From b9503fd0e999f9256048991ba7e1419b18cb53e9 Mon Sep 17 00:00:00 2001 From: Muhammad-Jibril Date: Thu, 19 Nov 2020 02:00:30 +0800 Subject: [PATCH] Update setheum.md Reverted to previous costs for M1 --- setheum.md | 6 +++--- 1 file changed, 3 insertions(+), 3 deletions(-) diff --git a/setheum.md b/setheum.md index eb201ec6252..43f6cdca041 100644 --- a/setheum.md +++ b/setheum.md @@ -123,19 +123,19 @@ The Setheum Network Milestone 1 will be a 6 week project, aims to deliver a runn * **Total Estimated Duration:** 6 Weeks * **Full-time equivalent (FTE):** 1.5 -* **Total Costs:** 1.5 BTC +* **Total Costs:** 1.1 BTC ### Milestone 1 - The SERP Modules * **Estimated Duration:** 6 Weeks * **FTE:** 1.5 -* **Costs:** 1.5 BTC +* **Costs:** 1.1 BTC | Number | Deliverable | Specification | | ------------- | ------------- | ------------- | | 0a. | License | Apache 2.0 | | 0b. | Testing Guide | The code will have proper unit-test coverage (e.g. 90%) to ensure functionality and robustness. In the guide we will describe how to run these tests | | 1. | Substrate module: `stp258` (0.3 BTC - 2 weeks)| We will Implement The STP258 (Setheum Tokenization Protocol to-fiat Module) Stablecoin Standard Module - 34 fiat currencies that can be spent on SettPay and are also represented in a basket token. The `stp258` module will fetch the prices of the fiat pegs of the `stp258` tokens / sett tokens and create stablecoins that are pegged to those fiat currencies and back the supply of the currencies by the `serp_tes`. The module will have a `basket_token` that will be pegged to a number of currencies. We will implement a `sett_swap` module that will utilize the `stp258` to offer atomic swap between `stp258` tokens. | -| 2. | Substrate module: `serp_tes` (0.8 BTC - 2 weeks) | We will Implement The SERP (Setheum Elastic Reserve Protocol) Token Elasticity Module: Designed to make cryptocurrencies that are backed by other cryptocurrencies with the PES (Price Elasticity of Supply) algorithm utilized for token elasticity of supply (TES) algorithm. The serp_tes module will bring the serp modules together to interact. It will compute the contraction and supply of `DNAR-SETT`, trade with the `serp_market`, mint and burn `DNAR_SETT` to and from the `serp_market` and the `settpay_serp`. There are 2 scenarios where the `serp_tes` comes into play, the contraction of `DNAR-SETT`, and the supply of `DNAR-SETT`. There are two scenarios that deal with both the contraction and the supply of `DNAR-SETT`, what happens when SETT dumps / bearish, and what happens when SETT pumps / bullish. When SETT pumps, the `serp_tes` does this: `price_cp` is the price of the `SETT` compared to the peg and `neg_sett` is returned when SETT is negative against the peg, and `change_in_price` is the change in price of `SETT` then for `elast`, `if stable_price < peg_price`, then execute `sett_mint`, `else if stable_price > peg_price`, then `dinar_mint`, `return elast`. `elast` is `p2 - p1`, `p2` is the current price while `p1` is the previous price in a given amount of time, lets say 6 seconds - the blocktime. The `serp_tes` does the same during contraction but in the opposite direction. | +| 2. | Substrate module: `serp_tes` (0.4 BTC - 2 weeks) | We will Implement The SERP (Setheum Elastic Reserve Protocol) Token Elasticity Module: Designed to make cryptocurrencies that are backed by other cryptocurrencies with the PES (Price Elasticity of Supply) algorithm utilized for token elasticity of supply (TES) algorithm. The serp_tes module will bring the serp modules together to interact. It will compute the contraction and supply of `DNAR-SETT`, trade with the `serp_market`, mint and burn `DNAR_SETT` to and from the `serp_market` and the `settpay_serp`. There are 2 scenarios where the `serp_tes` comes into play, the contraction of `DNAR-SETT`, and the supply of `DNAR-SETT`. There are two scenarios that deal with both the contraction and the supply of `DNAR-SETT`, what happens when SETT dumps / bearish, and what happens when SETT pumps / bullish. When SETT pumps, the `serp_tes` does this: `price_cp` is the price of the `SETT` compared to the peg and `neg_sett` is returned when SETT is negative against the peg, and `change_in_price` is the change in price of `SETT` then for `elast`, `if stable_price < peg_price`, then execute `sett_mint`, `else if stable_price > peg_price`, then `dinar_mint`, `return elast`. `elast` is `p2 - p1`, `p2` is the current price while `p1` is the previous price in a given amount of time, lets say 6 seconds - the blocktime. The `serp_tes` does the same during contraction but in the opposite direction. | | 3. | Substrate module: `serp_market` (0.4 BTC - 2 weeks) | We will Implement The SERP (Setheum Elastic Reserve Protocol) Token Elasticity Market Module: Designed to make contraction and supply with the validators. During `SETT` contraction, the `serp_tes` mints `DNAR` to the `serp_market` to buy back `SETT` from the `sett_stake` in return for `DNAR` to be staked for the validators, the `SETT` is then bought more valuable than it's market price, the `buying_price` is set through this: `buying_price = (market_price + (mint_rate * 2))`; so the buying price is the `market_price` of the `SETT` plus twice the percentage of `DNAR` minted, which is the change in price of `SETT`. So, if the `market_price` of `SETT` is $2.0 USD and the `mint_rate` is 10%, meaning 10% of `SETT` price needs to be raised back to the peg, then the `serp_market` buys back `SETT` from the validators at the price of $2.44 USD with `DNAR`, then `staking_rewards` reduce in proportion to the newly minted `DNAR`, in the case of our example the `staking_rewards` are contracted not by 20% of the staking rewards but by the `staking_reward` percentage `- (mint_rate x2)` which is - 0.44, therefore the `new_staking_reward` should be 29.56. And if you calculate it, when a nominator stakes $100 worth of `DNAR` then they get $15 of `DNAR` rewards and during `dinar_mint` they get more `DNAR` without losing `staking_rewards`, because the `staking_rewards` increase when `sett_mint` and decrease when `dinar_mint`. And the `trades` with `serp_market` buys from the validators with more value than the `market_price`. Later in the future we will let the validators get `jSETT` as a liquid incentive to stake more `SETT` for the `serp_market` to trade with, that also increases the price of `SETT`, which in turn increases minting which in turn increases discounts in `SettPay` and `DNAR` buyback from the validators which in turn still increases the price of both `DNAR` and `SETT`. ### Community engagement