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CEX Kromatika - kromatika.finance

truelove256

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In the previous posts, we were explaining on how to implement limit orders on Uniswap V3.
Please check this link:

To find more on limit orders.

Based on the idea explained in the previous story, we are happy to announce KROMatika— next generation DEX Trading, powered by Uniswap and Chainlink.

HOW IT WORKS
KROMatika consists of:
Audited smart contracts for creating trades and processing them, all powered by Uniswap.
UI for interacting with KROMatika smart contracts .
Off-chain decentralized processing services, responsible for active processing of the trades, powered by Chainlink Keepers.
KROM token — utility ERC20 token used for paying the service fee. This fee is paid by the users and is used to cover the cost of the processing services (Chainlink Keepers).

PLACING TRADE
Placing a DEX trade on Kromatika is pretty simple:
Go to app.kromatika.finance (make sure you select the Kovan Test Network from your metamask wallet, other networks to follow).
Select the token and the amount you want to sell (example 1 ETH)
Select the token you want to receive. (Example USDC)
Select the target price and place the trade. (Example target price: 1ETH = 5300 USDC).
As a result of placing the trade, you will receive a unique Non-Fungable Kromatika trade position token.

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Congratulations. First step done. Now what is remaining is funding your account with KROM tokens and waiting for the trade(s) to be processed.
Go on https://app.kromatika.finance/
To list all your active trades

Check the minimum KROM token balance needed for processing the trades. If your current KROM balance is lower than the minimum KROM balance, you’ll need to fund your account with KROM tokens.

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KROM TOKENeconomy
KROM token is a non-mintable ERC20 token, deployed on Ethereum, secured by OpenZepellin and audited by MythX, having a 100 millions of total supply EVER.

60 millions KROM tokens are already available for trading on Uniswap V3 MAINNET. Get your KROM tokens here.

Starting token price is: 1 KROM = 1 000 gwei = 0.000001 ETH.
For better security and prevention from rug pulls hacks, the proof of liquidity (position) has been burned. Check the burn transaction here.

The majority of the token is in the community hands forever.
20 millions KROM tokens will be available for trading on Layer2 Uniswap (Arbitrum and Optimism) in the first month of the launch.
The rest of the tokens: 20 millions KROM tokens will be held in a multisignature Gnosis Safe wallet and used solely for project funding.

PROCESS TRADE
Please refer to the previous post explaining how the trades are processed from technical perspective using Chainlink Keepers.


During the processing, the service fee is deducted from your KROM balance. The service fee is used to automatikally replenish the service ( Chainlink Keepers ), so that it can continue managing the trades.
After the trade has been processed, the user can collect the amount from it.
If the trade hasn’t been processed for a while, the user can cancel it.

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This concludes the user interaction with the platform:
1. Placing Trade(s).
2. Funding your account with KROM tokens.
3. Claiming the amounts from your processed trades.
4. Cancelling non-processed trades.

WHY KROMatika
When doing swaps on Uniswap V3, the user pays what is called a swap fee that is: 0.05%, 0.3% or 1%. When placing trades on KROMatika, the user does not pay swap fee, but pays service fee instead.
The swap fee depends on the amount being swapped, whereas the service fee is FIXED.
The actual service fee is paid in ETH, since this is the real cost of the processing services (gas fee), however the users always pay with KROM tokens.
KROM token allows for huge savings on the service fee, close to having a ZERO service fees.
Early KROM token holders would have HUGE savings on service fees, because they would be buying the token cheap and pay the service fee (which is fixed ETH) when its token price has increased.
Hidden gem: Within the DAPP, the user can choose a lower target gas price for the automatik processing of their trades, even further lowering the service fee, sacrificing some processing speed for lower service fees.

ZERO SERVICE FEE
KROMatika will be deployed on Layer2 (Arbitrum and Optimism) because of the lower gas cost.
The service fee on Layer 2 would be around 0.00002 ETH, expressed in KROM tokens. That’s 1 dollar cent for a service fee.
It could not get any cheaper. Well, it can…. go into earning instead of paying service fees…. and that’s to be discussed later on.

WANT TO CONTRIBUTE
Join Discord: https://discord.com/invite/Uv2Q2v26JG
Join Telegram: https://t.me/joinchat/09jBPxB1cl85OTBk
Visit: https://kromatika.finance/
Join the contribution channel on Discord: https://discord.gg/AECpPPCWFQ
And contribute the development effort, marketing, support etc. Kromatika is a Community driven project and everyone is welcomed to contribute.

Buy KROM token on Uniswap V3 here.
Spread the word.

PROJECT ROADMAP
November 2021: KROM token launch live on Ethereum mainnet. Initial liquidity available for trading on Uniswap V3 MAINNET. We are here now.
November 2021: DAPP Beta launch on Kovan testnet and Layer 2 testnet. Smart contract audit.
December 2021: Trading the token on Layer2. Launching the DAPP live on Layer 2: Arbitrum ONE and Optimism.
Jan 2022: Launching the DAPP live on ETHereum mainnet.

 

Now, what if I told you that you could swap with near 0 fees on Ethereum? Without any slippage or price impact? What if we combine this solution with L2s?​

Introducing Kromatika, or what I see as “The most innovative solution against Ethereum swap fees”.​

Links to Kromatika:


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1 - Uniswap v3​

To understand Kromatika, you first have to understand Uniswap V3. Uniswap is the leading DEX and one of the biggest DeFI protocols that exist today. The V3 of Uniswap introduced many interesting and innovative features (multiple fee tiers, improved Uniswap Oracles…). But we’ll focus on one of them. Learn more here

  • Uniswap V2 vs V3 & Concentrated liquidity
    • Before, on V2, users who provided LPs had their liquidity evenly spread across all theoretically possible prices ($0 to infinity, as the upward price growth of an asset, is potentially unlimited). This was to ensure that whatever the price was at, swaps were technically possible.
    • Unfortunately, this was not optimal, especially for Uniswap V2 stablecoin pools (Ex: DAI/USDC).
      • As they are dollar-pegged, the vast majority of swaps occur in a +/- 1% price variation from $1 ($0.99-$1.01 price range).
      • This means that provided liquidity in that pool will most likely never be used outside of that price range. Nobody wants to sell 1 USDC for $0.97 as much as nobody wants to buy 1 DAI for $1.03.Thus, this unused liquidity generates no swap fees and providers receive smaller, unoptimized rewards.
      • The DAI/USDC pool example makes the flaws of V2 easier to understand.
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Example for the DAI/USDC LP
  • Uniswap V3’s Concentrated liquidity
    • In V3, liquidity is not evenly spread on the whole price curve. Instead, users can manually choose the price range they want to “concentrate” their LPs.
      • Example: Imagine you are putting liquidity in the ETH/DAI pool. You’re putting 1 $ETH and 4000 $DAI. You choose to concentrate your liquidity in the $3800-$4200 price range. This simply means that whenever someone swaps $ETH for any amount of $DAI between 3800-4200 $DAI, you get to earn the fees from that swap. If $ETH is traded outside the 3800-4200 $DAI range, then you get 0 fees.
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Example for ETH/DAI LP
  • This improves capital efficiency, as every user can set their own LP strategy, and target a specific price range to fit their personal analysis.
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Concentrated liquidity makes higher capital efficiency
  • Uniswap V3’s Range orders
    Now that you know more about the concept of concentrated liquidity, understanding range orders should be easier.
    Users only deposit 1 single asset instead of 2, at a price range of their choice. This price range has to be abovethe current market price.
    • If this market price is hit, then the token will be sold against the other underlying asset.
      • Example: Take the DAI/USDC pool. The current $USDC market price is 1.001 $DAI. Imagine you put 1M $DAI at the price range of 1.002-1.003 $USDC.When the price of $DAI reaches your price range, your $DAI will instantly be converted into $USDC and you’ll also earn fees for that exact transaction, as you’re providing liquidity.
    • Do not mistake this for limit sell orders. To transform range orders into limit sell orders, users have to manually remove their deposited single asset liquidity as soon as it gets converted (when the price range is hit).
      • Example: You provided $DAI, your tokens got converted into $USDC, which means that your price range has been hit.
    • However, if the market price goes down again, it re-triggers your price range thus reconverting your $USDC into $DAI (remember, you are providing liquidity which is concentrated in your target price range, you are not limit selling, you do that to earn swap fees).
    • This means that to do limit selling on Uniswap V3, users have to constantly monitor their LP position and the current market price, and that is negative for UX.

2 - Leveraging Uniswap V3 for limit orders​

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Kromatika dApp
Now you know more about concentrated liquidity and range orders.

But what does Kromatika bring to the table after all?

Basically, Kromatika does all the steps users have to do in Uniswap V3 range orders on their behalf. The protocol automates the process of removing the liquidity after your price range has been hit.

From a user’s perspective, the only interaction is to select a token and place a limit order on Kromatika. The rest is done by the protocol itself, reducing the steps by a lot.

How does it work?

Smart contracts alone can't trigger or initiate their own functions at arbitrary times or under arbitrary conditions. State change will only occur when a transaction is initiated by another account (such as user, oracle, or contract).
Chainlink Keepers provide users with a decentralized network of nodes that are incentivized to perform all registered jobs (or Upkeeps) without competing with each other.
https://docs.chain.link/docs/chainlink-keepers/introduction/
When placing a limit order on Kromatika, you are placing a range order on Uniswap v3.

Kromatika uses Chainlink Keepers to monitor everyone’s position so that when a user’s target is hit, the amount deposited gets automatically swapped then sent to the user’s wallet.

Keepers will simply check 24/7 if your target price is reached or not. If it is, then they will remove your liquidity (which has already been swapped for the desired token), and send the intended swapped mount + swap fees directly to your wallet.

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$KROM token is the token users pay as service fees to Kromatika. (They cover Chainlink keepers fees and network fees). This means $KROM has an intrinsic value, being a utility token. Service fees are also inverse proportional to the $KROM price, as Keepers fees and network fees do not grow (in the quantity of ETH).

What are the benefits of using Kromatika rather than other DEXes?

  • Krom provides liquidity (Kromatika limit order = doing LPs)
  • You earn additional fees through Kromatika’s limit orders
  • Other projects such as 1inch have also implemented limit orders, but they are simple swaps that are triggered at a target price (as they are doing it over Uniswap V2, not V3).
  • Not everyone wants to spend ETH at each TX. Lots of people want to stack this token, so paying in $KROM is better in that sense.
 
WHY KROMatika
  • When doing swaps on Uniswap V3, the user pays what is called a swap fee that is: 0.05%, 0.3%, or 1%. When placing trades on KROMatika, the user does not pay a swap fee, but pays a service fee instead.
  • The swap fee depends on the amount being swapped, whereas the service fee is FIXED.
  • The actual service fee is paid in ETH since this is the real cost of the processing services (gas fee), however, the users always pay with KROM tokens.
  • KROM token allows for huge savings on the service fee, close to having a ZERO service fees.
  • Early KROM token holders would have HUGE savings on service fees because they would be buying the token cheap and pay the service fee (which is fixed ETH) when its token price has increased.
Hidden gem: Within the DAPP, the user can choose a lower target gas price for the automatic processing of their trades, even further lowering the service fee, sacrificing some processing speed for lower service fees.
ZERO SERVICE FEE
KROMatika will be deployed on Layer2 (Arbitrum and Optimism) because of the lower gas cost.

The service fee on Layer 2 would be around 0.00002 ETH, expressed in KROM tokens. That’s 1 dollar cent for a service fee.

It could not get any cheaper. Well, it can…. go into earning instead of paying service fees…. and that’s to be discussed later on.

WANT TO CONTRIBUTE
 
A few days ago, we had the privilege to announce the features of Kromatika dApp V2, the new version of next-generation DEX Trading, powered by Uniswap and Chainlink.

What’s new?

●User interface improvements & new modes


We believe that the most important features of the protocol must be as good as the design of the user interface to create a positive user experience. So we have been working on several new features and among them is a complete redesign of our user interface which brings several benefits:

- Availability of two new modes (Classic & PRO mode): It is now possible to place limit orders or trade your token in an intuitive way and with fast execution. The PRO mode gives you access to new tools such as displaying charts per current chain with live, dynamic data for a better experience during your navigation.

- Mobile version: The new user interface of the dApp is also accessible on mobile with easy navigation and the design is user-friendly.

- Variety of wallets: To manage your tokens on our dApp, several types of wallets are available such as MetaMask, WalletConnect, Coinbase Wallet, Fortmatic, and Portis.

The dApp has been refreshed with many design changes to the dashboard, limit orders, and its latest feature of swap.
There is access to the real-time gas price at the bottom right, which might help you plan your trades better.

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Kromatika is a one-stop DEX aggregator

Kromatika V2
benefits from an advanced MetaSwap Aggregator. This platform aggregates the liquidity from many DEXs and compares swap data across Uniswap, 0xProject, and 1inch. This allows users to get better market rates than they would get on a single DEX by optimizing token pricing, swap fees, and slippage.
With this feature, you will never have to jump on different DEXs searching for the best price because MetaSwap does this job within seconds. Through this feature, all your favorite tokens are now available on the Kromatika dApp.

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Don’t hesitate to try it for yourself. In the meantime, be patient as more features and utility are on the way.
Happy trading everyone!

dApp: https://app.kromatika.finance/#/pool
 
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