The Crescent Ethos

  • Securing a cross-chain collateralization protocol for users to effectively manage risks of their portfolio
  • An incentive structure designed to optimize capital-efficiency and quality of liquidity
  • Prioritize security when handling exchanges of bridged assets
  • No trading fees until a reasonable, justified cause is presented
  • Front-running and validator extractable value (VEV)
  • Attack vectors that exploit LP or market makers
  • Participation by market-makers, regardless of scale
  • Attraction of frequent traders, market makers and arbitrageurs
  • An optimized trading fee distribution plan in the future for LP, market making, and CRE staking rewards
  • The bridge protocol must have potential for large ecosystem involvement with Crescent and maintain a significant TVL
  • Bridge with more generalized architecture with potential capability for expanded interchain functionalities
  • Implement permission-less market making participation for a diversified and resilient orderbook liquidity providing
  • Incentivize different target pairs among LP and MM to fully utilize advantages of each methodology:
  • LP: Larger incentives for coin pairs unhedgeable via CEX or large DEX
  • MM: Larger incentives for coin pairs hedgeable via CEX or large DEX
  • LP incentives focused on: LP in a bCRE pool / large ecosystem coins / interest baring coins
  • The number can be increased by no more than 2 per month if no performance issues exist on the network
  • All validators are advised to operate its nodes in the selected region to secure performance and expectable latency conditions for Crescent DEX users
  • The region of the validator infrastructure can be changed if significant obstacles arise in the selected region
  • Liquid staking validator group is managed by community governance process
  • The validator’s performance and potential contribution to Crescent Network must be provided and addition must be agreed on by governance
  • Commission rate set differently than the commission rate decided by signal governance
  • Statistical evidence of VEV(validator extractable value)
  • Slash proportion of delegations towards the validator
  • Tombstone the validator
  • Governance voting parameters are maximized to include users with bCRE in their DeFi positions

--

--

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store