Mr Alex Yung®
8 min readMay 9, 2023

Zerone Protocol platform

On-chain derivatives have always been a more optimistic direction for analysts and investors. Representative products DYDX/GMX have their bright moments, but the price trend is extremely poorly correlated. It is optimistic, but its token has fallen by 95% from the ATH price; GMX is one of the rare agreements whose tokens will increase by more than 100% in 2022. We believe that this agreement has great flaws; the ZERONE project was established in June 2021, drawing on the advantages of the pioneers of derivatives on the chain, and developed a decentralized perpetual mixed contract trading agreement with good liquidity, which has High ecological project party friendliness and composability.

One currency in hand, all exchanges" is the development concept of ZERONE. The first product launched by ZERONE is a decentralized hybrid perpetual contract

  • The user uses any asset held by the user as a trading chip, and conducts all asset transactions with reference to the quotation of the decentralized oracle machine. The counterparty is the asset pool corresponding to the asset held by the user.
  • As we all know, the current assets on the chain are mainly long-tail assets. How to design a contract product to meet the contract transaction needs of long-tail asset users is the key to whether the decentralized perpetual contract can break out. The third generation of decentralized perpetual contracts - hybrid perpetual contracts, was born in ZERONE.
  • In the process of ZERONE’s development path, technological iterations have been used to promote the development of the entire platform. In 2023, it will iterate the oracle protocol under its own ecology, and plan to launch its own stable currency protocol in 2024.
  • Part of ZERONE’s product experience is poorer than that of CEX products. This also involves product logic and complexity issues. For example, the problem of pre-empting oracle machines must be balanced by sacrificing UX.
  • The core logic of the product is that the liquidity of the global LP pool and trader bet against each other, and the global LP pool is created by pledgers such as ecological project parties/traders/ZRO, which can be understood as Token pledgers investing in shares to open a A casino provides a variety of "lower-level services" and charges fees, and the benefits are shared and the losses are shared. In the most ideal state, most of the users of the products form a hedge against each other.
  • Due to the upward trend of the market, Token pledgers as a whole can hedge the risk of rising debt pools through the increase of Token, and because of the diversity and composability of the product matrix, they can capture more diversified values.
  • The ZERONE hybrid contract transaction agreement is more inclined to reward ZRO tokens for community contributors. The ZERONE platform does not have private placements/public placements. The circulation of platform governance coins will be market circulation through the reward mechanism.
  • The Token market circulation form of each ecological project party will change, and everyone can operate the protocol on the chain independently. Going to Uni is to solve the transaction problem of market project tokens but not solve the pain points of market projects, and the ZERONE mixed contract is to solve project development Pain points in the path, the market demand is higher.
  • ZERONE V2 will bring a more modular underlying mechanism in terms of architecture, support multi-collateral mortgages, and differentiated debt pools. Contract traders' trading profit and loss, multi-position management, diversified platform gameplay, etc.; but also due to the complexity of v2 and a large amount of code work, the overall progress is advancing, and it is currently expected to be launched in 2024.

Financial derivatives: It is a form of financial circulation other than spot transactions According to the report of the Market Investment Research Department, Zerone aims to be the Nasdaq of the blockchain industry. It will include all tokens of the entire CEX trading platform and DEX trading platform, and use the market value tokens of centralized trading platforms such as Binance 1000/Coinbase 800/OKyi 500/Huobi 800 to conduct contract transactions of mainstream currencies. The market will Constantly adding new ways to play.

  1. The breadth and depth of the market, to prove whether the market has funds.
  2. The market development path and technology development status of the ecological party.
  3. A mixed contract trading platform for financial derivatives.
  4. The necessity of ecological participation, subjective participation and passive acceptance.
  5. Token value-added logic, business value.

The width and depth of the market, which proves whether the market has funds .

The overall market value of the blockchain is currently around 800 billion U.S. dollars, and it will reach a peak of 4 trillion U.S. dollars in 2021. The incremental turnover of the market has increased the financial circulation of the entire blockchain market to 40 trillion U.S. dollars. In the overall market circulation, nearly 60% of the overall circulation is generated in the form of derivatives contract transactions, with a circulation market volume of nearly 25 trillion US dollars, while the domestic A-share market has traded in 21 years The circulation is also in the trading market volume of 36 trillion US dollars. We can see that the overall blockchain market will show exponential growth after 2023, and the depth and width of the market will also bring about unprecedented qualitative changes in the original volume.

The market development path and technology development status of the ecological party.

Looking back at the market ecology in the past few years, we can see the public chain series starting from the technical side, smart contracts, cross-chain bridge technology, compatibility and scalability, etc. The IPFS series triggered from the storage side includes the chain game section and the NFT data collection section on the user consensus ecological side. The degree of excitement at the front end of the market varies with the market, but the technical support at the back end of the market is accumulated over time, and the bottom layer of the market ecology is built around it.

From the perspective of the development path of the entire market, the concept of the front end, the technology of the back end, and the financial development of the timeline are all indispensable links, and the financial sector of the ecological side will be formulated and participated in with the ecological token. We It can be seen that many mainstream ecological tokens and conceptual tokens are circulating in the same market, forming a phenomenon of unevenness. The conditions for spot circulation in the DEX platform are its standardized review process and high capital costs , if its ecological token wants to open its contract transactions, the conditions will be more stringent. In the decentralized section, our investment research department invested in the market and researched a contract trading pair that only needs to establish a Swap to open mainstream currencies like Uniswap/Pancake. This will be a great benefit to the entire blockchain contract market. A subversive and fully capable of leading the general direction of the entire decentralized contract trading market.

In the past 2022, we have seen many financial derivatives trading platforms gradually being favored by the capital market. In the first half of the year, the data collection in the NFT field set off a wave, and the subsequent rise of the concept of web3 also injected new energy into the market. It’s a fresh pulse, but looking at the financing overview of the entire capital market, we can still find clues. The layout of capital is still biased towards the basic financial facilities of the blockchain (financial derivatives sector). The market ecology side needs to increase the logic of the financial attributes of the entire ecology, and the financial derivatives on the market side just make up for this.

The necessity of ecological participation, subjective participation and passive acceptance.

As a contributor to the entire blockchain industry, the ecological builders in the industry will be an indispensable part. In the entire planning process of the ecological project, the role of the ecological value token will be particularly important. It will be an inevitable trend to promote the healthy development of the entire ecology through the market. The only way to go. In the development path of each cycle, the circulation method of ecological Token will be a very critical step, and a lot of financial assistance has been added to ecological Token from the spot and contract trading forms of CEX. With the appearance of DEX on the stage, the threshold of the corresponding spot circulation method has been reduced to 0, which also makes the general trend of industry development seen by the ecological builders. In the development of the ecological side, the first one is the head of DEX In it, Uniswap/Pancake builds its own spot transaction pair, which serves as the central hub for the friendly exchange and circulation of its own ecological users.

However, there has not yet been any platform for contract trading. According to the market investment and research department, the trading platform of financial derivatives mixed contracts just solved such a problem, allowing all ecological construction parties to develop and plan the path of ecological Token In the process, the first step is to go to Uniswap/Pancake to build your own spot trading pair and go to Zerone to build your own contract trading pair. In Uniswap/Pancake/Zerone, anyone can build a pool, and the income from transaction fees of the entire pool will depend on the first pool builder. Therefore, in the investment and research sector of the entire industry, information will more accurately convey the overview and trends of new financial derivatives platforms in the industry.

Token value-added logic, business value.

The commercial value of the financial derivatives trading platform is to increase the diversification of the circulation forms of Token in the market, and to help the value-added value of the ecological Token of each ecological construction party.

A hybrid contract trading platform for financial derivatives According to the data from the Market Investment Research Department, Zerone is a hybrid contract trading platform for financial derivatives, and the "hybrid contract" within the entire platform is a decentralized asset trading function launched by the ZERONE protocol. Users use the assets they hold as transactions. Chips are traded with reference to the quotes from the decentralized oracle machine, and the counterparty is the asset pool corresponding to the assets held by the user, which meets the needs of spot users for contract transactions. The agreement supports any asset as a trading chip to participate in investment, and also supports mainstream assets to become investment targets. The agreement has built a virtual currency trading market, a legal currency trading market, a bulk commodity trading market, a precious metal trading market, a stock/stock index trading market, etc., to meet the different investment and trading needs of users.

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Mr Alex Yung®
Mr Alex Yung®

Written by Mr Alex Yung®

•Blockchain & Web3 Experience •CM / •MOD / •Ambassador. EN- AF 🇱🇷 - 🇳🇬 •Creator Content / •Article / •Video •DYOR

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