Astrovault

Astrovault: A Hybrid AMM and DAO Platform

Astrovault is an innovative platform that merges the functionalities of an Automated Market Maker (AMM) and a Decentralized Autonomous Organization (DAO). Designed to evolve the traditional AMM model, Astrovault introduces sustainable incentives and independent liquidity mechanisms to enhance the DeFi ecosystem. It introduces a unique approach to the AMM model by incorporating slippage-free 1:1 trades alongside the traditional AMM model. This design leverages staking derivatives as base pairs, allowing liquidity to be staked and generate rewards as revenue for the AXV DAO. This revenue is then distributed as Protocol Owned Liquidity (POL) and rewards, ensuring sustainable yield and reducing reliance on external liquidity providers. The platform also offers slippage-free pools for easy conversion and cost-effective stable swaps across multiple chains.

Core Principles

Astrovault operates on four core principles:

1. Create Sustainable Value: Astrovault aims to establish a sustainable token economy by capturing and generating continuous value.
2. Capture Value Sustainably: The platform is designed to capture value in a manner that ensures long-term sustainability.
3. Create a Catalyst for Liquidity on Archway: Astrovault is built on Archway, an incentivized smart contract platform developed on the Cosmos Software Development Kit (SDK). This integration acts as a catalyst for liquidity.
4. Facilitate the Growth of the Cosmos Ecosystem: Astrovault is committed to supporting and facilitating the growth and success of the broader Cosmos ecosystem.

Nebula and Plasma Pools

Astrovault introduces two types of AMM pools: Nebula and Plasma.

• Nebula Pools: These pools utilize the traditional x × y = k market maker mechanism. Pairs on Nebula pools consist of CosmWasm-20 (CW-20) tokens based on Layer-1 staking derivatives, Layer-2 tokens on Archway, IBC-enabled Layer-2 tokens, and bridged assets from external ecosystems. All trading fees from Nebula pools are used to buyback and burn the AXV token.

• Plasma Pools: These are no-slippage pools with multiple tokens, offering 1:1 swap ratios and scalable fees.

Outbid

Outbid is a novel token launch and bidding platform integrated into the Astrovault decentralized exchange/application (dApp), operating on the Archway blockchain making it the first real token launch platform on the chain. As a gamified funding platform, Outbid introduces a unique approach to protocol fundraising through a series of micro-sales, each with varying pricing and vesting periods. The platform is designed to encourage early contributions by offering advantageous pricing, while also fostering long-term alignment through extended vesting periods.

Functionality of Outbid

Outbid operates through consecutive auction rounds, starting with a “lower fixed development value” (FDV) and increasing in valuation and vesting period with each subsequent round. This iterative process ensures a dynamic and engaging fundraising environment.

The platform features several innovative elements:

1. Micro-Sale Rounds: Each round begins with a specific FDV, escalating in valuation as rounds progress. Completed rounds lead to an additional month added to the vesting period of tokens from previous rounds.

2. Bonus Round Mechanism: If a round’s full token allocation isn’t sold, a 30-minute Bonus Round initiates, offering a final bidding opportunity. Unique rules apply to prevent bid sniping and reward early contributors. The final bidder in this round can win all remaining tokens if unsold by the round’s end.

3. Community Incentives: Teams can incentivize participants with rewards, including bonuses for early round contributors and those who rank high in ticket purchases.

4. Whitelisting Phases: Each micro-sale includes exclusive phases for whitelisted parties, such as liquidity providers on Astrovault and $JKL stakers, expanding to include previous round bidders in subsequent auctions.

5. Liquidity Support for Astrovault DAO: Instead of charging fees, teams contribute 10% of the public sale value in tokens to Astrovault DAO, fostering long-term asset liquidity. Post-auction, a pool is seeded on Astrovault with the final round’s pricing.

Outbid’s Impact and Future Prospects

Outbid represents a significant shift in the Cosmos ecosystem, democratizing fundraising and introducing a flexible model distinct from existing platforms. While you can think of Outbid as just another launchpad/token launching protocol, it’s important to understand that the way in which it goes about this is fundamentally different to any existing solutions. In general, Outbid campaigns are not just unique, but flexible on an individual level, ensureing that almost all parameters are modifiable so that teams can create an auction perfectly suited to their specific needs.

Despite its close ties to Astrovault, Outbid’s future may involve independent evolution, potentially focusing on customizable pricing and vesting period structures, akin to Trader Joe’s Liquidity Book’s liquidity distribution model.

Outbid went live on Jan 26, 2024, with an auction for their own token, $AVX.

Tokenomics and Governance

The AXV token symbolizes Astrovault’s governance token. The platform also introduces the Gravitate trading incentive token, represented by the symbol GRVT8. Astrovault’s design allows for dilatory arbitrage, where assets are bought and sold for profit at different locations with a significant delay between actions. The platform also emphasizes the liquidity premium, which is the gap between the price and value of an illiquid asset with a known value.

Astrovault’s approach to liquid staking allows users to delegate their tokens to a service that stakes on their behalf without losing access to their funds. These funds remain in escrow but are not “locked” as they would be in a Proof-of-Stake (PoS) system.