Today we have the chance to welcome LaDonnaUniservale from DeOrderBook, a fully decentralized optionality protocol built on Ethereum. Together with her, we will cover what DeOrderBook is about, who is the team behind it, how the idea came to life and what we can expect for the future. Let’s get started!
[SurferInvestor] Could you please summarize briefly what DeOrderBook is about?
[LaDonnaUniversale] DeOrderBook is an up-and-coming fully decentralized optionality protocol launching first on Ethereum with a yield-enhanced limit order use case for the Bitcoin market.
Above all, DOB is proud of the fact that the protocol is completely oracle-free: ensuring that users’ funds remain more secure than anywhere else in DeFi while also offering them the greatest opportunities for surviving any threat from market volatility.
[SurferInvestor] How does DeOrderBook work?
[LaDonnaUniversale] DeOrderBook’s innovative protocol design provides a secure and decentralized environment for users to earn yield and maximize capital efficiency. Through eliminating oracles, preventing single-point-of-failure risks and reducing losses from hacks: DeOrderBook aims to make surfing the waves of crypto’s volatility simple and fun for every DeFi user.
[LaDonnaUniversale] The DeOrderBook ecosystem revolves around four core token types – HODL, DOB, SNIPER, and BULLET – each with its own specific function. Users start by minting HODL tokens using supported cryptocurrencies, which they can use as collateral to back DeOrders (limit orders). DOB tokens are the native governance token of the platform and can be earned as placed DeOrders mature. These tokens can be locked back onto the platform for rewards in the form of revenue-sharing and BULLET tokens.
[LaDonnaUniversale] SNIPER tokens are options writer obligation tokens that are generated in tandem with BULLET tokens when placing a DeOrder. These tokens can be combined with matching BULLETs to unwind orders at any time before the expiry date. BULLET tokens are options right tokens that are generated in tandem with SNIPER tokens. They are awarded to eligible DOB lockers and can be used to exercise DeOrders. They are also tradable at the BULLET BAZAAR.
[LaDonnaUniversale] At launch, DeOrderBook supports two major tokens, $wBTC and $USDC. With DeOrderBook, users can keep accumulating wealth even while holding their cryptocurrencies in their wallets, thanks to the protocol’s real yield and maximum capital flexibility.
Here is a nice explanation video:
[SurferInvestor] What are the core strengths of the DeOrderBook protocol?
[LaDonnaUniversale] DeOrderBook sets itself aside from the competition by being the first DeFi protocol that brings value from outside liquidity without relying on internal competition. Users will no longer be limited to the option of simplifying their most beloved cryptocurrencies while losing out on profiting from the exciting volatility of the markets.
[LaDonnaUniversale] DeOrderBook offers every user an absolutely secure way to participate in derivatives markets without needing deep financial engineering expertise and without risking their long-held bags.
[SurferInvestor] Could you please introduce the founding team? What is their background and what makes them the right team to run DeOrderBook?
[LaDonnaUniversale] Our DeOrderBook team is a dynamic mix of DeFi enthusiasts and traditional finance professionals, forming a well-rounded group that manages every aspect of the project. The 9 core members (expanding to 11 soon) cover strategy, development, marketing, research, and fund management.
[LaDonnaUniversale] In strategy, we have a Director of Product and a UX/UI Designer. The development team includes a Product Owner, ScrumMaster, and four full-time Web3 developers. Our marketing team consists of a Product Marketing Manager, Marketing Specialist, and we are currently hiring two Community Managers for different regions.
[LaDonnaUniversale] Additionally, our Research & Development office, led by our CTO, focuses on new technologies and features, with a PhD and a smart contracts developer on board. The Fund team, responsible for managing DeOrderBook’s treasury assets, includes five full-time traders, a Chief Investment Officer, and a Chief Risk Officer.
[LaDonnaUniversale] With this blend of diverse skills and experience, DeOrderBook is well-prepared to excel in the fast-paced world of decentralized finance.
[SurferInvestor] How did the idea of DeOrderBook come to life?
[LaDonnaUniversale] DeOrderBook was created to address the problems in the current CEX/DEX ecosystem, including reliance on oracles, unsustainable yields, and inflexible capital requirements.
[LaDonnaUniversale] DeOrderBook eliminates the need for oracles and offers sustainable yield based on solid tokenomics, reflecting actual demand and supply market dynamics. The DeOrderBook ecosystem is designed to incentivize participation and reward users with cold hard currency, as well as its native DOB token that provides real utility as a medium of exchange between actors in the protocol.
[LaDonnaUniversale] DeOrderBook also offers unmatched capital flexibility when it comes to crypto optionality, allowing users to unwind their limit orders early at any time before expiry, as long as they have the requisite collateral and matching tokens. This design advantage means DeOrderBook is the go-to protocol for users seeking maximum capital efficiency and security in the decentralized finance space.
[SurferInvestor] What item in the roadmap gets you the most excited?
[LaDonnaUniversale] One of the most exciting items on DeOrderBook’s roadmap is the upcoming launch of the Gerege NFT program. The program is designed to build an engaged community around the DeOrderBook protocol and offers additional revenue-sharing rewards, exclusive access to advanced features, and other exciting perks.
[LaDonnaUniversale] The dual-tier NFT program consists of Gerege Silver and Gerege Gold NFTs. The Gerege Silver NFTs are designed for the average crypto user and feature a playful series of NFTs that take inspiration from anime, cyberpunk, and classic shoot-em-ups. They allow users to increase their revenue-sharing rewards from placing DeOrders on the protocol.
[LaDonnaUniversale] The Gerege Gold NFTs, on the other hand, are targeted towards advanced traders and feature a hand-drawn series of NFTs that take inspiration from ancient mythology, anime, and cyberpunk holograms. They offer access to advanced features such as claiming BULLET token rewards and the ability to trade BULLETs on the BULLET Bazaar P2P marketplace.
[LaDonnaUniversale] Overall, the Gerege NFT program is an exciting addition to the DeOrderBook ecosystem and offers users unique ways to engage with the protocol and earn rewards.
[SurferInvestor] How many people are on the team?
[LaDonnaUniversale] We are currently a lean team of around 6 people, but are looking to hire more aggressively as the protocol grows and as we get the word out. If anyone reading this is interested in working with us, we’re particularly interested in talented individuals with a background in design, branding, or marketing in the North American DeFi community!
[SurferInvestor] In an ideal world, how would DeOrderBook look in 5 years?
[LaDonnaUniversale] Ideally, DeOrderBook would grow exponentially over the next five years. It would extend its offerings beyond Bitcoin and Ether markets to include all major cryptocurrencies and help boost liquidity for small-cap tokens through a decentralized option factory. The product suite would expand to support spot, margin, and perpetual trading, with its no-oracle design laying the foundation for integrating asset-backed securities into DeFi.
[LaDonnaUniversale] By that time, bHODL tokens would connect directly to the Bitcoin network via a fully decentralized bridge, while uHODL would become a completely decentralized, fully-backed crypto-stablecoin, independent of centralized stablecoins. A multitude of ecosystem services, including lending, asset management, and governance-based protocols, would support DeOrderBook due to its thriving volume markets.
[LaDonnaUniversale] Centralized finance providers, mobile wallets, and numerous meta-DEX aggregators would integrate seamlessly with DeOrderBook, leveraging its core liquidity and enhanced security to significantly improve their offerings. Ultimately, many users would be unaware that their DeFi activities are supported by DeOrderBook, bringing us closer to our vision of becoming the decentralized order book for the next generation of technology-driven finance.
[SurferInvestor] For people who wanna jump in, how to get started?
[LaDonnaUniversale] To begin using DeOrderBook, users can mint HODL tokens ($bHODL and $uHODL) from their supported currencies, which currently include $wBTC and $USDC. This can be done at a 1:1 ratio with zero fees, aside from gas fees.
[LaDonnaUniversale] Once users have their HODL tokens, they can either stake them directly onto DeOrderBook to earn a basic APY or use them to mint SNIPER tokens by placing a DeOrder.
[LaDonnaUniversale] By placing a DeOrder, users can select a range of preset prices, expiry dates, and the amount with which they want to DeOrder. This will earn them potentially higher APYs than direct staking.
[LaDonnaUniversale] Throughout this process, users earn $DOB tokens, the native governance token of the platform. $DOB tokens can be locked to receive a portion of BULLET rewards and rebates, with BULLET tokens freely tradeable on the BULLET Marketplace. Additionally, $DOB tokens can be sold on PancakeSwap via the $DOB liquidity pool.
We are currently accepting beta participants; to enroll, visit us here:
[SurferInvestor] Could you explain in simple words why it’s better for a DEX not to rely on an oracle? Could you give an example?
[LaDonnaUniversale] DEXs that rely on oracles unfortunately open themselves up to potential failure and vulnerability to hacks. This is due to oracles being a single, but critical point-of-failure. In the case of DeOrderBook (not a DEX), other existing optionality protocols use oracles to determine if an option can be exercised or not. This is completely unnecessary and not even how options work in traditional finance but it seems DeFi 1.0 teams were mostly developers with a great understanding of Solidity but a limited understanding of finance – DeOrderBook is different!
[LaDonnaUniversale] To show how devastating an oracle attack can be consider how a $114 million hack of Solana trading service Mango Markets took place after an attacker caused the price of a token reported on an oracle to triple.
[LaDonnaUniversale] Most DeFi attacks are due to oracles, directly or indirectly – $2.53 billion alone in 2022. And most major protocols use oracles. However, we do not only want to be one a major protocol, but the safest possible protocol, and that involves not using oracles when a better understanding of finance would lead to a better protocol design that doesn’t rest on oracle safety.
[SurferInvestor] As a user, without giving any financial advice, could you explain in simple words the use cases of the NFT and DOB token?
[LaDonnaUniversale] The primary use case for the DeOrderBook token (DOB) is to earn a share of the platform’s fee revenue. Fifty percent of fees are distributed to DOB holders. Additionally, at launch, there is one market (Bitcoin) where users can earn DOB while creating DeOrders and also receive BULLETs (option holder rights) when locking their DOB for 30 days during the daily BULLET raffle. Thus, holding DOB grants users a share of the volume-based fees on DeOrderBook, which are paid in bHODL and uHODL tokens.
[LaDonnaUniversale] The DeOrderBook Gerege NFT plays a role in enhancing fee-sharing. By owning a Gerege, users can immediately increase their fee-sharing rate and gain access to a loyalty tracking system via our ranking and leveling feature. Users can earn value for their loyalty by completing quests in campaigns, earning experience points (XP) to level up and eventually increase their Gerege rank. Higher levels grant access to improved fee-sharing rates, while higher ranks offer more perks. Furthermore, the limited Gold Gerege series will be essential for participating in BULLET raffles once released.
[LaDonnaUniversale] In summary, the DOB token and Gerege NFTs serve multiple and complementary use cases, with DOB focusing on fee-sharing and the Gerege NFT enhancing user benefits through loyalty rewards and exclusive access.
[SurferInvestor] Looking at the HODL tokens, it reminds me a lot of GLP tokens of GMX. Am I wrong? If yes, why?
[LaDonnaUniversale] You’re correct in noticing some similarities between HODL tokens in DeOrderBook and GLP tokens in GMX. Both tokens serve as collateral in their respective platforms. However, there are differences in their functionalities and the ecosystems they belong to.
[LaDonnaUniversale] HODL tokens in DeOrderBook are minted using supported cryptocurrencies and serve as collateral for backing DeOrders (our stylized version of limit orders). The DeOrderBook ecosystem revolves around four core token types – HODL, DOB, SNIPER, and BULLET – with each token having a specific function. This unique token system allows users to maximize control over their investments and earn yield through various opportunities within the platform. HODL tokens simply represent the first step for users to begin their DeOrderBook journey, turning their existing bags into supported collateral.
[LaDonnaUniversale] On the other hand, GLP tokens in GMX are used as collateral in the GMX platform, enabling users to trade and earn fees. The GMX ecosystem is centered around a single native token, $GMX, which is used for governance and staking rewards.
[LaDonnaUniversale] In summary, while both HODL and GLP tokens serve as collateral within their respective platforms, the ecosystems they belong to and the functionalities they enable differ. DeOrderBook’s unique token system offers users a range of opportunities for earning yield and exercising control over their investments, whereas GMX focuses on trading and fee earnings through its native token.
[SurferInvestor] With the crypto markets in such turmoil in recent months, how would you explain what makes DeOrderBook an attractive bet for traders?
[LaDonnaUniversale] The turmoil surrounding the crypto space has highlighted three key pain points that users need addressed as soon as possible. Users need:
[LaDonnaUniversale] Greater security, to ensure that their assets are as safe as possible.
More flexibility, to ensure that they are able to quickly respond to new opportunities that pop up in the crypto space.
More rewards, to incentivize greater adoption and boost faster wealth accumulation in a difficult economy.
[LaDonnaUniversale] DeOrderBook combines security, decentralization, and innovation to offer something completely new to the DeFi space that addresses the growing needs mentioned above. Again, our protocol emphasizes these points through:
[LaDonnaUniversale] Ensuring maximum security through eliminating the need for oracles by using innovative game theory and tokenomics.
Empowering users to continue accumulating wealth even while holding their cryptocurrencies in their wallets, both encouraging HODLing while also enabling users to take advantage of short-term market opportunities
Rewarding users by offering multiple ways to earn yield while maintaining capital efficiency.
Thank you, LaDonnaUniversale, for taking the time to answer our many questions about the DeOrderBook protocol. We wish you all the best for the launch of your new protocol on Ethereum and we will keep an eye on you, this is definitely a project noteworthy and testing!
