Protocol upgrade and integration plan
Since our launch, with the love and support from our users and the community, Pando protocols have been having rapid growth. As the largest set of DeFi protocols on Mixin Network, Pando now ranks #61 globally on DefiLlama; 4swap has achieved $4.9 billion worth of transactions which amounts to 30 million times of confirmed transactions and has generated approximately $11 million transaction fees which have been awarded proportionally to all liquidity providers; and Pando Leaf has minted $15 million worth of pUSD with a collateralization ratio of approximately 300%.
Plan for 4swap protocol to be upgraded
At present, 4swap uses the Uniswap v2 protocol and the Curve protocol for implementation. Although the current protocol has been running stably for more than a year, it has some shortcomings:
- Insufficient utilization of liquidity
- Unable to support limit orders
Therefore, we plan to upgrade 4swap protocol in near future to enable limit orders and to initially support some basic strategies such as grid trading so that independent developers will be able to build on top of the capabilities to provide even richer options on trading strategies and to better utilize the liquidity.
Leaf and Stablecoin
Currently, Pando’s stablecoin pUSD is mainly circulated in 4swap. Next, we plan to onboard more ecosystem partners and expand the use cases of pUSD. The expansion plan includes but is not limited to the following scenarios:
- Make pUSD more applicable in online retail business. Further enriching merchandise on Bazaar is an example.
- Perform stablecoin swaps with other parties to expand circulation.
- Provide more transactional options to make pUSD a favorable value storage method.
We also have a plan to upgrade the Rings protocol at a later date. Compared with the old version, the new lending protocol will isolate different lending pools, which will be especially effective against potential attacks on price oracles and thus greatly improve security as a result. For functionalities, the new protocol will support more cryptocurrencies to satisfy diversified needs
Since we started to provide community services as a service, we have successfully supported many communities inside the Mixin ecosystem. Not only have we provided quality services to community members, but we also have enabled community owners to generate revenue.
We are making preparations to integrate the existing community-related services with the Pando protocols, and will collaborate with the core teams of Mixin Network to introduce more partners to enrich the protocol ecosystem and to provide effective user growth for Mixin Messenger at the same time.
Better User Experiences
We have launched a plan to integrate all the Pando protocols into a unified interface in order to provide users with a complete and extremely easy-to-use decentralized financial experience using the latest front-end technology.
- High integration: All of the Pando protocols will be integrated into one to provide for a seamless user experience. You will be able to use all of the functions of all of the protocols without switching bots inside Mixin Messenger or while on the web.
- More compatible wallets: With MVM, Pando will support more software and hardware wallets to satisfy asset management preferences of different users.
- More flexible use cases: with the new interface comes the reduced development workload for integration with Pando protocol; accelerated integration with external partners can be expected.
In the past, Pando's MTG nodes have been maintaining the stability of the protocol without paid incentives, and the Pando protocol does not have enough resources for market expansion.
The status quo is not conducive to the ecosystem construction and the stability of the protocol in the long run. Therefore, we plan to adjust the 4swap rate distribution on January 31, 2023:
- For trading pairs using the uniswap v2 algorithm, 0.1%, which is 1/3 of the total 0.3% trading fee rate, will be adjusted from settlement to market makers (lp-token holders) to settlement to the protocol
- For the trading pairs using the curve algorithm, 0.01%, which is 1/4 of the total trading fee rate of 0.04%, will be adjusted from settlement to the market makers to settlement to the protocol
These new revenues for the protocol, based on exchange rates, will be used for the following purposes:
- About 1/3 will be paid to the nodes as mining rewards for the nodes to maintain MTGs.
- About 1/3 will be locked and used for protocol reserves to deal with possible risks in the future, as well as reserve funds for tokens that may be issued in the future.
- About 1/3 will be used to expand the ecosystem of the Pando protocols.
Simply put, if you are a trader on 4swap, you will not be affected in any way. However if you are a market maker on 4swap, the trading fees you receive will be reduced in the short term. But in the long term, this will enable Pando to be more stable and sustainable, and allow for room for Pando to expand its potential market.
In the past more than one year, Pando protocols have grown quickly and successfully. We are determined to keep the momentum going and hope to do even better with the support of our long-term users and new partners.
The information contained in this article is for informational purposes only and does not constitute financial, investment, or other professional advice. The views expressed in this article are those of the author and do not necessarily represent the views of the company or organization they work for or Pando. Any investment decisions made by the reader should be made after consulting with their own financial advisor and conducting their own research. The author and the company or organization they work for and Pando will not be liable for any financial losses incurred as a result of reliance on the information contained in this article.