Introduction
We propose to develop and deploy EggSwap, a Uniswap v3 fork on the Conflux Network, bringing advanced automated market maker (AMM) functionality to the Conflux ecosystem. This project aims to solve the following problems in the existing Conflux ecosystem:
- Limited liquidity efficiency in current DEXes
- Lack of concentrated liquidity features for LPs
- Need for more sophisticated trading tools
Alignment With Conflux Network
Benefit to Conflux Ecosystem
- Developers will be able to utilize the system for boosting the liquidity of their projects.
- Protocols will be able to offer more rewards because of the increased fees from concentrated liquidity.
Economic Benefit
- Concentrated liquidity provision allows for better UX with less slippage.
- More assets on-chain due to lower minimum liquidity requirements.
- Different fee tiers enable better risk management and returns for LPs.
- Gas-efficient swaps compared to Uniswap V2.
Competitive Edge
Our competitive edge lies in being the first to bring Uniswap v3’s innovative features to Conflux, offering superior capital efficiency and flexibility for liquidity providers. We also want to provide a community and branding to help build a unique identity on the Conflux network.
Are you an incorporated startup?
We are not a incorporated startup; however, if things grow larger we can form one if needed.
Technical Introduction
Problem Statement
Current decentralized exchanges (DEXes) on Conflux do not offer concentrated liquidity provision along with the features that it comes with like a TWAP oracle.
Existing Solutions
The main DEX on Conflux is Swappi, a Uniswap V2 fork. Implementing a Uniswap V3 fork could result in significant increases in capital efficiency. Additionally, Uniswap V3 comes with more advanced features such as a TWAP oracle and fee tiers. The Uniswap V3 code is now under an MIT license.
Purpose of the System
The purpose of EggSwap will be to provide concentrated liquidity provision to Conflux, while also making it easier for users to work with it.
Scope of the System
- Fork and adapt Uniswap v3 smart contracts for Conflux
- Develop a user-friendly frontend interface
- Implement multi-fee tier support
- Enable concentrated liquidity positions
- Integrate with Conflux wallet solutions
- Develop subgraphs for efficient data indexing and querying
Objectives and Success Criteria
- Successfully deploy Uniswap v3 fork on Conflux testnet and mainnet
- Achieve $1 million in Total Value Locked (TVL) within 3 months of launch
- Onboard at least 50 liquidity providers within 3 months of launch
- Facilitate at least 1,000 trades within 3 months of launch
- Develop branding specific to EggSwap and a Discord
Technical Proposal
Functional Overview
Smart Contract Development
- Adapt Uniswap v3 core and periphery contracts for Conflux
- Implement multi-fee tier system (0.05%, 0.3%, 1%)
- Deploy and verify smart contracts onto Conflux network mainnet and testnet
Subgraph Development
- Design and implement subgraphs for efficient data indexing of ticks and swaps
- Enable real-time data querying for improved user experience
- Support advanced analytics and historical data access
- Provide support for Conflux with the subgraph and using their endpoint
Frontend Development
- Create intuitive UI for trading and liquidity provision
- Implement position management dashboard for LPs
- Develop analytics and data visualization tools
- Integrate with graphs to show tick data to pool
Non-functional Overview
Usability
- Intuitive interface for both novice and experienced users
- Mobile-responsive design
Reliability
- Implement robust error handling and recovery mechanisms
- Website will notify users when a transaction will fail
- Ensure high uptime for the system
Total Budget
The total requested amount: $26,000
Breakdown
-
Development: $3,000
- Smart Contract Deployment and Testing: $1,000
- Frontend Development: $2,000
-
Infrastructure: $2,000
- Routing API Hosting: $1,000
- Web Server + Domain: $1,000
-
Liquidity and Growth Incentives: $15,000
- Incentives for providing liquidity for CFX/USDC pair: $5,000
- Incentives for FXS points and staking: $5,000
- Incentives for providing liquidity for top 3 Pairs: $5,000
-
Marketing and Community Building: $6,000
- Brand Development & Art: $2,000
- Global marketing initiatives: $2,000
- China-specific marketing efforts: $2,000
Development Roadmap
Milestone 1: Mainnet Deployment and Community Growth (1 Month)
- Deploy EggSwap on Conflux eSpace
- Reach 3,000 followers on X and 100 users on Discord/Telegram
- Process 500 trades
Funding: $5,000
Milestone 2: Marketing and Incentives (2 Months)
- Achieve a TVL of $1M
- Reach 1,000 Unique wallets
- Complete 3000 transactions
Funding: $6,000
Milestone 3: Full Incentive Program and Growth (2 Months)
Milestone 3a: Liquidity Incentives for Top Pair
- Achieve a volume of $5 million
- Complete 5,000 transactions
- Reach 1,000 Monthly Active Users
Funding: $5,000
Milestone 3b: EGG Points & Staking Incentives
- Achieve a TVL of $3M
- Reach 15,000 followers on X
- Reach 1,000 Monthly Active Users
Funding: $5,000
Milestone 3c: Liquidity Incentive for Top 3 Pairs
- Achieve a TVL of $3M
- Complete 3 Partnership Campaigns
- Reach 5,000 unique wallet addresses
Funding: $5,000
Point System
We believe we can attract significant attention to Conflux and MiaoCha through a points reward system.
- Users will earn points for providing liquidity and actively managing it.
- Points will earn users both CFX and EGG tokens as rewards.
- Points conversion rate for EGG tokens will come out at the end of our point campaign.
EGG Token Liquidity
Through an EGG token, we believe that we can attract significant liquidity and attention to Conflux’s ecosystem. We have a plan detailed below:
- Establish a liquidity pool between EGG/CFX for the protocol and investors.
- Distribute rewards for users for the pool by providing incentives for that pair.
- Potentially partner with Conflux Network to provide liquidity.
Liquidity Attraction Strategy
- Implement a two-month incentive program, allocating a set amount of rewards per day.
- Develop a bot to track user positions and reward them with points for providing liquidity.
- Offer enhanced incentives for EGG token staking and CFX/USDC liquidity provision.
- Leverage Conflux’s promotion channels to highlight the benefits of Uniswap V3 features.
- Consider temporary boosted rewards for early liquidity providers to quickly build TVL.
Growth Plan
- Launch and actively manage Discord server and Twitter account.
- Collaborate with Conflux for promotional posts and community engagement.
- Implement a point system for incentivizing liquidity for the EGG token or use a smart contract liquidity mining system.
- Engage with other projects in the Conflux ecosystem for potential integrations and partnerships through the creation and promotion of meme tokens.
- Develop targeted marketing campaigns for both retail users and institutional liquidity providers.
- Through collaborations with Conflux, we also hope to implement China-specific marketing initiatives:
- Establish presence on popular Chinese social media platforms (e.g., WeChat, Weibo)
- Collaborate with Chinese crypto influencers and KOLs
- Create educational content in Mandarin about EggSwap and its features
- Participate in China-focused blockchain events and conferences
- Engage with Chinese DeFi communities and forums
Token Issuance Plan
- Launch EGG governance token for EggSwap.
- Token distribution:
- 10% held by the DAO
- 25% allocated to developers
- 65% distributed through liquidity mining incentives and points
Long-term Vision
- Continuously improve the platform based on user feedback and market trends.
- Explore integration with other DeFi protocols in the Conflux ecosystem.
- Implement additional features to enhance the AMM functionality.
- Expand the range of trading pairs and liquidity pools.
- Collaborate with Conflux to potentially integrate Dune Analytics or develop custom analytics solutions.
- Explore cross-chain opportunities to bring liquidity from other networks to Conflux via EggSwap.
Security Measures
While the core Uniswap V3 contracts have been audited previously, we will conduct a thorough deployment check and continuous monitoring to ensure the security and proper functioning of the protocol on the Conflux network. We will also allocate resources for ongoing security reviews and potential bug bounty programs.
Team
The team is headed by Gnome and Cool Guy.
Person 1: Gnome
Role
They are the smart contract developer and system architect.
Responsibilities
- Design and implement the protocol.
- Develop the subgraph.
- Set up the Discord server and community channels.
Relevant Experience
- Participated in over 10 hackathons, winning over $30,000 in prizes.
- Built the smart contracts for AutoGains, a project that received a grant from Gains Network and Arbitrum.
Github
Person 2: Cool Guy
Role
They are the front-end designer and marketer.
Responsibilities
- Design and implement the website’s front end.
- Market the platform and engage with the community.
Relevant Experience
- Participated in over 10 hackathons, winning over $30,000 in prizes.
- Worked as an advisor for multiple projects and as a community moderator.
Terms of Use
I agree to all of the following terms of use in applying to a Conflux Ecosystem Grant:
- I have read and understood the Conflux Grants Ecosystem Overview.
- I have read about and understood that the Conflux Technical Grants are subject to a No-Sale rule.
- I agree to provide KYC information to the Conflux Foundation for the sake of overall ecosystem security.
- I understand that I will be required to follow public grant reporting requirements.