The entire market is struggling with an integration bottle neck. Market Makers (MMs) run into integration hell when trying to provide liquidity to new projects. New projects are struggling to get liquidity and need to go through integration backlogs which cost time and money, while needing an in house team to ensure the scalability of API integrations for new protocols without order flow toxicity.
Usually both sides of a defi dapp run into problems:
Market Makers have to:
Spent resources on integrations. Wait to Quote for new Defi primitives due to huge backlogs. Discovery of new protocols is often manual not dynamic.
Dapps have to:
Experience Delay in liquidity provision. Chase a variety of Market Makers to make their protocols work. Dev time spent on integrations with Liquidity providers.
Unified On-chain API for Liquidity Provisioning Across DeFi Protocols
What it does
Convergence is Open Standard for MMs to provide liquidity for any project. Convergence coordinates liquidity between the providers and Dapps.
It is an RFQ solution that MMs need to integrate once and supply liquidity to Dapps It's the network with a unified API for new Dapps and DAOs to join the Convergence RFQ auctions Specialized metric such as on chain Volume Synchronized Probability of Informed Trading (VPIN) to calcualte order flow toxicity.
How we built it
Rust/ Reactjs / Continous feedback from market makers /Sweat and tears
Looking forward to an integration with ** Psyoptions , **Zetamarkets, and ** SPL Governance DAOS**.
Challenges we ran into
Atomic Swaps and pricing guarantees are some of the most fundamental problems in times of high volatility. Thankfully we were able to reach a technical decision on how to implement this properly.
Accomplishments that we're proud of
SPL Governance Integration to allow every DAO to do OTC transactions. Hopefully no more burning treasuries.
** Magnifying Glass Effect** On-demand liquidity provision (Dapps can become auctioneers and trigger auctions whenever they run into low liquidity situations) Access High yield opportunities (Market Makers can participate in any featured products through our dashboard) Access to new protocols (Be first to provide liquidity into any new Defi protocol)
What we learned
Ways to mitigate order flow toxicity, game theory mechanics for handling bad market makers actors.
What's next for Traders Guild - Convergence RFQ
We aim to be the RFQ defi primitive for every Dapp and DAO treasury. A network owned by its users for its users.