SECTION 1: APPLICANT INFORMATION
Applicant Name:
Sam, a.k.a. 543.
Project Name:
Guru Network’s E3 DEX
Project Description:
Guru Network is essentially a Crypto-native “Services” org, that focuses on fullifulling its 3-point manifesto of 1.) Help, 2.) Decentralize Finance & 3.) Grow.
For one, it helps co-build & tailor a really wide band of solutions for other DAOs & devs alike. Secondly, it builds its own suite of Public goods as well as products of commerce (such as E3). And finally, as an autonomous group, it rechannels its revenues into oiling its own macinery to amplify its own produce.
This proposal is chiefly talks about EⅢ (a.k.a. E3), which is a Decentralized Exchange inspired by it’s uncle, Trader Joe. E3 is a Concentrated Liquidity engine, and has been ranked as one of the most Capital Efficient protocol in the whole of DeFi by DefiLlama on over 25 days.
Team Members and Qualifications:
-
Welshy (Carry)
Oversees BizDev and B2B relations. -
Claude (Support)
Looks after the project as a whole, including B2C. -
Sam (Nuker)
Strategy & Infra.
Project Links:
Contact Information:
Acknowledgement that Team will be Subject to a KYC:
Yes.
SECTION 2: GRANT INFORMATION
Detail the requested grant size, provide an overview of the budget breakdown, specify the funding and contract addresses, and describe any matching funds if relevant.
Requested Grant Size:
1337oo ARB
Grant Matching:
The Trade-fees generated will complement our efforts towards reaching our goals with this Grant.
Grant Breakdown:
| Deliverable | ARB Amount | Net ARB | Per Cent |
|---|---|---|---|
| In-Range Liquidity Incentives | 1337 ARB/day | 133700 | 100% |
Funding Address:
0XEEEC985FF64ACA3278404F12D68913C9EAB57854
Funding Address Characteristics:
3 of 4 Multi-signature Gnosis Vault.
Contract Address:
All incentives will be directed towards our Liquidity Providers. Rewards will be airdropped to beneficiaries on a rolling basis via fresh contracts via Merkle tree claims or via other means such as bribes or staking/farming for F*tokens (wrapped EⅢ LPs).
Currently Eligible Pool Contracts on Arb1:
- 0xDe5f1668cb5Ef56DfB9211694d00252D858082e3
- 0x576b3179e58de0c91cb15aeaadeb4ecfee3620af
SECTION 3: GRANT OBJECTIVES AND EXECUTION
Objectives:
E3 has a laser focus on top-performing markets exclusively. It’s goal is to maximize the Asset Exchange in select key pairs, mainly ETH/USD & Native-Token/USD variants.
Key Performance Indicators (KPIs):
-
Weekly Trade Volumes
A good indicator of healthy activity. More is better generally, as each $1 of volume during volatile periods is more desired than the same volume during stable trends. -
Weekly Trade Fees
Absolute indicator of results. More fees directly represents a more successful E3.
How will receiving a grant enable you to foster growth or innovation within the Arbitrum ecosystem?
E3 is the smallest project in this Grants Round 1. Yet, it is extremely more Capital Efficient than other DEXes on Arbitrum more often than not. Our other partners sometimes omit out our data due to our small size. Currently, we do not have a token, and most of the TVL is self-funded by Guru Network’s Treasury via direct seeds & regular giveaways. This Grant would let us provision more liquidity which we believe will propel our numbers to a common denominator with our peers. And then, our Numerator will speak for itself.
With the novel blend of Composability & Modularity with our “Bucket” model, we envision a future where DAOs and power users who are fanatics of Extreme Capital Efficiency will build on top of E3. That aside, Guru Network itself has multiple novel innovations such as the Fertilizer ALM.
Justification for the size of the grant:
We did roughly $70,000 to $150,000 volume each day on average over the last 30 days, without any added incentive. With 1337 ARB, worth ~$1000, we can procure a Liquidity Depth that can produce a Volume [upwards] of $1 Million per day, assuming a modest 0.1% Yield per day, i.e. a 36.5% “APR”, to our Liquidity Providers.
As always, we put up the conservative estimates first. But if we extrapolate our current metrics based on rates across the industry, we can easily see days with over $2 Million, even $10 Million in ETH/USD volumes per day on E3, with this 1337 ARB/day. But for the record, we would like to set the bar at $1 Million per day.
As the smallest project on this Round, our Ask is also the smallest in this Round, and is in direct proportion to our Size and aspirations, which we believe will Scale inline with Arbitrum’s Worldwide adoption. We are here for the long haul, and see this Round as an opportunity to onboard early birds to our EⅢ nest, flying together in this incessant Odyssey.
Execution Strategy:
Guru Network has been a staunch supporter of Open-source wares and prides itself in contributing to and utilizing the same for its day-to-day needs. We will employ Dune, DefiLlama and pusblish Merkles on Github for 100% transparency.
The incentivized pools are subject to market conditions but will primarily focus on the broad market assets that are ETH & USD vehicles (Stablecoins).
Grant Timeline:
100 days, nearing completion on the 31st of coming January 2024.
Accept that the funding of our grant be streamed linearly for the duration of our grant proposal, and that the multisig holds the power to halt our stream:
Yes.
SECTION 4: PROTOCOL DETAILS
Is the Protocol Native to Arbitrum?
EⅢ has no external dependencies from any other Chain. E3 does not have a token, nor is it cross-chain. Arbitrum has been, and currently is E3’s main chain.
On what other networks is the protocol deployed?
EⅢ runs on Fantom & Base besides Arbitrum. All deployments are independent of each other and do not influence the operations of other chains or versions.
What date did you deploy on Arbitrum?
June 2023 (v17)
Protocol Performance:
- Ranked #1 AMM DEX by Capital Efficiency on DefiLlama over 25 times.
- Top 15 DEX on Arbitrum by Fees and Top 20 by Volume.
- One of the highest Fees/TVL ratio in DeFi.
Protocol Roadmap:
- Fertilizer - Automated Liquidity Management
- F*token staking & farming
- Lending against F*tokens
Audit History:
While E3 is has a slightly modified core and usage, it still inherits its structure and codebase from it’s uncle Joe. All audits to TraderJoe v2.1 apply to E3 v17.
(v17 is the current and stable version of E3, and has been in use for over 6 months)
SECTION 5: Data and Reporting
In 2021, Guru Network ventured into the arena of Data Analytics to fulfil the Point 1 of our manifesto — 1.) Help. — to enable our community on Fantom to visualize fantom’s blockchain activity & substitute its explorer for a week during its downtime. Ever since, Guru Network has served well over 50 clients with bespoke data analytics and visualization apps, ranging from DeFi to e-Commerce, on-chain activity heatmaps & Real-time target tracking to Artistic Data Viz atop fNFTs.
Is your team prepared to create Dune Dashboards for your incentive program?
Yes. Guru Network team is one of the oldest “wizards” on Dune.
Team agrees to provide bi-weekly program updates on the Arbitrum Forum thread:
Yes, we agree to provide updates each fortnight. We will cite On-chain datapoints and reference our verifiable Dunes.
Team acknowledges that failure to comply with any of the above requests can result in the halting of the program’s funding stream:
Yes.
We request community feedback in the comments section along with suggestions around improvement of this draft, concerning any and all aspects of this proposal.
