GateLive AMA Recap - OpenSky Finance
Introduce yourself and the team behind OpenSky?
Robbie - First person in the world to get a Master’s degree in Financial Markets and Trading
Learned derivatives in Chicago, the futures capital of the world. Shorted size (for me) on Russell 2000 small cap stock index futures going into 9/11, made enough to move to Asia in 2001 and been here ever since.
Worked for the largest hedge fund in Vietnam as Director of Quant Trading, found out that liquidity is a critical factor for Quant trading models, especially momentum-based models.
Got into DeFi about 3 years ago and have tried it all. My latest interest, besides working on OpenSky, is funding rate arbitrage between perpDEXes like GMX on Arbitrum and Drift on Solana.
Believe in DeFi, especially the idea of cutting out the expensive human middlemen and allowing regular people around the globe the chance to conduct financial transactions (transparency, composability, accessibility, and inclusivity).
Team is muit-cultural, multi-time zone. Includes people from Western and Eastern Europe, America and Asia.
Developers and designers are digital natives and full-stack.
Dima
What is opensky and what is it solving and what are your objectives?
OpenSky is the omnichain NFT lending protocol powered by Aave, our vision is to help NFT enthusiasts on Ethereum, Bitcoin and other leading chains to unlock and put their valuable NFTs to work with high capital efficiency and no price-based liquidation risk.
5 key points to explain more details
- NFT lending - NFT space & RWA future, everything will be tokenized
- omnichain– Ethereum Bitcoin,Solana, Blast, and Arbitrum - any chain, any asset
- Hybrid - offer peer-to-pool and peer-to-peer two types of loans, we solved the single mechanism problems: like peer-to-peer efficiency and peer-to-pool is not good for rare NFTs and cascading liquidation problems.
- Time-based liquidation — due to the NFT is different with FT, illiquidity priced-based is not a good solution, you can’t sleep well time based: user friendly and no cascading liquidation. Lenders are protected with guarantees and auctions. Due to time-based liquidation, there is less risk of cascading liquidation based on a single floor price. Don’t put all your eggs in one basket.
- Powered by Aave - OpenSky is built with DeFi composability on top of Aave. Win-win for Aave and OpenSky.
Could you provide a brief overview of how it operates? What advantages does this design offer, and does it address any issues present in current NFT lending agreements?
All deposits are passed through to Aave where they instantly and continuously earn Aave rewards and interest from peer-to-pool borrowers.
Lenders can use their yield-bearing pool deposits, what we call oTokens, to accept existing or make new peer-to-peer offers to try and earn a higher interest rate, or try to gain ownership of a particular NFT at a low price.
Other pool-based NFT lending protocols are less capital-efficient.
Other pool-based NFT lending protocols face cascading liquidation risk. OpenSky solves this with our innovative pre-liquidation mechanism.
Other peer-to-peer NFT lending protocols are not efficient because many lenders compete for each borrower and only one lender will fund the loan and be happy.
Many people are interested in the token economic model. Can you describe it?
Tokenomics is simply the Economics of Tokens. Economics is mostly about supply and demand for various markets.
Supply is related to vesting and the decentralization of token ownership. You don’t want the early investors/team to be in a position to dump on you. Also, you would prefer for your token to be held by many small investors instead of a few very large bag holders.
Demand is related to why investors or users need to HODL the token.
Examples include
1) staking for a share of real yield revenue paid in ETH, BTC and stables.
2) Valuable governance rights, such as control of the treasury, changes in revenue sharing, token supply inflation, and voting on protocol parameters
3) Unlocking potential user benefits, such as reducing the borrow-side interest rate or increasing the supply rate.
When it comes to how OpenSky generates revenue, I believe I should first outline the three main types of users within OpenSky. In OpenSky, there are primarily three user categories:
Lenders, Borrowers, and OSKY Holders.
For the Lenders, - real yield on your BTC and ETH
For the Borrowers, - Stake their NFTs to borrow ETH or BTC and can use that somewhere else in DeFi or even lend it on OpenSky ((Possible to borrow to earn)
For the OSKY Holders, - Community-centered platform that receives 100% of protocol revenue will be shared with the OSKY stakers
Tell us about your partners and how they influenced OpenSky positively.
Partners
Aave： DeFI lego
Chainlink: Decentralized Oracle Price feed
NFTbank: AI-based NFT price estimates
OpenSea: Leading NFT marketplace
Layerzero: omnichain NFT and FT bridging
Blast Big Bang competition
6b. Investors - List our VCs here
MetaCartel Ventures, Alphanonce, SnapFingers DAO, FBG Capital, SNZ Holding, Collinstar Capital among others.
Could you provide an overview of OpenSky’s development plans (Roadmap) for the next six months?Could you provide an overview of OpenSky’s development plans (Roadmap) for the next six months?
1.Free Launch on BakerySwap
2.Listing on DEXs & Centralized exchanges with support of professional market making firm with a focus on providing high liquidity
- Support NFT lending on BTC for leading NFT collections, such as BitcoinCats NFTs.
- Launch Airdrop points program. Lenders and borrowers can farm $OSKY and other partner tokens (e.g. $1CAT), and the treasury will earn BTC and ETH, and part of which will be shared with the OSKY stakers.
- Launch real yield staking program for $OSKY. $OSKY stakers can share BTC and ETH protocol revenue
- Support NFT lending on Solana for leading Solana NFT collections.
- Cooperate with Blast to deploy our omnichain NFT lending to the Blast chain with low gas fees. One dAPP can manage omnichain NFT lending.
