Amirhossein, [May 13, 2022 at 9:45:04 AM (May 13, 2022 at 9:52:57 AM)]:
Gambleswap is a course project for some of the students of the University of British Columbia. The first version of Gambleswap introduces a decentralized exchange empowered by a gambling game for liquidity providers and a lending platform to enable everyone to participate in the gambling game. The total supply of GMB tokens is managed by minting new tokens for liquidity providers of certain pairs and burning tokens in the gambling events. The primary goal of the gambling component is to motivate more people to inject liquidity in Gambleswap and increase the financial efficiency of the protocol.
What it does
It’s a decentrilized exchange market in which liquidity providers be rewarded a specific token called GMB. With this GMB token, users can participate in a gambling round of game. The more they put GMB tokens, the more they have a chance to win the Jackpot. As well as GMB Tokens, users must have LP tokens (being a liquidity provider) for participation. However, Gambleswap introduces a lending protocol in which liquidity providers can lend their LP tokens and reward GMB in return, and users without having LP tokens can borrow LP with the lending mechanism.
How we built it
Gambleswap-core (smart contracts) has been built with Solidity programming language. Also, the frontend part has been with the ReactJs framework.
Challenges we ran into
1- How to make a mechanism to increase participation based on the participants in the previous round by modifying the chance of winning 2- How to encourage users who do not provide liquidity to participate 3- How to keep the value of the GMB token, how to mint and how to burn it 4- The future work we want to add to the system 5- How to encourage users with few GMB tokens to participate
Accomplishments that we're proud of
1- The user experience of using the system 2- Encourage users to provide liquidity in the Gambleswap pools 3- Balancing participants in each round by modifying the winning chance based on the number of previous round's participants 4- Increase the price of the GMB token and keep its value
What we learned
The Game Theory aspects of making a Decentralized Blockchain Application as well as the programming and theoretical part of it; Indeed, how to keep the market value of a token and encourage users to use our system. Furthermore, how to satisfy users by the user experience we present them in our application, and how to implement the code in the most optimized way
What's next for Gambleswap
The next step for Gambleswap is to serve $GMB as a means of governance over the Gambleswap ecoosystem. It will push the project to fully decentralization and the community may vote and decide on proposals and system parameters.
Different Price Lending Pools In the current version, every lending pool has a fixed borrowing interest rate. This fixed number will be changed to a more meaningful one based on a price discovery method via an on-chain/off-chain oracle.
Adding Credit System A credit tracking system will be added to the gambling game. Users who show higher winning rate will be given a higher credit number. At the same time, showing low performance in gambling games would decrease the user's credit. This credit number can be utilized as the reward multiplier in Gambleswap's liquidity pools.
LP Tokens as financial positions After enabling the credit system for liquidity providers, the next interesting feature would be creating a derivative market to trade LP tokens as a financial position. Accordingly, Gambleswap will transform from simple ERC20 LP token model to ERC721 standard.
More Sophisticated Types of Game For future versions, instead of using block hash and pseudo-random numbers to determine the winner, participants may choose to bet on the result of a real-world event such as the future price of an asset, or the result of a football match. This needs Gambleswap to integrate with oracle dApps.
Subscription and Stake Delegation By introducing real-world gambling games, people who show high performance can rent their strategy to others. In other words, asset holders can delegate their $GMB to experts and share the profit with them.