Tryphena Nguyen: Hi you. It’s my pleasure to join AMA with you and your community today. I’m Tryphena Nguyen - Community Admin of LuaSwap project. Let me introduce myself a little bit. Actually, I got into crypto just almost a year ago when I started my job at TomoChain and my love for it has grown stronger ever since. I have to say that very hard-working but what an amazing experience working with such a great team on an incredible project to facilitate crypto mass adoption and DeFi participation.
Host: Please introduce briefly about your team and some products of LuaSwap?
Tryphena Nguyen: Yeap. So you guys here may probably be familiar with some AMM-based swap protocols like UniSwap or SushiSwap in the DeFi world. Basically, LuaSwap is the swap protocol inspired by these platforms but the beauty that makes LuaSwap outstanding over others is that it’s a multi-chain compatible and on-chain trading protocol. Right now, LuaSwap is operating separately on both TomoChain and Ethereum networks (maybe other platforms in the future), and digital assets can be converted forth and back between 2 chains via TomoBridge. On TomoChain specifically, you guys can trade tokens and do much stuff with super low-cost transaction fees compared with much higher fees on Ethereum, at lightning speed - just 2s confirmation time.
Besides, LuaSwap’s redesigned tokeneonomics and operation strategy addresses the short-comings of other swap systems. At the core, LuaSwap delivers a community-governed, multichain protocol via the LUA token to not only reward early adopters but also incentivize them to stay and participate in governance for a longer period of time.
Host: How has the experience and background of your team been effective in the success of your project so far?
Tryphena Nguyen: Honestly, I’m so lucky and so so proud to have a chance of working with such a dedicated and diligent team here, at TomoChain, u know, especially LuaSwap! You guys here might have ever heard or known Long Vuong, Founder and CEO of TomoChain that stands behind LuaSwap project. Prior, Long Vuong was co-founder and the former project lead of NEM blockchain back in 2014 and a Ph.D candidate in economics, Massachusetts, U.S. His vision of making blockchain into a mass adoption drives LuaSwap successfully up till now.
And we have Mrs.Le Ho - TomoChain’s CFO and an investment expert with 10 years+ experience in finance and investment in senior roles with proven track records in investments, portfolio management… She is a clear proof against the prejudice that Crypto and Blockchain belong to males. Making use of such a solid background in knowledge and experience, she contributes mostly to LuaSwap’s right direction.
Last but not least, great compliments should be given to our talented dev and marketing team with their passion for blockchain development. LuaSwap would not have day-by-day technical development and community recognition without their dedication and efforts.
Host: Why did the LuaSwap team choose the project name LuaSwap and what does the project logo mean?
Tryphena Nguyen: That’s a great question. Let me share some fun facts. Well, regarding LuaSwap name, because we are based in Vietnam, we want to select a unique title that can reflect our characteristics clearly. Then, we decided to choose LuaSwap for the project’s name and LUA for the token’s name. You know, LUA means ‘wheat’ in Vietnamese. It’s also staple food with the yellow representing prosperity and sustainability as we hope it will be. And a coincidence, it’s also a A Latin, Galician and Portuguese name meaning “moon”. And LUA was the Roman Goddess to whom soldiers sacrificed captured weapons. She was sometimes referred to as ‘Lua Saturni’.
Host: What is LuaSwap gunning for further in 2021?
Tryphena Nguyen: You know, we have released the farming feature of LuaSwap on TomoChain recently. So, the next goal for long-term LuaSwap plan is to develop a future swap system to facilitate decentralized margin trading of tokens where all activities take place on-chain, then it can eliminate the need for a third party. Besides, we wish to integrate LuaSwap into new platforms like BSC or Solana, making LuaSwap more ‘cross-chain’ and bring new projects/tokens/listings to LuaSwap to increase trading volume and liquidity.
Q1. At the moment, where are you focusing right now? Building and developing products or getting customers and users, or partnerships? Could you share it?
Tryphena Nguyen: Well LuaSwap is just a little 6-month year old ‘guy’ so to make LuaSwap more sustainable and stronger, our plan is focusing on product development first. As I mentioned earlier, we have got a lot of things to do with LuaSwap’s integration into other chains, new features like future swap or the cross portal swap to connect liquidity from a variety of sources while getting the best conversion rates on a single interface for all actions. This feature will help LuaSwap to connect liquidity from a variety of sources. But we don’t overlook marketing campaigns and expanding BD sides to bring more investors and partners to LuaSwap. We are actively working with ecosystem partners, media, and KoLs to make LuaSwap known by more users.
Q2. LuaSwap farming incentive on TomoSwap started last week! How has the receptivity been, and what features could you highlight from this incentive that are highly profitable and would motivate us?
Tryphena Nguyen: Farming on TomooChain is one of the most-anticipated features of LuaSwap that the community really looks forward to. Actually, launching farming on LuaSwap couldn’t be more timely because you guys can see skyrocket gas fees on Ethereum can put barriers to farming participation of many users.
Approximately one million LUA tokens have been set aside as incentives for active LPs in 8 eligible pools. These rewards will be distributed to LPs exactly one month during the farming period (beta version) on LuaSwap. Then we will have another long term plan for community pools to join farming afterward.
8 pools with stable APY are selected to be rewarded first, then they will be rearranged based on TLV. According to that, users can adjust their investment plans to make profits.
Q3. Currently, Binance smart Chain blockchain is having high transaction speed and cheap gas fees. Are you planning to launch your mainet or switch to other blockchains in the future?
Tryphena Nguyen: Yeah sure, we wish to do as well. BSC is growing rapidly and I think they have potential to become a key platform for DeFi development. LuaSwap is a multichain protocol now running on TomoChain and Ethereum. But we don’t want to stop at that point, our goal is turning LuaSwap into an AMM compatible with most other chains and Binance Smart Chain is not out of that circle.
Basically TomoChain has many similarities with BSC such as cheap transaction cost, high speed,… So our goal is to make a bridge connecting different platforms easily instead of having to compete in one platform.
Q4. Considering that the LUA token is a multi-chain token, is there the possibility to swap between chains without problem? Also the total supply of the token is just based in one Chain?
Tryphena Nguyen: Interoperability between different blockchains has been one of the most important concerns in the cryptocurrency industry as a whole and in DeFi in particular. It brings out the ability to move digital assets back-and-forth between different public blockchains.
And yes, we have TomoBridge that connects to multi-chain blockchains to support LuaSwap’s multichain liquidity movement. TomoBridge allows ERC20 tokens to be wrapped into TRC21 tokens without permission onto the TomoChain network.
Now we are focusing on building a new version of TomoBridge - an upgrade that supports transition across many platforms because in the long term, we have a plan that LuaSwap will be integrated into new platforms with the same structure of fee of TomoChain such as BSC, Solana.
Q5. There are 5 core issues prevalent in crypto and blockchain: Excessive Volatility, Security, Scalability, Interoperability, transaction speed. How do you plan to overcome these issues?
To avoid risks above, we have some solutions:
- Farming and staking on LuaSwap with the stable APY. We are running the reward mechanism for some specific pools (12 pools on Ethereum and 8 pools on TomoChain) instead of all pools to maintain a stable source of liquidity.
- Our smart contract is audited by Arcadia that you can find the report here: http://research.coinone.co.kr.s3.amazonaws.com/contract%20audit/Audit_verification_report_LUA.pdf
- LuaSwap is now running on TomoChain - a highly scalable network with blazing fast speeds and neglectable gas fees powered by the POSV consensus
- TomoBridge facilitates interoperability since it helps users to convert tokens into the standard they want, then users can join LuaSwap on others chains at ease.
- Just 2s confirmation time on TomoChain so no worry about congestion network.
Q1. How Do you planning to promote your project in different countries, wherein English is not spoken well? Do you have a local communities for them to better understand your project?
Tryphena Nguyen: We are working with some community members to build LuaSwap chat channels for Arabic and Spanish speaking communities, maybe social media channels as well. We will announce as soon as possible when they are ready. Meanwhile, you guys can follow and catch up with updates from LuaSwap via our Telegram channel @luaswap and Twitter @LuaSwap
Q2. In the most projects especially defi those ones offering yield farming are driven up by hype and scarcity, so when the hype dies the project dies. What’s the key to sustaining Your Project ?
Tryphena Nguyen: I really know that many user want profits with really high APYs. But our LuaSwap wants to focus more on bringing a good source of liquidity for small projects as we want to be more sustainable in long term period. As mentioned above, we are working on derivative margin trading and maybe an IDO marketplace for new projects on TomoChain. And we are also building a new version of TomoBridge that supports transition among many platforms.
Q3. What is the structure of this project, is it decentralised or an open sourced protocol where everybody can contribute? If so, how does the governance plan on being handled?
Tryphena Nguyen: LuaSwap is a decentralized multichain protocol where any users can join (add liquidity, create new pools, staking…). And the LUA token will be given to LPs to incentivize them to stay with the protocol. Holding the LUA token means holding a share in the governance of the protocol. All LUA token holders can decide the subsequent chains to implement LuaSwap on, how much LUA to distribute to LPs in the new chain, which new token projects LuaSwap should support, etc.
Q4. Can you explain how your Tokenomics Distribution? How many tokens will be minted? And how many tokens will be locked by the team?
Tryphena Nguyen: LUA hard cap is 500mil. We have no pre sale, pre-mine. LUA farming features a short-term hyper inflationary period of 8 weeks in which block rewards have a 128 times multiplier in the first two weeks, and are halved every week afterward. 25 percent of tokens farmed in this period will be released immediately, while the 75 percent remaining will have a one year vesting period starting approximately at 17th week (21 Jan 2021). The vesting period ensures token farmers have incentives to stay with the protocol over the long-term. The hyper inflationary is the first 8 weeks since LuaSwap initial phrase. And now user who joined that can unlock their token every block on Ethereum linearly over a year.
As initially stated in the launch ANN, an additional 10% of all LUA distributions (equal to approximately 9.09% of the total LUA supply) have been set aside for the LUA Treasury. We proposed and got approved for a budget of 20 million LUA from the LUA Treasury to cover continued operation through October 2022.
Q5. Community support is one of the biggest aspects of a project’s success. Most projects have programs that interact with their users. Does you have any special plans to attract and expand the community and improve the user experience?
We just organized a trading competition for LuaSwap on TomoChain that attracted over 1200 traders and have some new listings like FTT, SRM to encourage users join LuaSwap. in the future we will have more campaigns so pls stay tuned.
And we have tutorials here for you guys who really want to dig into LuaSwap operation and usage: Tutorial - TomoChain Docs . We also have plan to produce more video tutorials for beginners.