[AMA Recap] Trade Mining and the S Token — SakeSwap.finance
Thank you to everyone that participated in our AMA. SakeSwapBom, saltoriousSIG, sakeswapper, sakedrinker, and Enorm, you are the winners for the best questions. We appreciate your support for the SakeSwap community!
If you’ve missed the AMA, you can keep reading the highlights of the AMA below!
A brief introduction to the key features of Trade Mining
Trade Mining is an incentive mechanism for LPs and SAKE token holders who contribute to SakeSwap. Trade Mining is not designed to allow arbitrageurs to extract the value of SakeSwap. That being said, SakeSwap’s Trade Mining has the following features:
First, is the ability to combine Trade Mining with Yield Farming.
The transaction mining pool supports LP Yield Farming. More importantly, it supports the LP token alongside the S Token for farming. This is primarily for the transaction volume contributors. As a result, we’ve expanded the active trading volume contribution by 100 times. The final calculation weight is measured by the LP token + the S token multiplied by 100.
Secondly, Trade Mining helps to avoid whales from squeezing the value away from small transaction users. This is accomplished by borrowing the same mechanism from Bitcoin Mining machines, the transaction mining pool is designed as non-extractable. Just like in Bitcoin mining mechanisms, the purchase of a mining machine is a one-time cost investment, which can only be used to capture continuous value through mining revenue. This is also the support for the value of all sake.
Thirdly, SakeSwap’s Trade Mining currently only supports ETH-SAKE LP trading Pairs. However, after the handover to community governance, additional transaction mining pools will be added.
Q: How do you combine Trade Mining with Yield Farming?
The best way to answer this question is to describe the order of operations for trade mining. Whenever you conduct a transaction on SakeSwap’s platform you will earn the S token. Once you’ve accumulated S token, you can then stake the S token in a liquidity pool in the same way you would for Yield Farming. Once the S token is staked you will earn more SAKE.
Q: Why you would select 1x or 5x or 20x with Trade Mining?
1x, 5x, and 20x means the swap times with one click. If you select the 20x, you can complete 40 transactions swapping ETH and sake at one time. The transaction volume you contributed will be rewarded with S token, then use S token to deposit into the trade mining pool for more SAKE.
Q: And why not 100x or 1000x?
It is a good idea. But we should consider the transaction coat. The gas fee will be increased with the swap times. So we set the trade mining with a maximum of 20 times.
Q: Trade mining tokens are locked indefinitely? How about the ETH or SAKE used for trade mining, is that locked as well?
If the user deposited the ETH-SAKE LP into the mining pool, the LP will be locked indefinitely. Trade mining can be used to help all the pools on SakeSwap to manage the APY to attract more users after yield farming ends.
Q: Can you explain the first “nearly zero gas” DEX on ethereum?
It is the benefit of trade mining. All users who contribute transaction volume on SakeSwap will be rewarded with S token. Using S token to mining SAKE which can be used for covering the gas fee cost. That is why SakeSwap is nearly zero gas DEX on ethereum.
About the dev team and future development
Q: You mentioned five or six ICOs planned. When do you expect them to launch?
We plan to launch the Initial SakeSwap Offerings (ISO) program to attract more TVL and volume. There are more than 5 reserve projects on the list of collaborators now. And our target is to grow the number to 100. We are working hard on building a brand that is welcoming to liquidity providers in terms of the technical and infrastructural AMM improvements. In addition, New LINA SakeSwap LP Farm is open from Tuesday 13 October.
Q: Does the team have a plan for optimizing the token economic model?
Yes, we are working on this. SAKE token economic model will be continued to improve to support SAKE token value and more importantly to increase the rewards to SakeSwap LPs.
For example, SakeSwap will buyback and burn more sake through the transaction fee.
Q: Will the identity of the Sake dev team ever be revealed?
The Dev team for SakeSwap wants to remain anonymous, so most likely not.
Q: How many members in the dev team?
There are more than 15 developers located in Asia and Europe
Q: Is there a more long term roadmap for the project?
Yes. SakeSwap has a 1-year roadmap to develop the product, grow the community, and support more and more projects to be listed on SakeSwap.
We will be launching a MEME/GIF competition soon. Follow us to stay up to date with everything we are doing. Thanks again for joining us, we hope you found this session informative and hope you continue to support SakeSwap!
Official Website: https://sakeswap.finance