Defi product on EOS to attract more TVL on EOS blockchain

1

I am not sure whether team is ready to create a Dex on any chain at currrent state, but I am putting my views here.

unlike any defi project generating any revenue from IBC is most difficult part. specially while we built the walls exactly in front of the doors.

lets say we convience a user X to invest in ptokens worth 100 $, the most difficult next step is to show him how to generate revenue out of those 100$ TVL. The cost of incentivising this 100$ is kept increasing while the revenue genreating out of this 100$ investment decreasing. So I am proposing to develop a Dex on EOS.

The Dex purely focus on on-boarding new user and TVL at the same time we generate revenue out of this 100$ investment made by user on every second basis.

Let say user want to invest 100$ worth of liquidity on AMM Dex, we reward/incentive him for his liquidity as well as we burn all the income generated on the Dex by buy back of PNT and burn them.

I believe its not a bad Idea, because we are paying incentives for LP on eth while user already receiving rewards from dex. while user is beniefiting from his LP more, we are not fully taking advantage of the same TVL.

  1. if we are paying 1 dollar as incentives for TVL provided by user, Pnetwork hase to generate 10 dollars worth of revenue, but that is not actually happening.

  2. I want to build Dex on EOS than any other network, because on EOS cost of transaction is cheap so maximum earning made by Dex can be spent on burning PNT tokens.

At first I am presenting my idea of dex on EOS, we can further discuss what are the opportunites/issues we will face by launching DEX on EOS.

2

Thank you for bringing this topic up for discussion!

As we keep expanding pNetwork, it’s a fair point the one you make on adding new ways to expand pNetwork’s users base. I personally have doubts about building our own DEX as a way forward to do that (at least in this stage of the project), mainly for two reasons:

  • while being complementary to pNetwork’s cross-chain system, a DEX would be an entirely different product that would require separate efforts to be developed and made successful
  • there are a variety of DEX solutions already available (i.e. Uniswap, Pancakeswap, Defibox, etc) that we would need to compete with. Building our own DEX as an expansion of pNetwork, as you suggest, would mean change our positioning in the ecosystem and transition from being a cross-chain system to being a DEX platform

That said, I agree on working to add new funnels for onboarding additional liquidity and increase cross-chain volumes. Something on the lines of what you are suggesting is leveraging external DEX platforms as a way to onboard new liquidity. Specifically on EOS, pTokens are available on Defibox/Newdex.

TL;DR: while being possible in theory, launching our own DEX would be a strategic decision and significant change in pNetwork’s positioning/offering.

Happy to hear what other community members think about this idea!