Q3 Wrap Up + Quarter 4 Overview


NO INVESTMENT, FINANCIAL, OR LEGAL ADVICE: The contents and information contained in this document are for informational purposes only, and should not be construed as legal, tax, investment, financial, or other advice. Nothing contained in this document constitutes a solicitation, recommendation, endorsement, or offer to buy or sell any securities or other financial instruments in any jurisdiction. FLX is the native utility token of Flux Protocol. The purchase of FLX does not constitute an investment contract.

Throughout Q3, our focus was centered on finalizing research for Version 2.0 of Flux. During NEARCon in Lisbon, live on the Doomslug stage, Jasper announced the design and mechanics for Version 2.0.

  • For those a bit out of the loop, a quick breakdown of Flux Version Two:

    • Flux Version Two, is a private shard built on the NEAR Blockchain. Flux will push the boundaries for interoperability and data availability in a multi-chain environment. Main-chain validators query data sources and provide data onto a main chain with economic guarantees. From here, sub-chain validators pass this verified data using the Flux bridging network to all integrated Layer One and Layer Twos. We have also designed a relayer network that provides a unique backstop mechanism to anchor data requests without trusting any external third party, further protecting use cases from attacks on the network or incorrect data feeds. Flux will have the ability to power any protocol on any Layer One or Two out of the box. The most groundbreaking innovation added to the future design of Flux is a new paradigm we have devised, Oracle Extractable Value (OEV). OEV opens a unique opportunity for MEV searches of any size by selling the right to execute transactions attached to the data responses. In short, Flux becomes a truly interoperable data layer delivering data and complex computation to any Layer One or Two simultaneously with economic guarantees. What does this mean for token holders:

      • Protocols and MEV searches burn Flux tokens to pay for data requests and block space on the Flux main-chain

      • Unique validator roles in combination with delegated staking provide flexibility of participation for multiple counterparts (token holders, contributors, and validator companies)

      • Validators earn inflationary rewards in FLX for securing the network in addition to a tip-fee market from MEV searchers

Oracle Extractable Value makes protocols more capital efficient. Allowing this fee market built around data requests, we let MEV searches do complex transactions, such as liquidations, in the same block that the protocol consumes price data

We launched the Bear Builders Podcast, a series where our head of content, Saniya, speaks with founders from different companies and protocols about building in the bear market.

In addition to these exciting updates, our ecosystem team is planning a large unveil of something exciting in early Q1 2023, but this is still a secret :shushing_face: :blush:

With the final research and design of Version 2.0 complete. Our team is now transitioning to building out Version 2.0 on Testnet. During Q4 we will be executing on a scope of testnet code-named Phase 0 that lays the foundational layer for the main chain of Flux.

The Phase 0 build-out will consist of the following elements:

  • Mainchain smart contract initial development

  • Consensus WASM Binary - full logic

  • Peer-to-Peer Node Setup

  • Smart Contract Peer-to-Peer Registry

    • NEAR build-out
  • Private Shard Testing on NEAR

  • Transaction and throughput testing

  • Version 2.0 Testnet Engine

    • Consensus VM
    • Memory testing
    • Storage parameter testing
  • Version 2.0 Testnet Gossip Protocol

  • Command Line Monitoring Tools

  • FLX Token Version 2.0 Economic Modeling

    • Inflation/Deflation Modeling
    • Protocol FLX Burn Modeling
    • Oracle Extractable Research Modeling
    • Token standard upgrade
    • Token migration contracts
    • Token migration interface
    • Rainbow Bridge Interoperability

Onwards :rocket: