Margined Protocol - Githubissues

Project Name

Margined Protocol

Team Name

Margined Protocol

Payment Address

secret1d9uwvv4w4n8yfnng8enl643vml4xwke6hp860y

Project Description

Margined Protocol is creating margin trading products for CosmWasm Cosmos zones.

Problem / Solution

Perpetual swaps are a core DeFi protocol. They allow users to hedge risks and express market sentiments. Furthermore they are one of the most popular DeFi protocols with, $1.6bn total volume on Solana; $17bn total volume on Ethereum; and over $84bn traded on CEXs. More specifically protocols such as dYdX (with $475m in TVL) and GMX.io (with $376m in TVL).

However, in the Cosmos eco-system there is only DyDx with it's own AppChain.

Cosmos is therefore missing a completely decentralised and on-chain perpetuals protocol, such as Margined Protocol where by deploying to Cosmos zones directly and listing perps for the native token we allow users to enter positions on the chain where the most activity occurs.

Detailed Product Description:

Margined Protocol uses a margin engine to manage user's positions which they are able to take using a vAMM for price discovery. The vAMM does not hold any real assets in it, rather it holds virtual liquidity using a constant product function to move the price as users take long and short positions.

Should user's margin become insufficient then they can be liquidated.

To incentivise a balanced book and that the vAMM tracks the oracle the users pay a funding rate at hourly intervals depending on how much the price has skewed from the pricefeeds.

Already Completed

v0 deployed on Juno testnet with 8000+ unique account interactions, i.e. going long or short.
v0 contracts fully audited.

Grant Deliverables

Contract Acceptance
Deployment of v0 contracts on Secret Network

Go-to-Market Plan

Deploy v0 contracts
Continue upgrading contracts as development happens

Value capture for Secret Network Ecosystem

Secret Network will benefit through this deployment in many ways including:

Growing TVL and Users for the Network through Margined Protocol
Growing TVL and Users for complimentary products such as AMMs and Lending as individuals can now hedge their positions
An increase in the breadth of primitives available within Secret Network's private DeFi suite
Access to other communities within the Cosmos ecosystem such as Juno and Archway who will also deployments and could be attracted to private implementations of the Protocol

Team Website

https://margined.io

Team Code Repos

https://github.com/margined-protocol

Development Roadmap

deploy v0 contracts
develop v1 contracts, including interchain governance and improved price discovery and liquidity
develop additional margin trading products such as interest rate swaps

The Future and Our Commitment to Secret Network

deploy all continued upgrades and products from Margined Protocol to the Secret Network

Additional Information

N/A

scrtlabs / TerraBuildersFund

Margined Protocol #7