Featuring CTO of EliteX About DCR Staking and DEX Development
On 19th August EliteX exchange launched the service to stake DCR, with an expected ROI equals to 12%. We asked a couple of questions to Haidong Liu, CTO of EliteX, featuring also his presentation in the EliteCenter Tokyo about the Lisk SDK & the EDEX project.
With the launch of Cosmos, Tezos, and future launches of Eth 2.0, Dfinity, Polkadot, ‘staking’ is one of the major market trends of 2019 so far. In your opinion, why Decred is a promising technology and worth to be staked?
Decred is among the few cryptocurrencies to utilize both PoW and PoS in a secure way and it merges them together to produce a multi-factor or hybrid consensus mechanism. Decred’s hybrid protocol is designed to be a huge deterrent to the majority of possible attacks: thanks to this consensus model, token holders have the ability to check the blocks found by miners. Take part in this process is highly incentivized by the network, as 30% of the block reward is allocated for this reward. From long term perspective, staking DCR can get stable rewards while holding coins.
Why is it necessary to maintain the stake for at least 30 days? Is it possible to withdraw the funds before that day?
Actually, when you are staking DCR on EliteX you receive a ticket that gives you the ability to cast a single vote and get rewards. Each ticket is randomly selected from a current pool of 40,820 tickets using a Poisson distribution; the average selection time is ~ 28 days, up to ~ 142 days (4.7 months). We handle the voting process and the uncertainty related to the selection time. In future it’s possible that we will support the withdrawal before the 30-day period.
In relation to the meetup at EliteCenter, Haidong started his presentation with an overview of the current dApp developed on ETH, EOS and Tron, comparing it to the trend of Apps released on iOS in the period 2008-2019 and supposing that if a similar pattern will happen, there will be millions of dApps in few years. The comparison then shifted to the main competitors that want to be a hub for dApp development: all of them have different consensus models (Casper in ETH 2.0, GRANDPA in Polkadot and Tendermint in Cosmos) and also the scalability proposals are targeting different strategies. As the last slide, the presentation took into account a scheme related to the DEX and the main blocks of the whole structure.
We asked to Haidong how the idea of DEX was born, what were the initial steps and what will be the next milestones. He stated:
In April, when we had the idea about build a DEX on Lisk, many Lisk supporters asked about it and expressed the will to participate in the project.
From that input we started to talk with supporters individually to get feedback; on the other side we worked to plan the DEX roadmap and evalutate the impact of the DEX in the growth of the Lisk ecosystem.
In July’s meetup at Lisk Center, the announcement related to the development of the DEX as a Lisk Sidechain also get people’s attention and many collaboration proposals came up.
Thanks to many conversations with other stakeholders, we found out that DEX will play an important role in exchanging dApp tokens.
Now that the Lisk SDK Alpha is available we can proceed with the research and architect design phase. When also the Lisk SDK Beta will be released, we will use the updated tools to further develop our DEX and we will modify our roadmap according to the new reachable milestones.