We've already received a lot of great entries for the #deficonnected hackathon

In case you're still looking for inspiration, I've put together a wishlist of ideas that no one is yet building on Terra (as far as I know)

Thread 👇
(1)Terra name service (TNS)

Human readable names for the Terra network associated to Terra addresses. Essential infra for mainstream adoption

(2) Terra Push Notifications

Allowing push notifications to Terra wallet addresses

(3) Etherscan for Terra - Self explanatory
(4) Data infrastructure on Terra - Making it easy to query data from the Terra blockchain and major dApps (Terraswap, @mirror_protocol , @anchor_protocol ) and create dashboards. Think Graph Protocol / Dune Analytics for Terra
(5) Ideas around interest rate delegation (agora.terra.money/t/value-exchan…)

Allowing users to delegate yield to pay for services / invest into projects. For example, users could delegate part of their @anchor_protocol yield to pay for their @Delphi_Digital subscription
(6) mAsset perps/leveraged trading

Allowing users to take leveraged position on mAssets and other Terra assets. Both perpetuals or margin based architectures could work here
(7) Interest rate swaps

Allowing users to sell unrealised yield and speculate on the direction of interest rates. This could be built on Mirror / Anchor to start with and extended as more yields become available
(8) Portfolio management

Allowing users to easily view and manage their portfolio across different Terra wallets. As part of this, it'd also be cool for users to tag wallets they can follow similar to @nansen_ai 's token God mode
(9) DAO Infrastructure

Build governance infrastructure such as Snapshot, Gnosis multi-sig type solutions and other more advanced infra that doesn't yet exist on Ethereum like committee voting a la @joincolony / @OrcaProtocol
Obviously, many of these will take longer than a hackathon to build

Both @Delphi_Digital and @IDEOVC are interested in providing long-term funding / support to strong teams tackling these problems

HMU if you want to discuss these or any other ideas. DMs are open

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More from @ZeMariaMacedo

13 Apr
Crypto is a liquidity blackhole

Everyone I introduce to the space starts off with 0-10% of their net worth invested and ends up with >50%. Even their cash moves to stables

Other than aggressive regulation, I don’t see anything TradFi can do to reverse this trend
TradFi is a government sanctioned monopoly where:

- one entity (central bank) mints the cash
- a few government licensed entities (banks) intermediate the way this cash is distributed to individuals

Like all monopolies, it’s structurally inefficient
TradFi:

- Highest “risk-free” yield available to most people is <1%
- Riddled with frictions like KYC/AML, awful bank UXs and general lack of innovation
- Your money is custodied by bankrupt banks and seizable by insolvent governments
- Opaque
Read 7 tweets
30 Dec 20
On November 10th, @Delphi_Digital put forth a proposal for to fundamentally revise @AaveAave's current token architecture

We received incredible feedback from the community and are thrilled to present V2 of our proposal which incorporates much of this insight

Thread👇
1/ Before diving into our proposal it's important to understand how the current Aave Safety Module (SM) works

The SM is an insurance product which underwrites all risks (SC, oracle and liquidation) for all users of Aave protocol

As an insurance product, it has a few flaws
2/ Because insurance is bundled in with Aave's money markets, it's impossible to compute cover demand, pricing, capacity or how much to pay underwriters

Any new money market added is also automatically insured by the SM, introducing unlimited contagion and systemic risk
Read 15 tweets
16 Dec 20
Crypto investing is hard.

In yesterday's daily, I covered the framework I use to analyse crypto investment opportunities

I then use this framework to show why I believe decentralised insurance as a sector is relatively undervalued compared to the DEX sector

Thread

👇
1/ Unlike traditional investors, investors in the crypto space must analyse and underwrite a series of stacked risks when investing in projects
2/

👉 Will the project create value and attract users?

👉 Will the project be able to capture value from those users and establish a long-term, defensible moat?

👉 Will the value captured accrue to the token?
Read 26 tweets
7 Dec 20
Following the launch of @AaveAave v2, an ARC has been posted to gather feedback around proposed Safety Module design. This includes:

👉 Slashing
👉 Incentives for stakers
👉 BPT staking

For his first daily, our new analyst @JonathanErlichL discusses these changes

Thread

👇
Slashing and staking incentives are essential parts of the SM and we didn't spend much time on these

Instead, we focus on the more controversial point of introducing allowing SM stakers to stake 80/20 $AAVE / $ETH pool BPT tokens in addition to $AAVE
We argue this is a necessary change, breaking the vicious cycle that can emerge as a result of Shortfall Events

Price falls --> Traders try to front-run $AAVE auction / mint --> Price declines more --> auction/mint gets more expensive Image
Read 9 tweets
27 Nov 20
1/9 I believe most DeFi credit protocols like will end up creating their own insurance pool underwritten by tokenholders. Why?

🔸Gives governors skin in the game and an incentive to make good decisions
🔸Better product for users who want insurance as they deposit
2/9

🔸Transforms idle market cap into balance sheet, generating fees
🔸Risks can be bundled into products and offered to users based on their particular preferences
3/9 While we believe this makes a lot of sense as a token model, we don't think it is competitive but rather complementary to @NexusMutual

This is because insurance relies on leverage to be efficient and leverage requires diversified, uncorrelated risk exposures
Read 9 tweets
20 Nov 20
1/ Today, after 1 month of working closely with the @AragonProject team and community, our proposal to buyout $ANJ holders who lock their converted $ANT for 12 months was voted in at a conversion price of 0.044ANT/ANJ ($0.138 at current prices) Image
2/ This represents an excellent outcome for $ANJ holders who only 8 weeks ago were being forced to sell at 0.015 ANT ($0.05 at current prices)

The price of $ANJ has already reacted, up over 100% in the hours since the vote Image
3/ While this process has had its share of hiccups along the way, we’re proud of $ANT holders for listening to the $ANJ community, paying a multiple that appropriately reflects the commitment made by $ANJ holders and the upside given up via merging into $ANT
Read 9 tweets

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