XCarnival community will replay the AMA live on July 6th.All answers you want are here!
CEO Leon Liu:
Founder of Australia’s first blockchain fund with full compliance. COO of Australia’s largest cross-border payment finance company. Founder of the largest BSC Chinese community-BroLeon with over 50K members.
CMO:Vivi Lin
Global media personality, crypto influencer and marketing expert. Well-known Innovation advisor between Silicon Valley and China.
Global media personality, crypto influencer and marketing expert. Well-known Innovation advisor between Silicon Valley and China.
AMA review:
Vivi:
Hello everyone!!!
Welcome to XCarnival’s first internal AMA at the XCarnival Community, exclusively for our community members.
Our community has now grown to over 40,000 friends in the past week, thank you so much for your support and interests. Welcome to join the XCarnival family.
Today we have the founder of XCarnival, Leon Liu, joining us from Australia, to share his stories and information on the project. You could ask him ANYTHING, that’s what AMA is about, and I will be the moderator.
Let’s start exploring the synthetic and defi space with Leon.
Ok, Leon, would you like to introduce yourself and tell us how you started out in the crypto space and what led you to the idea of XCarnival?
Leon:
Sure, Hi Everyone
Thank you Vivi for the question. I am Leon, founder of XCarnival, and I live in Melbourne, Australia, and started working in the blockchain industry in 2016.
I used to be a partner of Australia’s largest blockchain group (BGL) and founded Australia’s first compliant and licensed blockchain fund.
In addition, I am also a senior miner and once ranked in the top 80 in the global Defi Degen test of Atomic.blue.
Furthermore, I am also one of the largest Chinese influencers in the BSC ecosystem, with a community of more than 50,000 people.
I started to have the idea of XCarnival when I encountered some difficulties mining current Synthetic projects.
Especially for Synthetix, the difficulty of getting started is very high for me despite being an experienced miner. At the same time, I also hope to learn more about what Synthetic Assets can do besides synthesizing U.S. stocks or predicting currency prices.
I did a lot of research, and finally an article by Hart Lambur, the founder of UMA, inspired me.
Why not try challenging the most interesting part of synthetic assets: creating financial products that do not exist in traditional finance, and empower the general public to create them.
Vivi:
wow that’s Impressive, so could you tell us a little bit more about what XCarnival is trying to achieve in this domain?
Leon:
Let me explain a bit more what synthetic assets are.
By using some assets as collateral to create tokenized digital assets that are freely tradeable, you can make a synthetic asset for ANYTHING.
A synthetic asset is a combination of assets that has the same value as another underlying asset.
Investors can obtain income by trading their corresponding synthetic assets without actually owning an asset. In theory, you can synthesize the tokens of any asset in the world and bet on changes in its price or quantity.
What XCarnival wants to do in this field is to popularize this esoteric-sounding concept to the general public, so that anyone can use this feature to create a variety of interesting synthetic assets and invest in benefits.
ViVi:
got it, so XCarnival is trying to bring synthetic assets to more people, let more people benefit from the defi space, be part of the innovation!
We know that the synthetic assets market is concentrated in the hands of large-scale DeFi investors.
Apart from incentivized participation, how does XCarnival aim to make this market more inclusive for users with all levels of experience, like most of our friends here?
Leon:
the current leaders of synthetic assets pay more attention to high-end users, where high-end refers to users with better financial knowledge, technical capabilities, and financial strength.
For example, synthetics not only prohibits small investors by charging high transaction fees, but also requires users to learn and understand a lot of new terms and gain knowledge.
Many people in the XCarnival team found this pain point in their experience and started to have the idea of creating easier-to-use synthetic assets.
So from the beginning, the team took “creating products that more people can easily use” as an important part of our Vision.
In fact, XCarnival does not require users to understand what a synthetic asset is. You only need to know that there are many interesting markets to invest in.
It’s a bit like playing games on XBox. Players don’t need to know the principles of game making, just look for games that they find fun, and then play… that’s it.
Of course, if you find that you don’t find something you like, you can also try to spend a little money and use a template to quickly create a game that you think is fun. If this game grows popular, congratulations, you can also make a good return. What XCarnival is trying to do is to simplify the creation process, ideally within 20 minutes.
Vivi:
really looking forward to having more people in the space, enjoy the games through XCarnival! 🙂
Like you mentioned earlier, with synthetic tokens as decentralized stores of value, we are seeing traditional investment products brought onto the blockchain.
What’s the progress on that front and when do you think we can see this become mainstream?
What’s the latest with XCarnival?
Leon:
The key to this question is how to define ‘mainstream’. If ‘mainstream’ here refers to outsiders who don’t know blockchain, such as the neighbor John, then I don’t think it is far away anymore.
The adoption of synthetic assets by mainstream investment institutions will be slower and more difficult because of the more compliance requirements involved.)
Take for example the synthetic assets protocol Mirror. Now we no longer need to open an account in US stocks, and can invest in some US stock tokens without Broker. This is very attractive to investors in many countries, such as China, because people are not yet able to freely invest in US stocks.
But the difficulty lies in how to open up the channel of fiat investment and withdrawal, and how to let users skip a series of technical barriers such as setting up a wallet and entering contract addresses. In this field, NBATopshot has made a very good example, which is also an example that the XCarnival team is referencing.
If the mainstream market (individual outsiders and mainstream financial institutions) begins to invest through synthetic assets, it will have a huge impact on the DeFi and crypto world, no less than the allocation of BTC by U.S. listed companies this year.
Because this means that a huge amount of fresh blood will flow into the crypto world from traditional finance, and a large amount of investment demand that is now suppressed by various regulations will be stimulated.
And because DeFi and blockchain have greatly improved the operating efficiency of financial products and reduced the operating costs of traditional financial institutions, the release of this productivity will bring a huge wealth effect, benefiting every link in the entire industry.
For XCarnival, we keep building regardless of what the markets look like. As you might have known, we’ve won the Binance Smart Chain’s Hackathon as champion for Southeast Asia.
We just listed on CoinMarketCap last week, and have grown our community to over 40,000 people in a week.
On the back of all these, we are building and developing awesome products that will meet people’s needs.
Our first product XBroker, which is to provide NFT pledging and lending services, is ready for testing. We will invite active community members on the whitelist to do the tests with us, probably in the next one or two weeks.
We will announce the details on our twitter and medium, please stay tuned!
Vivi:
That’s super cool!!! so XCarnival family, listen up, please stay tuned with our twitter and Telegram group, as you don’t want to miss the chance to be the first ones to test the products and get on the white-list 😋
Let’s continue the conversation.
Since you mentioned NFT and the product XBroker — what are the challenges you are facing regarding the development of the liquidation mechanism?
Leon:
XBroker is the first function we gonna lanuch and will try to solve a big problm of current market.
NFT lending market.
This market now faces two major challenges:
1.How to price the pledged an NFT
2. How to perform liquidation when the market fluctuates sharply
it’s not synthetic assets but it’s related to the liquity may come to XCarinval in long run.
NFT is a collateral with relatively poor liquidity, which means that its value depends more on the expectations and value evaluation of both buyers and sellers at the time of the transaction, which is very similar to the art market.
So you can see that artworks are often auctioned to determine their prices. Therefore, in XCarinval’s view, how much an NFT is worth and how much money can be borrowed should be determined by buyers who really understand or are willing to bid for this NFT.
In other words, the person who lends money should be prepared to buy the NFT at this price.
This is why XCarnival has created a peer-to-peer platform, allowing the pledger and the fund lender to negotiate and finally reach an agreement. Every NFT may be different, and it is unreasonable and unrealistic for a platform to judge the value of NFT.
As for the second question, XCarnival refers to the rules of the traditional pawn industry and will not consider the liquidation of NFTs when the market fluctuates sharply. It just takes time as the only liquidation condition.
If the time is up, the pledger does not repay the money on time, then the NFT will be directly auctioned by the platform. If the auction price exceeds the loaned funds, the funds will be handed over to the debit side. If the auction fails, the NFT will be transferred to the debit side.
Vivi:
Thats indeed a very smart design！
You mentioned the auction liquidation mechanism, could you tell us more about it?
Leon:
XCarnival has innovatively introduced a third party platform to bridge the gap between NFT mortgage lenders and money lenders who really know what they are doing. It can be understood as Taobao/Alipay, which plays an escrow role.
XBroker module is the Taobao platform — if you mortgage a NFT want to borrow relatively reasonable funds, someone will be willing to lend you money; but if you do not pay back the money and interest in a timely manner as agreed, then when the time comes the platform will auto matically put your mortgage NFT for auction, if the money sold exceeds the money lent, then the person who lent you the money makes a profit, if the auction is aborted, your mortgage NFT will go to the lender of funds.
I believe that our function will be promising in the subsequent NFT boom.
ViVi:
XArena is built on gamifying synthetic assets and a create-to-earn model.
Where do you see the world of blockchain gaming in the coming years?
How big a part will gamified NFTs and the concepts like that of XArena play?
Leon:
The team is adjusting the description of XArena. In fact, we use synthetic asset tokens to let everyone participate in investments with a gambling nature, rather than simply betting on big and small.
XArena is to provide you with an opportunity to track various interesting assets and participate in investment opportunities.
But XArena will be released after XBroker and Megabox
So currently I think the lending functions will be more shining at the beginning stage.
Megabox is focus on providing liquidity for Altcoins, Xbroker is focus on NFT.
Both of these two functions are unique on BSC right now.
ViVi:
Got it, there are different products at different stages
please stay tuned and join our program, not only you will get rewards in XCV (our tokens), it is a meaningful thing to do, as you are making history as part of the innovation force!
