LP Wars start. 2023 goals.
An honest and informative blog on our next steps. The small ones and the big ones. The Bride's katanas have been sharpened during almost two years of Alpha build-up of Kalmy App – time to start moving to Beta and slowly start using the weapons.
LP Wars test launch.
We are starting the following week, around January 16-19th. In short, this means new LPs that auto-compound non-KALM rewards (like CAKE) and trading rewards. For more details, refer to our previous blog and/or vote descriptions.
The test would consist of monitoring and balancing out tokenomics (if needed), collecting feedback from users on UX/UI, and collecting feedback from projects participating in LP Wars.
The initial test fee value for performance (auto-compound) is 3.5% (i. e. $3.5 on every $100 earned from trading fees and token rewards). The initial exit fee value is 0.25% (to avoid front-running auto-compound events).
We believe these values are better than the competition's in a relevant segment but would closely monitor the activity and feedback on these during the first two weeks.
The process itself would not be any different from current KALM LPs, just more LPs themselves. But we will make sure to be in chats and help new users on the launch day and clear up all the possible questions!
Related: Tokenomics. A new round of KALM emissions reduction.
Net independent change: -104.1 KALM/day
All LPs: 1075 (+75) -> 1150
Single stake BNB/FTM/AVAX: 291/241/241 (-51/-1/-1) -> 240/240/240
NFT wars: 500 (-25) -> 475
Lending BNB: 32.9 (+2.1) -> 35
Borrowing BNB: 131 (-31) -> 100
Lending BUSD: 100 (when resumed -25) -> 75
Borrowing BUSD: 147 (when resumed -47) -> 100
*All bonds to go to 500 minimum and 2000 maximum/day, old logic of burns and daily step changes (based on the number of daily bonds purchased).
The full tokenomics transition will be completed by the end of the next week after the full launch of the LP Wars test phase. With time and the growth of various parameters such as liquidity, mcap, and TVL (and relative cash flow), we plan to continue to reduce KALM inflation and increase KALM treasury balance with regular buybacks. The burns would still happen (we are entering this year with 16% of the total supply burned).
The honest part: goals and vision. Part 1: Omni/multichain.
Our vision remains the same – create interoperable DeFi protocols, empower them with NFTs, and make it all fun for the people of KalmLand. This is a complex goal with a lot of sensitive parameters due to many protocols and NFT elements being involved. Therefore, we can not promise a specific order on most updates. We could not describe details on certain parts of the roadmap. We could not guarantee that all of the mechanics under each direction would be integrated.
But we can promise a constant pipeline of updates and development, just like we did every day during these last two years. The priority is always being the balance of Kalmy ecosystem and long-term health of KALM tokenomics.
On all of the chains. We are hearing great news from our partners about a deep liquidity development for multichain stableswap. As promised before, once this block is publically available – KalmySwap development towards swaps between any EVM tokens will start.
With BNB Chain being our home, we are dedicated to promote it's benefits and expand to more classic EVMs as Polygon and L2s as Arbitrum. Our dream and commitment is to sustainably mix in all EVMs on Kalmy for both DeFi and NFT most popular products, interconnect the best projects on each chain, and become a universal host platform for all relevant EVM innovation.
Let's see how we could do, starting with KalmySwap and multichain Wars (both for LPs and NFTs).
Part 2: Multi-votes update. Becoming "more DAO".
Our way of DAO is a slow and sustainable transition towards community ownership of all Kalmy ecosystem's elements. We have already started with part of emissions being controlled by KALM holders: NFT Wars.
The next step is more votes. Multi-votes is the idea where eventually all the emissions on the platform are decided by the KALM holders. We have quite a few products and are aiming to have more. Some products might be more interesting, some might be more "predatory" (think stablecoins farming).
Our promise is to protect "long-term focused" Kalmarians from the exposure to centralized hardcoded emissions on a product that is either predatory by its nature or is not letting community grow further in a healthy way.
This means that slowly, step by step, we are heading towards a one giga-vote where every single weekly KALM emitted within a hardcoded schedule would be directed to all Kalmy App products based on the vote results (KALM in wallet, KALM staked, KALM locked, KALM in LP).
We don't know when exactly this would happen – the core team's goal is to ensure healthy and very diverse distribution of token combined with more available explanations to Kalmarians on how each final component of Kalmy is interconnected in terms of the tokenomics.
But yeah, we are getting there.
Part 3: *sounds of excitement*. Synthetic assets.
Since day 1 we were dedicated to bring the real-world assets to Kalmy App ecosystem. This is because we believe DeFi has technical capacity to facilitate a part of traditional economics, especially the retail trading. Around 3 months ago we have started contributing to group development of such assets, that are currently include stocks (as Tesla), metals (as XAU), commodities (as oil brands), indexes (as S&P500), and more.
We can't wait to share more details on this update whenever our partners decide they are ready to do so. The progress on this would depend a lot on market's average liquidity profile and the specific integration with Kalmy would depend on our progress within LP Wars specifically.
It is fair to expect a lot of very pleasant surprises from this co-operation within the next 3-4 months. For now, the tests and scenarios simulations are taking place in our underground DeFi labs. NFA.
Part 4: *sounds of more excitement*. Perps (leveraged trading) exploration.
Within further KalmySwap development R&D, we are looking towards adding more popular market features that have proven their fit within last bear season. After KalmySwap update and the addition of synthetics support, we would be looking at perpetual contracts with leverage features with GMX-like simplified logics.
While this is a longer term goal with ETA of development attempt around September/October, it is clear that there is a strong fit within Kalmy's ecosystem for such a product. After completing Leverage v2 for yield farming and more basic features for KalmySwap as limit orders, we would start final considerations for adding such product to our ecosystem.
As with other R&D stage projections, the form, timing, and finality would all be dictated by KALM numbers health and sustainability. Regardless of the outcome, with KALM you are long-term betting on the entire spectrum of DeFi tech versus a single protocol. So, that's something.
Part 5: NFTs. The favorite of many. The most complex one.
This one is simple. And not. Our NFTs (the entire BNB Chain) are as strong as our innovation and adoption levels. As we have numerously discussed and confirmed with NFT Wars – "we are fully committed to" make BNB NFTs great.
As our DeFi parts are growing and getting stronger both within and outside BNB Chain, we would be carefully adding NFT use cases to each of our mini-protocols. From yield boosts to trading fee discounts, the popular (KALM vote based) NFTs would have numerous reasonable perks across the ecosystem.
And don't forget about our NFT fundraiser! If market gets active, your NFTs could become keys to mini-IFOs.
Opportunities are truly endless but they all are only as meaningful as the level of Kalmy ecosystem's adoption. We would do our best to keep pushing the BNB NFT culture, mixing it in with other chains, and provide the coolest updates possible; but we would also ask the community to be patient on this part as this is a very labor-intensive task to move an entire sector of the chain forward.
Good news – we have amazing partners, growing community and 1/1 advisers for our NFTs. Overall, NFTs are the biggest mystery on this goals list for 2023 (including for the Kalmy Core team).
Part 6: Vauts... And bribes? WOM? KALM Convex? Anyone?
We understand that during Beta phase of Kalmy App the platform's activity could go either way. While we always prefer to be conservative in our expectations, we as well realize that LP Wars and Auto-Compound Vaults with a better competitive tokenomics could result in various KALM tokenomics scenarios. Yes, these are a very low risk products.
With that said, we just want to note that we are mentally prepared for introduction of bribes and/or Convex-like products to our ecosystem. Just a note to make sure that in any future token distribution scenarios our team is prepared to address vote-related bottlenecks. And hell that might be fun.
The vaults themselves would likely follow the logic of LP Wars. An example would be an auto-compound CAKE for CAKE staking pool with KALM rewards on top based on the weekly votes. The protocol earns from a similar fee structure as the LPs. We would as well support Wombat LPs/vaults. Thinking about this is honestly scary (in a good way) since that would formally mean Kalmy entering WOM Wars. But let's just wait and see. As always, step by step.
Part 7: Improving UX and UI. Oh, it's time. We just need to do that.
Our UI is like "Ok". Not too bad but far from the best on the market.
By the end of the winter season we would try to address the complexity of some pages as Leveraged farming. We are as well finalizing a remake of a very outdated main page (not the KalmySwap but the "Home" one). We would focus on rethinking menu towards more intuitive and simple experience.
And, of course, cosmetic changes. A bit of modernization, refreshing old Kalmys to the PFP ones, individual blocks overviews. A very annoying yet crucial checkmark for a long run. After all, not all the "goals" on this list have to be exciting.
Part 8: Conclusion.
Some of the goals are not mentioned (as Leverage v2 or updates of any other existing products). To put this simple – all of our products would go through regular reviews and reasonable related updates (as optimization or support of new liquidity sources) are to be expected.
Now, we understand that for daily traders this goals list might be... A bit disappointing. The order is unclear, timings are vague. Event-based trading task level: impossible.
At the same time, we hope this blog has given a lot of inspiration to our core community and long-term investors. Our dedication is only growing, the Kalmy's base is getting stronger and we are very happy to articulate and communicate our long term vision with all the Kalmarians in this blog. Now, time to work.