TELEGRAM AMA: Im Community & Waterfall 🐋
⏰ AMA Timing : 01 OCTOBER 2021 l 12:00 PM UTC l 19:00 GMT +7
Venue For AMA : https://t.me/imcommunityitw
🎁 Reward Pool 100 USDT
Bà Tân | : Welcome @Yosemite_0x from Waterfall.
Tom | Waterfall DeFi : Thank you for having me
Bà Tân | : Welcome everyone. Today Im Community will host AMA with Waterfall.
Bà Tân | : Today our guest is: @Yosemite_0x from Waterfall.
Tom | Waterfall DeFi : Hi everyone, happy to be here talking to you all!
Bà Tân | : Can you introduce yourself to our Im Community?
Tom | Waterfall DeFi : Sure thing
Hi guys! Tom here, I am the Project Lead of Waterfall DeFi, the risk tranching protocol offering structured risk products to the DeFi space…I started off my crypto journey back in 2017, my buddy was at MIT Lab and was using the lab to mine ETH, so I kinda joined on his bandwagon, and have been on and off since then.
Gradually during last year’s DeFi summer I decided to put more attention into the space, looking into yield farms and applications of derivatives, and finally earlier this year decided to go all in, and take on the Project Lead role for Waterfall DeFi.
Before going full time in crypto I was working in management consulting, operations and strategic planning, having worked at McKinsey & Co, before moving to a food delivery tech unicorn Deliveroo. As the Project Lead in Waterfall DeFi I am basically in charge of handling everything and making sure Waterfall gets to become one of the projects that stands out across the space and offers what the DeFi community needs especially in terms of risk management options in yield farming.
thanks for translating
Bà Tân | : Thanks for the introduction.
Bà Tân | : Today’s AMA will have 3 sessions
Sessions 1: The chat will be muted & the team will introduce themselves then we will ask some introduction questions to the team Waterfall
Sessions 2: We will pick 5 Best Question from our members on Our Tweet (https://twitter.com/IM_Communityitw/status/1443143046187524099).
Sessions 3: The conversation will open to the community questions and the 5 best questions will be selected.
Bà Tân | : Requirements:
🗣Waterfall Defi Official Discussion (https://t.me/waterfalldefi)
🗣Twitter Waterfall DeFi (https://twitter.com/waterfalldefi)
👉More information about Waterfall :
Bà Tân | : Start session 1 AMA @Yosemite_0x
Tom | Waterfall DeFi : lets go!
Bà Tân | : Question1. Could you please give us a simple introduction of Waterfall? What’s the motivation for starting build Waterfall?
Tom | Waterfall DeFi : So Waterfall DeFi is a yield aggregator protocol that aims to bring true risk tranching to the DeFi landscape.
We are built on BSC initially, and would develop portfolios that include different farms. Instead of just offering a yield aggregation product, we actually would slice the portfolio into different “tranches” — essentially each tranche represents a risk/reward combo that would allow the users to select
The senior tranche would receive a reduced yield return, in exchange for first lost protection. Junior tranche would receive a much higher, leveraged yield return, but their capital is used to cover any losses suffered from the portfolio.
Ahrix : @Yosemite_0x Please say “Done” when you have finished the question, thank you.
Tom | Waterfall DeFi : For example — a portfolio with 10% expected yield, after we slice it into 2 tranches, the senior tranche will receive 5% return, while the rest will flow to the junior tranche. So in a perfect world, the junior tranche will get 15%
The senior tranche is essentially using their future return to buy protection against any capital lost
So in this example — if the farm underperform and the return is only 3% — senior will still get their 5% (as they are being paid out first), while junior might see a 2% lost in their capital
Like I mentioned earlier, we are launching first on BSC, with the first portfolio focusing on 3 BUSD farms. Going forward, once we are more matured and the community is more educated to the product, we will be pushing out not just safe, sustainable return package with major farms and high TVL, but also risky leveraged products and new farms with high APY
Goal is to create different types of investment options and risk factors that users can select based on their preference!
The motivation behind pushing out the product is actually very straight forward, our founder spent over 10 years at a tier 1 investment bank, focusing on fixed income and risk tranching structured products. He realized as DeFi got more and more mature, users would demand for more complex and advanced structured products to compliment their investment strategy, and risk tranching products are something that could fit the community needs.
However, there is no true risk tranching products in the space right now, and we believe by bringing the team’s years of experience in TradFi and DeFi, we are able to bring this concept to the community and work with them to figure out what would work for DeFi
Bà Tân | : Question2. What products are the Waterfall team developing ? What are the benefits it brings to the project and its participants? @Yosemite_0x
Tom | Waterfall DeFi : So there are mainly three parts of our product suite: the tranched products themselves, the staking/liquidity mining page and the Waterfall dashboard:
1. Tranched products — The core of our protocol. Our tranched products will be multiple vaults (falls) each equipped with three depositable pools: Senior, Mezzanine and Junior. From Senior to Junior the pool risk goes from low to high and the returns goes from fixed to leveraged, under normal yield market situations your return in Junior pools are higher than what you can gain than yield farming by yourself, as the yield are transferred by the Senior pool deposits since they only receive a fixed yield, however they face a lower risk as their capital pooled in are insured by the Junior tranche pool. Essentially in Waterfall you can leverage and earn extra yield that it is possible just by yourself, or you could receive a stable and predictable cash flow that DeFi farms usually difficult to offer. You either protec or attac! First tranched product will be the BUSD Falls where we will have the above three tranches deployed to the BUSD pools in Alpaca Finance, C.R.E.A.M Finance and Venus Protocol at Binance Smart Chain
2. Staking/Liquidity Mining Page — Two models of WTF rewards program will be available for our DeFi community: First is the WTF lockup staking, which users will lockup WTF to receive ve-WTF, an interest bearing token redeemable for WTF tokens after a designated lockup period and users can claim WTF staking rewards generated overtime as they accumulate. Second is the liquidity mining program, which elites like you guys already know the drill already…pool liquidity for the WTF-BUSD pair on Pancakeswap to receive Pancake LP, stake the LP tokens and receive WTF token rewards plus trading fees.
3. The Waterfall Dashboard — The dashboard is simply and is used to supplement our tranched products offerings, you will be able to view the overall status of our structured offerings and glimpse the yield offered to our users across the tranches. Dashboard also comes along with some other fundamental statistics of our protocol such asTVL, latest announcements etc.
In short, our product offer the users an engineered approach to optimize their yield farming strategy that can truly min/max the risk exposure vs return calculation
Bà Tân | : Question3. What are the economic benefits of the $WTF token ? What are the benefits of holding it ? @Yosemite_0x
Tom | Waterfall DeFi : Our project is fully committed into making the protocol as decentralized as possible. Even our team members are formed across the world of yield farming strategists and DeFi OGs.
As in our tokenomics, we have committed 60% of the tokens allocated to our community, via user incentives like staking, liquidity provisioning, public sale and our treasury — the usage will be decided in our future DAO.
For more information about our tokenomics, can refer to this article: https://medium.com/waterfall-defi/waterfall-defi-token-metrics-aead80c89627
There are three major use cases for our tokens:
1. You can stake our token to earn the governance token, which in terms would allow you to vote on upcoming protocol decisions such as approving new portfolio strategy
2. Holders of our governance token would have the right to earn a portion of the transaction fee we charged from users
3. Going forward, users with our governance token can propose their own risk tranching products and earn structuring fees
So you can see that we think long and hard, trying to make sure those who support us and believe in us by staking our $WTF token will get both financial gain as well as governance say — truly including the community in how our protocol will launch forward
Bà Tân | : Question4. In terms of security, is the Waterfall project safe when users use your platform ? @Yosemite_0x
Tom | Waterfall DeFi : Yes — good question — security is a key aspect that we believe is going to be paramount to the success of the protocol
When we look at security we consider it from 2 main aspects
1. the protocol aspect of Waterfall (Our own code base)
2. the risk of 3rd party (farms / pools that we included in our portfolio)
1. For the first one — we are working hard with our auditor (Slowmist) to review the code before our first product launch, it is currently being reviewed and we had already received some feedback from them (thank god only minor comments) — and are updating the code as we speak, making sure that we can come out with the secured system. We will announce the audit result shortly after it’s done, so please follow our social media for updates!
2. We usually would evaluate the risk involved in different crypto assets based on a couple of factors, including: the reputation of the team/protocol, amount of TVL committed by the community, the sustainability of the yield return, etc.
That’s why we introduce 3 BUSD stablecoin farms that all have high TVL and sustainable yield, which is the most secure / safe approach to engage with our first ever product launch. We will also limit the TVL for our first product to ensure we can plan for a smooth launch
Bà Tân | : Question5. Can you please tell us the current “ Waterfall “ road map ? How far has Waterfall been developed at this time ? and what will you realize in the future ?
Tom | Waterfall DeFi : Got it — allow me to share with you some key milestones along our development path first
The first milestone for us is to decide which blockchain to focus on, and we decided to go with BSC, due to its negligible gas fee and presence of high TVL farms with sustainable return.
Then the second milestone would be launching our first product — which would include 3 BUSD farms. Going forward, once we are more matured and the community is more educated to the product, we will be pushing out not just safe, sustainable return package with major farms and high TVL, but also risky leveraged products and new farms with high APY
Goal is to create different type of investment options and risk factor that users can select based on their preference!
We are now hard at work to get everything ready for test net, which is a few weeks away. We are working with our auditor to review our smart contract, finalizing our DAPP’s interface and likely will launch our testnet soon — stay tuned!
For mainnet, it will depend on our test net process. Once we get the feedback from the community and adjust based on the suggestions, we will be ready!
And finally, and upcoming milestone is that we are working hard to confirm our public sale, which we will have more information in the coming days — please stay tuned to our channel for updates!
And here are our rough timeline:
2021 Q3 — initial funding, product development, initial marketing
2021 Q4 — public sales, test and v1 product launch, with BUSD stablecoin farm introduced
2022 Q1 — v2 product launch, introduce DAO, expand selection of DeFi assets in the portfolio, and user originated portfolio
2022 Q2 — v3 product launch, introduce variable and perpetual expiry tranches
Bà Tân | : End of session 1
Bà Tân | : We will move on to session 2
Bà Tân | : Sessions 2: We will pick 5 Best Question from our members on Our Tweet (https://twitter.com/IM_Communityitw/status/1443143046187524099).
Bà Tân | : Question1. At this moment, which one the most Necessary for your project:
and why? @Lutformal
Tom | Waterfall DeFi : Thanks for the question @Luformal
I have to say all 3 are critical for the success of the protocol
- Investors help us to get things moving in the early phases, and some of our investors, such as GBV, really provided us with tremendous access and connection in this space, plus their team is also very knowledgeable in the yield farming, structured product space, so that really help us
- Market / Exchange — we are working with one now to try to launch our public sale, and they will help to provide liquidity as well as a platform for our users to trade the token, which is super critical to the success of the project launch
However — Community in my mind really hold the key to the long term development of our protocol, as well as the success. As I stated before, 60% of the tokens in the protocol is dedicated to the community, this is our way of telling the community that this is a protocol that goes with them. With their help, we will be able to better discover what the market needs, and work with the community to create a suitable product that has long term viability — so yea this would be the key ingredient for our success!
Bà Tân | : Question2. Has your project been completely decentralized, and will there be any risk of centralization in the future? @Lutformal
Tom | Waterfall DeFi : We have been through a lot of discussions of a proper governance model to ensure a DAO with proper democratisation
An initial plan will be two multisigs with one as the Treasury DAO — with keyholders that we will invite industry leaders, our core devs and possible a few community long time ambassadors, and an Operation DAO
that as the question mentioned, getting our daily operations managed by our team, the Waterfall community and the DeFi community
And eventually in the future we envision our tranched products to be structured by the decentralized community, and whosoever structured great tranching products that offer optimal risk and return combinations that are used by the DeFi community will earn the structuring fees!
In the future we will keep looking for new industry standards of implementing and upgrading our DAO
Bà Tân | : Question3. I have read all your web and I think your project is very good for the future or long term. Currently there are so many new projects, how can “Waterfall DeFi’ be able to compete and mention its advantages over other projects? @FuhoCompany (https://twitter.com/FuhoCompany)
Tom | Waterfall DeFi : That’s a good question
There are a few similar concepted protocols in the space now, and Waterfall is a bit different from them due to the following features:
Our portfolio strategies package multiple DeFi assets and yield farms to ensure risk and return diversification
In the future, we aim to include more diversified assets to ensure an abundance of options for the community.
2. Clear tranche differentiation
A TVL limit is set initially for each tranches in the initial launch to ensure clear tranche differentiation
Going forward will lift the limit but will introduce dynamic reward to incentive optimal user behavior
3. Three tranche approach
We will launch with a three-tranche product, expanding the optionalities for the community.
4. Fixed income product
Will introduce a fixed income product by locking up the user deposit for a fixed period of time (seven days) during the deployment period
Bà Tân | : Question4. Future developments of Waterfall Defi inlcudes “V3.0 Waterfall Defi — DIY tranche origination” which allows users to construct their own portfolio of tranche products. For this feature, will there be an approval first from the team before the newly constructed portfolio be used? @Lidiamga
Tom | Waterfall DeFi : Good question — Yes, staying true to our community focused approach, we will be allowing users to start tranching their own product once we set up the DAO structure
Users would need to first stake $WTF token to earn veWTF to be eligible for creating their own product. Then with enough upvote from the community on the product, we will be evaluating the feasibility, including tech requirement, operational risk, etc. — Once that is passed — the proposal will be submitted to the DAO for approval on launch
This is not something that will be available on launch, as we want to work with the community to get them to familiarize with our product and concept first, so its not set in stone — can’t wait to engage the community and build the best process going forward
Bà Tân | : Question5.They have mentioned being interested in the diversification and incorporation of new assets, so with regard to this, what can we expect from Waterfall by 2022, what type of assets do you plan to incorporate? @SyminuL
Tom | Waterfall DeFi : So the initial product will include 3 BUSD farms — as I stated earlier we want to make sure the initial launch is smooth and hence the selection of something stable and low risk
Going forward, I would say all types of crypto assets are fair game — LP tokens, leveraged products, staking pool for POS blockchains, NFT — the sky is the limit. Part of the process is to iterate with the community to figure out the best portfolio, that would fit the market need and provide something interesting for our users to invest in
Bà Tân | : Congratulations to the winners of session 2.
Bà Tân | : Alright, Session 2 has finished perfectly. Appreciate your detailed responses @Yosemite_0x 😃
Tom | Waterfall DeFi : Thanks for the questions guys!
Bà Tân | : End of session 2
Bà Tân | : We’ll move on to session 3
Bà Tân | : Sessions 3: The conversation will open to the community questions and the best questions will be selected.
Bà Tân | : Don’t forget to join the group https://t.me/waterfalldefi
Bà Tân | : Thanks for the questions from the community.
Bà Tân | : Now let’s give our dear guest @Yosemite_0x some time to go through them.
Bà Tân | : @Yosemite_0x Pick the 5 best questions and answer it for session 3.
Tom | Waterfall DeFi : wow — a lot of questions
Tom | Waterfall DeFi : alright give me some time to check and get back haha
Tom | Waterfall DeFi : thanks for the question guys
Q1.Can you explain how is your Tokenomics Distribution? How many tokens Will be minted ? And How many tokens Will be locked by the team?What are the key milestones on your roadmap — both things you have already achieved and things that we can look forward to? Any partnerships and short/long term technical milestones that you want to talk about or bring some attention to?
Tom | Waterfall DeFi : Let me pick this first
So I have already talked about the roadmap — but I do want to follow up on some questions related to the tokenomics
Let me share a graph first
This is our vesting schedule
and this is the token distribution
in total 100M of tokens will be minted — and initial circulation is around 5% (at 5M) — so that we can make sure there isn’t an inflation or over supply
our team token is locked for 9 months, before it can be released — to also make sure to the community that the team is in it for the long haul, and not looking at simple pump and dump
FInally on the partnership — we are having discussion with our initial farms (C.R.E.A.M., Alpaca, Venus) to make sure there are strategic partnership that can be developed out of this collaboration — stay tuned for our updates!
ok on to #2
Q2. Where can I Buy token? Will it be less Expensive or more expensive? Possible all links to all your social media Platforms if possible?
Tom | Waterfall DeFi : I won’t be able to answer the price issue — as the price is driven by the market and not something I can control
As for the venue to buy token, I want to update the community that we are in final conversation with a platform to launch the public sale — it is coming very soon so please follow our social media to stay connected and get the latest updates
- 💬Telegram: https://t.me/waterfalldefi
- 💬 Discord: https://discord.gg/gS9Gda4sez
- 🐦Twitter: https://twitter.com/Waterfalldefi
Let me move this question
Q3.Q: May I ask, within each tranches, will there be a required amount of funds locked before it generate profit? What is the TVL or Total Value Locked within each tranche for it to process? Also, if a certain tranche doesn’t meet the required TVL, will Waterfall DeFi fund the gap?
Tom | Waterfall DeFi : So thats a good question
Our initial product will have 3 tranches, and to ensure a clear differentiation of the yield % between each tranche, we will be launching with a TVL capped product first (also part of our guarded launch strategy). Only when all 3 tranches are filled, then the product will be locked and deploy to the farms.
I cannot tell you the absolute amount of TVL yet, as we are still fine tuning. And for the question on the gap, we do believe our product fit, attractive APR as well as limited initial TVL won’t be a problem to fill them up, we also knew a few major farming communities so if there is a need to inject something for the short term, we will be exploring those options
Q4. Does your project support staking program? if yes. how is your stake system work, what is the requirement for user if they want to stake in your platform? Do you have a Token Burning plan to increase Token value and attract Investors to invest?
Tom | Waterfall DeFi : Lets do this one then
Yes we have a staking program, it will be launched with our mainnet, and as long as you have WTF token with you, you can stake our tokens to earn veWTF governance token — which the utility of that I have mentioned earlier.
For managing token numbers, like I stated earlier, we are being very conservative in our tokenomics and making sure we dont have a lot of circulation initially, the community token is also on a fixed weekly emission schedule as stated in the graph above, so we are confident our token setup would be robust enough to handle any market force. That being said, of cuz everything can happen, and token burning is one of the options to handle that, which we definitely will engage the community and figure out the best course of actions!
ok, final question!
Q5. Q: How Do you planning to promote your project in different countries, where English is not spoken well? Do you have a local communities for them to better understand your project?
Tom | Waterfall DeFi : We actually have a wide ranging collaboration with our partners, including Im Community here, to reach out to audiences with other language.
We also have multiple language TG groups where users can engage with us, please feel free to follow:
Bà Tân | : Congratulations to the winners of session 3.
Bà Tân | : Thanks for the useful information from @Yosemite_0x
Bà Tân | : End of session 3
Bà Tân | : For questions that have not been answered today, you can send them to @waterfalldefi for answers.
Bà Tân | : IM Community, if you would like to know more about Waterfall ! here are some useful links for you:
Official Website: https://waterfalldefi.org
International telegram community.
中文 (https://i.imgur.com/h0hjTDp.jpeg)🇨🇳 (https://i.imgur.com/h0hjTDp.jpeg)
Portuguese (https://t.me/waterfalldefi_portuguese)🇵🇹 (https://t.me/waterfalldefi_portuguese)
Spanish (https://t.me/waterfalldefi_spanish)🇪🇸 (https://t.me/waterfalldefi_spanish)
Turkish (https://t.me/waterfalldefi_Turkish)🇹🇷 (https://t.me/waterfalldefi_Turkish)
Vietnamese (https://t.me/waterfalldefivn)🇻🇳 (https://t.me/waterfalldefivn)
Tom | Waterfall DeFi : yea please send questions our way or join our TG or other social
Tom | Waterfall DeFi ::)
Bà Tân | : Allright, I declare the Im Community AMA with Waterfall has ended.
Thanks to @Yosemite_0x | Waterfall joined us and provided us with Waterfall information, we hope that this knowledge makes us understand more about https://waterfalldefi.org (https://waterfalldefi.org/)
To the members, thank you for following this event to the end. winners will be announced soon.
Tom | Waterfall DeFi : Thank you so much for having me today, we are really grateful to be interacting with the Im community.
At Waterfall DeFi we keep building tirelessly to offer the DeFi community the autonomy of choosing between risk and rewards for everyone’s yield farming journey. We believe our tranched products will be one of a kind and it’s gonna be a great addition on top of the DeFi legos we have now…
While the testnet version with user bounty will be out there soon, just wanna also let you guys know that as our public sale is also coming up! If you guys are interested in participating in our public fundraising rounds, be sure to follow @waterfalldefi_announcements and our group chat @waterfalldefi for the latest updates… until then stay safe and enjoy the Web3 revolution brothers and sisters!