QAI Tokenomics
One thing that we would all agree on about the DeFi space is: there are too many things going on and too little time to DYOR!
As the DeFi space continues to change at pace, users feel overwhelmed by the number of new DeFi products and the complexity of assessing them. Masters are good at profit-making, but the return is limited by the capital one can allocate. Builders are frustrated because it becomes more difficult to stand out in a sea of legos and increasingly difficult or costly to carry out composability with other protocols.
As a result, QAI has tapped into DeFi as an aggregator to help users navigate through the vast amount of protocols - to let masters focus on profit-maximizing, and to give builders a platform to bring out the potential of their product to the fullest.
That's why we are here:
QAI will form a value ecosystem as a super-aggregator to bring builders and masters onboard.
And, QAI is the key to making that happen.
For Governors
Underpinning the QAI ecosystem will be the governors, who are the participants of the community. The decentralized community will be able to protect the integrity of QAI through research, discussion, and on-chain voting.
The benefit of QAI Governors
1.You will have the right and power to decide the path forward - that is the beauty of DeFi.
2.You will be in charge of the QAI Treasury.
3.If you are also a QAI Master, your reward as a Master will be boosted depending on the vQAI you have.
To be a QAI Governor
Anyone with vQAI tokens is a QAI Governor.
Once you lock your QAI tokens, you will get vQAI in return.
You can choose the locking period - the longer you lock, the more vQAI you will get.
The vQAI token is non-transferable, but you could delegate your voting power to others.
The responsibility of a QAI Governor
The more vQAI you hold or get delegated from others, the more voting power you have. vQAI holders can vote and decide the parameters in the QAI protocol including:
1.Cube Listing and Delisting - including the listing policy for different types of cubes
2.The QAI Treasury and Reserve Management
1.Fee and incentive emission parameters
2.Underwrite insurance or buy insurance for all users
3.Grants for more cube developers
4.Lock QAI in reserve to vQAI, and use this vQAI to support the activation of some cubes
QAI Treasury
QAI Treasury is where we park the proceeds of the QAI protocol.
For Builders
More Builders list their cubes, more profit-discovery QAIs that QAI Masters can create.
As illustrated in Ben Thompson’s Aggregation Theory, builders make QAI more attractive to more users, which in turn draws more builders - in a virtuous cycle.
The benefit to list a cube on QAI
The main challenges for protocol builders in the current DeFi space are often:
bootstrapping liquidity from scratch;
the need for interacting with other protocols due to the nature of composability
lack of front-end resources to provide an intuitive user experience
QAI aims to tackle the above problems. To that end, QAI emphasizes UX/UI improvements over the protocol layer, whereas the protocol builders can accelerate the development by focusing singularly on the core underlying functionality. This will enable builders to plug-and-play rather than building out their own liquidity.
The process to list a cube on QAI
1.Propose and collect feedback on the QAI Forum
2.Pass QAI Governance on Snapshot
3.Develop the smart contract as per the Cube Listing Policy
4.Submit and schedule the contract review with the Operator (currently the QAI founding team)
5.The Operator must register the contract in the system with a multi-sig wallet
6.Lock QAI to activate the cube
The security aspect on QAI
The overall security of QAI is highly related to the DeFis we integrate. Therefore, we need to manage the security from the ground up - that is from the cube development quality and process.
Cube Listing Policy
Developer Guide: An instruction to build the smart contracts for a new cube on QAI.
Risk Factors: Different types of cubes will have different risk factors, and different risk factors will be subject to different levels of QAI commitment and audit processes.
QAI Commitment: To activate a cube on the QAI protocol, a certain amount of QAI needs to be locked in the governance contract as a commitment. Unlocking the committed QAI will trigger a cool-down period and the respective cube will be delisted immediately.
QAI Governors with a sufficient amount of vQAI could commit to activating a cube. Additionally, the committed party could still participate in the governance and enjoy the benefit as a Governor.
Regular Audit
QAI Operator (currently the QAI founding team) will schedule and conduct regular internal and external audits to ensure more and more experienced experts examined the code along with the growth of the protocol.
Insurance Policy
When a cube performs malicious behavior, the committed QAI will be taken and sent to QAI Reserve, and the Operator will delist the cube from the system immediately.On the other hand, QAI Governors can allocate the funds in the QAI Treasury to underwrite or buy insurance from external insurance protocols for the overall users.
Example on how to participate as a Builder
Before your cube gets listed:
1.Propose your cube idea on the Governance Forum.
2.Interact with other members of the community to gather support.
3.Find a Governor who supports your idea to create a cube listing proposal, or you can get enough vQAI to be a Governor yourself and create the listing proposal.
4.If the proposal is passed with support from the Governors, you can then develop the smart contract per the Cube Listing Policy.
5.Once the contract is ready, submit and schedule the contract review with the Operator (currently the QAI founding team)
6.If the review is positive, the Operator will register the contract in the system with a multi-sig wallet.
7.Then you need to purchase QAI tokens from open market. Then, you need to lock these QAI tokens into the QuantFlow QAI contract to activate the cube. You can also seek support from the QAI governance beforehand to see if any sponsors from the community.
After your cube gets listed:
As you lock the QAI, you also become a QAI Governor. You are encouraged to participate in the QAI governance actively going forward.
With the rapid development in the DeFi space, its recommended to follow up on the DeFi cube you develop from time to time. For example, when the underlying DeFi has an upgrade, you may need to upgrade the cube to make it functional as well.
You can apply for grants from the QAI Governance Portal as your cube accumulates transacted volume.
Release Schedule
Due to the nature of the DeFi space, expeditated development, unforeseen changes, or community feedback may cause these plans to change.
Subject
Status
Smart Contract Open Source
Completed
Trial Run on External Builder Participation
Completed
Cube Listing Policy
Planning
Cube Stats Dashboard
Planning
Smart Contract for Cube Activation
Planning
Last updated