AMA Recap: Avalanche Vietnam x Echidna Finance
On Monday, April 4th, 2022 at 09:00 pm (UTC+7), we hosted a live AMA with Raimonji, Marketing Lead of Echidna Finance.
A revised transcript is available below:
Q: Before we dive into the questions, please introduce briefly about yourself, your team and some key features of Echidna Finance.
A: Hi everyone, my name is Raimonji. I am the marketing lead for Echidna Finance.
Echidna is a yield booster built for Platypus Finance. Stablecoin LPs can boost their yield on Platypus Finance using Echidna’s vePTP.
We crowdsource PTP and deposit them permanently into Platypus to accrue vePTP. In exchange, we reward PTP contributors with liquidity mining rewards via our native ECD token. Your vePTP voting power is tokenized into ECD and becomes tradable as well.
Users can also lock their ECD tokens to boost their rewards for ECD farms and earn 40% of our platform’s fees in PTP!
More importantly, locking the ECD token allows users to vote on how PTP rewards are allocated to various stablecoin pools.
We expect a similar situation to the Curve Wars happening for Platypus with airdrops and voter bribes. Echidna will deliver features that enable users to capitalize off of the upcoming economic activity.
It’s a super exciting time for the Playpus ecosystem!
Q: Next, could you please update some latest news or big events of Echidna Finance in the coming time?
A: We will release this announcement publically right after the AMA so you guys will be the first to hear this!
Echidna will go through a MASSIVE revamp — starting with our ecdPTP staking APR. We will increase the APR by at least 2.75x but lower the veECD boost multiplier to 3x. This adjustment creates a net APR increase for all ecdPTP stakers. New users can enjoy higher APRs until they become comfortable with veECD boosting, while veterans can reap the benefits of higher max yields
Next up is our rebrand.
We will change our look and aesthetic across all platforms to convey a message of reliability, innovation, and professionalism, and align with our new UI/UX.
Here’s a teaser (see photo, still a work in progress) of what to expect. We will also incorporate user requested features such as the veECD boosting calculator and tooltips that aid decision making on our platform.
1. Could you tell us on motivations and benefits for investors to hold $ECD token in the long term?
Once Platypus governance is enabled, vePTP holders will be able to vote on how PTP rewards are allocated to various stablecoin pools. Echidna will be one of the largest vePTP holders and the ECD token tokenizes our vePTP voting power so that it has market value and is tradable.
Much like what is happening with the Curve Wars, the price of the ECD token will increase, and stablecoin protocols and investors will bribe ECD holders to vote in their favor. Both of these developments are highly lucrative for both ECD and PTP holders.
ECD can also be locked to boost your rewards for ecdPTP staking and ecdPTP-PTP pools!
2. If the Echidnas boost APR is higher then Platypus , will it impact to the current platypus user ? How to make the win-win on Echidnas and Platypus ?
Echidna synergizes with Platypus by default. We are essentially making vePTP boosting available to as many people as possible without the need to stake PTP. Our TVL also counts towards Platypus’ TVL. So its always a win-win!
3. In light of current PTP wars and other protocols launching, how will Echidna position to win a good slice of the pie and deliver strong APYs to investors?
Our focus right now is accumulating as much PTP as possible while maintaining the ratio between ecdPTP and PTP. We have also established quite a few partnerships over the past few weeks to give our users more options for generating income.
Echidna’s tokenomics are also a lot more sustainable and there is actual utility for the token since users can lock it to earn more emissions in addition to earning 40% of our platform fees
We are confident that our next set of changes (Echidna 2.0) will allow us to secure more PTP, increase our TVL, and win the PTParty!
4. The current convertibility ratio between ecdptp and ptp is 1.27. Why didn’t the team buy it back in time? Is there a specific time for buyback, and how to solve this problem in the future?
This isn’t an issue of time. We started buybacks 2 weeks ago and the ratio was immediately offset by investors who exit — which suggests that there isn’t a strong enough reason for investors who deposited PTP to stay.
Our latest set of changes will increase the attractiveness of ecdPTP staking by increasing the base emissions. All users who are staking ecdPTP will have their APR increased as a result. This will also encourage users to take advantage of arbitrage to acquire ecdPTP for farming.
We will also continue our buybacks to restore the ratio along with our emissions changes
5. I would like to know is there any correlation between duration of locking ECD and the APR of rewards? Does ecdPTP stay with a 1:1 ratio to PTP as it was on time of swapping for staking?
The correlation between lock duration and rewards is that the longer you lock the more veECD you will receive, which increases your boosting power.
veECD = ECD * Lock Duration (months) / 24 months
When you swap PTP for ecdPTP in our dApp, the ratio is always 1:1. Secondary markets exist for users to reverse the swap and take advantage of arbirtage to secure more ecdPTP per PTP spent (on Trader Joe)
You can also farm ECD with the ecdPTP-PTP LP from Trader Joe 😄
6. Can I ask why you name and theme your platform based on “echidna”? Any interesting reason behind this cute animal?
We picked Echidna because like the Platypus, the Echidna is the only other egg laying mammal and we wanted to show that we are on the same team as Platypus from a branding perspective
7. Hello Raimonji, as you mentioned people staking PTP will earn ECD. Currently locking ECD for veECD can earn more PTP and gain voting power, so any future plans to provide more locking benefits? How to attract more people to lock ECD instead of just selling them directly (so to keep the price growing and more sustainable)?
Once Platypus voting gauges are enabled, you will be able to lock ECD to vote on how PTP rewards are allocated to stablecoin pools on Platypus using Echidna’s vePTP. ECD holders will be eligible for bribes and airdrops from stablecoin protocols and other investors — diamond hands 💎 will be rewarded
8. What are the ratios for the max boost for the AVAX-ECD and PTP-ecdPTP pools?
it will depend on your LP position and veECD balance relative to their aggregates. You can refer to the following formulas to calculate
9. Could you give us some information about your roadmap, your milestones, and also your future plans?
Sure thing!
Short term:
- Rebrand + UI/UX overhaul
- ecdPTP-PTP peg restoration
- accumulate as much PTP as possible
- partner with AVAX protocols to give our users more options on our platform
Mid term:
- vote monetization platform
- educational content production
10. Does staking PTP boost the user’s LP? Or is it already boosted regardless if they stake PTP (or ECD)?
When you stake stablecoins, your APRs for stablecoins are already boosted.
You can stake your PTP or your PTP rewards from farming stablecoins to liquidity mine ECD for extra yield. 55% of total ECD supply is exclusively reserved for ecdPTP staking (from when people convert PTP)
Locking ECD will also increase your emissions for ecdPTP staking.
TLDR: Stake stables, Convert PTP, Lock ECD to maximize your ROI on our platform
