Order & Chaos AMA RECAP
Hello Everyone ! Welcome to our 19th AMA (Ask Me Anything) with Order & Chaos. On 25 of July 2022, CryptoSpartans had a live AMA session with Jashon . In case you missed it here is the recap.
AMA Summary:
Segment 1: Questions for Order & Chaos Team
Segment 2: Twitter Round Question
Segment 3: Live Q&A.
The transcript has been edited for clarity.
Segment 1: Questions for Order & Chaos Team.
Priyank Gupta l HOST
- Can you please introduce yourself and your project Order & Chaos to the community ?
Jashon l Order & Chaos
Namaste!! I am Jashon, I am from the Order&Chaos team, I am very happy to cooperate with CryptoSpartans in the first event after ONC’s IDO, India is a very good country, I have a good impression of India!
Well the team of ONC has been thinking and participating in design in the DeFi field since 2019. It can be said that the team has extremely rich experience in project construction, and has considerable accumulation in technology research and development and market promotion.
OrderNChaos(ONC) is a twin system of algorithmic stable coins, ONC protocol is implemented in solidity and can be run on any EVM compatible chains, it will first launch on the Avalanche network
It enables zero liquidation-risk loans of $ORDER that have a negative interest rate. You earn a yield on your debt. The way it accomplishes this is by transferring the volatile, speculative energy of the $CHAOS token into the backing for the superstable $ORDER token.
In essence, Order&Chaos achieves the unity of stability and volatility through the mechanism design of the protocol. The goal is to achieve a stable currency protocol that is sustainable, self-complete and zero liquidation.
since the DeFi Summer of 2020, the life cycle of most DeFi projects has been wandering in cyclical stability and potential chaos, so at present there is a need for this in the financial system. Design looks for a deeper balance. This is also our original intention to set up the Order&Chaos project. The track is not achieved overnight. There have been corresponding attempts made by many excellent protocols, and Order&Chaos is looking for a better solution on this basis, and we are confident and capable. Complete our vision and narrative in this area.
We are happy that the popularity of IDO has also given us great recognition from the community, what we are doing is promoting ONC to a top place!!
Priyank Gupta l HOST
2. What makes Order&Chaos different from other stablecoin protocols?
Jashon l Order & Chaos
Yep, I love this question, because we are so different from the others!!
There are well-known protocols in the market like nirvana, frax, etc. I will use Nirvana as an example to compare. We can find the differences from the following parts
- Firstly, at the code and execution environment level, OrderNChaos is not a pure code fork. It runs in a different virtual machine environment from Nirvana. We implemented the core logic of OrderNChaos through solidity, and during the development of OrderNChaos, we did not have Nirvana’s open source code as refer to
- At the vAMM logic level, OrderNChaos simplifies the calculation logic of PSL (Price Supporting Liquity). It does not need to use a complex 3-segment piecewise function like Nirvana, but only uses a two-segment piecewise function. For market prices, we use the reverse , rather than a complex binary piecewise function, but actually does the further goal that they want to achieve
- OrderNChaos is not just a stable currency synthesis protocol, it has practical application scenarios. In subsequent versions, we will release the Stableswap function to provide stable currency exchange services without slippage, which is an origional functions in ONC
- We not only consider the application scenarios of stable coins, we also consider more application scenarios of $CHAOS. In the future, it will not only be PSL that supports the value of $CHAOS.
Apart form that. We’re also seeing more viability (yes, viability, not possibility) like lending, cross-chain, NFT, etc.
So in general, OrderNChaos is built in the EVM parachain ecosystem and has a better user base and protocol composability, which will be gradually felt in the future development. let’s look forward to the further exploration of OrderNChaos in this field.
Priyank Gupta l HOST
3. How does CHAOS’s floor price increase mechanism work?
Jashon l Order & Chaos
Great, this is the core part of the entire ONC protocol, as long as you understand this, you will understand why ONC is such a powerful protocol!
Base price increase mechanism: According to the vAMM curve, the supply and market value of CHAOS are as shown in the figure above. With the increase of funds in the vault, the market value of CHAOS will continue to rise.
The funds in the vault are divided into two parts, the green part in the figure is the floor price support vault (FSL), and the blue part is the market price support vault (PSL)
When continuously buying CHAOS, the proportion of the blue part (PSL ratio) increases.
When the yellow dotted line is reached, the ratio of PSL reaches a threshold (Target PSL), which will trigger the rise of the reserve price, that is, the green The area will increase, and the blue area will be adjusted to the position of the white dotted line (Base PSL)
Based on this method, the bottom price will only rise and not fall, which means that the bottom line of CHAOS will continue to rise, thereby stimulating the market to continue to purchase .
Segment 2: Twitter Round Question:
- @abdul_rang17 : As per your Roadmap, you will soon launch a “Stableswap” to achieve stable coin exchange with no slippage which is Quite Unique Concept but How will you ensure zero slippage on the Stableswap?
Jashon l Order & Chaos
First of all, Stableswap can better mobilize the liquidity within the protocol and provide stable currency exchange services without slippage. In the economic model The endogenous nature of the game has been greatly supplemented. In addition, we also hope to learn from the gameplay in other fields to enrich the overall diversity and the unity of mechanism operation.
In terms of implementation, we will use the economic model to motivate users to actively eliminate the difference in the proportion of different assets, so that the liquidity can reach a balanced state, so as to achieve zero slippage on the Stableswap.
2. @cryptoishh : Does Order & Chaos meet adequate security and privacy values for its users? As security issue in any DeFi can get resolved by Smartcontract Audits so who are your Smartcontract auditors and is there any Platform Testing being conducted?
Jashon l Order & Chaos
What we want to declare firstly is that there is currently no direct fork code for stablecoins with zero liquidation risk. ONC has its own ingenuity in its implementation. We took this into consideration during the development phase. At present, we have also completed the audit work, and the audit report can be found at: https://static.ordernchaos.finance/OrderNChaos-Smart-Contract-Audit-Report.pdf
3. @crypto_Suman : In a tweet Order & Chaos Mention about ‘DeFi 3.0’. Would you delve deeper into what characteristics does your index has to be the next generation of DeFi products? Do you think your technology can be adapted by all top DeFi platforms?
Jashon l Order & Chaos
Personally I think defi3.0 is an imminent concept. In my understanding, defi3.0 needs to have decentralization, composability and the ability to supplement existing defi. ONC is undoubtedly such a protocol. In ONC, the reason why we design the economic model in this way is inseparable from our starting point. In the future, defi3.0 can be specially developed for a certain application. ONC is very composable. I think it’s perfectly fine to be adopted and what they need at this stage, like zero slippage on the Stableswap.
4. @CryptoMemer_ : Team! Is it true that Order&Chaos borrowed ideas from #Nirvana’s design? Is it a complete fork of Nirvana? If not, what are the core differences between both?
Jashon l Order & Chaos
I have answered this question in the second question of the previous round. But I still want to say that we have corresponding advantages in almost all aspects. OrderNChaos is not just a stable currency synthesis protocol, it has practical application scenarios. In subsequent versions, we will release the Stableswap function to provide stable currency exchange services without slippage.
5. @officialSunil_ : What are the approaches of ONC for marketing to spread it widely as it is very new project and just live on mainnet? Do you have plans like Airdrop, Giveaway, Meme contest or ambassador program?
Jashon l Order & Chaos
Yep, that’s what we are doing at the moment, we can see enhance the popularity and adoption of the encrypted world, break through the information barriers of major markets in the world, branding & marketing, and strengthen brand building in major encrypted markets.
Accelerate the completion of product iterations, ONC Composability Stableswap, first of all, Stableswap can better mobilize the liquidity within the protocol and provide stable currency exchange services without slippage, which has greatly complemented the endogeneity of the economic model. In addition, we also hope It can learn from the gameplay of other fields to enrich the overall diversity and the unity of the mechanism operation. It is a very good supplement to the current ONC protocol and can do better than the current part of the stable currency dex.
In addition, Cross-Chain Deployment hopes to better integrate the resources in the Avalanche ecosystem. In the future, this protocol can be extended to different blockchains, making full use of the advantages of each blockchain while cross-chaining. The model of the public chain continues to evolve, keeping ONC as a stable currency with zero liquidation risk, so the first-mover advantage on the EVM chain.
Segment 3: Live Q&A
Q1. @sirdefi : Could you share the token economics of CHAOS token? What is your maximum supply? Do you have any kind of token burning schedule?
Ans : $CHAOS does not have a certain amount of issuance. Its supply is determined by the vAMM function. When buying CHAOS, it comes out of Mint in the protocol, the supply increases, and the price is automatically adjusted according to the price curve set by vAMM. When CHAOS is sold, it will be destroyed, and CHAOS will be destroyed. As the supply decreases, the market price of CHAOS also falls, and each CHAOS is supported by a base price, which means that CHAOS will not fall below the base price. Because of the support of the bottom price, each CHAOS can be used to pledge the stable currency ORDER to obtain the bottom price. Therefore, the total supply of CHAOS, the bottom price and the pledge amount determine the total supply of ORDER. ORDER is a stable currency with zero liquidation risk. The price is constant at 1 USD
Q2. @EmBeoo : I read that $ORDER and $CHAOS are the twin forces of decentralized currency, I understand that one will allow the other not to be affected by the market as much, but is this mechanism used really completely new? or is it really similar to the one used in other projects?
Ans : It can be said to be a brand new mechanism, relatively speaking, what we need is a more economically dynamic mechanism. The pricing of CHAOS is within the protocol. Buying and selling are mint and burn respectively, which can largely avoid extreme price fluctuations. And the support of the floor price is always there.
Q3. @huellinda : Can you please tell us how ORDER token holders benefit in the ecosystem and what authority individuals have in the governance model? Why is it so attractive and what are the basic requirements for PARTICIPATION?
Ans : Zero liquidation risk is the biggest advantage. With ORDER, you can borrow in the protocol to achieve the maximum capital utilization rate. Once the price rises, you can get several times the income but there is no risk of being liquidated.
Q4. @bookieassassin : What innovations has Order & Chaos brought to the DEFI space? How is Order & Chaos changing the new DeFi ecosystem and what are the plans for the next few years?
Ans : In the future, this protocol can be extended to different blockchains, making full use of the advantages of each blockchain while cross-chaining, and continuing to evolve to a multi-public chain model. Of course, these are all for Order&Chaos to have a more balanced development, and always maintain a dynamic advantage in the field of DeFi and zero liquidation risk stablecoins.
Q5. @nam1st : How will LIQUIDITY be managed to keep money in the #OrdernChaos platform as High APR/APY used to ATTRACT investors & once liquidity dries, APR/APY isn’t sustainable and gets reduced ?
Ans : As for the APY, the real value lies in two points. First, the prchaos generated by pledge needs to be claimed. The CHAOS generated in realize also requires a certain amount of stable coins to realize, which means that all pledge income is supported by actual value. , which is what differentiates us from other defi projects
We can clearly see that we have a clear idea for future product iterations. The first thing we see is the test net launch. At this stage, we will ensure the orderliness of product development. In view of this There is no open source content for class protocols that can be directly referenced. All front-end and back-end development work requires the team to perform a new interpretation at the code level from the bottom-up perspective.
Thank you everyone once again for participating in this exciting community AMA! It was our pleasure to host AMA with Order & Chaos
