BSC.NEWS hosts, Cyclone, the world first cross-chain, yield enhancement, zkSNARKs-based privacy protocol for #DeFi, w/ #decentralized governance #PriFi. All questions answered by bf945 Cyclone Protocol (@bf945)
Crypto Shrimp (AMA Host): Let’s have a warm welcome to cyclone protocol team for a round of exciting AMA at BSC News!
How are you feeling today sir?
bf945 Cyclone Protocol: Great! How are you doing?
Crypto Shrimp (AMA Host): Im doing well, crazily busy day cause of a project migration but now we have an hour to chat and get to know more about cyclone protocol, that hypes me up totally!
bf945 Cyclone Protocol: Perfect!
Q1 Shalle we have a general introduction of you and Cyclone protocol? Could you tell us your role in the project and briefly introduce Cyclone protocol?
bf945 Cyclone Protocol: Sure.
Hello, everyone! Cyclone Protocol is designed and developed by an anonymous team, and I am one of the core developers among them. My name is bf945. I am very happy to host an AMA here today!
Cyclone protocol is the world‘s first cross-chain, yield enhancement, zkSNARKs-based privacy protocol for all DeFi apps, with decentralized governance and fair launch.
the on-chain link between the recipient and destination addresses.
If you haven’t seen it, its website: https://cyclone.xyz/. Please check it out now!
It is currently available on BSC and IoTeX chains.
I am done with this question. Thanks!
Crypto Shrimp (AMA Host): side question, how big is the team actually ?
bf945 Cyclone Protocol: around 10 people.
spread out from everywhere in the world.
Crypto Shrimp (AMA Host): thats a big team.
bf945 Cyclone Protocol: Yes. give us power to move fast! 🙂
Crypto Shrimp (AMA Host): Btw some might ask what is zkSNARKs? care for an abbreviated version of it?
bf945 Cyclone Protocol: full name: Zero-Knowledge Succinct Non-Interactive Argument of Knowledge
it is zero knowledge proof of something at your hand
We may write a blog to introduce it next time. 🙂
Crypto Shrimp (AMA Host): this is literally the basis of cyclone protocol’s transaction privacy
bf945 Cyclone Protocol: Yes.
Crypto Shrimp (AMA Host): that will be great too!
Q2 Why privacy is important in DeFi? What role does Cyclone protocol play in the whole DeFi world?
bf945 Cyclone Protocol: Users’ transaction history and account balances are public on the blockchain. All transactions can be seen on block explorers like Etherscan. It is easy to figure out a user’s asset holdings, transaction records, source of funds, etc.
There are also DeFi specific explorer like debank, which can easily unveil all users DeFi holdings. So how can we protect the privacy of these transactions? Cyclone is here to help!
We envision that Cyclone will be a privacy layer for all DeFi protocols. Users could enjoy the benefits of various DeFi protocols, under the protection of their privacy by Cyclone protocol.
Let me use an analogy. If DeFi is considered to be “banks” in decentralized world, Cyclone protocol would be “Swiss Banks” that protect the privacy of its clients while providing them with high quality decentralized financial services.
I’m done with this question. Thanks!
Crypto Shrimp (AMA Host): oh wow take my money already swiss bank!
bf945 Cyclone Protocol: hah. yes.
Q3 Let’s find out about the token economy for $CYC.
bf945 Cyclone Protocol: While the Cyclone Protocol is an anonymous protocol that protects transaction privacy on multi-chain, the CYC token can be seen as an unified pass for anyone using this protocol, which is designed to effectively motivate anonymous providers, liquidity providers and users.
CYC is NOT pre-mined or pre-allocated. Those that contribute to Cyclone will earn CYC.
The total supply of CYC is capped at 50,000, based on the voting result of Governance Voting #2. The current circulating supply is around 6000.
There are two ways of mining, Anonymity Mining and Liquidity Mining.
Anonymity Mining: Coins/tokens are rewarded to ones who deposit coins/tokens into anonymity pools and keep them there for a while.
Liquidity Mining: CYC is rewarded to users who provides liquidity for CYC on DEX (Decentralized Exchanges).
The use of CYC tokens consists of
Use Anonymity Pool: when one uses the anonymity pool to gain privacy, a certain portion of CYC will be burned.
CYC holders are entitled to govern the Cyclone Protocol.
I’m done this with question. Thanks!
Crypto Shrimp (AMA Host): thats a great explanation of how things work! so when does is the supply completely supplied?
bf945 Cyclone Protocol: based on current pace, 2-3 years.
Crypto Shrimp (AMA Host): nice pace too
bf945 Cyclone Protocol: We may propose to reduce the pace to allow longer time mining.
Q4 Does Cyclone protocol have decentralized governance? How does it work?
bf945 Cyclone Protocol: Yep. That’s my favourite question.
Cyclone governance is inspired by the Compound Governance Model. Cyclone will be governed and upgraded by $CYC token holders using three distinct components: the CYC token, governance module (Governor Alpha), and Timelock. Together, these contracts will allow the community to propose, vote, and implement changes towards Cyclone. Proposals can include changes like adding support for new assets, optimizing current token pools, adjusting $CYC’s minting/burning rates, and more.
bf945 Cyclone Protocol, [8 Apr 2021 at 10:21:33 PM]:
We estimate the governance DAO will be activated in Q2/Q3 2021.
The following rights are entitled to CYC holders:
– Which blockchain to support next
– Launch a new anonymity pool with a certain asset
– Update parameters of an existing anonymity pool, e.g., CYC to mine per day
– Launch a new liquidity pool
– Update parameters of an existing liquidity pool, e.g., CYC to mine per day
– Other token economics of CYC
So far, we have done two governance votings so far. Details are here: snapshot.org/#/realcycloneprotocol.eth
Let me post a snapshot of snapshot:)
Crypto Shrimp (AMA Host): haha that will be great
bf945 Cyclone Protocol: More are coming.
We really encourage all token holders to participant in the governane!
done with this questions, thanks!
Q5 Do let us know in general how privacy is achieved in Cyclone protocol
bf945 Cyclone Protocol: Sure.
Cyclone is simple — a user deposits cryptocurrency into a pool and later withdraws from the same pool, which obfuscates the deposited tokens’ history. For deposits, the user sends a “secret” in the form of a hash (called a commitment) and the deposit amount to the Cyclone smart contract. The contract accepts the deposit and adds the commitment to its list of deposits.
Later, when the user decides to make a withdrawal, they provide proof via the same secret via an unspent commitment from the smart contract’s list of deposits. zkSNARKs technology allows this to happen without revealing which exact deposit corresponds to this secret.
The smart contract checks the proof, and transfers the originally deposited funds to the address specified for withdrawal. An external observer will be unable to determine which deposit this withdrawal came from.
From the explorer or asset tracker website, users are seeing broken links between depsoits and withdraws. All assets are in privacy mode after Cyclone protocol.
Thanks. done with this question
Crypto Shrimp (AMA Host): wow this is really anon to the next level.
bf945 Cyclone Protocol: exactly
Crypto Shrimp (AMA Host): is there a way to check on the project’s end to find out about the transaction?
bf945 Cyclone Protocol:
nope.
That’s where the ZK comes from.
You prove what you have without showing it.
Crypto Shrimp (AMA Host): i see so another perspective from end user, what if i lose that proof to show that its my funds, what will happen ? for withdrawal
bf945 Cyclone Protocol: There is a note when users deposit. That can be considered as “private key”. If one loses it, they also lose their fund, unfortunately.
So please keep secure back up of the note just as backing up of your private keys.
Crypto Shrimp (AMA Host): i see that is really important and im sure the team will keep reminding the public that no one will ask them for the keys too
bf945 Cyclone Protocol: Yes. when people deposit, the web app auto-downloads a note file to users desktop computer. Also, people need to copy and paste the note to verify they have back up.
Crypto Shrimp (AMA Host): ahh thats a great way to help the users as well
Q6 Anonymity mining was mentioned earlier and it is very interesting. How does it actually work and increase anonymity of the pools?
bf945 Cyclone Protocol: There are two versions of anonymity mining. At the time when Cyclone protocol was first launched on IoTeX, V1 was introduced. Currently, in v2 we redesigned the anonymity mining to achieve the following two properties:
1. The number of CYC mined is proportional to how long one locks one’s asset in the pool – the longer the asset stays in the pool, the more CYC anonymity providers obtains;
2. Enforce the life span of each anonymity pool (usually 90 days) to encourage anonymity providers to shuffle their assets and deposit into a new pool, to further improve the degree of privacy (since a pool with many long-term deposits but lacks short-term deposits/withdraws offers very limited degree of privacy).
Thanks to the second property, anonymity can be largely increased because of the dynamic sizes of the pools.
Unlike other projects, we would like to see the funds moving around different pools to increase the anonymity of the pools.
Thanks. done for now.
Crypto Shrimp (AMA Host): yes moving it constantly will defnitely increase the anonymity
Q7 how is cross chain being achieved? how can a user convert the $CYC holding to other chains?
bf945 Cyclone Protocol: Two parts of cross chain in Cyclone protocol.
First, the $CYC token is cross chain. Cyclone team is partnering with ioTube, developed by IoTeX core team, to make CYC a cross-chain asset across Ethereum, Binance Smart Chain, and IoTeX.
Users can move $CYC across the three chains. More chains may be added later.
Second, Cyclone protocol is working on cross-chain yield farming, where users can use their funds on one chain to gain rewards from a protocol on another chain. This is very interesting concept! More details will be shared later.
done for now. Thanks!
Crypto Shrimp (AMA Host): indeed cross chain earning thats really new!
Q8 How are security being taken care of in Cyclone protocol?
bf945 Cyclone Protocol: We attach great importance to the “security” and “privacy” of Cyclone Protocol, and are committed to launching it with high standards and high security.
Smart Contracts
The smart contracts of the entire project are completely open sourced, and we welcome everyone to review. For professional auditing, ChainShield has completed their auditing with a report shared at docs.cyclone.xyz/audit The report shows no major issues. Another audit report by Slowmist is being prepared at this moment. No major issues are found so far. We will release it very soon.
Done. Thanks!
Crypto Shrimp (AMA Host): this is great im sure with good security and ultimate privacy, people will feel safe and secure using cyclone protocol
Q9 What are the future development or vision for Cyclone protocol?
bf945 Cyclone Protocol: We are actively developing the protocol.
The current big next version is Cyclone V3. The team is working very hard to bring V3 live.
There are a few important updates in V3,
1. Ethereum support – the most wanted feature in the community
2. Ethereum based asset pools,
3. New assets based on governance voting.
4. Yield farming based pools – Not only CYC is rewarded, but also yield from other protocols.
These will be introduced in V3.
Besides, we are also investigating privacy stablecoin. More details will be shared later.
Done. Thanks!
Crypto Shrimp (AMA Host): those are huge development!
Q10 Share with us all the links about Cyclone Protocol, so that readers can find out more and also follow the development of the project.
bf945 Cyclone Protocol:
Sure!
Official website: cyclone.xyz/
Telegram: t.me/cyclonegroup
Twitter: twitter.com/cycloneprotocol
Blog: cycloneprotocol.medium.com/
Github: github.com/cycloneprotocol
Ok. just re-pasted to have a better format.
Done. Thanks
Crypto Shrimp (AMA Host): i like the neat and tidy too ! haha
Q11 Lastly our favourite question, do you have any alpha or juicy news for us in BSC News today ?
bf945 Cyclone Protocol: Yep. V3.0 sounds like it has a long way to go; but it is actually at the corner of launching. It is now under final internal testing. We will release the news very soon.
done. thanks!
Crypto Shrimp (AMA Host): thats all the questions from me today @bf945, you have been a wonderful speaker and also taught us alot about cyclone protocol! Hope you have enjoyed yourself as well!
bf945 Cyclone Protocol: Thanks @cryptoshrimp5 !
Source : bsc.news
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