Application Introduction
This proposal outlines the development of a next-generation V3 Decentralized Exchange (DEX) on the Conflux blockchain. The project, tentatively named “FluxV3,” aims to introduce capital-efficient liquidity provisioning, NFT-based LP positions, and advanced trading infrastructure to the Conflux ecosystem.
Problem Statement: The existing DeFi landscape on Conflux, while growing, largely relies on early-generation Automated Market Makers (AMMs) akin to Uniswap V2. These platforms suffer from inefficient capital allocation, static liquidity, limited fee tiers, and outdated user experiences. This leads to underutilized capital for liquidity providers (LPs), increased slippage for traders, and hinders overall DeFi momentum on the network.
Proposed Solution: Our solution is a V3-style DEX purpose-built for Conflux eSpace. It will feature concentrated liquidity, multiple fee tiers, non-fungible liquidity positions (NFTs), active liquidity management,. This directly addresses the inefficiencies by maximizing capital utilization, providing LPs with precision tools, and improving trade execution.
Alignment with Conflux Network: The project is natively designed for Conflux, leveraging its high-throughput, low-fee, and EVM-compatible eSpace. This aligns perfectly with Conflux’s goals of fostering a robust DeFi ecosystem by providing a foundational liquidity layer that can attract more users, developers, and projects.
Benefit to the Conflux Ecosystem (Developer Enticement): This product will attract more developers to build on Conflux by providing well-structured, modular smart contracts that can be easily extended, forked, or integrated into other DeFi applications. As a native, high-performance V3-style DEX, it establishes a clear reference implementation for building advanced liquidity protocols on eSpace. Developers will benefit from studying and reusing proven patterns for concentrated liquidity, NFT-based LP mechanics, and dynamic fee-tier management—making it a valuable foundation for future DeFi innovation within the Conflux ecosystem.
- Economic Benefit (Asset and Transaction Increase): By introducing concentrated liquidity, the DEX will deepen on-chain liquidity, making Conflux more attractive to traders, aggregators, and institutional users. Higher LP returns and better fee structures are designed to attract sticky liquidity, significantly increasing Total Value Locked (TVL). The enhanced user experience, reduced slippage, and advanced features will drive higher trading volumes and more on-chain transactions.
- Competitive Edge: Our FluxV3 differentiates itself by:
- Concentrated Liquidity: Allowing LPs to allocate capital within custom price ranges for superior capital efficiency.
- Multiple Fee Tiers: Offering flexible fee levels to align LP incentives with market characteristics.
- NFT-Based LP Positions: Tokenizing liquidity positions as ERC-721 NFTs, enabling personalization, tracking, and secondary markets for LP strategies.
- Active Liquidity Management: Empowering LPs to adjust positions in real-time, transforming them into active market makers.
- Conflux-Specific Optimizations: Fully utilizing Conflux’s low gas fees, high throughput, and eSpace compatibility.
Technical Introduction
FluxV3 aims to establish a high-performance, scalable, and user-centric decentralized exchange infrastructure on Conflux eSpace. Its development is driven by the need to overcome the limitations of current AMM models on the network, which hinder capital efficiency, trade execution, and user engagement.
As highlighted in the Application Introduction, existing Conflux DEXs suffer from inefficient capital allocation, static liquidity, limited fee tiers, and suboptimal user experiences, creating a significant barrier to the network’s DeFi growth.
Current solutions are largely V2-style AMMs (e.g., those on Conflux already). While functional, they lack the advanced features necessary for robust, capital-efficient markets. The feasibility of a V3 DEX on Conflux is high due to Conflux eSpace’s full EVM compatibility, allowing for seamless deployment of Solidity smart contracts and leveraging established tools like Hardhat and MetaMask. The technical architecture draws inspiration from proven V3 AMM designs, adapting them to Conflux’s unique high-throughput and low-fee environment.
Purpose of the system: The primary purpose of this system is to introduce a next-generation AMM model that enables capital-efficient liquidity provisioning, improves trade execution, and enhances the overall user experience within the Conflux DeFi ecosystem.
Scope of the system: The system will encompass:
- Deployment of core V3-style smart contracts on Conflux eSpace.
- Development of a sophisticated Smart contracts for optimal routing and price precision.
- Creation of a modern, analytics-driven frontend for traders and liquidity providers.
- Support for multiple fee tiers and NFT-based liquidity positions.
Objectives and success criteria of the project:
Introduce a Capital-Efficient AMM Model: Successfully deploy smart contracts enabling concentrated liquidity within specific price ranges. Success will be measured by increased capital efficiency for LPs compared to V2 models.
- Empower Liquidity Providers (LPs): Provide LPs with flexible fee tiers and NFT-based positions. Success will be measured by the diversity of LP strategies and engagement.
- Improve Trade Execution: Reduce slippage and increase price accuracy. Success will be measured by observed slippage rates and user feedback.
- Enhance User Experience: Deliver a modern, analytics-driven interface. Success will be measured by user retention and engagement metrics on the frontend.
Technical Proposal
Functional Overview of Your System
FluxV3 will be structured across three primary layers:
- Smart Contract Layer: This layer, deployed on Conflux eSpace, will house the core logic for concentrated liquidity, multiple fee tiers, and NFT-based liquidity positions. It will enable real-time liquidity adjustments and dynamic trade execution. Each LP position will be minted as a unique ERC-721 NFT, encoding its specific price range, token pair, and chosen fee tier.
- Liquidity Engine Layer: This dedicated engine will manage the core AMM logic, including swap path calculations and complex pool interactions. It will act as the protocol’s brain, ensuring efficient routing and capital optimization. Key functionalities includes tick-range mathematics for precise pool movements, and integration with price oracle logic for real-time price indexing. The system will support multi-hop trades and be compatible with fee-on-transfer tokens.
- Frontend and Interface Layer: The user interface will be a modern, responsive, and analytics-driven application. The trading dashboard will offer real-time analytics, order book visualizations, and comprehensive portfolio performance tracking. The LP portal will allow users to intuitively create, modify, and track their liquidity positions, view fee earnings and APRs, and manage individual NFT LP assets. Advanced trade execution tools such as slippage controls, impact previews, and gas/route optimizations will be integrated.
Core aspects of your system
- Concentrated Liquidity: LPs can set custom price ranges for their liquidity, significantly boosting capital efficiency.
- Multiple Fee Tiers: Offers varied fee levels (e.g., 0.05%, 0.30%, 1.00%) to align with different asset pair volatilities and LP risk appetites.
- Non-Fungible Liquidity Positions (NFTs): Each LP position is tokenized as an ERC-721 NFT, allowing for unique management, tracking, and even secondary trading of positions.
- Active Liquidity Management: Tools for LPs to dynamically adjust their positions based on market conditions, enabling better risk-adjusted yields and impermanent loss mitigation.
- Enhanced Trading Interface: A user-friendly frontend providing real-time analytics, LP portfolio dashboards, trade impact simulation, and position ROI tracking.
- Modular Architecture & Upgradeability: The system will use upgradeable smart contracts and a modular design to support future additions like plug-and-play LP strategy vaults, DAO-controlled fee tiers, automated risk management add-ons, and governance upgrades.
- Conflux-Native Design: Leveraging Conflux’s low gas fees and high throughput for optimal performance and user experience.
Non-functional overview
- Usability: The system prioritizes an intuitive, responsive, and analytics-driven user experience. The enhanced trading interface and LP portal are designed to reduce friction, improve onboarding, and increase user engagement. The goal is to make advanced AMM features accessible to a broad user base.
- Reliability: The system will undergo rigorous QA and security testing, including unit/integration testing, manual QA, and preparation for third-party audits. This commitment to testing ensures the stability and integrity of the smart contracts and frontend, minimizing downtime and errors.
- Performance: Leveraging Conflux’s inherent strengths—low gas fees and high throughput—the DEX is designed for optimal performance. This will facilitate frequent LP repositioning, high-frequency trading, and rapid transaction processing, crucial for a competitive trading environment.
- Implementation: The architecture is built to be modular and extendable, supporting future upgrades and integrations within the Conflux ecosystem. This approach ensures long-term viability, adaptability, and the ability to incorporate new features or respond to evolving market demands.
- User Interface: The UI will feature a clean, modern design that is visually appealing and highly functional. It will include real-time data visualization, clear navigation, and comprehensive tools for both traders and LPs to manage their assets and strategies effectively.
Marketing & Community Engagement Plan
The success of FluxV3 relies heavily on robust marketing and active community engagement. Our plan includes:
- Pre-Launch Awareness:
- Announcement of grant award and project roadmap through official Conflux channels, crypto news outlets, and DeFi-focused publications.
- Early teaser campaigns on social media (Twitter, Reddit, Medium) highlighting key V3 features.
- Community Building:
- Establishment of dedicated Discord and Telegram channels for direct community interaction, support, and feedback.
- Regular AMA (Ask Me Anything) sessions with the core development team to foster transparency and address community questions.
- Active presence and engagement on relevant Conflux forums and subreddits.
- Content Marketing:
- Development of comprehensive documentation, tutorials, and guides for both traders and liquidity providers.
- Regular blog posts and technical articles explaining the benefits of V3 concentrated liquidity, NFT LP positions, and advanced features.
- Creation of engaging video content (e.g., walkthroughs, feature demonstrations).
- Partnerships & Collaborations:
- Strategic partnerships with existing Conflux projects, dApps, and DeFi protocols to integrate and promote the V3 DEX as a core liquidity layer.
- Collaborations with key opinion leaders (KOLs) and crypto influencers within the Conflux ecosystem and broader DeFi space.
- Incentive Programs:
- Implementation of targeted liquidity mining programs to bootstrap initial TVL and attract long-term liquidity providers.
- Consideration of trading competitions and other community-driven initiatives to drive engagement and trading volume.
Audit Plan
We will conduct a thorough internal review ( Thorough Review ) of all smart contracts before mainnet deployment, including manual QA and automated checks using tools. While this proposal does not include a third-party audit, the contracts will be structured and documented to be audit-ready, should an external review be pursued in the future.
Total Budget
Grant Size: USD $45,000 (USD equivalent in USDT/CFX)
Timeline: 8 to 10 weeks of Development and Traction afterwards till 6 months
Development Roadmap and Milestones
Milestone 1: Architecture Finalization & UI/UX Design
Budget: $10,000
Timeline: 2 weeksWe will design the technical architecture and initial UI/UX flows of the DEX, including liquidity pools, token swap mechanisms, fee models, and the admin dashboard structure.
Justification:
- $4,000 – UI/UX Wireframes & Prototypes
- $2,000 – Smart Contract Architecture Planning
- $2,000 – Token Flow & Frontend Framework Setup
Deliverables:
- Complete UI/UX designs
- Technical architecture documentation
KPI:
- Approval of architecture
- Frontend screens finalized and ready for development
Milestone 2: Smart Contract Development & Frontend Build
Budget: $18,000
Timeline: 4 weeksCore smart contracts will be developed for liquidity pools, swapping logic, fee distribution, and basic staking (if applicable). Parallelly, the frontend and admin panel will be coded.
Justification:
- $8,000 – Core Smart Contracts (Swap, Pool, Factory)
- $6,000 – Frontend & Admin Panel Build
- $2,000 – Contract Testing (unit & integration)
- $2,000 – QA & Functional Testing
Deliverables:
- End-to-end smart contract suite
- Functional frontend + admin panel
KPI:
- 100% unit test coverage for core contracts
- Working test environment with UI-connected contracts
Milestone 3: Testnet Deployment & Feedback Iteration
Budget: $12,000
Timeline: 2 weeksWe will deploy the contracts on Conflux testnet, conduct rigorous QA, and gather feedback.
Justification:
- $4,000 – Deployment & Infra Setup
- $2,000 – Community Testing Campaign
- $2,000 – Bug Fixes & Improvements
- $2,000 – Performance Optimization
Deliverables:
- Deployed DEX on Conflux testnet
- Public testnet walkthrough + feedback report
KPI:
- Multiple testnet users
- 500+ testnet transactions
- Feedback incorporated within a week
Milestone 4: Internal Audit & Mainnet Launch
Budget: $5,000
Timeline: 2 weeksInternal manual and tool-based audits will be performed. Once cleared, we will deploy the DEX to the Conflux mainnet.
Justification:
- $4,000 – Internal QA & Slither/Foundry/Hardhat Audit
- $3,000 – Mainnet Prep (env, liquidity seeding script)
- $2,000 – Launch campaign coordination
Deliverables:
- Audit-ready contract set
- Live DEX on Conflux mainnet
KPI:
- Mainnet launch
- Bug free
Milestone 5: TVL & User Adoption Phase I (Month 1–3)
Budget: $7,500
Timeline: 3 months post-launchMarketing, incentive rollout, and early liquidity partnerships to drive adoption.
Justification:
- $3,000 – Community Campaigns
- $2,000 – LP Incentives
- $2,500 – Partnership onboarding
KPI:
- $250K TVL
- 1,000+ users
- 10,000+ transactions
Milestone 6: TVL & Volume Growth Phase II (Month 4–6)
Budget: $7,500
Timeline: 3 monthsOngoing user engagement, DAO onboarding, and AMM strategy optimization.
Justification:
- $2,500 – DEX Usage Rewards
- $2,000 – Marketing Content / KOLs
- $3,000 – Strategic DEX Partnerships
KPI:
- $1M TVL
- $2M cumulative trading volume
- 3,000+ active wallets
Team
1. Ankit Bhatia
Role: Technical Lead
Responsibilities: Smart contract architecture, protocol logic design, integration with Conflux eSpace, and internal audit execution
Experience:
5+ years in blockchain development with deep expertise in Solidity and EVM-based ecosystems
Led and audited multiple DeFi implementations including lending, staking, and DAO modules
Specializes in gas-optimized contract design, oracle integrations, and secure protocol rollouts
GitHub: https://github.com/neevlabs-web3
Socials: LinkedIn
2. Parth Chaudhary
Role: Developer
Responsibilities: Smart contract implementation, testnet deployment, frontend integration, and performance testing
Experience:
Hands-on with Solidity, Hardhat, and React-based dApps
Worked on end-to-end delivery of token and NFT smart contracts
Experience integrating Chainlink oracles and writing custom contract modules for financial workflows
GitHub: github.com/ParthChaudhary31
Socials: LinkedIn
3. Prashant Hooda
Role: Project Manager
Responsibilities: Project planning, milestone delivery, UI/UX coordination, and stakeholder communication
Experience:
6+ years in product and project management in blockchain and SaaS sectors
Experienced in managing DeFi and NFT projects across Ethereum, BNB Chain, and L2s
Leads cross-functional teams across development, design, QA, and client success
Socials: LinkedIn