ZKPAD REVIEW
Making an accessible platform
Our first mission is to facilitate the accessibility of zk-Rollups' technologies for individuals and developers alike. For that, we will provide educational content on this technology including tutorials, analyses, ecosystem data etc... We will set up complex technology monitoring tools, as well as data collection tools to be able to offer important data and information for all.
We are also committed to producing tools for developers and builders, especially in Cairo, to enable faster adoption by teams and startups wishing to develop on zk-Rollups. We have a double mission in the educational field, whether for individuals or for startups and builders.
Reducing the risk for retail investors
Our second mission will be to reduce the risk for individuals using ZkPad, as investments are so risky in today's environment, between scams, weak teams and/or market hazards. We have chosen to focus on the public sales segment at first, with a launchpad, however we plan to offer earlier investments for our users in the future. Later on we would like to offer seed investments, with strategies to guarantee retail investors zero losses no matter what, but that will come later. Regarding the IDOs we will launch on ZkPad, we will do the necessary research to ensure maximum security for our users. An internal review process will be run to ensure the security of users when investing. The two selection filters will be detailed later in this paper, however we believe it is necessary to have several stages of verification in order not to miss anything. On the other hand, verification is not always enough to guarantee the security of investors, which is why we believe that another, more financial security should be added.
On-chain lottery systemA unique lottery system that solves current issues that we have observed on already existing launchpads needed to be created.First, the lottery tickets will be tokenized as ERC1155 tokens thus tradable as NFTs on marketplaces such as Oasis. As users of other launchpads, we often found ourselves in situations where we had lottery tickets we didn’t use and therefore were lost. With this system, users will be able to sell their lottery tickets if they are not interested in the upcoming IDO to other users who would potentially like to obtain further allocation in this particular IDO. We encourage users to build strategies around this system and share them so the underlying technology can be improved.Secondly, lottery winners will be drawn on-chain thanks to Chainlink VRF and L1-L2 communication. Chainlink’s random number generator combined with Starknet’s scalability can enable fully on- chain raffles. On most launchpads currently, individuals are unable to find out why they did/did not win in the lottery. We believe this must be completely transparent and public so anyone can analyze the data and make sure the system is fair for everyone.We’ll provide our users with an entire analytics tab, with all the details of the on-chain lottery, in order to prove our system and to be as transparent as possible. This is one of the core values of our product, and we want to encourage other projects to follow the same path as us.
Users will be able to lock their $ZKP tokens. Locking liquidity will also be allowed so users are incentivized to bring more liquidity to the token ensuring the long-term sustainability of the protocol. The longer the lock up, the more $xZKP tokens you will receive thus the higher chance of IDOs’ allocations you will have.
However, instead of using a classic tier mechanism, where your chance of receiving allocations is dependent on how much and how long you have staked. We will add a third parameter 'p' which will be project-dependent.
In fact, we realized that not every project had the same needs and the same expectations. Distributing the liquidity in the same fashion for every project will ultimately lead to a liquidity imbalance and injustice for smaller or bigger projects. We believe that every project has different needs and that we a customizable lottery system to better suit every project is required.
Introducing the boost parameter 'p' to prevent whales’ domination and encourage a better decentralization.
Example : User A has 100 xZKPAD thus N = 1, Project X wants to raise 500k$
Then, we have p = 5 which leads User A to have a 5% chance boost for the raffle.
User B has 5000 xZKPAD thus N = 100 and p = 1 which gives a 1% chance boost.
This enables a good balance depending on the project needs, and the targeted amount to raise.
For each project that you want to invest in on the ZKPad platform, you'll have the opportunity to increase your chances of getting selected thanks to Quests or your on-chain activity. It's something that we call Allocation Boosters.
QuestsOn the ZKPAd platform you can perform Quests in order to increase your chances on getting an allocation for a listed project. Quests come in two categories: - Social Quests: Contributing to the marketing strategy of the project. For instance: Following a project on Twitter, joining a Discord group, writing a thread. - Product Quests: Discovering the product by actually using it (includes testnet as most of the time the product will not be 100% ready). For instance: If the project is similar a DEX like Uniswap the quest could be "Swap tokens" or "Provide liquidity". For each Quest completed, you'll get a boost in your chances of getting an allocation for the listed project. Let's take an example: You have 100 lottery tickets for a given project. After performing the quests you'll have a 1.2X booster on your chances of winning which means that they would be equivalent to you owning 120 tickets (100 x 1.2).
On-chain profilingOne the key priorities for early stage projects is to attract and incentivize the right community. This goal can be achieved using on-chain analysis on both L1 and L2 to select the most relevant investors.What we want to assess with on-chain profiling is the chances that the investor will become an active user of the project and if he/she will hold the tokens for the long term.The closer a user's on-chain profile is to what the project is looking for, the higher the chances of getting an allocation will be.Here are examples of some of the on-chain activity that might come into account: - Interaction with on-chain games, Defi protocols ... - Token purchase and holding including projects previously launched on ZKPad - Interaction with the testnet of the project.
17,5% of the tokens will be sold at the launch of the project, with 3,5% allocated to the Seed phase, 10% to the private sale, and finally 4% for the public sale. 17,5% will be allocated to the DAO treasury, and will therefore be used according to the decisions of the community, and will allow the development of the project. 20% will be reserved for the different programs aimed at bringing liquidity to the project, whether to form the initial liquidity or for the staking of LPs in our vault, in order to obtain xZKP allowing access to the ZKP ecosystem. 20% for the team and future talented people who will join the ZkPad Labs. 5% for advisors who will help us in designing the best protocol possible and review projects launching on ZkPad.
Finally, 20% will be reserved for the staking in the vault of the $ZKP token. This will be in addition to the various strategies in place.
Here is the information about the release schedule of the token:
The team deliberately opted for high inflation at the beginning to create long-term sustainability. Successful DeFi protocols have almost universally implemented high emissions to help bootstrap a community and liquidity. Moreover, the design of the ZKP vaults creates uniquely high rewards for users who are willing to lock up their ZKP for longer periods. These users will be playing a key role in bootstrapping liquidity for the protocol. This group will prove themselves to be the best stewards of the protocol and therefore the best possible trustees of the DAO.
In addition, we have chosen to add vesting on the tokens of the team, the DAO treasury and the investors. Indeed, despite our total confidence in the involvement of investors in the long term, as well as our dedication to the project, we prefer to vest these allocations in order to guarantee the security of all and to secure these statements.