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Hashflow: How do they bring institutional liquidity to DeFi?

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Hashflow is likely to launch governance Token HFT by the end of March

On February 23, Varun Kumar, founder and CEO of decentralized trading platform Hashflow, and Victor Ionescu, co-founder and CTO, held an online chat with users. The two founding members of the team wrote the title "How to Bring Institutional Liquidity to DeFi?" To introduce the upcoming Hashflow Token allocation and the future vision of Hashflow.

Hashflow is the next generation of decentralized trading platforms that aim to bring institutional-level liquidity and pricing strategies to DeFi projects, thus achieving no trading slippage and completely shielding meV-related bot pre-empting and sandwich arbitrage.

The following is a transcript of the online conversation

BlockBeats: Please introduce yourself first. How did you enter the DeFi field?

Victor Ionescu:I'm Victor, co-founder and CTO of Hashflow, and Varun introduced me to the DeFi concept when we met in 2018. I come from large tech companies (Facebook and Airbnb) and have been working in DeFi for 3 years now.

Varun Kumar:I'm Varun, co-founder and CEO of Hashflow. I learned about encryption through a friend I met at HotHub, where I met Victor. Before going into cryptography, I worked in the space industry, building satellites.

BlockBeats: Can you tell us about the Hashflow project?

Varun Kumar:Hashflow is a decentralized trading protocol that connects traders and liquidity providers directly with professional market makers. Traders can trade hot spot assets at the best interest rates without any fees or slip points. LPS can make gains without suffering short-term losses.

Since launching Open Alpha last August, Hashflow has made more than $3 billion in total transactions -- TVL's $2.5 million.

BlockBeats: Hashflow has announced the launch of tokens. Can you introduce the Token economy of Hashflow?

Victor Ionescu:The current plan is to launch the HFT Token sometime in March-April, when it will be distributed to early users and contributors.

In the creation stage:

- Total supply of 1 billion HFT;

- We think the community and ecosystem should own most of the agreement, so they will get 56% of the supply;

- This 56% will include community coffers, rewards for early community members and users, and allocations from market makers who helped provide initial Hashflow liquidity;

- Core team and investors will get 44%.

Linear unlock:

- Core team and investors: 4-year phase-in period and 1-year lock-up period;

- Community awards: no lockers;

- Designated market maker: HFT Loan; No progressive unlocking period or lockup;

Inflation:

- After 4 years, HFT will issue 5% tokens annually and the new tokens will go into community coffers for future incentive schemes;

- The distribution of the core team and investors will be diluted forever;

- The goal is to ensure that early contributors are appropriately rewarded;

- Communities collectively decide how to allocate funds.

Incentive plan:

- Through our trading and Liquidity Rewards program, traders and LPS can passively earn HFT by trading and storing liquidity;

- Market makers earn HFT by depositing LP yields and driving volume

BlockBeats: How do coin holders use tokens to gain benefits?

Varun Kumar:The HFT is a governance Token that stakeholders will use to make public and vote on key issues related to the future trajectory of the Hashflow protocol -- so it is not intended to generate profits.

BlockBeats: When Hashflow announced the release of governance Token HFT, it seems that the community was not satisfied with the distribution ratio of NFT holders. Some NFTS received a much larger airdrop ratio than others. How was the airdrop ratio designed?

Varun Kumar:Just to be clear, when we decided on the reward allocation at the time of the initial announcement, our goal was to appropriately reward people who made multiple, large transactions through Hashflow. When we further analyzed the trading data, we found that a large number of traders did not fall into this category.

While volume was not a perfect indicator, it was the most important indicator of Hashflow growth at the time, as it helped prove the capital efficiency argument.

Having said that, we still want to make sure that everyone feels rewarded for the valuable support they have provided since Hashflow was launched - and that transaction fees like gas are not out of pocket.

Therefore, we decided to remove 1% from the Token allocation from the Hashflow core team to increase the HFT value of two NFTS -- Hashbot Poster #1 and #2. We want to show how important each and every member of # HashGang is to us.

After we completed this update, we were delighted with the positive response we received from the community!

BlockBeats: When is Token expected to launch? It was always said January, why the delay?

Victor Ionescu:The current plan is to launch the HFT around March, probably by the end of March. While the original plan was for January, the team wanted to proceed cautiously and ensure a seamless launch. We need to take certain steps to ensure safety, good design, and a robust ecosystem. As soon as we are ready, we will launch HFT.

BlockBeats: Why choose to introduce an off-chain market maker into an on-chain DeFi? Is it simply because there is better liquidity down the chain?

Victor Ionescu:By enabling market makers to price assets down the chain and provide quotes only up the chain, Hashflow enables unprecedented capital efficiency and flexibility in market making strategies.

This means we can offer Hashflow users a better price and a more secure trading experience without the risk of slippage, sandwich attacks, and other MEV vulnerabilities.

BlockBeats: Are there any institutional partners for Hashflow?

Varun Kumar:Yes, we have worked with some of the most experienced and established market makers in the space -- including GSR, LedgerPrime, Wintermute, Altonomy and Falcon X.

BlockBeats: Hashflow has been launched by Polygon and BSC. Are there any other public chains?

Victor Ionescu:Yes, last week we just launched on Arbitrum and this week we soft launched on Avalanche. We are working to integrate and support more chains to eventually make it easy for anyone to trade any Token on any chain.

BlockBeats: What are the upcoming plans for Hashflow?

Varun Kumar:We plan to launch cross-chain transactions and HFT(our governance Token) in the coming months.