Kine Protocol Summary Recap with Shin Chan Community
We held a live AMA with Lei, Founder & CEO of Kine Protocol on 5th June 9:00 PM (UTC+8). Here’s the recap for those who missed it.
Introduction
Serene: Before AMA start, can you introduce yourselves and the team background?
Lei Wang: My pleasure, exicted to share about Kine protocol with Shin Chan community. Sure, I am Lei, I am the founder and the CEO of kine protocol. Before creating Kine protocol I was heading huobi’s institutional business and prior to that I worked in several major investment banks heading the derivative trading technology in London and Singapore, most of the team has started working with me since then.
We are a bunch of engineers who loves trading, many are excellent traders, during our crypto trading years, we are not satisfied with current trading environment, we identified a lot of issues affects our trading experience and we talk about potential solutions all the time, instead of waiting for a perfect platform to come to existence, we decided to create one for ourselves and everybody who loves trading. Especially with the raise of defi, the timing is perfect for us to do so. It took us 6 months of hard work to build Kine, our dream derivative trading market.
Serene: Do you have any news/update about Kine Protocol would like to share with us?
Lei Wang: Kine is a defi protocol you can trade derivatives in a fast, transparent, and effortless way. It offers unlimited liquidity, up to 100x leverage, immediate execution, 0 slippage, 0 gas fee with cross margin support, extremely low latency with high throughput that is comparable with any cefi derivative markets. It brings user defi level of asset security, transparency, annomasity and cefi level of efficiency and low cost. after running successfuly on etherum for nearly 3 month, we are launching it on BSC next Wednesday and subsequently on Heco and OKexchain, the staking APY will be very competitive
AMA Twitter Section Begin:
Q1: I just realized that your token is an Ethereum based token, so can you tell us how do you manage the huge transactions fees of this network? Have you considered integrated solutions like Cross-chain or 2 layers?
Lei Wang: leveraging such infrastructure user is able to enjoy the trading cefi level of trading experience with 0 gas fee and the gas for each clearing instruction (about $30 every 30 mins) can be totally covered by the transaction fee income.
To acquire users from BSC and other chain, we have already launched on bsc this week and doing testing on bas mainnet, we will make it available for users next week. Subsequently we will support other popular chains this month, we will integrate L2 solutions (arbitrum, polygon etc) over next quarter as well to attract more users across different blockchain. About trading KINE token, it’s already listed on okey, gate, mxc etc
Q2: What do you consider to be the best features of Kine? Are there any features that Kine has that we can’t get on any other platform? Where can we stay informed of all the news that Kine has to offer us?
Lei Wang: Unlimited liquidity, 0 slippage, 0 gas fee, immediate execution, enabled API trading these are all pretty unique feature that you cannot find anywhere else cross defi/cefi solutions, none of the current defi solution is able to offer these features except Kine as far as I know of, that’s why Kine could achieved such trading volume significantly larger than any other defi derivative markets within the short 2 month and half time.
unlike other defi solutions that is only targeting at retail users, we have onboarded 3 institutions and started trading on Kine (leveraging API trading feature), they have all good portion of the trading volume, for institution and professional derivative traders Kine is the only available defi solution and I believe more of them will onboard soon. For update, please join our telegram group at https://t.me/kineprotocol and follow our twitter @KineProtocol and my personal twitter is @lei_kine
Q3: Which one of these aspects important for you?
1-Increasing Token Price&Value
2-Empowering Platform Development
3-Building Community Trust
4-Expanding Partnership Globally
In what order?
Lei Wang: I would say 2, 3, 4, 1. We have built a cool revolutionary solution that we are proud of, most important thing for us is we want more people to know and start using it. we believe with enough awareness this could totally change the landscape of the derivative trading world
bring better user experience and more cool features is always our top priority and what we are good at. To get that done, we need the community to help us spread and educate more users, and global partners to bring more awareness.
Once we have done that, price is just an reflection of Kine’s success, however without bring the true value to defi world, high token price is just an result of pangzi based on bubble and will burst eventually. That is what I believe and the reasoning of ranking these aspect
Q4: Talking about Kine Exchange. You have a Leverage advantage of Up to 100x. Are all Traders able to choose the amount of Laverage used, or are there certain conditions to access leverage up to the maximum level?What about beginners, is KINE exchange designed friendly for new users?
Lei Wang: Yes, all traders are able to choose the leverage they want, but we didn’t set any restriction, freedom is one of the best things of blockchain and we don’t want to interfere with user’s decision
However I personally don’t recommend beginners to use high leverage trading, keep it under 5X is my suggestion
Kine exchange is pretty user friendly we try to make the user experience similar to cefi solutions to ease cefi user into defi world
Q5: Kine promises us many features such as guaranteed 24/7 liquidity and cross margin on any asset, is it really any asset or where can I see the list of cryptocurrencies they are compatible with? How do you always guarantee liquidity, what makes you so safe?
Lei Wang: Yes, Kine could list any asset as long as there is a reliable price, this includes crypto or non-crypto asset, we could list stocks, FX, precious metal etc even things like football match result and we have plans to start listing non-crypto asset in Q2
You can checkout the available asset on https://kine.exchange/dashboard we are listing new asset every week, it typically takes us couple of hours to list any new assets
The unlimited liquidity is guaranteed by the peer-to-pool liquidity model, the liquidity pool act as the counterpart to every trade and guarantees immediate execution, you can think of it as an upgraded version of AMM if you are unfamilar with the concept. the CFD trading in triditional finance world uses similar concept
about safty, all user’s asset are staked on smart contract and it’s audited by peckshield, it has been running safely for the last 3 month, it’s pretty safe to use
Telegram Live AMA Begin:
Q6: Burning and Buyback are the things that are wanted then is there a plan and what percentage will the #KineProtocol team do and is the $KINE token listed on Dex or Cex?
Lei Wang: 70% of the transaction fee income will be used to buyback KINE token, we will announce periodically once the buyback is executed, yes Kine is listed on Okex, Gate.io, MXC and uniswap
Q7: Most solid projects with token utility and good infrastructure but perform poorly because investors dumped after listing on the first exchange. How do you prevent early investors from dumping your tokens?
Lei Wang: majority of our investors are high quality reputable institutions, and there is large otc buying interest, we have communicated with all investors that selling need to go through otc channel without affecting the market. here is our investors
Q8: What are the advantages of holding $KINE for an extended length of time? Where we can purchase and sell $KINE on a decentralized and centralized exchange?
Lei Wang: Kine can be staked and earning an tripple reward with APY of roughly 120%, 2.over time we will hand the listing and more decisions to kine token holders by voting 3. you can buy/well $KINE on okex, gate, uniswap etc
Q9: I have seen the problem and limitations in crypto derivatives and synthetics including high gas fee limits of product variety bad trading experience such as high slippage manipulations by dEX exchanges etc.
Does kine solve these problems?.
If yes how does it do so?
Lei Wang: yes, we have solved the high gas fee problem by the onchain settle/clearing + offchain execution infrastructure, 0 slippage is guaranteed by the peer-to-pool liquidity modeal, our high performance orcale also solves front running problem on synthetics
Q10: In the next 3 months,,what innovation and key development should we expect from Kine Protocol team and platform,,
Kine Protocol is very selective about their investors and partnership,,What criteria and qualification does you implement for all the project and possible investors,,that want to collaborate with you
Lei Wang: over the next quarter you will see kine supporting 1. multiple chain, 2. non-crypto assets, 3. spot trading and many more new features in the pipeline
Q11: As a strong competitor to Synthetix, what are the additional benefits does Kine Protocol offer?
Lei Wang: compare to Synthetics:1. Kine accepts a wider range of pledged assets, almost all major crypto assets can be used for pledge, which expand our user group 2.Kine can support higher leverage and higher frequency derivatives trading 3. most importantly we solve the biggest issue of the current defi derivative space, the high gas fee and latency by combining on chain staking, clearing and settlement and off chain trading engine
Q12: What are the differences and roles of each Kine Finance and Kine Exchange?
Lei Wang: Kine.finance is the staking site for stakers for mining and farming, kine.exchange is for traders to trade derivitaves
Q13: You mention that Kine takes a hybrid approach where the trading engine is run off-chain and allows gas to be consumed only for staking and margin transfers, but not for trading activities. What benefits has Kine adopted this approach for?
Lei Wang: derivative trading activity is frequent and very gas comsuming, the most importnt thing for it is speed and low cost, nobody wants to pay $10 gas fee for each trade, but it doesn’t have to be interact onchain for every trade so it’s more sutiable to be offchain, however staking, clearing and settlement the most important thing is safty and transparency it should be onchain, find best solution for each component is the engineers job
Q14: Why is the team behind Kine Protocol anonymous, don’t you think it can affect investors decisions ? Do you plan to disclose the identity of the team in the future ?
Lei Wang: it’s never anonymous, our photos and names are all on the webesite and twitter
Q15: For platforms like KINE, ensuring the highest level of “capital efficiency” is a crucial element. What methods does KINE use to increase capital efficiency?
Lei Wang: firstly higher leverage is designed for capital efficiency, secondly by staking your asset and mint kusd, you can get new exposure withour losing your current exposure that is another reflection of high capital efficiency :)
Q16: While you build your project, do you take into account community feedbacks and demands?
Lei Wang: of course, many of our new developments and fearture are from the community feedback, we take it very seriously’
Q17: When a staker wants to withdraw collaterals or exit the system, they must pay down their debt by burning kUSD. If the MCD pool fluctuates while they are staked, they may need to burn more or less kUSD than they originally minted. How the process of reducing debt works?? Can you please explain in detail??
Lei Wang: yes, this it how it works, normally stake end with a gain rather than loss in a long term because majority of the transaction fee and liquidation remainings goes to stakers, short term result is uncertain though
Q18: Does your project support staking program?if yes. how does your stake system work, what is the requirement for users if they want to stake in your platform?
Lei Wang: you can stake wbtc, eth, usdt, usdc and ofcourse kine on for mining reward, generally the APY is from 50% — 120% atm
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