Thank you to everyone who joined AMA Blockelite x Liquidify on 9th June at 10:00 AM UTC I 05:00 PM (UTC+7). Here is the recap for those who missed this AMA.
Our special guest today is Liquidifyer – Community Growth Manager of Liquidify, Mr. Yuval – Chief Community Officer of Liquidify
Segment 1: Introduction about Liquidify and Liquidifyer – Community Growth Manager of Liquidify, Mr. Yuval – Chief Community Officer of Liquidify
Q1: Can you briefly introduce yourself as well as about Liquidify?
Liquidifyer – Community Growth Manager of Liquidify: This is a very simple summary about our project idea
about our team:
⦁ Our team currently consists of 20 professionals, all with long-standing experience in technology, finance, and crypto. Among them is a champion from the Google Coding Competition, winner of a DoraHacks Hackathon, as well as a number of team members with work experience in Fortune 500 companies, such as Microsoft, IBM, Alibaba, and Google. The executive team of five people has a combined experience of 60 years in technology and 20 years in the crypto market.
About myself, I am the international community growth manager of the project with more then 10 years experience in event and community management, I personally got myself into the crypto space around 2017, and since then I am heavily invested, since I believe in the growth and adoption of future technology
and i am from germany ^^
Now i want to introduce about our project:
To summarize: Liquidify is a decentralized protocol that is designed improve the liquidity and growth potential in long-tail crypto assets (assets with low liquidity, low trading volume, and low market capitalization). Long-tail crypto asset holders can collateralize their assets through the Liquidify asset pool. The liquidity accelerator synthesizes all assets placed into the Liquidify asset pool into a fixed total amount of Liquidity Accelerator Tokens (LAT) and Liquidify Tokens (LFY).
The main functions of our protocol include:
2 tokens: LAT and LFY, What role does it play?
Liquidity Accelerator Token (LAT)
LAT tokens track the combined prices of all long-tail assets collateralized via the protocol, plus speculation and utility value. Since the total amount of LAT is fixed, and the price-determining parameters include the volume of Liquidify’s long-tail crypto asset pool, it means that a larger asset pool will theoretically increase the LAT price.
An example: the total supply of LAT is 45 million. If we have 45 million worth of assets locked in the pool, then the value of LAT would objectively be 1$ per LAT, not considering any speculation. Now if an additional 45 million worth of assets enters the pool while LAT supply cannot be increased, then the value of LAT would be 2$. There is currently over 70 BILLION worth of assets locked into DeFi applications.
if the LAT token comes any close to the top 5 defi competitors, it will look like the following graphic
So if You invest in LAT this year, next year it will look like this
about the LFY TOKEN:
Liquidify Token (LFY)
LFY is the Liquidify protocol governance token. Token holders can exercise their own voting rights in the Liquidify governance system or delegate tokens to others for voting purposes. Any token holder can participate in Liquidify’s governance. As long as a user holds 1% of tokens via personal ownership or delegation, they can initiate governance proposals, including those that posit changes to the long-tail crypto asset pool allowlist, asset pool portfolio weight ratio, lock-up incentive policies, transaction fees, and other protocol-related parameters or variables. It is even possible to propose changes to the basic infrastructure of the protocol.
LFY won’t be sold and can solely be obtained through synthetization mining, by locking up assets into the Liquidify asset pool.
Q2: “Liquidify – The world’s first Liquidity Accelerator for Long-Tail Crypto Assets”, can you give us more specifics products do you building? What solutions can Liquidify bring to users, and will it be useful in the future?
Liquidifyer – Community Growth Manager of Liquidify: When we look at the crypto market today, it is pretty obvious from looking at Coinmarketcap that the concentration of capital and liquidity is very significant. Bitcoin alone as the leading asset currently makes up over 50% of the whole market capitalization of cryptocurrencies (and up to 70% at times). Probably way over 90% of capital is currently concentrated in the Coinmarketcap top 100. So this is what we call the “head” of the market, mainstream assets.
But what about the other 8000+ assets currently listed on Coinmarketcap? Those form a vast “graveyard” of largely forgotten assets and small-cap coins, which we call long-tail crypto assets. Many crypto users are still “hodling” these assets, sometimes because they still have faith but often also because they are simply not able to sell as there is no liquidity. This means that there is still a lot of potential in such assets in terms of community resources.
So how is Liquidify going to solve this?
The idea stems from the traditional finance industry, specifically how non-performing loans were restructured in many Asian economies after the Asian crisis of the 1990s. Typically bad loans were repackaged together with high-quality loans to make them more attractive and then resold to investors and institutions.
Liquidify will do something similar with crypto assets, we will allow people to lock up long-tail assets and also mainstream coins according to different valuations and receive LAT (our protocol token) and LFY (governance token) for that. We call this synthetization/collateralization mining and the architecture in which this happens is called the “liquidity accelerator”.
by combining long-tail assets together with mainstream assets into a single asset pool, an index can be formed and the liquidity of all the assets within the pool can be combined and thus greatly increased. Instead of trading many small illiquid assets, users can trade LAT which represents many small-cap assets plus some selected mainstream currencies.
but as you can see our idea of the project is unique , and validated in traditional finance markets ! 🙂
Q3: DeFi, Staking and Yield Farming are hot topics right now in our Crypto Space. What are long term plans of Liquidify for support these topics?
Liquidifyer – Community Growth Manager of Liquidify: Of course we gonna be involved in those hot topics and offer our community a variety of services,
It will be definitely possible to stake LAT Tokens for a fixed annual return. Yield farming will also be included in the future, LAT will be used in a DEX for yielding a return, this is just a side option, to go with the current trends.
But its not the main goal or focus of our project! we are of course also flexible to our community proposals and the current market trends
The community can also take influence in the decision making of the project, with their voting rights issued by the LFY Tokens.
Q4: Are there any conditions or barriers for projects and users to join the Liquidify ecosystem? And when will your platform be officially launched for users?
Liquidifyer – Community Growth Manager of Liquidify: Regarding supported tokens/projects, we will have an allow list initially to determine which tokens can be accepted. We have already seen lots of interest from projects contacting us and asking about possible cooperation, currently we are screening for the best options.
since we are still in a early stage project, its the perfect time to join us, The project beta will be launched later within this week or the beginning of the next week.
Blockelite Host: Everyone can join it, right?
Liquidifyer – Community Growth Manager of Liquidify: Yes, all the supported tokens will be able to be “liquidified” in our code from next week on!
you deposit your tokens and receive LAT
which is the crypto gold of the future 😉
Q5: What is the biggest business scaling problem you believe Liquidify could face in the future and how will you try to solve it?
Liquidifyer – Community Growth Manager of Liquidify: Liquidify chose to initially build its protocol on the Binance Smart Chain (BSC) and Huobi ECO Chain (HECO). Compared to the Ethereum public chain, BSC and HECO are more suitable for the technical development and business expansion of the Liquidify protocol in the early stages.
Of course, BSC and HECO are only Liquidify’s preferred public chains in the initial stage. Liquidify protocol is blockchain agnostic, which means it is not limited to one specific chain or ecosystem. In the future, the Liquidify protocol will be available on Ethereum, Polkadot, and other major chains.
So to summarize that, there wont be any scaling problem, since we are able to move our freely to any new chain 🙂
Segment 2: Twitter questions
Q1: I want to have a LONG TERM INVESTMENT with Liquidify , but I’m in doubts right now, how can you convince and assure me this project is SAFE and PROFITABLE?
Liquidifyer – Community Growth Manager of Liquidify:
Liquidify is a decentralized project, funds are not held by the project team or by any centralized custodian but in the smart contract. This limits the risk of centralization but we recognize that this introduces a different kind of risk, which is the security of our smart contract. To guarantee user safety, Liquidify will get a smart contract audit by a leading smart contract auditing firm such as Consensys or Quantstamp.
Very simple, as Liquidify will combine many different assets into one index with LAT issued as index token, it means that LAT holders are significantly less exposed to the risk of one single asset dropping in value. For example, if there are 50 different assets in the asset pool and 1 of these assets drops to zero, the actual impact on the LAT price will not be significant. Moreover, the special feature of Liquidify is that it will combine BOTH long-tail assets AND mainstream assets into a single contract, which also significantly lowers the risk of a single asset dropping in value, while also improving liquidity by a lot.
Q2: It’s easy to make a token but it’s really hard to make this token valuable? So what’s your startegy to make your token more valuable and what’s your plan to maintain token price and supply?
Liquidifyer – Community Growth Manager of Liquidify: Yes thank you for the big participation in the twitter segment by the way
This question is kind of similar to the previous one, since the Supply of LAT token is fixed and the biggest percentage of assets is tied up to the top 100 performance coins of the whole Crypto market. The Value of LAT token raises automatically with the market. Plus the amount of value stacked into the protocol and the speculative aspect.
And since the crypto market is constantly raising in the long-term value since years, what better long-term project would be there to invest in, better then Liquidify?
personally i dont know any ^^
I am all in on Liquidify 😉
Q3: Community is critical to the long term success of any project. Did Liquidify take into account community feedback when building the project? How can community get involved in Liquidify project and events?
Liquidifyer – Community Growth Manager of Liquidify: thanks for this good question, community appreciation is very important to achieve any long term goals.
Since then we invented the LFY token which I already explained in segment 1, which will be directly used for any kind of community voting’s and decision making. It works similar like in a traditional stock market company, where people, who buy and hold their shares also can participate, in the future decisions of the company.
We also opened up all sorts of community channels on every important social media app or website (facebook, reddit, TG, twitter,..etc) to always be open for any community advice.
All the channels are linked up in our community on Telegram
Q4: Community support is one of the biggest aspects of a project’s success, Most projects have programs that interact with their users,Does you have any special plans to attract and expand the community and improve the user experience?
Liquidifyer – Community Growth Manager of Liquidify: Since our project is completely global, and we have more then 6 different country specific communities and marketing teams already, we try to get attention and support from any community and people in all different sites of the world. This is a major project, with global potential. To improve the user experience, we have different language support, to be able to support people even in their native language.
Right now , we just started a poll , to chose a mascot for our project.
this is a completely community driven decision. Feel free to join and decide the future of our project right now with your vote 😉
Q5: The liquidity of a project is what investors are interested in. How will you solve the liquidity problem of Liquidify ? Do you have plans to list on major exchanges like Binance or Houbi?
Liquidifyer – Community Growth Manager of Liquidify: Liquidify cant have any Liquidity problems, since we provide the Liquidity for other projects. We are the Liquidity ^
We will be backed up by big venture capital names, which will be revealed later this month. we are listed on Pancakeswap right now, and there will be multiple cex listings comming. Huobi is definitely on our list. But we are also in discussion with any other major exchange. We will grow steady but step by step.
Our financial aspects are also secured for years already, since this is a very longterm orientated project.
Segment 3: Live questions
Q1. Most investors hold the token for short-term and sell after getting immediate profits. So, how can you ensure us that holding your token is more beneficial and you have great plan to increase the demand and scarcity of the token?
Liquidifyer – Community Growth Manager of Liquidify: All the private placements buys are locked up for a long period of time and just released step by step, this will secure that nobody can dump the price in the early stage of the project . The amount of supply is also fixed, this will automatically make it rare, and increase the value in the longterm. The demand is allready there , since many projects are contacting us, which are in demand to raise liquidity for their projects.
Q2. What is PROJECT’s revenue model? In which ways do you generate revenue/profit?
Liquidifyer – Community Growth Manager of Liquidify: There will be a small service, which ensures the profitability and cashflow of our own project. Every major DEFI project mainly generates fees to support their own business model.
Q3. Is your project listed on coingecko and coinmarketcap or not???
Liquidifyer – Community Growth Manager of Liquidify: not yet, its to early for that right now, so you actually have the rare chance, to get into a project even before the official listing in there. Its an really early entry point, which will be surely profitable for early investors. Of course we will be listed at both websites within the next 2 weeks.
Q4. Can you list 1-3 killer features of Your Project that makes it ahead of its competitors? What is the competitive advantage your platform has that you feel most confident about?
Liquidifyer – Community Growth Manager of Liquidify:
- With our excellent connections in the crypto market we will be able to attract many projects to work together and join our protocol. On the other hand, our connections in traditional finance will help us to design better products for institutional customers and in the long run it will help us to extend our product reach to include assets from traditional markets such as stocks, bonds, real estate, and so on.
- our extraordinary team which was introduced above
- our unique business idea, which was validated in traditional finance markets
Q5. Which market are you focusing on? How do you rate the Vietnam market? Do you have any plans to develop in the Vietnam market?
Liquidifyer – Community Growth Manager of Liquidify: we are focusing on the global market, and creating special communities for very profitable and important developing markets. Like the emerging Vietnamese market, which has one of the highest GDP growing rates worldwide. I believe Vietnam will play a bigger and bigger role every year, till it might become a major global player. At least in South east Asia its already a thriving powerhouse.