Host Cindy:
Great pleasure to be here with Lei, CEO & Co-Founder of Kine Protocol.
Today’s AMA is divided into 2 parts. First part is presentation. Lei prepared a sufficient content to talk about Kine Protocol.
Then in the second part, we collected some questions from enthusiastic community members. Our guests will answer them one by one. Participate in this issue of BSC Project Talk #DeFi-Kine Protocol will get a chance to share $1000 Giveway.
Lei:
I am Lei, the co-founder and CEO of Kine protocol. Before creating Kine protocol I was in charge of huobi’s institutional business and prior to that I worked in several investment banks heading the derivative trading technology in London and Singapore, most of the Kine team has started working with me since then.
Kine Protocol is a new, decentralized derivatives protocol delivering a fast, transparent, and effortless way to trade derivatives on Ethereum, BSC and Polygon.
Our $7M financing round led by Alex Pack and Naval Ravikant, with participation from Ascensive Assets, OK BlockDream Fund, CMS Holdings, Spartan Capital, Blockchain Capital, NGC Ventures, Origin Capital, Bixin Ventures etc.
Here is what the product looks like
The key feature of Kine protocol includes:
Index-based execution: all trades are executed at real-time price indices with up to 100X leverage
The liquidity pool is over-collateralized by digital assets and act as the ultimate counterparty for all traders
Liquidity pool provides unlimited liquidity, removing order books
Traders enjoy zero-slippage and one-stop market exposures.
Stakers funds liquidity pool and rewarded by fee incomes and token incentives
Support cross margin and isolated position to maximize capital utilization
Besides the trading experience it also allows Kine to almost list anything (equity, commodity, forex etc.) with stable price feed and not limited to crypto asset
Multi-chain support across Ethereum, bsc and polygon
Peer-to-pool may be new to defi, but it’s widely used and pretty mature for CFD trading in traditional financial world, we are glad to bring the ultimate trading experience to defi users powered by more advanced liquidity solution compare to order book based and AMM.
On asset security side: Kine is audited by peckshield, and it’s security has been proven by time — we have been safely running on Etherum for 7 months, BSC for 4 months and Polygon for 1.5month, time provides the best guarantee for safety whenever we see an attack event of other similar protocol happens on each chain, we carefully review kine’s mechanism against it and run attach simulation, so far all attacks we know of doesn’t work on kine.
Kine was first launched on Ehtherum in March, subsequently launched on BSC back in June and we recently launched on Polygon in September too.
Here is the operation data we have achieved over the last 7 month:
We accumulated $25B in trading volume and our 30 day active users has reached a new high close to 8000.
Up coming developments: in Nov we plan to start supporting non-crypto assets including Equity index (S&P 500, NASDAQ, FTSE 100 etc), top 5 FX paris e.g. USD/EUR, USD/JPY etc and Gold/Silver future trading.
Also by end of 2021 we will launch v2 product mainly enhance user experience furture, please follow us on below channels to news and updates about Kine.
Mainnet: Kine.io
Medium: medium.com/@KineProtocol
Twitter: twitter.com/KineProtocol
TG: t.me/kineprotocol
TG announcement: t.me/kineannouncement
Discord: discord.com/channels/808619727609266177/814115721340387349
That was a quick product intro, shall we move to the next phase.
Host Cici:
Great!
Thank you for sharing. I think some guys get many inf via Lei’s sharing. Next part will be the questioning part.
Before the start of the BSC Project Talk #DeFi, we have collected a wide range of questions on Twitter/discord. For some questions submitted by some community members, let’s invite Lei to answer .
Q1. Compared with other Derivative Markets, Kine use Peer to pool, what do you think is the advantage of this model over other models?
Lei:
Kine is built with peer-to-pool mechanism which allows us to provide unlimited liquidity, 0 slippage and immediate execution and support over 100x leverage for traders without the restriction of market maker or order book.
I believe Kine is the first protocol provides 100x leverage on DeFi.
Kine uses a hybrid approach which allows gas to be only consumed for staking and margin transfers but not for trading activities.
Dydx adapts the similar hybrid infrastructure, except the liquidity is still based on orderbook and needs active market maker support, it solves the gas fee problem but liquidity and slippage is still a big issue for them. I believe with our success, many more solution is going to follow our footstep soon.
Host Cici:
Q2. What is the missing engine in the derivatives market?
Lei:
Compare to spot trading, it was lot harder to attract derivative traders to DeFi because derivative trading activity is much more frequent and normally with high leverage demand and it’s very sensitive to network latency and gas cost. Pervious project either cannot support high leverage or trading cost is significantly higher. Kine has provided solution to above issues and hence we attracted so many users moving from CEX to DEX.
Latency — kine has built high performance oracle and the latency is at same level (< 100 milliseconds) of top CEXs, we are able to support 10000+ traders to trade simultaneously and we can support 4000+ TPS.
Gas cost — kine’s hybrid solution ensures asset security as well as removes all gas cost for users.
Leverage — the more advanced liquidity model supports up to 100x leverage which is also comparable with most CEXs.
Host Cici:
Q3. Is there any new plan for Kine Protocol in the product and market?
Lei:
It’s the treasury fund to reward community for staking and trading activities.
Recently, we are working closely with BSC ecosystem and partnering with projects on BSC together to build the best financial environment for users.
Product wise we are working on v2 to enhance trading experience e.g. integrate popular trading strategies for beginner to trade like professionals and working on supporting non-crypto asset trading as mentioned before.
Market wise: our South Asia and middle east market expansion has started by working with local institutions and KOLs.
For BSC community: Community airdrop campaign for BSC users is in progress.
Please check twitter for the detail.
Host Cici:
Q4. Kine will have a “Multiplied Staking Rewards System, where staking rewards are comprised of both trading fees from Kine Exchange and token distributions from the Kine Ecosystem Grant”. Can you tell us more about this reward system and how does it exactly work?
Lei:
70% of the transaction fee is distributed to stakers as liquidity reward. KINE token holders receive a dedicated share of fee pool, allowing higher return than other collaterals.
Trading fee revenue from Kine. Exchange is used to buy back KINE token and being distributed as rewards.
40,000,000 KINE tokens (40%) is for Ecosystem Grant which with the mandate to grow and promote Kine Ecosystem thourgh liquidity mining and trading mining (to start)
Host Cici:
Q5. The core highlight of the Kine protocol design is infinite liquidity and unlimited trading varieties, which guarantees transaction speed, supports higher leverage and higher frequency experience. Do you put the user experience first when designing the product?
Lei:
Short answer is: Definitely yes.
We are a bunch of engineers who loves trading, many are excellent traders, we have been in the derivatives business for years. We are excited to bring our deep expertise across traditional finance and the crypto-native centralized trading platforms to the world of DeFi.
During our crypto trading, we are not satisfied with the previous DeFi trading environment, we identified a lot of issues affects our trading experience: lack of liquidity, low leverage, slow execution, high gas fee with cross margin support, latency, asset security…..
Eventually instead of waiting for an ideal platform to be built to come to existence, we decided to create one for ourselves and everybody who loves trading. Especially with the raise of DeFi, the timing was perfect for us to do so.
We are luck to have so many users who loves our creation, it is also what motivate us to keep moving. most of our V2 design came from community feedback of their own trading experience.
We are prepared to keep doing so, your participant and support is the most valuable asset for us. I love working with the guys who share the same passion, day or night as soon as we hear feedback that’s interesting, we sit together design solutions, nothing is better than that.
We are proud of what we have achieved and welcome everybody to try Kine and give your valuable input, thanks all for listening and bring so many quality questions.
Host Cici:
Thank you for participating in the “ BSC Project Talk #DeFi-Kine Protocol.
BSC Project Talk #DeFi is finished. Thank you again for your time and listening, we will see you in the next issue.
Source : bscproject.medium
