Welcome to the Evolution finance LIVE AMA wih The Gem Hunters! We would like to thank the team for coming today and sharing information with the community!
To kick this AMA off could you please give us a brief explanation and bitesize rundown of what exactly Evolution Finance is and what you guys are trying to achieve?
Evolution is a combination of two emerging take-aways of the DeFi boom:
- lending is a big business
- token economics need to be adjusted and advanced
And Evolution takes both of these to powerful realizations. In short, it ports the top 50 alt assets and brings them to the ETH market, i.e. egld, dot, avax, and other booming assets available for a money market on Ethereum.
That is a 10x market size compared to what current DeFi lenders offer.
The second point is how it incentivizes participation.
- Compound hands out $500k a day in incentives, at the expense of COMP holders and LPs
Evolution has built in a transaction fee on each EVN token. This is pioneering tech in terms of ideology. CORE and Rootkit have proven it can work.
But the two above treated transaction fees as a product. Instead, Evolution treats it as a feature to boost the underlying product (lending).
How? The transaction fee finances the benefits of LPs and lenders in the money market.
Incentives remain but the company competes without inflating supply.
Great explanation to the point and easy to understand, thanks 👌
Can you give us a better understanding of who the guys behind Evolution Finance are? Names like DaoMaker, Ferrum Network and many more are backing the project. Who else is working on it and how exactly does your collaboration look like?
A 10x Expansion to the DeFi Market
Evolution Finance provides a money market for the top 50 blockchain assets—DOT, XRP, LTC, and more—on the Ethereum network.
- Deposit them as collateral to borrow stablecoins
- Farm with a new roster of assets
- Borrow them for margin positions
Evolution Finance provides the most important development in Ethereum DeFi: the product that ports users of other blockchains and absorbs market share from CeFi.
The parties involved are:
- BST (led the launches of ICON and AELF)
- Ferrum Network
- DAO Maker
There is one more, and probably the most important one as this expands their main project's wrapping solution. But I cannot name that partner yet, but their devs are playing a role in making this real.
All the top projects rolled into 1 moonshot cocktail!
Development of the contracts is led by Ferrum Network, and they have provided development to 40+ defi projects. The other company, that I cannot name, is a leader in defi as a whole.
The business development, governance tech, staking tech, and community Hub is provided by DAO Maker.
Cipherblade and Arcadia are security partners. So they are onboard to build the security, not just audit.
What is the size of the market in which you're trying to tap into with Evolution Finance and who would you currently see as your main competitor? What's your edge over them?
This has a lot of detail, and I'll break it down next ...
The standard for lending platform is to support native ERC-20 assets. This means most money market's actually just support other defi coins (LINK being 25% of Aave's deposits).
However, the lending business is led by demand by traders to margin trade. Either to increase exposure or make a short-trade.
The volume of top native ERC-20 assets is 10x smaller than that of the top assets of other blockchains.
So Evolution is hitting an entirely new market. Porting the other chain's assets and then offering a money market for those.
This means users of those chains come onboaed and within existing ETH DeFi users, it offers a new market segment.
We've gotta say iv not seen as much demand as this for a long time, twitter has been blowing up with evolution finance talk!
The fair launch factor likely helps with that!
In which state can we expect the platform to be at launch and how long from there until we see first upgrades and eventually the final version with all it's integrations?
There is significant detail here also:
I suggest a look at the roadmap.
But beside that, the money market beta launches within this quarter. And the aim is to port the first tranche of other chain's assets by the end of the quarter.
Wow that's amazing news. I thought it would come much later
The primary upgrades kick in next quarter. They are geared towards porting additional alt blockchain assets. Go-to ones are major volume coins for now, i.e. $DOT. The first round of audits are already completed.
We have a question on that coming as well 😁
But first - a question regarding the two different tokens which seemed to cause a bit of confusion amongst uninformed members. What exactly is the relationship between $EVN and $EVNY and what are the token usecases?
EVN is the utility token of the money market. It provides a discount on fees, staking rewards (non-inflationary) and governance rights.
EVNY is the LP token, and it is the first-ever LP token with a hard cap. Recall, there is a fee on every transaction of EVN. 1% of the this 1.7% fee is rewarded constantly yo EVNY stakers.
As the core business grows, the EVN has more usage. In result, EVNY, constantly earns EVN that has more usage.
All projects have LP tokens. But Evolution made the LP token more rewarding and also with a hard cap.
What would be the steps to obtain EVN?
I will add more detail to EVNY
It's a locked LP token and any attempt to make such assets in the past led to the LP token trading at discount to the underlying value.
However, by making it capped, and also making it earn a generous amount of EVN constantly, it may be the first ever LP token that trades at a premium to the underlying value, courtesy of its extemely limited supply.
100% of EVN supply will be added to a Uniswap pool.
It will be priced at $1 so the circulating mcap will be $300k AND the fully diluted valuation will also be $300k.
Security is a huge topic in the sector and exploits / bugs pretty much a common occurrence. You've already mentioned that parts of the Evolution Finance platform did go through security audits. Were these tests all with a positive outcome?
A note on the above, it is the fairest distribution of a money market asset, ever!
All the smart contracts passed all audits without any critical or serious issues.
As I mentioned earlier, Arcadia is helping architect the security of the ecosystem. They are the auditor for dozens of projects, including complicated privacy coins like Zcoin. And in this case, they are going beyond just audits. They are deploying their experience to build the architecture of the tech stack.
A question we get daily is 'when is Evolution Finance going to launch?'. Can you hint a date or give us a timeframe for when the launch is expected to happen? 😁
Within the first half of February
So pretty much right around the corner, amazing!
We would like to thank the Evolution Finance team for attending and sharing information during this AMA, if you would like to find out more information about the project check out the links provided below!
Website - https://evolution.finance/
Twitter - https://twitter.com/EVN_finance
Telegram - https://t.me/evolutionfinance
Medium - https://evnfinance.medium.com/