Decentralized Indexes/Markets - TOKEN2049 Dubai 2024

so basically we're going to talk a little bit about what cryptex is what we're building where we're going the lessons that we've learned from the things that we've built and how we plan to continue our growth in the future as as a dow so to start off cryptex is a decentralized autonomous organization that develops and deploys a wide range of index Solutions we started our journey with a total crypto market cap index token so it's essentially an over collateralized Vault system paired with a chain link Oracle that provides synthetic exposure to the entire crypto market cap in a single solution so when you look at Defi and you look at where we're going as an industry um there's definitely going to be a lot of room to have your black rocks your vanguards your snps uh all your different index builders in the trafi space that come into the defi space and essentially do the same thing so cryptex wants to be a leading builder of that so we started with total crypto market cap in 2021 we went on to build de centralized perpetuals these systems are powered by chain link we also offer 12 uh fully decentralized Perpetual markets that are built on perennial Finance infrastructure powered by pith and current deployments are on the the ethereum and the Arbitron uh L2 well looks like I'm losing my thing but it's all right so with TCAP V 1 which is a which was a total crypto market cap token uh the original system was built on ethereum it had over 200 million in mins and burns and the V1 system of TCAP functioned while as intended but essentially we learned a couple of different things with building it the system um was over collateralized so there was a lot of friction with actively managing over collateralized assets with variable pegs and we needed to increase the capital efficiency of an over collateralized system to essentially protect the system itself so obviously what we're doing with these systems is building them fully decentralized there are no middlemen there are no um intermediaries it's fully decentralized Tech so essentially you have to find a way where you can protect these systems so TCAP V1 we learned a lot of really cool lessons uh seeing 200 million in mints and burns was very impressive but essentially we wanted to go out and and do some different things so what we did was we essentially moved to the Arbitron Network and uh by moving to the Arbitron Network we were able to build uh fully decentralized Perpetual markets these markets TCAP is now Perpetual it is powered by chain link it provides up to 100x leverage for exposure to the entire crypto market cap in a single solution we also have 12 individual markets live Bitcoin East salana Bitcoin squared which is a really cool option Market um ethereum squared Arbitron Jupiter Etc the system currently has 13 million of available system liquidity users can trade um essentially anywhere in the world they could access these different systems and uh really really happy with pi we launched it on November 28th it's done really cool and shout out to Perennial Who provided a wonderful infrastructure for us to build these markets on top of the Dow will be building new and exciting Perpetual markets that will be launching on the Arbitron Network and um you know these were kind of based on our learnings from o l1s so basically what happened was as we learned different things in TCAP we kind of took that knowledge and now built out different Perpetual markets that you don't have any slippage there's no risk of any type of issues or friction from the peg it's literally instantaneous settlement and you're able to use usdc swap into any of these markets have up to 100x leverage within the system and trade them you know accordingly so essentially now we kind of want to talk about where we're going and I'm glad my little clicker is is working now cuz now we're getting into the really important stuff so we feel that l2s are going to be a multi-trillion dollar opportunity and when you look at the current centralized exchange volumes like this is really really cool for us so you look at the volumes on centralized spot markets and what you're seeing is about $4 trillion uh less less month of um trades that were facilitated when you look at the Dex volume that numbers only $36 billion and you look at the total tvl that these l2s are capturing um you're talking 28 billion so between 4 trillion and 36 billion there's a lot of possible upside that can take place within the dexes and the L2 ecosystems so as we're building out the centralized indexes we kind of feel that that Market's still incredibly undersaturated right because there's not much there yet of people that are building decentralized indexes so it's kind of a place that we want to be so looking at the L2 landscape we feel that this has multiples of expansion that are potentially able to take place if these l2s continue growing and users continue bringing assets on chain so now um you know we know this and we know you know what the fees are to facilitate these transactions right so when you look at where bases where op main net is these cost a fraction of a penny to essentially transact and the speed s now are in lightning speed essentially versus ethereum where for a Unis swap swap you're paying roughly six bucks and for a usdc transfer you're paying $244 so essentially you do the same exact transaction on Arbitron or base at at a fraction of a penny so what did we learn from this we learned that L2 networks are experiencing growth more users are going there and they'll continue to grow there as they essentially find out that it costs pennies to trade the tvl and the L2 Network v and transactions per second uh continue to indicate potential for growth versus their centralized counterparts and an opportunity that exists in defi to create unique indexes indices and custom markets for users of these networks so not just coming out with an individual token but coming out with an index or a basket of assets where users have the ability to access those if they wish to do so and doing everything fully on chain fully open source and fully transparent so now that we know that the spot volumes are where they are on CS vers de's we know what the transaction cost what's the solution and essentially what are you going to create to facilitate that so today we're going to introduce cryp xes and what cryp xes are going to be are index based tokens that are deployed to the base L2 Network they're going to be actively rebalanced by a manager the LPS are going to have the ability to convert you e or usdc into index tokens directly via aex they're going to be capital efficient users cannot be liquidated and the index token is essentially going to track a basket so you're going to have an AI index you're going to have a mcoin index you're going to have total Market indexes whether it's a 3 10 or 20 and many more indexes to follow that are voted by the cryptex Dow so essentially the Dow is going to decide where they want to see the development from contributors in creating these indexes and we're going to deploy them on base where you have coinbase looking to bring the next billion users on chain through their base L2 so so it's a super cool moment for us it goes from our humble beginnings of building an over collateralized total crypto market cap token on the ethereum network to building decentralized Perpetual markets on the Arbitron Network and now kind of going full circle back to one:1 backed index baskets on the base Network so looking forward to getting these live the deployment will be in Q2 and essentially um we think that there's based on the data a ton of opportunity to get these live and really make something magic happen so with that as cryptex is a dow want to talk a little bit about what CTX is what is the token that is actively powering the Dow and essentially CTX is an erc20 utility and governance token it plays a role within the cryptex finance ecosystem where users can vote on network upgrades they can manage the cryptex Dow Treasury and essentially vote on new and exciting indexes to come to the marketplace so the total supply of the token is 10 million CTX the voting quorum to actually pass a vote is about 400,000 CTX and currently right now the total CTX delegated is about 1.2 million CTX so essentially a huge chunk of the outstanding Supply is delegated back to the protocol where you have protocol delegates and community members who are actively voting on what they want to see in terms of growth in terms of the direction of these indexes they'll be actively managing these indexes it'll all be done directly through the governance token and it's something that we're definitely really proud of like the token is currently live on multiple CES it's live on coinbase it's live on Gemini it's live on Hobie um obviously actively always looking to grow and you know continue growing those those relationships but the goal here is to build everything on chain the goal is to build it fully decentralized open source anybody can udit the code anybody can look at what we're doing and say you know what's going on here and that's always been one of the most important things for us in our team starting with no VCS um just full Fair launch no backing of any investors just loving what we do and just trying to build it out and make it happen so for cryptex it's it's a super cool moment to be here in Dubai and be able to talk to the world about building decentralized indexes and how they can play a role in the existing defi structure we feel that there's like a huge need for people to provide indexes especially as more and more users come on chain we want to be one of the solutions that provides that to users and we all want it to be powered through onchain protocol governance so with that I thank you so much for the opportunity to speak a little bit today and um yeah we'll see you soon