[UniDex] [FINAL] [STIP - Round 1]

Archive Incentive Framework (Round 1)
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Applicant Name:
Krunal Amin

Project Name:
UniDex

Project Description:
UniDex is the everything aggregator in DeFi, allowing users to find efficient routes for their swaps, perp trades, or even RPC requests. UniDex started as a meta-aggregator back in 2020 where trades would route through multiple aggregators to give traders the best rate. Since then we’ve expanded to aggregating perp dexs and eventually infrastructure like RPC endpoints.

Team Members and Qualifications:
Krunal Amin | Developer
Arthur Woytna | Developer
Gor Shipaktsyan | Developer
Vladimir Hovsepyan | Developer
Vinayak | Developer
Syed Ahmed | Growth

Project Links:
Website: https://www.unidex.exchange
Twitter: https://twitter.com/UniDexFinance
Telegram: Telegram: Contact @unidexfinance
Discord: UniDex Community
Mirror: UniDex Exchange
Medium: https://unidexfinance.medium.com
Swap Aggregator: https://app.unidex.exchange
Perp Aggregator: https://leverage.unidex.exchange

Contact Information

TG: Telegram

Twitter: Twitter

Email: krunalamin@unidex.finance

Do You Acknowledge That Your Team Will Be Subject to a KYC Requirement?: Yes

GRANT INFORMATION

Requested Grant Size: 750,000 ARB

Grant Matching: 10,000 UNIDX

Grant Breakdown:
375,000 ARB + 5,000 UNIDX (50%) - Trades routed to native UniDex liquidity pools
262,500 ARB + 2,500 UNIDX (25%) - Perp trades routed to other Arbitrum perp DEXs via aggregation
93,750 ARB + 1,250 UNIDX (12.5%) - Liquidity provider rewards
93,750 ARB + 1,250 UNIDX (12.5%) - Positive slippage matching for swaps

Funding Address: 0x4aa7e6634d67a49d179dbfc6f5353de7a833922e

Funding Address Characteristics: 2/3 Gnosis Safe multisig secured by Hardware wallets and key team members.

Contract Address: 0xD152f549545093347A162Dce210e7293f1452150 | disperse contract deployed on Arbitrum to automate sending tokens to multiple addresses.

GRANT OBJECTIVES AND EXECUTION

Objectives

  • Promote volume and activity on capital-efficient pools on Arbitrum
  • Improve liquidity for the initial market-making layer for perps
  • Give traders a financial incentive to utilize an intent-based swap meta-aggregator

Key Performance Indicators (KPIs)

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How will receiving a grant enable you to foster growth or innovation within the Arbitrum ecosystem?
UniDex is a protocol that empowers other protocols. The job of an aggregator is to connect users with an underutilized or more optimal path at that moment. There is no bias for an aggregator and how well a protocol can “do marketing” is irrelevant. All that matters is numbers and giving traders the best fill.

There are more Perp DEXs on Arbitrum than you can count with both hands, but most won’t catch traders attention even when they’re offering better rates than other platforms. At UniDex, we’re seasoned in aggregation, pioneering perp and spot aggregation since 2020. This grant is not merely a resource for us; it’s a catalyst for the entire ecosystem. It will unlock liquidity sources that might otherwise remain untapped and elevate the utilization of aggregators comprehensively.

We are confident in asserting that we stand out as the most qualified project to declare, “This grant serves to enhance and leverage the entire Arbitrum ecosystem.” The support from these incentives will enable users to access a diverse array of protocols, fostering growth and optimizing the potential of what Arbitrum has to offer.

Justification for the size of the grant

We ask for 750,000 ARB because of the positive impact we’ve had on the Arbitrum ecosystem since our deployment during the first few minutes Mainnet went live, and how well we would be able to foster growth to lesser-known protocols that have been integrated.

UniDex has been at the forefront, offering numerous public goods and high-quality services. We’ve provided subgraph hosting services for teams, freely available and public aggregated RPC endpoints, a deeply integrated swap protocol, and we stand as the first and most comprehensive perp aggregator. A substantial portion of the incentives directly promotes the use of other protocols through our aggregator, both for spot and perps. Therefore, we believe our request aligns perfectly with the values and objectives of the STIP program, aiming to bolster growth & usage of the entire ecosystem.

Execution Strategy

375,000 (50%) - Trades routed to native UniDex liquidity pools

  • Trades that are routed to UniDex LPs for perps will have a scoring system for how much is rebated back to the user.
  • Each trade will have 20% of the fee spent rebated back but this can be increased based on certain factors outlined below
  • We assume weekly numbers for referred volume and referring 10m in volume qualifies you for the lower 2 tiers bonus as well

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262,500 (25%) - Perp trades routed to other Arbitrum perp DEXs via aggregation

  • Trades aggregated to other perp DEXs would follow a similar rebate structure

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93,750 (12.5%) - Liquidity provider rewards

  • The goal here is to increase TVL, give more opportunity for collateral swaps, and increase utilization of commonly aggregated pools
  • Rewards are distributed automatically, and yield hopping is curbed through the user of minimum deposit times. This encourages longer term pooling and keeps activity healthy.
  • Any LP would be eligible for rewards based on the amount deposited.
  • We treat the USD deposit value / Total TVL for how much rewards you will be earning

93,750 (12.5%) - Positive slippage / Surplus matching for swaps

  • We will use 12.5% of the grant to match positive slippage earned from a swap
  • The positive slippage can occur from regular spot trades or collateral swaps during the perp aggregation process
  • This greatly encourages traders to use the batch auction meta-aggregator as there’s an incentive to use the meta-aggregator, while also increasing the chance for additional surplus due to the increased frequency of batched orders from CoW orders.

Grant Timeline

Monday, October 16, 2023 - Monday, January 29, 2024 → 15 weeks

Do you accept the funding of your grant streamed linearly for the duration of your grant proposal, and that the multisig holds the power to halt your stream?
Yes

PROTOCOL DETAILS

Is the Protocol Native to Arbitrum?
No, UniDex aims to provide traders and everyday users with the best service without bias. Exclusively catering to users of a single chain would not be aligned with our values to help every traders regardless of where they choose to transact.

On what other networks is the protocol deployed?
ETH
ARB
OP
POLYGON
ZKSYNC
ZKEVM
BASE
METIS
BOBA
MANTLE
GNOSIS
FANTOM
BSC
AVAX

What date did you deploy on Arbitrum?
Day 1 when mainnet was opened (August 2021)

Protocol Performance
UniDex has contributed over +$1,000,000,000 in trading volume across perps and spot markets. There are several dashboards and endpoints to view the data over time such as on Dune, TokenTerminal, and as of recently our new stats page. We’ve been some of the first to push the adoption of commonly used practices such as meta-aggregation, perp aggregation, and real yield.

Protocol Roadmap

  • Listing more innovative and exciting pairs (such as our recently listed FRIEND-USD pair which trades the TVL of friend.tech)
  • Integrating more Perp DEXs into our perp aggregator
  • Permissionless pool creation to create a uniswap-esque factory system
  • Cross-margining support between multiple perp dexs
  • Improvements to data reporting and stats
  • Improvements to the frontend and backend UX
  • Native mobile app for spot and perp aggregation
  • Custom RPC endpoints for higher tier higher output aggregated RPC calls
  • Further optimizing the Aggregation path for spot and perps
  • Capture off chain liquidity for our intent-based swaps.

Audit History
The leverage protocol has undergone numerous tests and the contracts have been utilized for over 2 years. You can find our full-scale audit here.

Data and Reporting

Provide details on how your team is equipped to provide data and reporting on grant distribution.

Is your team prepared to create Dune Dashboards for your incentive program?
Yes

Does your team agree to provide bi-weekly program updates on the Arbitrum Forum thread?
We’re ready to create and maintain dune dashboards and team-built stats pages to track usage. We’ve already built dashboards and custom dune pages to track our internal incentive programs, which would be no different for this STIP.

Does your team acknowledge that failure to comply with any of the above requests can result in the halting of the program’s funding stream?
Yes

13 Likes
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10/12 Update

If possible, we’re adjusting via pledge to have our proposal adjusted from 750k ARB to 75k ARB. Any excess arb above this amount would be distributed back to the sending party or the most fit entity.

The adjusted rewards and usage

GRANT INFORMATION

Requested Grant Size: 75,000 ARB

Grant Matching: 10,000 UNIDX

Grant Breakdown:
37,500 ARB + 5,000 UNIDX (50%) - Trades routed to native UniDex liquidity pools
26.250 ARB + 2,500 UNIDX (25%) - Perp trades routed to other Arbitrum perp DEXs via aggregation
9,375 ARB + 1,250 UNIDX (12.5%) - Liquidity provider rewards
9,375 ARB + 1,250 UNIDX (12.5%) - Positive slippage matching for swaps

Update verification below

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revered for content and future edits 2

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Moshi moshi,

Preach here, advocating for the great Unidex team.

This grant brings protocols together.

As someone who has used and continues to use Unidex, I’m throwing the full force of my internet persona behind this and please, please, ask that you consider.

The teams’ efforts are tireless in bringing the best trading experience to its users.

Pro’s:

Engagement: I believe the new index listings and pvp playoff pairs eg: Arb/Op pair are going to bring a new social element to Arbitrum. Wear your teams blue stripes, and gain clout through your social networks to both friend & foe alike as you trade on the growth of Arbitrum. It also heads off Gains vs Gmx, and coming soon an Arb index which we can all back, share, and interact with.

Experience: It’s a war out there, I think we can all agree on that, and in this war experience is vital. Unidex has been fighting for three years and continues to innovate, pivot, and push the boundaries of what we imagine our blockchain landscape can look like.

Egalitarian: Unidex’s use of this grant is both fair and engaging for the Arbitrum ecosystem.
Aggregating both perpetuals and swaps from powerful players and budding projects Unidex will push all their potentiality if given the chance whilst rewarding the end user for trading.

Bottom line this grant benefits the user, the aggregated protocols, and the Arbitrum network exponentially in a selfless way.

7 Likes
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I fully support this proposal by UniDex

I’ve been an avid user of their swap meta-aggregator for over a year now and with the addition of their gasless limit orders, it’s been an absolute game changer in the space. Positive slippage paid out to the user really adds up, especially for illiquid pairs or in volatile markets.

I’ve moved all of my perp trading to UniDex since their V3 release and it’s amazing how many great updates the team has released since. I think it’s good to mention that unlike most other perp DEXs on Arbitrum, UniDex is not a GMX fork and is bringing true innovation to the ecosystem. They’ve been developing ways to get to true aggregation for years (not just routing to the next protocol/pool) for both the swap platform and perp platform and are therefore really solving the issue of fragmented liquidity in the Arbitrum ecosystem.

And with unique listings like an EVM Index or L2 Index, they truly add something extra to the space instead of just another place to trade BTC and ETH.

Unlike many other perp DEXs on Arbitrum, this team has no VC backing them. They’ve accomplished everything on their own and that just shows how capable the team is. Their trading incentive program on Arbitrum in August has shown what an impact adding incentives to their platform can have and I think this grant will yield even better results for the Arbitrum ecosystem should they get it

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Based based based.

Unidex for president.

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I strongly support this proposal and wholeheartedly support the Unidex team, who have a proven track record of prudent financial management, as exemplified by their recent Arbitrum airdrop.

It’s evident that the team harbors a profound and genuine commitment towards the users, who will not only be the primary beneficiaries of this grant, but will also play a crucial role in enhancing and stabilizing the platform through their engagement.

This initiative aligns well with their long-term vision and I believe it will significantly contribute to Arbitrums sustained growth and success.

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I’ve been an investor and user of all Unidex products since summer of 2022 and not once have I not used the Unidex meta-aggregation products such as swaps and perps exchange. To me they are one of the most trustworthy teams in all of DeFi.

The level of thought and genius that has been displayed by Krunal and his team in building the most extensive trading solutions for all of DeFi users has been extremely impressive.

The implementation of their product suite has been prudent yet powerful. Never giving in to the hype, but always thinking ten steps ahead and executing on real value creation for their users and for every single blockchain ecosystem they have been apart of.

The constant communication between the Unidex team and their community of users and supporters, even through disagreements, has strengthened my faith in them and their capacity to become in time one of the top DeFi projects across all chains.

This Arbitrum Grant would be absolutely well deserved and used wisely towards their ultimate goal of meta-aggregation, Arbitrum being a major building block.

They have my full support and i hope the Arbitrum Foundation will have as much faith in the value that Unidex provides for DeFi as I have.

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I have been a UniDex investor/user/follower for 18 months and have never been so excited to watch a project grow. I still remember joining the UniDex Discord channel and seeing how involved and present Kru and his team were with the community. Whether it was to help with questions about the protocol, discuss the technology around the project, or listen to suggestions, Kru was always available and willing to engage.

I think my favorite aspect of UniDex is that it is not a competitor in the DeFi space; on the contrary, it compliments and promotes other DeFi projects with its swap and perp aggregators as well as its SDK tools which enable other projects to build out custom frontends while being powered by UniDex on the backend.

With no token inflation and all tokens in circulation, a grant from Arbitrum would significantly help bring volume to the chain. And, bringing more volume to UniDex will ultimately benefit the rest of the Arbitrum ecosystem since activity on UniDex is also volume on other DeFi projects.

Thanks for taking the time and giving UniDex the opportunity to apply for this grant. We are excited to build and help grow with Arbitrum!

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Hello @KrunalUniDex thank you for your application! Your submission meets all requirements to be considered for a snapshot vote.

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The Unidex team is here to stay and as they continue to develop their products I believe they will add significant value to the Arbitrum ecosystem.

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great and positive member to dinner table at Arbitrum’s!

much support and love

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Strong builders, with a strong ethos. It’s true that UniDex has been offering public goods like free, public aggregated RPC endpoints. That says a lot about their character.

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I support this proposal. Unidex team is doing something no one has done before (perp aggregator)

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I’ve been an investor and user of Unidex since 2022. The transparency they show everytime a problem pops up is beyond my expectations, they have a very trustworthy team and are always thinking ahead of the curve. With a clear vision of the future and an even clearer path towards said vision, I wholeheartedly believe this team will bring the best for the Arbitrum ecosystem and defi as a whole.

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I have followed Unidex and their team for a while now.
The team has always delivered on their promises and has steadily built a continuously improving product.
Unidex is a bit the dark horse amongst perp dex exchanges and deserves its day in the sun.
It has never really been able to get it’s name out and that’s a shame.

An arbitrum grant could do exactly that and from there on anything can happen with this project.
To say that the KPI’s are feasible would be an understatement.
It could definitely generate the activity worthy of a 750k grant.

I fully support this request.

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One of my most favourite coin out there…
Been researching their platform and aggregation. See article here:

I believe that the team is doing something new in the space…
Connecting chains and platforms together, allowing for a low-fee perp and spot dex aggregator…

I think they’re asking too little imho… 750k? Give em 1M!

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This is way too much requested for a relatively new protocol (to Arbitrum) that has less than 400k TVL and $1m daily volume.

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I think you missed the part where UniDex has been deployed on Arbitrum since day one. And, isn’t the point of the grant to attract more users to the protocol?

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We actually arent new to Arbitrum as we’ve been live on the closed testnet and deployed on mainnet as soon as it was opened to devs (tldr day 1 support!).

Besides that, numbers like TVL are deceptive as it doesnt tell you the efficiency of the protocol and exactly what the protocol is attempting to carry out.

For example, as an aggregator, our TVL can be 0 but our volume can be the highest in the ecosystem. And at the same time the volume number may not be as high because of other external factors like no incentives, low marketing reach, or just the plain underappreciated player in the ecosystem.

Having these incentives will do wonders for the ecosystem as an aggregator which always goes under-appreciated no matter the network or even web2 vs web3. Our job is to connect traders with other platforms in the ecosystem while we also take no fee while offering the service. So we believe that asking amount aside, the impact that incentivizing an aggregator has goes a very long way. Secondly, we’re the only spot aggregator + perp aggregator applying for a grant and incentivizing usage of outside protocols.

Open to hearing more of your thoughts though.

4 Likes