Intro to HydraDX (part 3)

Community & Progress Update

You might have missed the first and the second part of the series.

HydraDX is fully decentralized and open protocol. It began as a brainstorming session for the perfect liquidity layer on investment meetings at Zee Prime. Whereas most would stop in the ideation phase, we rolled up our sleeves. Thus the baby HydraDX was born and incubated in the firm. 

Jakub, a partner at Zee Prime Capital, has committed to lead the effort full time. Fortunately, he found a technical co-founder in (another) Jakub early on, and with the support of the rest of Zee, they were able to bring talented engineers on board. HydraDX became a thing of its own.

But raising baby Hydra is no easy feat and at some point the care it required outgrew our modest means. The Hydra family has to grow so that baby Hydra can prosper and grow many heads.

Today, we are proud to announce that we have successfully become a much bigger family. Led by KR1 and Hypersphere, with CMS, Tenzor, DFG and a long list of angels, these are the strategic investors who are backing the company tasked with the development of the decentralized HydraDX protocol.

The good news does not stop here. HydraDX has been chosen to participate in the Substrate Builders program. This enables us to join the rest of state of the art projects from the Substrate/Polkadot ecosystem and to contribute to its flourishing.

Blessed to have support of many, HydraDX is entering a new chapter in its life. This investment round was crucial in making sure that we can build reliably and fast, pushing into the new frontiers of AMM research.  Brace yourself, soon enough a multi-headed monster of liquidity will be unleashed. 

HydraDX is aspiring to become community owned and decentralized from the get-go. We need to cross some bridges to get there. One of them is to build the foundations. And mind you, HydraDX does not involve copy-pasting a bunch of smartcontracts with a food emoji attached to its name. We have to undergo a serious amount of bleeding-edge research and development. 

Where are we now? 

It is time to shed a bit more light on the state of the tech and research. Our top-notch engineers have been hard at it since early spring and what we have presented at Hackusama is but a glimpse of what has already been developed.

In the meantime we have been working on a Hacknet update, which has been running for more than 1,800,000 blocks. We’ve committed over 700 times across our public and pre-release repositories. Below we’re providing some of the items that we were able to successfully complete in recent months:

  • Built order matching implementation with proper fee and error handling

  • Added transaction tagging required for UI pairing and statistics

  • Designed and implemented MVP of transaction payments in other currencies (open sourced)

  • Designed and started a draft implementation of one time price evaluation with guys from DIA Data (open sourced)

  • Started to rewrite UI to accommodate new functionality

  • Started to implement math tools and libraries that will allow us to share logic between UI and the node itself

  • Fixed a few bugs and written a lot more tests so that they don’t reappear

  • Completed benchmarking of every component

  • Started to design DCA feature for token buys and sells

In terms of the research, we have finished system specification required for the followup research and are happy that we have been joined by BlockScience, who will help us to finalize the nitty-gritties of tokenomics, the pool design itself and perform economic audit.Making sure that the network parameters are set correctly is our top priority.

HydraDX is not built to be a fad but to become a go-to liquidity solution for the next decades. We hope that open sourcing all of this research and models will lead to new discoveries in the future and further optimization of the protocol.

A long list of to-dos is awaiting but we are doggedly at it, expecting a major progress in coming weeks particularly in:

  • Balancer offering distribution (LBP)

  • Finishing economic audits and research with BlockScience

  • Publishing the whitepaper

  • Connecting to Rococo v1

  • Starting incentivized testnet

Where do we go from here? 

HydraDX would be nothing without liquidity. Community precedes liquidity. This is a call to action. Every single individual matters...to the last degen. We understand the importance of community that prospers together - kickstarting the flywheel up. 

In the following weeks we will announce a token distribution event. Proceeds from this event will not be going to the team or any founder group or entity but will be controlled by the protocol and its liquidity pool. We hope that this will translate into a dedicated community of stakehodlers, who will be spearheading the adoption of HydraDX.

Our goal is for HydraDX to attract as many builders, makers and takers as possible. The goal is to become the largest liquidity pool in crypto. We supply the tech but we need you to contribute your efforts. No VC, bank or big firm can bring success to this endeavour. It is you, the individual bearing the burden of heavy bags who makes or breaks the next era of finance. 

We will not name it a fair launch but a laissez-faire launch. Because;

“The real price of everything, what everything really costs to the man who wants to acquire it, is the toil and trouble of acquiring it.” [1]

There is no such thing as a free launch (or lunch for that matter). 

More information will be released in the coming weeks. You are welcome to join the community on “the road to mainnet”.

[1] Adam Smith, Wealth of Nations