Broadly, there are two categories of Poolz users. One involves the Project Owners or Pool Creators, while Investors or Liquidity Providers (LP) comprise the other. In this section, we discuss available pool types, the user flows, pool states, and Poolz’s governance model.
Types of Pools
There will be two types of pools on the platform — Direct Sale Pools (DSP) and Time-Locked Pools (TLP).
- Direct Sale Pools (DSP): These are pools without any lock-in period, where investors get the token immediately after the swap.
- Time-Locked Pools (TLP): These pools have a predefined lock-in period and investors receive their swapped tokens only after the completion of this duration.
Pool Status
Any pool on the Poolz platform will have either of the following states at any given time. Based on the pool’s status (and, also type) the smart contract will transfer the liquidity and auctioning tokens to their recipients’ wallets.
- Created: the pool is exclusively available for $POOLZ token holders.
- Open: the pool is available for all Poolz users.
- Out of Stock: the predefined supply of auctioning tokens has been sold-out, but the pool’s duration has not ended. In the case of TLP, tokens will be locked for the remaining duration.
- Finished: the pool has reached the end of its stipulated duration. Both for DSP and TLP, the leftover tokens are returned to the PO’s wallet at this point. Investors, on the other hand, get their tokens purchased (swapped) through TLP.
- Closed: the pool is complete and tokens have been duly disbursed.
Project Owner’s Flow
Supported Blockchains & Wallet:
Upon onboarding, project owners first need to select the blockchain protocol relevant to their project, as well as a cryptocurrency wallet.
In the MVP stage, Poolz supports projects based on Ethereum and the MetaMask wallet.
In the future, the platform will support other blockchain ecosystems. Moreover, users will be able to integrate wallets like WalletConnect, Coinbase Wallet, Fortmatic, Portis, as well as other non-ERC20 wallets.
Pool Creation
Project owners can initiate a pool by clicking on the ‘Create a Pool’ button. Since Poolz follows a strict non-intervention policy, project owners or POs need to specify the following parameters:
- The token address (contract), containing information about its name and ticker. In the MVP phase, Poolz supports ERC-20 tokens. In the near future, the platform will integrate non-fungible ERC721 tokens, as well as other cross-chain standards and functionalities.
- The total supply of tokens available for the particular auction or pool.
- The asset for payments or inbound pool contributions. In the MVP phase, POs have the option to pair their tokens with ETH or DAI or both. In the future, more swapping pairs will be available as Poolz integrates other blockchain protocols.
- The swapping ratio — that is, the auctioned token’s price in relation to the chosen liquidity asset. As an incentive for Poolz (POZ) token holders, POs will have to specify the percentage discount (say, X% of the ETH price).
- The total duration of the pool, as well as whether it will be a Direct Sale Pool or a Time-Locked Pool. The creator also specifies the time frame (T% of total duration) for which the pool will be open exclusively for $POOLZ token holders.
Transaction
After filling the details, POs need to click on the ‘Start’ button to register their pool on the Ethereum blockchain (eventually, on other blockchains relevant to their project). This will also initiate the following transactions from the chosen wallet:
- The previously specified supply of auctioning tokens will be transferred to a Hashed Timelock Contract (HTLC), where it’ll be escrowed for the total pool duration.
- The Gas fee for anchoring the pool and updating its data on Ethereum. The code architecture of the Poolz smart contract ensure around 85% less gas fee for project owners, as compared to the existing market standards.
Fees
Project owners will pay two categories of fees, to be used for the development and maintenance of the platform. For the share of auctioning tokens reserved for $POOLZ holders, the fee will be 0.15% of the total liquidity generated. For the rest, it will be 0.2% of the total liquidity raised. In the future, governance can take a vote to change the fees percentages.
Liquidity Provider or Investor’s Flow
Pool Selection
Poolz has a marketplace-like UI, where liquidity providers or LPs will be able to browse all pools hosted on the platform — past, ongoing, and upcoming. At this stage, they will have preliminary access to the following information about the pools:
- Opening Time: when the pool becomes available. If the LP isn’t an eligible $POOLZ owner, an on-screen message will specify the time when the pool becomes available for non-$POOLZ holders.
- Closing Time: the end-time for the pool’s duration.
- Time Left: remaining time available.
- Token Name: the name of the auctioning token, as specified by the PO.
- Payment Method: ETH/DAI or both, as specified by the PO.
- Swapping Ratio: the conversion rate specified by the PO.
- Status: the present status of the pool.
Supported Blockchains & Wallets: Although LPs can browse the above information, to participate in the pools they have select a blockchain ecosystem of their choice and connect a relevant wallet. In this regard, they will have the same choices as project owners.
Joining the Chosen Auction
Once this is done, the LP can click on the ‘Join’ button for their chosen pool. In the setup interface, they need to input either the amount of auctioning tokens that they want to buy or how much ETH/DAI they want to invest.
Whichever is the LP’s input, Poolz’s algorithm will automatically calculate the corresponding values based on the pool’s data.
Pools Benefits for $POOLZ Token Holders
swapping rewards:
Liquidity providers get swapping rewards for participating on the Poolz network, in proportion to their contribution and the total liquidity deposited over the current week. Swapping rewards on the platform will be calculated and disbursed every 4 hour and in weekly cycles. However, this can be altered by governance in the future.
Mechanism: Suppose, LP (A) contributes to Pool (1) in the first 4-hour slot of Day(1) — Week(1). Now, if LP (A) is the only investor during this period, he/she get 100% of the swapping reward for that slot. Then, say, on the third 4-hour slot of Day (2) — Week(1), LP (A) would still be eligible for swapping rewards, but in proportion to the total liquidity deposited in the meanwhile. Likewise, LP (A) continues to get some reward for the remaining week.
- Access to exclusive pools: As already mentioned, every pool on the platform is limited to $POOLZ token holders for an initial duration after its launch.
- Access to better swap ratios: Exclusive pools also offer special discounts for $POOLZ token holders, thus enhancing the possible returns for liquidity miners.
To keep updated on our progress, follow us at:
Telegram: https://t.me/PoolzOfficialCommunity
Telegram Announcements: https://t.me/Poolz_Announcements
Twitter: https://twitter.com/Poolz__
Website: https://www.poolz.finance/
Github: https://github.com/The-Poolz
Our live code on Discord: https://discord.gg/xwtWw4sGPp
E-mail: Hello@poolz.finance
Contact: Liam Cohen, CMO- Liam@poolz.finance
