product from this spectrum will be the “Rift Gate”, our own cross-chain bridge, that will leverage a custom message-BUS system coupled with an oracle network to coordinate the transfers and movements across different “Dimensions” (i.e. blockchains but also protocols), but more on that later in the “Rift Gate” Section. The whole point is to be able to provide best (i.e. lowest) execution price possible at all times, regardless of the network or layer you are on, which would heavily incentivise aggregators and other routing protocols among other factors - This alone would drive not only capture and grow those capital flows significantly but would unlock in general a compounding volume potential through opening up the Fusion Grid framework as a kind of SDK, as to enable easy integration and setup of other custom DEX + Protocols building on top. This is reminiscent of the white label solutions that centralized exchanges often provide like Binance Cloud or FTX White Label. Other features like enabling now to supply liquidity asymmetrically (as in providing only 1 token, instead of a full pair, as a lot of people don’t have equal amounts or in general are heavily concentrated in a specific coin/token), different pool types (the current type “Constant”, but additionally Concentrated, Stable and Index with each their own benefits), a standardized and unified pool smart contract interface, that will actually unlock the real value and productivity, as external devs can now directly build on top and other teams preparing and spinning up a new pool according to their needs, without redeploying the whole codebase again, eliminating the “pool initiation) which is up until now prohibitively expensive and inefficient. We would spin it even further and actively provide a feature full API, that actually makes it viable to integrate in any app (even traditional non-crypto apps) to make specifically all the yield products even more useful and significantly increase the volume and liquidity potential + fully featured widget that anybody can integrate in any app(web/mobile/etc.) with just a few lines of code (exactly like the known widgets in the space mostly found in crypto wallets, where users can buy/sell crypto with card or bank transfer quickly) - Exchanging itself only goes so far in terms of being a SaaS service offering, however the users of a lot of those non finance applications can greatly benefit by having the possibility to now interact with the app in a new meaningful way through a social/utility token + making it possible to invest it in the farms or earn in other ways. At the end, the user can still then easily liquidate through the swap interface. Another instrument that will be finally available through this pool factory grid will be derivatives and futures (highly under-utilized in the decentralized space and with existing solutions often times too limited in their capacity). Perpetual contracts will be the go to and starting point, as they also post extremely high volumes and are especially interesting in the DeFi world. This also opens up opportunities for other derivatives, that have not been touched yet (not even in the centralized space) of synthetic stocks, indexes, and other traditional finance instruments (as more of a complimentary way finally be able to hedge your stock investments for example of Robinhood or any other brokerage, or just in general to speculate now, unlocked for the common retail trader - no exclusive broker access, no front running, no intransparency, no minimum capital requirements. Be your own hedge fund, no matter if you manage $100,000,000 or just $100. This setup also ties in nicely with SamarQand and illustrates the power of the built in isolated lending market, as by its virtue the user can now borrow and leverage the position directly and seamlessly on the derivatives port (up to 2x in the beginning, but we will increase to levels over 20x, once we build out the markets and liquidity support) This is just the tip of the iceberg of what will be possible and this alone will be a giant volume and liquidity driver for the platform.
Call of Duty: DAO Edition
At the Heart and Soul of the Exofi Ecosystem is the $EXOFI token, created to provide stability and support for the platform and its underlying products as well as the necessary infrastructure to build out the platform and incentivise full and transparent governance participation by all stakeholders involved (including the community itself of course - we use “Stakeholder” here as a general meta-term to describe every user and participant of EXOFI).
The following chapters will unveil an intricate system designed to maximize the force of deployed capital to drive usage and adoption while giving participants maximum control over the fate of the protocol (and with it their investments).
The Rewards Engine of the Exofi Platform and Future Ecosystem
The MFG is a highly efficient token system and forms the basis for the permission-less rewards infrastructure and scales infinitely to provide a baseline blueprint for other protocols to build on top. Drawing inspiration from more recent scientific developments, that showed a simple magnetic field generator, through certain interactions, is capable of producing new fermions and by extension matter.
The “MFG” takes a central role in the ecosystem as it possesses very cheap gas costs and broad composability. Use it as a Lego brick to build different mini apps and incentive programs. It will also come with a simple setup wizard that allows anyone to add rewards to any pool, thereby allowing it to be controlled by the project owner or immediately a DAO (either already existing and managed or a newly created one - all accessible and possible through the Starbase interface).
As everything in a financial system is built around the fact of building an economy, it makes it imperative to enable an easy way to do it. This is why it is also possible to set up double and even multi rewards (as is already the case in some Dyson spheres) and it intertwines with the other products to offer more complex interactions, e.g. building whole chain reactions through warp jump powered by the warp drive.