►
From YouTube: Community Collateral Onboarding Call: December 2, 2020
Description
Introduction: @juanjuan
Presentation 1 (0:00:40): Leverj
Agenda and Discussion:
https://forum.makerdao.com/t/collateral-onboarding-call-18-leverj-wednesday-december-2nd-18-00-utc/5356
Governance Forum:
https://forum.makerdao.com/
Disclaimer: These calls and the summaries are produced and hosted by MakerDAO community members. Content produced by the community are not the statements or views of the Maker Foundation.
A
Hello
welcome
everyone
again
to
another
make
it
our
collateral
call.
Today
is
december,
the
2nd
2020
at
6,
00
pm
utc
and
we're
happy
to
have
with
us
shanky
from
leverage
or
hank.
I
don't
know
which
one
you
prefer
but
yeah.
Basically,
it's
for
those
who
don't
know
it's
a
it's
a
derivatives,
decentralized
platform,
so
we're
going
to
speak
a
little
bit
about
perpetual
positions,
futures
and
whatnot.
B
Absolutely
yeah
well.
Thank
you
juan.
Firstly,
thank
you
for
having
us
on
the
show
and
thank
you
for
helping
us
make
a
case
for
l2
as
a
possible
collateral
for
the
maker
world.
So
you
know
really
appreciate
that
what
I
would
like
to
do
this
morning
for
me-
and
I
guess
for
some
people
it
may
be
evening
afternoon
early
morning
you
know
it's
a
global
call.
It's
to
essentially
introduce
the
idea
of
leverage
the
l2
token
and
the
underlying
technology
so
consider
this
more
as
a
sort
of
overview
type
of
a
session.
B
B
and
in
time
that
time
period
you
know
none
of
these
current
generation.
D5
platforms
were
around.
In
fact,
for
that
matter,
ethereum
was
barely
born
in
that
period.
So
you
know
a
lot
of
the
the
crypto
sphere.
If
you
may
was
very
young,
very
early
and
most
of
the
activity
was
around
bitcoin
in
the
early
days
of
the
bitcoin,
when
even
bitcoin
itself
was
not
very
well
known
at
that
point
in
time,
and
the
idea
that
got
the
team
very
excited
right
or
the
sort
of
genesis
of
leverage
was
really
around.
B
The
fact
that
you
know
can
a
derivatives
platform
be
built
on
this
new
asset
class.
So
that
was
the
sort
of
the
first
idea
that
came
up
and
do
keep
in
mind
that
this
is
the
period
when
even
bitfenix
bit
max.
A
lot
of
these
venues
were
also
barely
coming
up,
and
some
of
them
didn't
even
exist
back
then,
and
at
that
point
in
time
I
think
the
the
bigger
questions
really
were.
B
So
it
was
a
lot
of
experimentation.
There
was,
in
fact,
an
earlier
exchange
called
coinpit
that
friends
of
mine
who
founded
this
company,
you
know,
got
started
out
with
and
they
built
it
out
originally
to
kind
of
trade,
initial
sort
of
the
likes
of
perpetuals.
They
were
more
like
futurist
contracts,
but
likes
the
perpetuals
and
the
bitcoin
platform.
B
B
It
firstly
did
not
provide
a
whole
sort
of
a
you
know,
a
programmable
platform
to
start
with,
and,
secondly,
that
it
was
also
difficult
in
general
to
achieve
things
when
the
guest
fees
were
high
and
the
transaction
fees
were
becoming
exorbitant
because
then
the
cost
of
doing
a
trade
was
so
high.
It
was
very
prohibitive
for
anyone
to
even
indulge
in
anything
that
perhaps
had
benefits
of
decentralization
or
non-custodial
nature.
B
B
You
know
the
ability
to
sort
of
scale
at
that
point
in
time
as
compared
to
bitcoin
right.
So
you
know
everything
is
relative
and
of
course
it
was
also
a
new
platform
where
there
was
a
lot
of
more
sort
of.
You
know
the
programmatic
nature
that
had
drawn
in
a
lot
of
good
talent
and
a
lot
of
good
energy
and
the
whole
sort
of
initial,
I
would
say,
v1
of
the
d5
foundational
stuff
was
being
built
out.
B
So
that's
where
that's
where
this
was
born
really,
and
you
know
fast
forward
when
the
platform
was
being
built
out.
One
of
the
early
limitations
that
came
up
was
really
around
scale,
so
you
know
one
was
drawn
to
ethereum
because
the
idea
was
hey,
this
would
scale,
and
this
would
be
good
and
this
would
be
like
a
world
computer
if
you
may,
but
soon
enough.
B
So
then
leverage
essentially
sort
of,
I
would
say,
stepped
back
a
little
bit
in
2018
and
you
know
most
of
2019
and
said
well.
We
first
need
to
build
a
robust
infrastructure,
and
once
we
have
the
robust
infrastructure
in
place,
then
we
can
go
back
and
you
know
make
the
decentralized
derivative
story
real,
and
so
that's
where
the
sort
of
l2
scaling
technology
was
born
and
the
l2
scaling
technology
that
is
available
today
from
from
leverage
is
called
gluon
and
has
its
own
identity.
B
In
that
sense
right,
it's
a
it's
an
open
source,
open
spec
that
has
been
discussed
quite
a
bit.
Also
on
you
know,
sort
of
the
plasma
channels
initially
and
then
you
know,
has
its
own
venue
and
own
sort
of
ecosystem.
That
is
just
kind
of
coming
together
now
and
on
the
basis
of
that
leverage
was
able
to
realize
a
high-speed
decentralized
derivatives
platform.
B
The
derivatives
platform
itself
went
live
only
this
august,
which
has
been
you
know
about
a
couple
of
months
now
three
months,
and
you
know
it's
slowly
but
steadily,
gathering
steam
and
the
expectation
is
that
that
platform
will
be
one
of
the
many
different
ways
that
the
gluon
network
and
the
gluon
technology
would
help
make
the
whole
d5
ecosystem
better
from
decentralized
derivatives
to
fast
incident
transfers.
To
you
know
amms,
which
are
fast
to
what
have
you.
B
You
know
all
kinds
of
things
that
exist
in
the
financial
service
world,
so
that
is
the
sort
of
very
high
level
picture
of
you
know
where
leveraging
where
gluon
fits
in
and
of
course
there
is,
you
know
our
token
that
drives
the
governance
and
the
some
of
the
security
constructs
plus
also
allows
people
to
earn
rewards
if
they
stake
actively.
And
you
know
that
token
is
what
is
called
l2,
which,
as
you
would
see
with
the
name,
is
pretty
much
in
line
with
the
sort
of
layer,
two
scaling,
if
you
may
right.
B
A
B
Yeah
good
good
point
yeah.
Thank
you.
Thank
you
for
specifying
that.
So
what
I'm
going
to
do,
one
is
I'm
going
to
park
that
a
short
period,
because
I'm
going
to
show
things
right
and
let
me
share
my
screen
that
way.
I
think
we
can
right.
We
can
start
seeing,
but
I
would
certainly
address
that.
I
think
it's
a
good
point
and
I
should
address
it.
B
Okay,
so
I'm
sharing
a
few
things
to
start
with,
okay
and
then
I'll
certainly
address
and
give
a
more
context
about
what
derivatives
themselves
are,
and
you
know
what
is
the
layer,
2
technology
and
again,
as
I
talk
through
it,
please
stop
me.
You
know
I
don't
intend
this
to
be
a
monologue,
so
if
there's
anything
that
doesn't
make
sense
or
should
be
explained
in
a
different
way-
or
there
is
more
new
answers
to
it.
B
If
you
have
questions
well,
just
just
stop
me
right
then,
and
there
okay,
so
first
things
was
just
to
get
familiar.
You
know
this
is
the
gluon
network
that
I
was
talking
about
and
I
will
speak
a
little
bit
more
about
it.
What's
the
gluon
network
and
the
underlying
technology
there's
a
lot
more
information
on
this
website.
B
B
The
you
know,
sort
of
the
website.
The
website,
of
course,
like
most
corporate
websites,
so
to
speak
or
any
sort
of
organization
websites
gives
you
a
little
flavor
of
you
know
what
the
underlying
companies
what
the
underlying
product
is
and
then,
of
course,
you
know,
provides
a
little
bit
more
flavor
into
the
technology
itself.
B
There
are
sections
here
which
lead
more
specifically
to
documentation
and
links
to
blogs,
which
also
has
a
lot
of
content
for
those
who
are
interested
in.
You
know
getting
into
the
details
and
looking
at
what
we've
been
up
to-
or
you
know
some
of
the
explanations
around
our
technology
there's
also
a
section
on
faq,
which
you
know,
as
the
sort
of
name
suggests,
tries
to
address
some
things
up
front
and
then
of
course
last,
but
not
the
least
it.
You
know
sort
of
connects
with
the
markets.
B
B
What
I'm
going
to
be
demoing
today
is
mostly
on
the
test
nets,
and
you
know
we
have
a
couple
of
test
nets
which
one
can
freely
go
and
use
registrar
and
play
with,
and
these
are
on
the
infurial
networks.
So
the
one
that
I'm
going
to
show
today
is
the
kovan
network,
which
is
kovan
leverage
io,
and
if
you
want
to
look
at
the
robston
one
that
has
a
similar
sort
of
naming
scheme
of
robston.leverage.io-
and
you
know
you
can
go
there
and
access
those
venues
as
well.
B
So,
okay.
So
let
me
try
and
address
that
question.
First,
since
you
asked
about
derivatives
and
just
give
a
more
higher
level
picture,
and
then
we
can
start
digging
into
some
of
these
details
both
around
leverage
as
the
product
and
company
and
glue
on
as
the
technology
and
try
and
bring
it
all
together
in
terms
of
what
the
l2
token
means
for
the
ecosystem
and
for
you
know
for
its
relevance
in
terms
of
the
maker
ecosystem
as
well.
B
B
I
think
many
of
us,
if
we
haven't
even
directly
dealt
with
it,
have
certainly
heard
of
terms
like
you
know,
futures
and
options
and
things
of
that
nature.
These
have
been
around
for
a
long
time,
for
you
know
a
couple
of
centuries
now
many
of
these
emerge
really
in
the
agricultural
sector.
So
you
know
the
genesis
of
derivatives,
at
least
in
the
united
states.
B
The
idea
was
that
what
happens
if
there
is
you
know,
weird
fluctuation
of
demand
and
therefore
your
prices
go
out
of
hand
or
out
of
back
and
therefore
you
would
either
sign
the
amount
cost
or
you
might
end
up
facing
these
very
abrupt
sort
of
swings
in
both
the
demand
and
supply,
thereby
sort
of
making
the
markets
very
one-sided
for
these
traders
right.
These
growers,
who
actually
have
you,
know,
earned
their
livelihood
and
work
around
these
whole
agricultural
products
and
trade.
B
So
at
that
point
in
time
the
idea
really
emerged
of
well.
Could
we
set
a
price
a
few
months
out
right
like?
Could
we
set
something
which
is
in
the
future
right
and
that
emerged
originally
as
more
custom
contracts
which
are
called
forwards
and
they
got
more
organized
and
more
sophisticated
over
a
period
of
time
and
emerged
into
things
like
futures,
which
are
basically
standardized
contracts
on
these
exchanges
like
cme,
the
chicago
mercantile
exchange,
the
nymex,
you
know
and
a
bunch
of
other
venues,
and
now,
if
you
look
at
it
globally,
there
are.
B
There
are
a
ton
of
sort
of
fiat
world
exchanges
that
let
you
trade
a
lot
of
things.
They
let
you
trade
things
derived
on
the
prices
of
individual
stocks
on
the
value
of
indices
like
the
s
p,
500
on
commodities,
like
you
know,
oil
and
cotton
and
you've
got
things
of
even
weather
patterns
and
things
of
electrical
grids,
and
in
fact
people
have
even
made
custom
derivatives
on
things
like
the
possibility
of
usage
of
insurance
plans.
B
It's
a
very
sophisticated
asset
class
which
has
you
know
a
lot
of
different
sort
of
exotic
sort
of
types
of
assets
today
in
the
market,
which
are
also
layered,
sometimes
in
the
sense
that
you
know
one
is
derived
of
the
other
and
then
there
are
derived
things
off
derived
products
and,
of
course,
what
has
happened
because
of
that
is.
It's
become
a
humongous
asset
class
in
terms
of
the
total
dollar
value
that
gets
traded
and
the
total
notional
dollar
value
of
all
these
assets
that
exist
in
the
world.
B
Today
and
typically,
it's
believed
I
don't
have
a
number
of
the
top
of
my
head
at
the
moment,
but
typically
it's
believed
it's,
it's
massive
multiples
of
the
global
economy.
So
you
know
the
global
economy
is
70
80
trillion
today,
you're
talking
about
you,
know,
derivatives,
notional,
value
which
is
multiple
multiples
of
that
number.
So
it's
in
hundreds
of
trillions
of
dollars
of
notional
value
that
exists
in
terms
of
derivatives.
B
What
we
have
seen
in
the
crypto
world
is
that,
beginning
of
I
would
say,
around
2014
2015
time
frame
is
when
it
kind
of
started
coming
in.
There
may
have
been
something
earlier
than
that,
but
you
know
that's.
When
it
started
gathering
steam,
there
has
been
a
lot
of
activity
around
at
least
basic
futures
contracts
or
basic
contracts
that
let
you
trade
on
prices
of
the
main
crypto
assets
a
little
ahead
in
time.
B
So
in
the
sense
that
there
are
products
that
let
you
trade,
bitcoin
price,
three
months
out-
and
there
are
things
that
let
you
trade,
the
ethereum
price.
You
know
in
similar
time
frames
and
those
have
been
traded
in
many
exchanges.
A
lot
of
centralized
exchanges,
including
bitmex,
which
had
you
know,
of
course,
made
a
name
for
itself
and
you
know,
is
going
through
its
own
crisis
at
the
moment,
but
you
know
certainly
helped
establish
that
asset
class.
B
B
B
B
One
is
a
certain
time
to
it,
so
you
know
it's
either.
A
future
means
essentially
implies
an
asset
that
matures
three
months
out
or
six
months
out
or
nine
months
out
or
12
months
or
sometime
period,
like
that
right
typically
futures
tend
to
be
structured
in
a
quarterly
fashion.
So
you
do
see
a
lot
of
futures
becoming
expiring
or
maturing.
B
You
know
these
are
the
words
that
are
normally
used
along
those
time
frames,
so
they
would
mature,
let's
just
say
in
march
and
then
june
and
september,
and
then
you
know
towards
the
end
of
the
year
and
what
happens
in
these
products
is
essentially
they
become
available.
They
get
traded
and
when
the
day
arrives,
the
so-called
day
of
maturation
or
the
day
of
expiration.
B
Okay,
now,
what
ends
up
happening
is
that,
as
it
gets
closer
and
closer
to
that
date,
like
the
february
date,
as
I
just
made
up
the
price
of
the
spot
market
or
the
price
of
buying
ethereum
by
just
paying
cash
and
buying
instantly,
and
the
price
of
this
future
would
start
converging
they
would
they
would
come
together
if
they
don't,
then
of
course
you
know
it
provides
an
ability
for
an
arbitrage
right,
but
between
now
and
then
the
prices
may
vary
quite
a
bit.
People
will
trade
it.
B
B
Now,
a
little
variant
of
that
is
a
version
where
this
expiration
date
in
some
sense,
never
comes
okay,
and
the
idea
is
that
you
could
settle
the
difference
or
you
could
find
out
how
you
stand
against
the
underlying
fiat.
I
mean
underlying
spot
price
on
a
daily
basis
or
hourly
basis
or
eight
hour
basis
or
12
hours
some
basis,
but
the
expiration
date
really
never
arrives,
so
there
is
no
sense
of
an
expiration
date,
thereby
allowing
you
to
sort
of
be
in
that
position
forever
and
ever
now.
B
Of
course,
there
are
some
externalities
that
could
force
you
to
close
that
position,
but
let's
just
simplify
it
for
the
moment,
and
so
this
instrument
with
no
expiration
date
right,
which
is
just
open-ended
future.
If
you
may
is
called
a
perpetual
sort
of
you
know
now
the
name
sort
of
fits
in
hopefully-
and
the
idea
here
is
that
you
could
settle
off
or
trade
off
against
the
spot
prices
on
a
regular
basis
and
that
regular
basis
varies
from
exchange
to
exchange
but
effectively.
B
You
never
really
close
your
position
so
to
speak,
or
you
never
really
settle
so
to
speak
on
a
given
day.
It's
just
an
ongoing
perpetual
sort
of
a
characteristic
of
this
contract.
So
that's
where
the
you
know,
sort
of
the
rituals
come
in
and
perpetuals
have
become
incredibly
popular
in
the
world
of
crypto.
In
fact,
among
the
derivatives
asset
classes
future
certainly
is
very
popular
and
within
that
the
subclass
perpetual
is
by
far
the
most
popular
instrument
out
there.
B
Driving
majority
of
the
volumes
across
exchanges
centralized
decentralized.
If
you
look
at
any
derivatives
exchange,
perpetuals
is
where
most
of
the
excitement
is,
and
in
fact,
if
you
further
break
it
down,
most
of
the
energy
is
really
around
perpetuals
on
two
assets:
bitcoin
and
ethereum.
So
that's
where
most
of
the
action
is.
B
B
B
I
know
that
in
a
sort
of
overview
call,
sometimes
it's
difficult
to
do
justice
right
to
explain
all
these
concepts,
but
but
I'll
try
and
do
as
much
as
I
can
yeah.
So,
if
you
look
at
this
this,
you
know
the
site
that
I'm
sharing
right
now.
This
is
essentially
the
leverage
I
o
perpetual
trading
platform
and
this
particular
one
is
opening
up
at
the
eth
usd
pair.
B
Now
let
me
mention
a
few
things
about
this
contract,
just
so
that
you
know
all
of
us
have
that
we're
all
on
the
same
page,
and
then
we
will
dig
into
some
of
these
specifics
here.
So
first
things.
First,
you
know
this
is
obviously,
as
I
mentioned,
each
price
based
derivative
right
and
it
is
a
perpetual
with
no
expiration
date,
so
this
is
one
that
is
just
on
and
on
and
on.
B
B
You
will
end
up
holding
that
perpetual
position,
but
the
look
and
feel
at
a
very
high
level
is
very
similar
to
buying
and
selling
ethereum
and
which
is
why
you
see
even
the
buttons
here
tend
to
have
that
kind
of
nomenclature,
and
you
will
see
this
in
other
exchanges
also.
So
this
is
not
unusual.
This
has
become
very
standardized
now
now.
B
What
is
important,
though,
and
which
is
not
visible
to
the
eye,
is
that
all
these
trades
would
happen
in
a
completely
decentralized
manner,
and
this
would
happen
on
the
l2
chain,
which
essentially
means
that,
let's
just
assume
two
of
us
on
this
call
were
trading-
and
you
know
they
wanted
to.
One
party
wanted
to
sell
and
the
other
party
wanted
to
buy
this
particular
platform.
Leverage
io
would
help
bring
the
two
parties
together
because
they
would
both
have
accounts,
they'll,
come
and
trade
here,
but
effectively.
B
Leverage
io
as
the
operator
of
this
platform
has
no
control
so
to
speak
on
the
assets
of
either
party.
So
unlike
custodial
exchanges
or
centralized
exchanges,
where
you
have
the
centralized
entity
kind
of
being
like
the
bookkeeper
right,
they
control
both
the
parties
assets,
they
match
the
trades
and
they
settle
them
off
in
this
particular
case.
Think
of
it
as
the
technology
doing
it
right
and
that's
where
the
glue
on
network
and
the
layer,
2
scaling
and,
of
course,
the
main
chain
as
well,
which
plays
a
key
role.
B
They
sort
of
do
all
of
those
mechanics
and
the
operator
per
se
has
no
control
over
the
coins.
Now,
of
course,
that
you
can't
see
from
this
piece
because
it
looks
like
a
regular
order
book
and
that's
intentional,
because
the
idea
is
that
people's
look
and
feel
and
experience
of
high
speed,
quick,
easy
should
be
exactly
how
they
are
familiar
with
both
in
the
fiat
world
and
now
in
the
centralized
crypto
derivatives
world,
but
behind
the
scenes
they
have
control
over
their
assets.
B
This
particular
instrument
is
die,
so
what
you
do
is
when
you
come
in
here
and
register
right
and
I'm
not
going
to
walk
through
the
registration
steps
there,
but
it's
a
simple
sort
of
linking
up
with
metamask,
and
you
know
just
sort
of
approving
it
through
a
couple
of
on-chains
small
clicks.
But
once
you
register,
you
will
end
up
seeing
a
wallet
like
this.
Okay,
and
this
wallet
is
nothing.
B
B
I
take
a
part
of
it
or
all
of
it,
depending
on
how
much
I
want
to
move,
and
I
take
that
amount
and
move
it
over
to
the
plasma
wallet
and
now
that
it's
available
in
the
plasma
wallet,
I
can
use
it
to
trade,
these
derivatives,
okay.
So
in
this
particular
case
I
can
go
here
and
let's
just
say,
I
want
to
buy
some
of
this
and
maybe
I'll
reduce
the
quantity
a
little
bit
here.
So,
let's
just
say,
1.1
I
can.
B
Okay.
Now,
if
you,
if
you
again,
go
back
and
look
at
perpetuals,
the
important
thing
to
understand
is
that
you
essentially
take
a
position
on
the
assets.
In
this
particular
case.
You
are
saying
you
believe
that
by
buying
I
essentially
expressed
saying
that
I
think
the
ethereum
price
is
going
to
go
up.
It's
like
buying
ethereum
right
and
therefore,
as
the
ethereum
price
goes
up,
I
would
benefit
from
it.
B
That's
essentially
my
sort
of
underlying
thesis
or
underlying
intention
right,
and
so
in
this
particular
case,
when
I
buy
eth,
what
I'm
really
doing
is
I
am
taking
a
position.
What
is
called
going
long
right
and
assuming
that
I
would
benefit
from
an
increase
in
price
of
ethereum,
and
so
what
I
effectively
do
is
I
open
a
new
position.
So
you
know
here
is
where
I
had
put
the
orders
and
I
can
put
another
one
just
to
sort
of
show
you
how
the
order
would
look
okay.
B
So
if
I
buy
another
one,
so
this
was
filled.
If
you
did
you
just
see
that
I
don't
know,
if
you
saw
the
notification
that
one
was
obviously
had
a
corresponding
quote
from
the
market
maker's
book,
so
it
got
filled
quickly
and
therefore,
now
as
soon
as
I'm
filled,
I
have
essentially
an
open
position.
Now.
B
What
this
open
position
is
essentially
saying
is
in
this
particular
case
says
that
I
am
three
point:
three
four
quantities
of
holding
three
point:
three
four
quantities
of
each:
that's
what
it's
saying,
I'm
long
three
point
three,
four,
eight
and
effectively
behind
the
scene.
All
I
have
done
is,
I
have
basically
put
a
certain
amount
of
margin
right
in
this
case.
You
know
these
are
where
the
margins
are
showing
so,
let's
say,
99
in
this
particular
case.
Initial
margin,
so
99
die
is
what
I
have
spent
to
enter
into
this
position
now.
B
B
All
of
this
I'm
basically
doing
using
die.
There
is
no
heat
involved
here,
I'm
playing
with
the
eat
prices,
I'm
benefiting
from
the
price
movement
eat,
but
what
I
really
hold
is
die,
so
I'm
holding
die,
I'm
using
die
to
enter
into
a
position
and
after
I
have
made
that
profitable
trade.
What
I
also
earn
is
die
okay.
So
let
me
sort
of
pause
at
this
and
see
if
anybody
has
any
other
questions-
and
I
can
explain
some
more
of
what
these
various
terms
mean.
A
Okay,
I
have
a
couple
questions
like
please
go
ahead,
are
you
so
the
first
one
will
be
where,
where
is
the
price
coming
from?
Like?
Do
you
have
some
kind
of
oracle
for
for
making
sure
that
the
price
is
the
right
one
and
the
second
one
has
to
do
with
the
margin?
Do
you
do
you
guys
have
or
how
do
the
liquidations
work
at
which
type
of
percentages.
B
Fantastic
both
phenomenally
good
questions.
Yes,
so
I
think
you
know
one
of
the
things
that
discussed
a
lot
and
I'm
just
going
to
step
back
and
answer
the
first
one
first
right.
So
is
this
whole
concept
of
the
price
itself?
Where
is
the
price
coming
from
who's
determining
the
price
and
we've
also
seen
this
whole
discussion
around
oracles
and
the
decentralization
of
oracles
and
manipulations,
leading
because
of
the
oracle
price,
and
so
on
so
forth?
Right,
that's
been
a
topic.
That's
discussed
quite
a
bit
in
the
d5
world.
B
The
important
thing
to
understand
is
in
our
case
we
need
very
high
speed
quotation
of
prices.
Essentially,
we
need
you
know
a
second
level
quotation
of
prices.
Why
do
we
need
that?
Why
we
need?
That
is
because
you
know
we
are
essentially
in
some
sense
trading
or
settling
on
an
ongoing
basis
in
a
real-time
basis,
right,
because
somebody
might
want
to
close
the
position
if
they're
in
profit.
Somebody
might
want
to
close
the
position,
because
you
know
they
can't
take
losses
anymore
and
positions
might
get
liquidated.
B
B
So
if
you
know
the
price
has
fallen
way
lower
or
way
higher
in
one
of
those
ticks
right,
we
kind
of
discard
them
and
what
we
go
with
is
in
some
sense.
You
know
the
more
logical
median
average,
so
to
speak
of
that,
you
know
of
that
value
right
now,
if
you
were
to
go
down
to
a
blog
you'll
find
a
ton
of
information
on
all
of
this
okay.
So,
for
example,
let
me
show
you
one
on
liquidation
and
I
can
leave
that
behind
this
one
does
talk
about.
You
know.
B
B
Having
said
that,
there
are
two
other
things
that
we
are
currently
doing,
that
I
want
to
mention
here,
so
we
have
entered
into
a
close
partnership
with
bnc,
brave
new
coin
and
brave
new
coin
by
the
way
has
been
a
great
supporter
of
ours
for
a
long
time.
You
know,
they've
also
been
from
their
investment
side
being
an
early
investor
in
the
company
and
they've
also
partnered
with
us
for
over
two
three
years
now
in
terms
of
just
even
giving
us
feedback-
and
you
know
working
with
us
closely.
B
B
Our
assumption
is
that
you
will
not
see
much
of
a
change,
because
our
methodology
is
aligned
really
well.
What
we
do
today,
which
is
very
transparent,
and
you
know
what
is
going
to
come
from
blx-
is
very
similar
in
terms
of
attitude.
We
only
hope
that
you
know
with
sort
of
time
tested
and
more
well-audited
indices,
that
rare
chance
of
something
going
off
because
of
some
odd
behavior
in
the
market.
Data
would
also
get
caught.
B
So
that's,
basically
our
hope
now
do
remember
that
any
participant
can
listen
to
this
index
as
well.
So
you
know
there
are
feeds
for
it.
The
websocket
feeds
we
are
again
making
all
of
that
public
and
any
participant
who's
trading
on
the
exchange
will
have
access
to
those
and
they
can
listen
to
it,
and
you
know,
can
also
have
their
own
calculations
offline
and
make
their
own
judgment
if
prices
are
close
enough
or
far
away
or
if
they
see
any
idiosyncrasies,
they
can
also
certainly
jump
in
and
you
know,
participate.
B
Okay,
so
that's
one
part
now
liquidation.
So
let
me
talk
about
liquidation
a
little
bit
and
in
the
interest
of
time,
I'm
going
to
also
go
and
talk
a
little
bit
more
about
l2
per
se
right
the
token
that
we're
here
for
so
liquidation,
long
story
short,
you
know
and
again
I'm
going
to
make
it
super
simple
for
a
detailed
explanation.
I
would
certainly
encourage
everybody
to
read
this
blog
post.
B
But
let's
go
back
and
look
at
liquidation,
and
this
is
where
I
can
also
talk
a
little
bit
more
about
this
open
position
right.
So
the
essential
idea
in
any
of
these
derivatives
trade
is
that
you
should
have
enough
asset
so
that
your
your
position
makes
logical
sense,
makes
logical
sense
for
you
and
makes
logical
sense
for
the
system.
What
does
that
mean?
That
really
means
is
that
in
this
particular
case,
if
you
have
put
down
a
margin
of
99
die
right,
which
is
what
I'm
showing
here,
which
is
what
I
did
right.
B
If
my
losses
accumulate
way
beyond
this
margin
that
I've
put
right
and
margins,
the
losses
obviously
would
keep
getting
calculated
on
a
real-time
basis,
because
the
price
is
moving
right,
then
me
holding
that
position
makes
no
sense
beyond
that
point
because
effectively,
my
losses
have
exceeded
in
some
sense
way,
beyond
the
amount
of
margin
that
I've
put
in
right.
So
that's
the
sort
of
underlying
idea.
B
Now,
obviously,
I
think
just
purely
from
a
market
mechanics
standpoint
and
from
a
standpoint
of
keeping
it
fair
for
everyone,
one
does
not
wait.
Till
every
little
drop
is
drained
out
because
if
every
little
drop
is
drained
out,
it's
already
too
late
to
even
look
for
gracefully
closing
that
position.
B
So
if
you
were
to
liquidate
all
the
way
in
the
end,
that
would
become
more
like
a
forced
liquidation,
almost
like
a
foreclosure
right
which
is
called
adl
in
this
jargon
and
the
or
auto
deleveraging.
I
think
that's
the
word
that
a
lot
of
people
use
you
know
shortened
as
adl,
so
you
don't
want
everything
to
be
a
foreclosure.
You
don't
want
everything
to
be
an
adl.
B
B
Are
there
I'm
going
to
skip
that
for
now,
because
that
will
end
up
becoming
an
hour
long
conversation
on
its
own
right,
but
that
allows
us
to
take
one
of
these
positions
and
put
it
back
on
the
book
and
find
a
more
graceful
match
so
to
speak
now
if
there
is
no
match
so
what
does
that
mean?
It
means.
Let's
say:
market
is
moving
up.
North
right
prices
are
going
up
up
and
up
somebody
is
sitting
short.
Somebody
feels
the
market
is
going
to
crash.
It's
not
crashing.
B
There
comes
a
point
where
you
know
the
amount
of
deposits
you've
put
in
the
amount
of
margin
is
too
short.
Now
your
position
needs
to
be
liquidated.
Your
position
essentially
becomes
an
open
order
at
that
point
in
time.
The
liquidation
engine
picks
it
up,
puts
it
on
the
books
and
tries
to
find
the
best
match
possible.
B
If
it
finds
a
good
appropriate
match
fantastic,
you
know,
then
it
can
just
basically
close
their
trade.
You
obviously
suffer
some
losses,
but
at
least
you
know,
the
losses
are
curtailed
to
an
extent
to
as
much
as
possible
and
in
some
sense
the
position
doesn't
stay
hanging
there,
because
you
know
for
every
long.
You
need
to
have
a
corresponding
short
for
the
market
to
remain
balanced
right
both
and
that's
what
makes
a
fair
market-
and
you
know,
that's
how
it's
done,
but
suppose
there
is
no
match.
B
B
Adl
comes
in
and
it
just
forecloses
it
essentially
right
and
whatever
can
be
recovered
out
of
it
is
recovered
and
that
whatever
little
recovered
goes
into
something
called
an
insurance
fund
and
that
insurance
fund
is
just
used
in
future
to
provide
you
know,
sort
of
a
counterparty
match
for
these
things
which
get
liquidated
right.
So
so
that's
a
sort
of
high
level
here
of
liquidation
and,
as
I
mentioned,
there's
a
lot
more
details.
I
would
certainly
encourage
people
to
go
and
read
it
now.
B
So
the
glow
on
block
explorer
is,
you
know,
essentially
an
explorer
for
the
l2
chain
right
for
the
glue
on
chain,
and
here
you
can
see
every
single
activity.
This
is
what
gets
validated.
This
is
what
gets
you
know
compressed
essentially
or
gets
represented
as
merkel
root,
hashes
and
finally
gets
published
onto
the
main
chain,
but
unlike
a
lot
of
other
technologies
like
ck
roll-ups,
for
example,
where
there
is
no
transparency
into
the
individual
transactions
in
the
case
of
gluon,
every
single
transaction
can
actually
be
tracked.
B
B
The
robston
one
is
at
robston.glueon.com
and
then
of
course,
the
mainnet
one
that
you
can
also
look
at
is
at
gluon.leverage.io.
So
if
you
want
to
just
look
at
the
mainnet,
which
is
a
public
one,
you
don't
have
to
log
in
or
anything
of
that
sort.
You
essentially
just
go
here
to
glue
on
leverage
io,
and
you
can
look
at
what's
going
on
here.
B
Okay
and
very
quickly,
you
can
look
at
all
the
transaction
types
here
right,
so
you
can
look
at
deposit
withdraws,
exited
trade.
You
can
look
at
various
assets.
This
is
you
know
the
various
sort
of
markets
and
you
can
put
your
own
account
as
well.
So
let's
just
assume
this
is
one
account,
I'm
just
going
to
randomly
pick
one
and
you
can
see
all
the
transactions
for
that
account.
A
A
B
We
certainly
aren't
a
seven-day
chain,
so
we
are
way
faster.
We
are
closer
to
that
15
minute
and
30
minute
type
of
mark
now
in
deposits.
It
usually
takes
today
somewhere
closer
to
about-
I
would
say,
10
minutes
roughly
and
with
the
draws
are
a
two-step
process,
so
I
can
actually
show
it
when
I
just
show
it
here.
You
know
we
won't
wait
for
15-20
minutes,
but
I
can
show
it.
B
So
when
I
withdraw
this,
as
it
says,
it's
a
two-step
process
right.
So
the
first
one
is
my
intent
or
request
to
withdraw
and
once
it
goes
in
there.
Obviously,
it
has
to
go
through
the
validation
process,
because
you
know
the
fraud,
proofs
and
any
kind
of
validation
needs
some
time
and
then
you
would
be
able
to
just
move
it,
so
this
would
be
instantly
done.
So
this
one
is
with
the
drawing
here.
B
All
good
questions,
okay,
so,
firstly,
front
running,
is
not
possible
on
this
platform,
the
reason
being
that
there
is
a
very
deliberate
intent
to
avoid
it
and
it's
part
of
the
gluon
framework
itself.
We
have
specific
fraud,
proofs
that
essentially
address
front
running
today.
The
piece
is
being
run
in
limited
sets
of
nodes,
but
in
future
you
will
see
these
being
available
across
port
like
anybody
who
runs
a
node
would
be
able
to
do
it.
B
B
B
B
B
So
at
this
point
in
time
we
have
a
few
order
types
right.
Let
me
show
you
which
ones
are
those,
so
we
have
the
limit
order.
Of
course,
right
again,
I'm
not
going
to
explain
these,
but
certainly
asking
questions
here.
You
can
place
a
straight
out
market
order,
but
not
encourage,
which
is
why
it's
not
the
default.
B
You
can
define,
stop
limits
right
for
your
positions.
You
can
also
do
your
stop
markets.
You
can
also
do
reduce
only
orders
so
effectively.
I
think,
if
you're
already
sitting
on
a
position,
you
can
certainly
have
you
know,
reduce
only
orders
now
explicitly.
Filler
kill
type
of
orders
are
not
there
yet,
but
we
can
certainly
add
those
in.
B
Yeah
we
so
somehow
we've
seen
that
our
early
users
wanted
more
of
these
other
order
types
right.
There
was
more
demand
for
it,
but
you
know
we
certainly
have
all
ears
right
if
there
is
more
demand
for
these
kinds
of
different
order,
types
or
different
sorts
of
sort
of
you
know
trading
strategies
that
people
want
to
implement.
We
certainly
want
to
support
it.
A
B
Yeah,
so
we
had
some
of
those
by
the
way,
even
in
the
original
experimental
one.
Even
things
like
you
know
the
oco
types
and
so
on
so
forth
again
not
trying
to
get
lost
into
the
deep
world
of
specialized
order
types.
But
we
had
a
bunch
of
those
we've
intentionally
tried
to
balance
between
new
users
who
want
to
kind
of
trade.
This
asset
class
and
experts,
of
course,
who.
B
B
So
if
you
look
at
this
particular
platform,
I
think
one
of
the
important
things
to
understand
is
that
this,
and
I'm
specifically
talking
now
in
terms
of
the
maker
world
in
terms
of
how
it
plays
plays
in
and
you
know
what
might
make
sense
here
is
if
you
look
at
the
maker,
vault
and
leverage
as
the
sort
of
you
know
two
venues
and
how
they
could
play
well
together.
I
think
there
are
definitely
three
four
things
that
pop
up
in
my
mind,
right
away.
B
B
In
fact,
in
my
test
net
case,
when
I
generated
the
die,
I
could
easily
just
take
the
testnet
coven
die.
I
went
to
this.
You
know
oss
app,
which
basically,
the
maker
vault
created
a
vault
using
my
heath
generated
dye
and
put
the
die
back
and
entered
into
this
position.
So
that's
exactly
what
I
did
in
fact,
even
in
this
test
case,
and
you
can
do
this
in
production
as
well
right.
B
If
you
go
to
ownership,
you
would
essentially
reap
that
much
proportional
benefit
of
the
amount
of
revenue
earned
on
the
leveraged
platform
and
eventually
other
applications
that
will
be
built
on
the
gluon
platform.
You
would
certainly
run
earn
the
corresponding
revenue
and
if
you
were
to
take
l2
and
put
that
into
a
maker
vault
now
you
have
an
interesting
dynamic
of
you
could
have
your
l2
ownership
and
you
could
create
some
sort
of
a
portfolio.
B
So
on
that
point,
actually
I
want
to
pause.
We
are
at
the
hour
I've
taken
the
whole
hour.
I
really
appreciate
everyone
sort
of
spending
the
time,
but
I'm
happy
to
take
a
few
more
questions
and
then,
of
course,
juan
do.
Let
me
know,
what's
the
best
way,
to
kind
of
share
all
these
links
that
I
can
leave
behind,
perhaps
on
the
website
where
people
can
go
in
and
play
with
it
on
their
own,
and
I
would
be
more
than
happy
to
answer
any
questions
as
a
follow-up
also.
A
Can
you
maybe
comment
a
bit
on
the
well?
You
mentioned
the
fees
already.
Can
you
comment
on
on
what
they
are?
I
don't
know,
I
don't
know
the
this
industry
a
lot,
so
I'm
not
even
sure
what
the
industry
standards
are,
but
maybe
you
can
comment
on
that
and
also
the
the
gas
fees
for
for
you.
You
mentioned
signing
a
couple
contracts
right
so
so
maybe
you
can
comment
on
that.
B
B
The
way
we
have
adjusted
our
fees
is,
there
are
maker
fees
and
taker
fees,
and
if
you
are
in
the
position
as
a
taker
like
you're,
essentially
the
side
of
the
trader
who's,
taking
advantage
of
a
quote
on
the
book,
then
you
pay
fees
and
it's
very
small.
You
know
it's
very
small,
10
15
basis
points
type
of
level.
We
put
a
certain
number
there,
which
is
there
in
the
faq
and
that
might
change
a
little
bit.
You
know
fees
will
change
over
a
period
of
time.
B
If
you're
a
maker
and
providing
liquidity,
you
pay
no
fees
right.
So
that's
the
kind
of
position.
You
also
have
additional
earning
opportunities
in
your
position
in
terms
of
funding
rates,
so
the
funding
rates
are
very
aggressive
funding
rates.
Essentially,
let
you
pay
if
you're,
taking
a
counter
position
and
we
have
a
polynomial
curve
which
allows
for
higher
payouts
than
many
other
venues,
and
so,
if
you
go
and
bet
against
the
market,
and
somehow
things
are
favorable
for
you,
you
would
start
seeing
a
decent
amount
of
funding
rate
payouts
to
you
as
well.
B
B
Our
idea
is
that,
if
you
are
able
to,
you
know
essentially
make
use
of
the
gluon
network
to
the
maximum
possible.
You
would
end
up
incurring
practically
no
fee
out
there
in
terms
of
the
gas
fees.
You
would
only
do
it
on
off
ramp
once
a
while.
Now
there
is
another
piece
that
I
did
not
show,
but
I'll
quickly
sort
of
show
that
super
quickly
is
the
fast
transfer.
So
you
see
this
right.
My
screen
right
now,
so
if
I
wanted
to
just
transfer
die
from,
let's
just
say
this
part.
B
This
one
is
here
so
if
I
wanted
to
transfer
this
die,
I
could
also
do
internal
transfers
in
here.
So
I
can
do
a
transfer
here
which
say
send
I
and
in
this
particular
case
my
other
account
right.
So
I'm
taking
in
here.
This
is
my
other
account
and
I
take
this
and
I
can
do
a
basically
a
gas
free,
instant
transfer,
and
here,
if
I
want
to
just
say,
50
die,
I
want
to
send
there.
B
B
Of
course
we
didn't
see
the
initial,
so
it's
tough
to
see
the
difference,
but
it
initially
came
in
right
away
right,
so
there's
also
instant
transfer.
That
happens
so
the
reason
I
showed
this
is
since
we
were
talking
about
gas
and
overall
accruing
of
the
fees
and
l2's
benefits.
It's
not
just
about
derivatives
trading,
but
there's
also
instant
transfer,
and
then
you
know
we
are
working
on
a
bunch
of
other
concepts,
including
amms
and
many
other
things
which
are
coming
soon.
B
That
really
varies.
You
know
we
have
seen
people
play
a
few
cents
and
we
have
seen
people
pay
up
to
ten
dollars
right
depending
on
how
much
there
is
congestion
and
gas
fee.
In
fact,
what
we
believe-
and
you
know
this
is
something
that
I
think
a
lot
of
people
in
the
l2
scaling
world
have
this
hypothesis
is
that
that
gas
fees
is
going
to
become
higher
and
higher
as
d5
remains
popular,
and
so
I
think,
which
is
why
the
l2
kind
of
shines.
B
A
A
So,
on
the
on
the
downside,
right
on
the
of
the
risk,
I
guess
you're
you're
competing
against
the
ftx's
of
the
world,
dydxes
decentralize
and
then
also.
I
once
heard
this
guy
say
that
the
biggest
competition
is
not
going
to
be
from
l
ones
versus
l
ones.
It's
going
to
be
zk,
rollups
versus
optimistic
rollups
versus
maybe
your
type
of
roll-up
or
plasma.
Sorry
again,
I
apologize
I
stepped
away
for
a
bit.
B
That's
a
great
question
actually,
and
I
would
be
honest
and
upfront
about
it-
see
every
every
new
technology
business
has
risks.
There's
absolutely
no
two
ways
on
that
right,
I
would
be
you
know
I
would
be
lying
if
I
said
there
were
no
risks
and
it
was
a
sure-shot
win,
all
right,
it's
as
simple
as
that.
What
we
do
see,
though,
is
just
projecting
out
in
the
market.
There
is
going
to
be
room
for
a
number
of
players.
B
B
When
it
comes
to
places
like
diy
dx,
they
are
a
little
more
on
chain,
so
there
are
other
things
where,
in
terms
of
features
you
know
we
tend
to
outperform
them,
and
so
my
feeling
is
that
I
think
we
would
certainly
shine
over
those
on-chain
type
of
derivatives
in
terms
of
layer.
Two,
I
think,
there's
definitely
that's
an
emerging
field.
I
think
the
you
know
the
the
final
sort
of
decision
on
who
wins.
B
A
B
B
In
place,
yes,
I
need
to
work
on
that
next
right,
you
know
our
idea
was
first
to
at
least
introduce
ourselves.
I
don't
think
we
are
as
well
known
right
as
it
stands
and
I
was
taking
this
opportunity
primarily
to
first
familiarize
everyone
with
who
we
are
what
we
are
bringing.
We
think
the
technology
and
the
business
both
make
a
compelling
use
case.
B
We
already
are
big
fans
of
dye,
which
is
a
primary,
stable
coin.
In
our
platform,
we
are
closely
integrated
with
the
maker
platform,
so
we
just
see
that
there
is
like
a
nice
synergy
here,
and
this
was
just
sort
of
the
introductory
call
if
you
may,
but
yes,
certainly,
it
needs
to
be
followed
with
a
more
formal
mix.
I
think
that's
what
it's
called
right.
The
application.
A
B
A
A
Sounds
good
great,
so
yeah
thanks
thanks
shank
for
coming.
He
was
really
nice
to
have
you
thanks
both
for
the
for
the
introduction.
Thank
you.
Everyone
else
for
coming
and
yeah
next
week
we're
going
to
have
a
mona
lisa
from
melon
melon
protocol
discussing
more
interesting
projects,
so
see
you
next
wednesday
at
6
pm,
utc.