Stabila: Creating an Efficient, Accessible FX Market Onchain

hey everyone super excited to be here today my name is Michael I lead strategic initiatives at the cell Foundation along with that role I also am a community Steward for the Stabila foundation and today I'll be talking about Stabila efforts on building an efficient onchain FX Market on the cello blockchain for folks who aren't familiar cell is an emerging mobile first ethereum L2 designed for fast low cost payments worldwide and Stabila Foundation is a Community Fund initiative on Cell focused on accelerating stable client adoption in real world use cases and as a part of the initiatives that stabil is focused on one of them is to actually bootstrap an onchain fx Market that's permissionless where anyone from retail users to businesses to day-to-day users to actually go through go through stable coins to get exposure to foreign currency use cases and so over the last five to six months since Stabila Inception they have been bootstrapping an onchain fx Market on the Unis swap V3 platform and so far has garnered pretty good traction so far um and there's a bit of a flywheel effect already taking place so as you can see there's about $750 million of monthly trading volumes being facilitated on Unis swap as a result of the onchain FX initiative and that's about over 900% year-over year growth for for cell and in terms of like this Playbook that Stabila follows to really bootstrap this growth it's really a three step simple process the first step is that Stabila works with stable coin issuers they reach out to them them educate them about solo and get them to launch their integration on solo and then afterwards they actually work on seating initial Unis swap liquidity pool this is key because that lays the foundation of the onchain FX Market on Unis swap so sabil s far has worked with various issuers from Circle tether of the world to non USD stable coin isues such as brla digital and mintio and many more and how they work in terms of seating liquidity pool typically they would seat a liquidity pool that's paired with either USD or usdc so an example is a usdt c Kyon Shilling pool or usdt bla pool uh Brazilian real and thus far Stabila has actually supported 14 native stable coins on their launch on cell and then the next step once the Unis swap liquidity pools are seated then comes the liquidity incentives Stabila streams liquidity across those Unis swap stable coin pools to incentivize concentrated liquidity from external capital and secondly also encourage Arbitrage trading so folks are arbitraging across all these onchain FX Loops making sure that there's efficient pricing of these stable coins especially the non-usd ones and so thus far Stabila actually is incentivizing 25 Unis swap stable coin pools at this time and how they do it is they use Merkel a rewards distribution platform which uh folks that are applying LP into these unisa pools uh and or if they're using say an Alm an automated liquidity manager whether it's a steer GMA arus Ichi they could go on and then claimed additional seller rewards for providing liquidity provisioning across the respective 25 pools at this time and this has proven to be pretty effective in deepening the concentrated liquidity the next final step once these pools are deep enough in terms of liquidity that's when we would work these stable Co issues to plug them into other ecosystem use cases so an example is haraca finance they are Community Credit protocol on Cell they're providing onchain local currency loans uh in Kenya and they're actually using the cell Kenyon shilling or cks and in the back end what's pretty cool is they're actually tapping into the usct uh COK Kenyon Unis swap pool so that's actually powering the back end of their service so taking a step back the broader vision of sell of Stabila is to work with you know more stab insurers to launch on Cell uh but more importantly ones that are non USD stable coins those are the ones that we feel will be able to diversify the onchain FX Market already in place create more Arbitrage Loops for Arbitrage traders to go around and also just deepen the concentrated liquidity across the board and this in turn will activate you know other business use cases and real world real world applications that you know that already exist but also uh may also be unlocked in the future such as FX hedging to crossb payments to remittances and so I think inherently once we have more businesses with all these different stable coin use cases you know this drives more demand for stable coins and brings in an ecosystem that is more fruitful for other cicin issuers to more effectively collaborate with the Stabila and then launch themselves to be plugged into the ecosystem and so you know with the onchain FX markets already kind of cooking up with Stabila there's also a couple of exciting catalysts I would say in the near shortterm in the coming weeks to months uh that will reinforce the onchain FX initiative the first one is the aa3 deployment on solo it's happening imminently any time now and so this is a tier One Lending protocol that I'm sure everyone knows uh the key initial markets that will be launched will be cell and a couple of stable coin markets for Lending and borrowing secondly cell's L2 transition that will be happening end of q1 so Happening by the end of next month this will increase interoperability and security so more easier for for stablecoin funds to flow onto cell and participate on the onchain FX market and then lastly Unis swap has already taken notice of the onchain FX transaction volume traction we're already having and so they have pledged already to coinc with Stabila once cell becomes an L2 they'll be streaming uni tokens on top of the cell tokens that are already being streamed across these different Unis swap stable coin pool so super exciting stuff that will probably further enhance uh concentrated liquidity as well as more Arbitrage trading across the board and so without further Ado with the say last minute I have a bit of call to action for folks if you're stable coin iser and the audience are watching uh I guess be virtually saila would love to work with you would love to work with you in seeding liquidity adding you into the onchain FX market and also plugging you into the ecosystem use cases on cello if you are a business or a builder looking to incorporate stable coin flows into uh into your work you know Stabila is also happy to work with you along with their stable coin Partners on Cell to make that happen so if you scan that QR code that's the stabil partners intake form um do check us out on our website as well and follow us on Twitter thank you [Applause]