Introducing Materia DEX

Materia as a DFO

DeFi is a rapidly evolving space, but most governance models are not designed to quickly adopt protocol changes in such a volatile market. That’s why we made Materia as a Decentralized Flexible Organization (DFO). Materia is based on a new approach of managing smart contracts as microservices to build a new generation of Decentralized Autonomous Organizations (DAO) in which token holders will be able to propose the alteration, addition or termination of any function of a Decentralized Application and even contribute to the evolution of the front-end using Base64 on-chain data. Materia, as well as its upcoming features, can be updated entirely via voting!

Protocol

Uniswap v2 introduced arbitrary ERC20/ERC20 couples in the pools, which has been useful for liquidity providers who can maintain their positions without being tied to a single token. However, by forcing trades to route through privileged liquidity pools, Uniswap’s centralized front-end design is allowing vampiric arbitrage bots to drain the prices of certain tokens. We decided to focus on this issue, challenging ourselves with the goal of overcoming these limits and simplifying the swap process of the AMM (Automated Market Maker).

Governance

GIL is the voting token of Materia. It is programmable equity of the protocol because the funds locked into a DFO wallet are actually funds in the hands of token holders. DFO funds can be transferred or used only by voting.

  • 24,3% — Team members and future researchers
  • 70,5% — Materia DFO Funds, ruled by voting
  • 3,7% — Advisors and marketing initiatives
  • 1,5% — DFOHub as initial fee
  • 10M as an Initial Liquidity on Materia
  • 2,5M as free tokens to uSD, BUIDL, ARTE, UNIFI holders on 31/01/2021 available via claim
  • 15M as a reward for Liquidity Mining

Liquidity Mining

Anyone can become a liquidity provider by adding liquidity to our protocol. An initial liquidity mining program will go live immediately after the mainnet release. The initial program will run for 45 days and target the following five pairs on Materia:

  • WUSD/GIL
  • WUSD/ETH
  • WUSD/DAI
  • WUSD/USDC
  • WUSD/WBTC

Fair Inflation

Through a Smart Contract based proposal we will progressively inflate the GIL circulating supply by minting 0.015% additional tokens per day in order to sustain the R&D initiative and to further develop Materia. During the first year, the Smart Contract will inflate the circulating supply by approximately 1.5%. The funds will be cycled into the WUSD/GIL Materia Pool and eventually be converted into ETH or other tokens. We will use these funds for operations and the team’s rewards.

User Advantages

There are several advantages to Materia from a User perspective. The primary benefit is the Lego-Swap function which will allow for several tokens to be traded in one transaction, for example, GIL into two or more tokens like Dai and Aave. By eliminating the need to perform multiple transactions to reach the same end, Materia users will be able to save a great deal on gas fees. Another game changing advantage is the implementation of the EthITEM standard, utilizing ERC1155 and ERC721 to make Materia both a DEX and an ITEM Marketplace. And this is only just the beginning. Many more features are already in development. We encourage everyone in the community to participate and stay up to date on the new projects as they come.

Conclusion

Materia is a radical step forward to improving the security and stability of the Defi realm, in part by reducing side effects like impermanent loss and slippage, while at the same time ensuring community control and community driven development.

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