Cryptex + UMA Integration

Ideas
1

Dear Cryptkeepers and Friends,

Greetings from the SuperUMAns at UMA - where we promote Universal Market Access for all.

We would like to propose an integration between Cryptex and UMA by proposing several options for the community/DAO to choose from. I’ve been in Cryptex for awhile and as a participant in both projects would like to see the success of both.

1. Encouraging TCAP minting and usage
TCAP is an index token tracking the market cap across all assets in the cryptoverse, anomalous to the crypto version of the S&P500 or the Russell 3000. We think this token has potential to realize this vision, especially with the recent addition of Chainlink oracles for price tracking. The issue is that the Mcap and the trading volume is low and UMA can help encourage to stimulate this.

UMA can propose KPI options which allow Cryptex to rapidly deploy incentives for usage of TCAP. A sample criteria of this type of integration would be to track TVL and/or new TCAP minted across all participants within a defined epoch, which will cumulate into redeemable TCAP or CTX tokens at the KPI options expiry date. We do not prefer price tracking as this is more gameable and is not sustainable to the viability of the Cryptex DAO.

2. Encouraging the usage of TCAP in protocol Treasuries
We refer to the blog article here. We think that there is potential to get more TCAP into Treasuries of different DAOs. With this approach UMA proposes a KPI option which tracks the number of new integrations with other projects, with redeemable CTX at the end of the KPI options epoch expiry. As a precedent and disclosure, UMA currently uses this approach (uINT) to incentivize its Ambassadors to conduct (meaningful) integrations, with redeemable UMA tokens on KPI options expiry and bonuses based on additional criteria met.

3. Profit-sharing scheme with all Cryptex CTX and TCAP holders
We note that currently TCAP tokens only generate revenue with 1% burn fee. Why don’t we combine the approach outlined with #2 above and issue a KPI option based on revenue generated? If there are more ways to generate revenue for the protocol, UMA proposes to reward all Cryptex participants for adding value with holding/using TCAP based on revenue generation as a profit sharing scheme.

Thank you for your time, and feel free to suggest additional ideas. All feedback is welcome. We are also up for hosting AMAs to explain more about UMA if the community is up for it!

5 Likes
2

Thanks for sharing this proposal @arcology! As a SuperUMAn myself, it super exciting to join forces with other DeFi communities. I like how you offered a few different paths where KPI Options could have a positive impact for Cryptex.

Looking forward to hearing thoughts from the greater Cryptex community. Here to answer any UMA (or SuperUMAn) related questions you may have as well. Cheers.

3 Likes
3

Hi Cryptkeepers and Friends,

Just wanted to say hello again and thanks for joining last week’s AMA between the UMA and Cryptex communities.

Joe mentioned that he is open for a joint proposal between both communities for a deeper integration, which includes:

  1. Using UMA as an accepted collateral for minting TCAP
  2. Exploring the use of KPI options (and/or other UMA products) to further boost minting/usage of TCAP and to get it into other protocols’ Treasuries

There was interest to create a joint task force and open a channel for such an integration in Cryptex’s Discord. We want to reach out to those from Cryptex’s side who are interested to explore and write a joint proposal together. Please let us know!

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4

Hey Crypt Keepers im part of the SuperUMAns that was hanging out during our AMA with matz, joe, and Brendan! It was a pleasure to discuss eachothers communities and get to know more about our protocols! Would love to continue our relationship and show just how awesome KPI options are to incentivize an entire community! Would love a working groups between the Crypt Keepers and SuperUMAns to get into the nitty gritty of it all!

5 Likes
5

Thanks for sharing this @arcology. Looking forward to the collaboration Crypt keepers. If you have any questions or need more information regarding the KPI options feel free to ask over in our Discord server :slight_smile:

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6

Thank you for coming over and sharing with our community how TCAP works and talking about the building of your DAO! Good stuff! Hope this is the beginning of a great friendship with you guys and @arcology helps you design a use case for KPI options that will be a huge boost for an already great financial product.
Your website is pretty sick btw !
I had the page up with your bio’s, my kid walked by and asked " what band are you checking out?" I told him “Cryptex, they even got a dog in the band.” He’s probably searching Youtube for your music rn. :grin:
Thanks again for your time, greatly appreciated.

3 Likes