Trade to earn - DiBs
DiBs is the offchain Trade to earn engine, powered by MUON
Last updated
DiBs is the offchain Trade to earn engine, powered by MUON
Last updated
Based Markets utilizes the innovative DiBs protocol, an offchain trustless referral/trade-to-earn system. Developed in collaboration with Symm, Thena, and MUON, DiBs is a groundbreaking protocol offering a decentralized and permissionless plug-and-play referral, trade to earn or leaderboard solutions.
Utilized by Thena.fi for over 8 months, DiBs has significantly impacted the daily trading volume, multiplying it several times over, and attracting substantial attention from the broader crypto community, including recognition from CZ Binance. Designed to serve as a referral system with Thena, where it has generated half a billion volume via its Trade to Earn program.
Specific statistics showcase the protocol's effectiveness:
On July 6th, around $386,802,985 in volume was generated on Thena through DiBs.
The total DiBs volume on Thena is currently $480m, contributing significantly to their $1.3B total accumulated volume since launch.
DiBs has been responsible for up to 80% of daily volume on certain days, and on average, no less than 30%.
Unlike Thena's multi-level referral system, based.markets will utilize DiBs in a unique manner, with the volume directly attributed to the wallet that generated it, without referrals. This ensures a 100% transparent and direct benefit to the traders.
Through this strategic partnership, Based Markets sets the stage for a new era in decentralized trading, where participants are rewarded not just through trading gains but also through a transparent and efficient trade-to-earn mechanism.
Based Markets leverages the DiBs protocol, operating atop the Muon system, to create a unique "trade to earn" offchain infrastructure. In this environment, DiBs uses Muon offchain technology to generate daily signatures for users, thereby determining their trading volume and corresponding rewards.
User Activity: Traders, such as Alice, engage in daily trading on based markets. The volume they generate is recorded offchain.
Signature Generation: Using Muon's offchain technology, DiBs generates daily signatures, unique to each user, based on their trading volume.
Comparison: The signatures inform the onchain contract of each user's trading volume in comparison to the total volume of the day.
Let's consider a scenario where Alice has been actively trading on based markets. Here's how the process unfolds:
Alice trades and generates a daily volume of $100,000 notional.
The total trading volume for that day on based markets is $1,000,000 notional.
Alice visits the based.markets website and navigates to the "Trade to Earn" page.
She connects her wallet and finds that she generated $100,000 out of the total $1,000,000, which represents 10% of the daily volume.
Connection to DiBs Offchain System: Alice connects to the DiBs offchain system, using Muon technology.
Secure Threshold Signature: Muon generates a secure threshold signature for Alice, which she then sends to the DiBs onchain contract.
Claiming Rewards: The DiBs onchain contract, now informed that Alice was responsible for 10% of the daily volume, enables her to claim 10% of the daily rewards.
Transparency: The process ensures that every trader's contribution is clearly recorded and rewards are allocated fairly.
Security: Leveraging Muon's offchain technology ensures that the data remains secure and tamper-proof.
Efficiency: Offchain calculations minimize the onchain load, leading to faster transactions and lower costs.
Incentivization: Encourages active trading by rewarding users according to their daily trading volume.
The DiBs protocol, in conjunction with Muon offchain technology, plays a vital role in based markets, enhancing trading experience and creating a fair, secure, and efficient system. By actively engaging in the market, traders can not only profit from their trades but also earn additional rewards.