Hello, Satoshi clubbers Another AMA took place in Satoshi Club and we would like to introduce to you the AMA session with our friends from DeHive Finance and our guest was Sergey?—?founder and CEO of DeHive?—?DeFi protocol. The AMA took place on 11 March.
The total reward pool was 500$ and has been split into 3 parts.
In this AMA Recap, we will try to summarise the most interesting points for you.
Part 1?—?introduction and questions from the Website
Mary | Satoshi Club:
Hello Satoshi Club! We are happy to announce our AMA session with DeHive Finance! Welcome to Satoshi Club
D. | Satoshi Club:
And our today’s guest?—?@Sergey_InC ! thank you for joining!
Sergey:
Good day dear Satoshi Club community! Thank you for the opportunity to take part in this AMA session
Sergey:
My name is Sergey Onyshchenko and I am a founder and CEO of DeHive?—?DeFi protocol. I am a current CEO and Co-founder of Blaize?—?a blockchain dev company. I am in crypto since 2016.
D. | Satoshi Club:
You are welcome! good to have you here!
Sergey:
The idea of developing our own in-house project has been crossing my mind for a while. So when we have gathered the right knowledge of the market, I think we are ready to deliver smth the community can benefit from.
Mary | Satoshi Club:
When did you start with DeHive Finance?
Sergey:
We came up with the idea of DeHive Finance in February 2020. After 3-days brainstorm with our development team and advisors
Sergey:
Our DeHive provides an economically sound and justified index of the top DeFi assets. Thus, the user will be able to get a picture of DeFi sector development and assess the market health in general. In addition, in contrast to the centralized market tools, in DeHive users will benefit from liquidity mining and yield farming and get an additional profit.
Mary | Satoshi Club:
Wow, it was really fast!
What is your background before DeHive Finance?
Sergey:
DeHive project is developed by us?—?Blaize Tech (http://blaize.tech).
We are a friendly and experienced team of devs with full knowledge of the market. From head to toe. Since we are delivering solutions for such partners as Akropolis, Solana, Remme, Breaker, Celo, Zokyo, and many more.
We actually prepared an article about clue team members behind DeHive Finance:
https://medium.com/dehive/meet-the-team-behind-dehive-7eb4bd545340
The idea of developing our own in-house project has been crossing my mind for a while. And now we are here with DeHive. Gathering the right knowledge of market, financial, marketing and development parts.
Mary | Satoshi Club:
Thank you for sharing!
D. | Satoshi Club:
Nice! wanna find more about DeHive team? You should read this Satoshi clubber
Sergey:
Guys, we are so thrilled we have got so many questions from you. I’ve noticed that a few of them are already described in our Medium, so you can read those articles and find a lot of answers there:
- Tokenomics (staking, yield farming) https://medium.com/dehive/dhv-vs-dehive-index-dehive-tokenomics-preliminary-architecture-4c3eedb2ad50
- DHV pre-sale https://medium.com/dehive/dehive-pre-sale-details-de145474ba3b
- DHV token utility https://medium.com/dehive/dhv-vs-dehive-index-dehive-tokenomics-preliminary-architecture-4c3eedb2ad50
Sergey:
Our team will really apreaciate that
D. | Satoshi Club:
thank you! lots of info about tokenomics, pre-sale, and utility of token! very nice
D. | Satoshi Club:
Thank you for a great intro! I think we are ready to begin the first part of AMA?
Sergey:
Yes, please.
D. | Satoshi Club:
Let’s do this!
Q1 from Telegram user @wahibur04
How could an Index containing tokens in the proportion determined by the economic equation help reduce the risk of price fluctuations, wouldn’t all tokens fluctuate in price later? Then how secure are the user’s assets stored on DeHive
Sergey:
Nice question. First of all, all our indexes are backed by DeFis’ underlines.
Price of the index will grow organically with these underlines. This growth is economically sound through the strong mathematical model in the core of the protocol (driven by smart contract). The model regulates the set of underlying and their accurate weights in proportion.
Possible price fluctuation of each of the underlying can affect the total index price. Yet, when one goes down, the other goes up. Thus, there is a really low possibility that all tokens in the basket will fall as in the case of holding the separate tokens.
As for token storage?—?all underlying are securely stored on the protocol’s contract, attached to the user with no access for the third person, protocol owners, or other members of the community. We apply our best practices gathered on smart contracts audits and defi platforms development to provide the most secure solution.
Mary | Satoshi Club:
Why do you think that the possibility is low?
Which tokens are in the basket?
D. | Satoshi Club:
What happens if one of the assets from the basket, just suddenly stop existing? at the end of the day?—?it’s crypto everything can happen
Sergey:
Thank you for a great questions
We will execute the proposal to change the token through DAO governing and agree with the community for what we should change the underlying that will stop existing
D. | Satoshi Club:
Got it
Mary | Satoshi Club:
Another token from the basket also will be chosen by the community?
Sergey:
This concept is actually behind the whole idea of making an index. We establish the underlying over economical model so that the correlation between behavior of prices between them is minimal. So actually the whole basket is already planned with the minimum risk. As for the actual list of underlying?—?it will be announced soon, once we release the whitepaper with model details. So, be patient and wait for announcements!
Mary | Satoshi Club:
Got it! Thank you!
Sergey:
We plan to issue indexes governed by the platform based on the analysis of our defi specialists. Though we of course will listen to the community! And also, since we plan the platform for customer indexes issuing, the community will also participate in decisions
Mary | Satoshi Club:
Ready to proceed?
D. | Satoshi Club:
Cool, we will be waiting for
Sergey:
Right) of course.
Mary | Satoshi Club:
I am waiting to see, really interesting to see everything in process!
Q2 from Telegram user @yellowchamp
Around Q4 2021, you plan to integrate with Avalanche chain and Polkadot ecosystem and you will initially set up on BINANCE chain from the end of Q4 2021 up to the beginning of Q1 2022. So, what is the reason of integrating in different blockchain? Why do you choose to integrate those blockchains? What advantages did you see from them that bring positive effects to the community, investors, and Dehive ecosystem? Since you are planning in collaborating with Avalanche, Polkadot, and Binance chain, do you already have a negotiation with those blockchains as preparation for integration? Thank you
Sergey:
Yes, integration with alternative chains and spreading the protocol over other chains in one of our priorities. In spite of the fact that the DeFi core is still on the Ethereum, it is obvious that it cannot stay the same. Ethereum is quite overloaded, gas fees are high and there are a lot of alternatives ready to get the leadership in relay race for DeFi space.
As we see now, Binance chain is booming, DeFi is slowly coming to Avalanche, and Polkadot already has a queue of projects ready for launch. Each of these chains has its own cons, so by spreading the protocol into the cross-chain ecosystem we will gather all of them. We have already started the work on preliminary architecture and prototyping for all of these chains, and in spite of early versions, we have already placed them in our roadmap. and all coming cross-chain partnerships will be announced later, as we described in the roadmap.
D. | Satoshi Club:
Why did you choose polka and avalanche exosystems first for integration? i thought bsc is the most popular now, after ethereum.
Sergey:
Actually, we have BSC as the prior integration (obvious reasons
). Polkadot and Avalanche are going right after
D. | Satoshi Club:
Ah okay, understood
Mary | Satoshi Club:
Which projects do you see as your competitors?
Sergey:
We are constantly researching the market, currently, the power pool is one of the strongest, we have released an article about it a few days ago https://medium.com/dehive/why-powerpool-is-not-an-index-a83aa8dae3c5
Mary | Satoshi Club:
Thanks!
I Will read this!
Mary | Satoshi Club:
Ready for the next question or you want to add something?
Sergey:
Yeap, give it to me
Q3 from Telegram user @Highpee
Many are of the opinion that a token burn approach is necessary to ensure a deflationary circulating supply status of a token. However, you will not be implementing a token burn mechanism as you don’t think it will be necessary. Rather, the hard cap supply of your token which is 10,000,000, will be regulated by smart contract. Since $DHV is not an elastic token, how will you use smart contract to regulate supply and maintain the value and valuation of $DHV? Why do you think a token burn is not necessary?
Sergey:
Thank you, this is a very important one. We are familiar with this method for token supply regulation, yet we will not use it. We have chosen the strategy of restraining DHV from the active circulation instead, in order to regulate the token supply. For instance, the user needs to stake a certain amount of DHV while issuing the index. Also, we will allow staking (and therefore DHV mining) within the protocol. You can read more in DeHive tokenomics https://medium.com/dehive/dhv-vs-dehive-index-dehive-tokenomics-preliminary-architecture-4c3eedb2ad50
All of those actions are the common “health economy” strategies we strive to build with DeHive instead of idle token burn.
Mary | Satoshi Club:
So, I will be also able to issue an index?
D. | Satoshi Club:
Smart decision
Sergey:
Yes, definitely. Each user could issue a proposal for listing a custom index. This proposal will be reviewed by the community via DAO.
If enough DHV will be locked?—?a new custom Index will be listed.
The issuer of a custom index will receive part of the yield farming interest.
D. | Satoshi Club:
Btw how many DHV I should stake to issue an index?
Mary | Satoshi Club:
I will vote for your index
And btw, how many tokens should i have to participate in DAO?
D. | Satoshi Club:
Sergey:
This amount will be established by the strong mathematic equation, we will inform the community before the platform launch. pls note, this amount will not be high
Mary | Satoshi Club:
So, wait for Mary and D indexes then
Thank you for your answers!
Sergey:
Surely will!
Mary | Satoshi Club:
Ready to jump to the next question?
Sergey:
Yes please.
Q4 from Telegram user @Beterror203
There is a lot of difference between tokens with a good performance but that these are already listed on the platform and custom tokens in what you call Creation of custom index, my question on what you are based on or how the performance is carried out when a user does The creation of these custom indexes, how do you keep track of their performance in real-time, how much would the% be since the tokens offer different APY / APRs, does your contract have the necessary support to avoid collapsing with all this data?
Sergey:
Performance of tokens in the index means that the price of each token fluctuates and total index performance shows the cumulative price changes of each token according to their weights. (This performance does not influence internal actions within the protocol ecosystem)
We will track the price fluctuation of the whole basket, and the price changes for each of the selected underlying separately using the on-chain data (like Subgraph or Uniswap). We will use those data to create graphs of the price fluctuations and use them to apply the most profitable strategy for yield farming. The APY for yield farming will be also tracked by the protocol.
All the mentioned above is true for the indexes that DeHive platform issues. And actually, that is also true for custom indexes?—?of course, the users who will apply their own models and strategies for index creation may not reach the optimal index model, though they will have the ability to use the same set of tools for performance check as the platform has itself.
Mary | Satoshi Club:
Can i test your platform now?
D. | Satoshi Club:
Great answer, thank you! and I’m very interested to try it myself, to know how it works
Sergey:
The MVP version will be available in Q2, so coming very soon. The project will be delivered anyway since we are putting Blaize company name on it
Mary | Satoshi Club:
Our thoughts are the same)
Great! Will your testers get some advantages?
Sergey:
Yeap, we will definitely make a bug bounty, and we have already allocated apart from company treasury for it
Mary | Satoshi Club:
Great! And also my favourite question?—?what about security?
D. | Satoshi Club:
You mean audit?
Mary | Satoshi Club:
Yes
I feel that I know the answer, but let’s see
Sergey:
We have really advanced in-house auditors in our team, since we are delivering audits for most of the DeFi protocols.
Of course, all of our contracts will pass few audits.
By the way, whole DeHive system is decentralized, so there are no week points that are presented in centralized system.
Mary | Satoshi Club:
Gotcha
Thank you for your answers
Ready to go to the next question?
Sergey:
Yes))
Q5 from Telegram user @lzamg
DeHive is the first DeFi protocol that allows the issuing of custom indexes. Can you guide us through the process of creating custom indexes? Are all the users of DeHive able to access any custom index as easily as with a native index?
Sergey:
The user experience for custom index creation is pretty straightforward. You have to select/import tokens for the index. The user will select his own set of DeFi assets he believes the market misses. Set the weights/percentage for each one. To introduce any custom index, the platform will require a supporting amount of DHV tokens to place an offer. You have to choose one and click “”Submit””. That’s all! Then you will wait for proposal voting in DAO and if it is successful?—?your custom index will be created.
And if you worry about the issue with “scam” tokens or some kind of vulnerabilities in this mechanism, we ensure that the community will be able through the governance mechanisms to check the tokens included into custom indexes.
D. | Satoshi Club:
So community will be deciding which tokens are good for indexes?
Mary | Satoshi Club:
Didn’t you think that you can allow high-risk indexes?
I like to risk sometimes
10000 apy etc
Sergey:
Partialy, the community will take part in voting for the set of underlying for any of the custom indexes
D. | Satoshi Club:
Got it! will you have some guides for not-so-experienced users, which will help them how gather their baskets in a smart way with less risky assets, for the start?
Sergey:
Custom index issuing is one of the features DeHive platform allows. The platform and ppl behind it, (our financial analysts, advisors, and defi specialists) are responsible for our issued (our own) indexes and their economic justification. Custom indexes is the initiative that goes from the community. If the index won’t be useful, it will not just be traded and won’t get the needed volume. That’s it.
Mary | Satoshi Club:
It has sense
thank you!
Sergey:
Sure, we will provide a separate section with all the needed info. Will be available via “docs” button.
D. | Satoshi Club:
Cool! it will be helpful.
Thank you! ready for the last question from part 1?
Sergey:
Of course))
Q6 from Telegram user @JoanaZ
Considering that DeHive allows the users to Exchange their ETH to an underlying asset, can you tell us how many underlaying assets are you able to use? Just based on Ethereum or other chains can work too?
Sergey:
In general, the index does not have any strict regulations regarding the amount of the underlying within it. As long as, we are planning to issue several of them covering different segments of DeFi market, the set of underlying will vary from one basket to another. Therefore, the platform will cover approximately all tokens you can see on DeFi Pulse or whatever.
Answering the cross-chain notion. In our initial plan, the index has the underlying from one chain (either Ethereum or BSC, etc.). Yet, we are currently thinking of implementing a cross-chain index as an alternative feature. This is an interesting idea which we will surely consider a bit later. This is not currently in our roadmap.
Mary | Satoshi Club:
Yes, cross chain index will be really interesting
After testing period when do you plan to go live?
D. | Satoshi Club:
It will be mind-blowing, to be honest
Sergey:
This is a Q3 of the current year. July to be more precise.
Mary | Satoshi Club:
Super! This summer will be hot
Part 2?—?live questions from the Telegram community
Q1 from Telegram user @tuvalunia
You have the pre-sale for DHV token on 24th March, can you share the details with us, please?
Sergey:
hey guys, a lot of question regarding the DHV token and token sale details, find the exact date and price of DHV in this medium post https://medium.com/dehive/dehive-pre-sale-details-de145474ba3b
Q2 from Telegram user @BeaEvolet
I noticed that Dehive incorporates oracles that verify actual cryptocurrency prices, about these oracles were they developed by the Dehive team? Or are they currently associated with any recognized oracles like Chainlink?
Sergey:
Really a lot of it regarding the oracles we use. So yes, safe Oracles will be a part of our system, so we make the choice very thoroughly. We are considering several options. First of all, we think about Chainlink and actually, we had feedback from them. So it is our first option. Nevertheless, we are thinking about our own solution as an alternative option.
Q3 from Telegram user @highpee
I can see that you have gotten the “NFT index” planned for Q4/2021. Most works around NFT have circled around NFT artistic creation, minting, tokenization, and marketplaces but I have seen little or no workaround “NFT index”. Will the NFT index be also pegged to a basket of NFTs like your Dehive Index? If so, how will you be able to capture the economical segments of popular NFT marketplaces to ensure greater profitability?
Sergey:
Hey there, nice qst. We have several ideas connected to NFTs, NFT indexing, and NFT index. All of them will be announced based on our roadmap. Yes, in the first place NFT associates with crypto-art and CryptoKitties. Though NFT technology is already infiltrating DeFi market, it can be perfectly connected with financial instruments like futures and options. And we see great potential in combining crypto-index ideas and non-fungible elements. For now, we plan to keep plans for NFT index in secret, but I think you get the point of our interpretation!
Q4 from Telegram user @AugusS7
You mention that with DeHive “Maximize production”, but really that is achieved by making a small modification in smart contracts and that’s it? or really what is that “most optimal strategy” that they use? other chains could also use it?
Sergey:
Our team in Blaize has great experience with DeFi, secure vaults, yielding strategies. We have great experience with products like strategies constructors, aggregators, and routing. So, when we talk about “most optimal strategy” we actually mean “most optimal strategy” developed exclusively for the chosen set of underlying which back the index. And of course, each chain will have its own individual set of strategies based on the backed tokens.
Q5 from Telegram user @ubuntucoder
How and where do you get the liquidity needed for DHV token to work properly?
Sergey:
We have the reserve for liquidity on Uniswap, as well as investors interested to become the liquidity providers. Also, there is a liquidity mining program for everyone who wants to participate providing the liquidity to selected pairs.
Q6 from Telegram user @JuanSB07
When you enter their official Telegram group and on their website I realized that they like bees and they have a lot of animations about them. So why did you decide to animate and display certain characteristics of the bees in DeHive? Is there a relationship between the way of life of bees and the approach or characteristics of the DeHive project?
Sergey:
this is the nice one
I will try to keep it short. While thinking about the index we came to the idea, that it should be a perfectly balanced set of underlying, compact, and perfectly ordered. And since we base the protocol and strong math models, that should aim you to the hexagons, which are used for perfect spacing and are actually closely connected with crypto and hashing. And hexagons will easily lead you to the bees and their hive, which are perfect metaphors of tokens and index. And yield also sounds like honey, isn’t it?
Q7 from Telegram user @alptrader
There are no swapping option on DeHive ecosystem. Why is that?
Sergey:
You should understand that any swapping in arbitrage purposes which are the core concept behind any AMM-based protocol are subject to speculation. We do not want to go this way and allow for additional risks like impermanent loss or other risky operations for our users. DeHive is aimed to build a stable, low risky and economically justified product to support the health economic strategy.
Q8 from Telegram user @highpee
You have said that USERS could implement a CUSTOM INDEX and if such proposals are acceptably reviewed and voted by the community, such index will become valid. How will the DAO system look like and how will you ensure that this will be democratically done fairly and transparently?
Sergey:
The DAO itself means that system will work in a democratic way. So DAO participants have their voting power and use it for proposal voting. It means that users with a higher stakes and higher reputations will have more impact on protocol and indexes list.
Q9 from Telegram user @JoanaZ
The token distribution shows that 20% of the supply is destined for ” community incentivization, so can you please share with us which are gonna be these Incentives?
Sergey:
This is actually a treasury for bug bounty programs, contests, airdrops, incentivization within the protocol, encouraging for dao and governance, etc.
Q10 from Telegram user @Indomiekuy
I read that Dehive project don’t have a liquidity pool, so can you please tell us what is the use of $DHV token? What is your community possible to do with $DHV in your ecosystem? What makes $DHV token important?
Sergey:
nice question since a lot of projects now have useless tokens
DHV is a native token of DeHive ecosystem. You will need it for initial index issuing, DAO participation, and custom index creation. DHV holders will be able to take part in DHV mining within the platform. You can read more about it in our tokenomics description https://medium.com/dehive/dhv-vs-dehive-index-dehive-tokenomics-preliminary-architecture-4c3eedb2ad50
Part 3?—?Quiz Results
In the final part, we tested your knowledge in terms of Boson. They’ve prepared 4 questions for this part. The total reward pool for the quiz was 300$.
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