Hello! BlockTalkers & Blockchain Enthusiastic!
We recently hosted an AMA with Solv Finance, on April 28th at 12.00 PM UTC. Many of you might have participated or many of not. But we make sure no one missed out from the knowledge shared by Ryan Chow, Co-Founder of Solv Finance. So here we are up with the AMA transcript, for those who missed the live session, this blog post will be a saver & feeder of knowledge for them.
Introduction Questions Asked By Team BlockTalks!
Q1. Could you please introduce Solv Finance to our community in layman’s term?
Ans — The Solv Finance is a basic protocol that aims that introducing financial NFTs assets into the DeFi world. We firmly believe that NFTs can become a new kind of asset in defi, and their scale can mount up that of ERC-20 and ERC-721.
believe that Financial NFTs can
Perhaps you are not familiar with financial NFTs yet. Here I shall not make a detailed explanation, but I will explain what we have applied as our first Financial NFTs——Investment certificate. After this, you will understand better about financial NFTs.
Our beta version is now online, testnet.solv.finance. You can check this out during my introduction. Our product, the investment certificate, is using NFT to present the locked allocation of projects, as to release the liquidity of the allocation, providing all users more opportunities to participate in primarary markets.
Every project can deposit its token into our contract, and set the lockup period and releasing mode accordingly. The contract will automatically send back a certificate, which is in the form of NFT, with parameters presenting the rights of the lock-up allocation. Such as this one below
This investment certificate presents what rights does a 10k SOLV tokens have from May 1st 2021 to May 1st 2022. The person who owns this NFT has the right to linear claim Solv token according to the smart contract.
It’s a 1 year linear release certificate as you see.
At present, we have invited ten renowned international projects releasing their IC on our platform. In other words, beginning from May, users can purchase early allocations of ten top projects and participate in primarary markets.
Including dodo\ Bounce and etc.
About other details, you are all welcome to raise your questions or read our intoduction or try out our products. There might be airdrops for testnet users recently.
Q2. What are the advantages of Solv Finance to other alternatives in the Blockchain field?
Ans — Investment certificate is a product that turns allocations into NFTs, so that all users can participate in the purchasing of lock-up allocation.
People can buy allocation without signing SAFT.
We see similar products like Genesis Shards\dego and etc.
However, in terms of our differences, our product has much higher capacity. The reasons are as follow.
1. Our protocol supports any project to release IC, which gives our product much extensibility and universality.
In the early stage, the project will be selected by community. in the future, it will be positioned as Uni v2, which open to all projects.
2. Our Investment certificate(IC) can be splitted and merged, which provides more convenience for users. For example, here I have this piece of IC, and if I intend to sell 1k solv token to a friend, I would want this IC to be splitted.
So on our product, this IC can be splitted into this 2 pieces:
You would probably wonder, as NFTs cannot be directly splitted, then how can we do this? This is because we apply an originaltoken standard which we call vNFT. You can understand it as a stronger version of ERC-721, an ERC-721 that can be splitted and merged.
About vNFT, you can check out a more detailed explanation on this video.
Besides splitting, our product can also merge NFTs. For example, we purchase 10 pieces of certificate in the market that have the same lock-up mode, period, and same underlying token, but with different amount of tokens. Technically, they are not the same, but can we merge them together for more convenient management?
Therefore, we can put the two certificates back together and now we have this:
The one we operated splitting feature on it.
Apart from this, our standard is compatible with that of ERC-721, so the infrastructures that support ERC-721 can support our IC.
For example, Opensea can provide a variety of exchange functions, NFTfi can provide lending functions, and NFTX can provide ETF for our ICs.
Our product has a very high level of compatibility with the whole ecology.
IC can be searched and be sold on opensea like this.
These are all advantages on the product level, and in terms of resources, our investors have provided us with a great network for resources, introducing high-quality projects to us. We will go over them under scrutiny so that we can provide our users with the best IC investment targets.
On the other hand, our team has a great influence in Asia, especially one of my partners, Yan Meng, as renowned KOL in blockchain. Thus our team has a good user foundation at the very beginning.
Q3. What are the major milestones Solv Finance achieved so far & what are in the future pipeline?
Ans — 1.Last December, we designed this new standard vNFT according financial notes, and based on this standard we created a number of innovative products. On the strategic level, we chose to promote investment certificate first, which has proven to be a right decision, because it is a actual need among projects and users.
After I’ve met a lot of projects and users
2. In February, we introduced our product Vision to our investors, and received their acknowledgement and investment, including IOSG\Hashed\Axia8\Spartan Group\Kripital\GBV\Maple Leaf
3. On Apri 27th, just yesterday, we officially launched out investment certificate product on mainnet. Now, the smart contract has gone through audit and ready to go.
4.In the second half of May we will open up our product for all users, and start a market event which is releasing the ten qulity projects' IC. Users will have the opportunity to purchase early allocations of renowned projects on our platform.
5.In the second after of this year, we will promote a series of more interesting trading modes for ICs, such as installment and group purchase. Users can choose installments to release pressure for purchasing large allocations or gather multiple users to group purchase allocations at one time, as every individual user will receive a proper amount of discount.
Questions Asked on Twitter For Solv Finance Team!
Q1. The applicability of NFTs is growing a lot, to the point that it is already possible to digitize the value of physical targets with them, with the vNFT standard is it possible to enhance this much more? How much more do you think the usability of NFTs can grow with this standard?
Ans — As NFT is a very good carrier for assets in the digital world, representing ownership of assets.
The digitization of physical assets depends on the capacity and usage of the carrier.
ERC-721 is an outstanding and common carrier.
But as we can see, more and more NFT assets are trying out methods for splitting, because higher division leads to higher liquidity. Therefore many projects are taking ERC-20 as a plausible method for ERC-721.
Our new vNFT standard is a completely new arrangement, with more derivatives than ERC-20. But ERC-20 has little capacity for describing information.
While using vNFT, we can realize the splitting with information support further derivatives.
Just like this two IC, both of them reserve rich information that represent the rights for claiming tokens.
Overall, vNFT can increase the capacity as a carrier, and in turn promote the use of digitization for Physical assets.
Q2. Solv Finance is characterized by leading the NFT financial market for DeFi. But how exactly do they do it? What are the advantages or benefits of bringing this NFT market to DeFi? Other NFT market projects could be integrated with you to get a DeFi solution for your NFTs?
Ans — We believe the future DeFi market will include three types of assets: ERC-20, a fungible asset with low friction and large trading volume;
ERC-721 is a non-fungible asset with high friction of trading, thus users can only buy one at a time, with significant differences within the assets.
The third is the Financial NFTs we always mention, a semi-fungible asset, such as commercial paper in traditional finance.
Under some circumstances, these certificate assets can be splitted, while in some situations they can be merged.
It’s hard to say for sure whether its fungible or not, so we define them as semi-fungible.
Just like this graph
What our Solv aims to do is to introduce this kind of asset into DeFi world, and prove that it will contribute to helping DeFi entering into the next stage.
A typical example would be the investment certificate that I had just presented.
Both ERC-20 and ERC-721 cannot perform this function, as our notes carry considerable information and can be splitted or merged.
In terms of integration, because our vNFT is compatible with ERC-721, thus all infrastructures for ERC-721 are compatible, and users can use NFTfi for lending for example.
Q3. Can you explain the difference between Versatile Non-Fungible Token (vNFT) and Non-Fungible Token (NTF)? What are the advantages of vNFT over traditional NFTs?
Ans — NFT covers a wide range of non-fungible assets. We can use ERC-721 and ERC1155 to create these assets. vNFT is in fact a standard similar to ERC-721, as it is a new standard built upon the basis of ERC-721. Thus, it can be viewed as an poweful ERC-721 that can be splitted and merged. This new function gives vNFT more possibility for more interesting applications, such as the investment certificate I presented above.
Q4. DEFI market - new technology growing very rapidly, There are security breaches almost everyday in DeFi Projects, So what Solv Finance have on Security problems?
Ans — Now the development of the code is done, and three top companies will take care of the audit. We have gone through the audit of SlowMist, and they gave us high appraisal. The audit report will be released on official twitter next week. The other two rounds of audit by others agency will be completed in June. So we would spend a lot of money in case of security problems.
Q5. What makes you feel confident about the survival & sustainable success of Your project in the near future?
Ans — In the long-term, whether a product can survive depends on whether it solves the need of the market.
Everyday we talk about what is the need of the market, and we have produced products accordingly.
However, we decided to produce this investment certificate as first application in the end.
Because we believe there is a strond need and we’ve got enough technology to satisfy this demand.
Again, you are welcome to try this product on testnet.solv.finance
In addition, we are actively promoting BD and financing, that’s what i’m responsible for right now.
We are aim of building a strong investor network and partnership network to maintain our advantage in future competition.
At the same time, I am confident in our devs team, because they are promoting innovative products at the pace of two weeks.
The power of innovation is our source of confidence.
Questions Asked by our BlockTalks Community Members during live Session to Solv Finance Team!!
Q1. If i get Investment certificate (IC), is it tradable? Could you please state how can I monetize the IC? or how does i increase my earnings through it?
Ans — For sure, the point here is that, you can sell it\ lend it\ or even make it as a ETF on every ERC721 supportive infrastructure.
Q2. What is business model of your project? How it works? Who are your potential customers and which markets are you targeting on?
Ans — We support minting\managing and trading of ICs, and we would charge 1% of transaction fee, so the business model is quite straightforward.
Q3. How do you plan to spread awareness about your project in different countries/regions where English is not spoken well?
Ans — We do have american in the team, and we are hiring more global friends. If you are interested in join us, plz find us on our tg channel.
Q4. What really Motivated you to bring Solv Finance into existence? What is the best thing you would point out in Solv Finance?
Ans — I’m a market researcher in the team, we found out that few defi projects adopt NFT as their receipts, LP token or ctoken for instance. But it’s necessary for defi to revolution into next stage.
It’s a bit complicated opinion, you can follow our official website to check our opinion on the market.
Q5. After the attack of the Kucoin exchange, the security issue has been mentioned many times and is being worried about. Is Solv Finance confident about the security of your platform? Can Solv Finance share more about Solv Finance security technology?
Ans — We are fully aware of the impotance of this problem. We would try our best to protect your assets. Basically Solv is different from lending protocol, cause you don’t have you deposits a lot money in our protocol, so for most users, the risk exposure would not be such big.
Q6. In short term, how will Solv Finance team balance the conflict between investors' profit and project ecosystem health?
Ans — It’s used to meet the needs of projects first. cause tokens are under the control of projects but I found out that projects do have needs to minting ICs.
It has a good fit on the following projects:
1.Projects which would like to conduct OTC round. IC market can help them with the distributing of lock-up allocation to thousands of users at once.
2.Project which would like to conduct lock-up allocation offerings before IDO.
3.Project which want to help their investors transfer their lock-up allocations.
4.Project which want to attract arbitrages on IC market and spot market.
Q7. Many DEFI projects are in a hurry to release products with serious errors in the smart contract. Have you performed audits by third parties? Do you think the your system is safe enough against hacks and hacker attacks?
Ans — Yes agreed, we would invite 3 institutions to audit our codes.
Q8. Are you launching your IC product soon. How does this system work?
Ans — Yes, will lauch it by mid of May. and will conduct a 10 projects IC offerrings campaign at that moment.
Here are some important links of Solv Finance 👇
🌎 Website: Solv.finance
📱 Twitter: twitter.com/SolvFinance
📢 Telegram: t.me/SolvFinance
📚 Medium: Medium.com/@Solv.Finance