Andy Puscas - Local Innovation: Liquify

Hey everyone and thank you for joining us. Um I'm Andy from liquify and I'm here to present to you how we are trying to unlock a new layer of liquidity. Sounds sexy, right? Um that's because it is but uh my grandma always used to say if she's sexy she comes with trauma and this is no different than us. We're in the same uh things with some trauma behind.

And I want to start with a question and please don't feel personally attacked. Have you ever lost a good deal? And that's for multiple reasons. I know we had. This is why we are here.

And in fact, we also came prepared with a picture of you in the precise moment when you lost that deal. Here you go. But um coming back to the trauma part, this is how we started liquifying some guys that had kind of a family office. We tried to go into private deals and uh you know how it went from 2017 to 2021 ideas ICOs they were their but you were locked and because we're in the web space I also have a good example one Lambo sir think of it like this you buy yourself a Lambo but the dealer comes and says to you it's funny it's nice but you can't use it and drive it for two years right doesn't make sense right so as it didn't made sense for us. We went and this brings me to the main point of uh liquify the biggest issue in the web three space liquidity.

This is uh the main concern that we saw in the web three space going further and you saw this number 19 billion with capital B. That capital B comes from a big amount of money that's locked and not working. This is how we are what what we came and started from. Obviously we started with the example of private uh private deals, ICO IDOs. This is the number for them themselves only for the last year.

So going further than that, the whole web tree has even more locked assets. And to name a few, the private deals are here. We also have the vesting schedules that come with those private deals for months and or even years at a time. You also have staking rewards. Let's say you have some ETH at staking and you know you will get this amount of uh reward or yield but you're locked and you can't access it p previous to the set date and also whatever future uh APRs or yields whatever happens with whether it's um let's say real estate or anything like that.

So this is where we are coming and trying to um come up with a solution. Drum rolls please. The solution is called liquid vesting. Remember how I said it's sexy. The point of liquid vesting is on short to make stuff liquid but not making liquid like this.

Although this is my icebreaker for this presentation, it's uh more like this. On the short version, whether you have any locked assets, you're making you're tokenizing it and you have those liquid or synthetic tokens active and tradable from day one. And then you can do whatever you want with them. trade them, stake them, LP them, or maybe just give them to your girlfriend, boyfriend, whoever. On the longer term of uh the explanation of how liquid liquid vesting works, let's say a guy has this staked uh Ethereum and he wants to get some quick cash on hand.

He usually has a 7%, maybe he tokenizes it for 5%. We here with liquify are actually emitting and minting the liquid tokens and everybody that invested into that locked uh into that lock position will get the higher APR and the guy that actually tokenized it gets just a better AP uh faster quick cash on hand. Going further, this is how uh for who liquify is. We have two types of uh people. On the left we have the VC ecosystem guys.

This is VCs, community VCs, Dowos, Kos or whoever has usually the access into those private deals and better yields. On the right part, we have the contributors, we as retail investors, you, me and other people that want to get access to those. And to dive deeper into what we are uh doing with liquify for both categories, for the initial guys, I explained already the example with ST uh staked Ethereum. You basically can derisk or maybe you need some quick cash on hand. Whatever the deal is, you can just do that through liquify.

On the other part of the deal, us the guys with the trauma, how things are working usually is that you don't necessarily have access to those private deals, those preed seed and so on and so forth. So this is where liquify tries to put the VC ecosystem entities and the retail investors at the same time at the same uh place and the table to just try to bridge them and just uh make the best out of both both worlds going um further. But wait there's more the moment with the wait there's more on top of the liquid vesting mechanism we also have other features on top of it. The first one is a P2P module where you can just trade peer-to-peer with other people. Let's say me with you.

We met up in a Telegram group and we just decided on a proper deal for whatever token you I want to sell or you want to sell for a specific price. You can do that on the peer-to-peer module on liquify and obviously it works for synthetic tokens as well. The second module is the lending and borrowing and we have a video here. I don't know how much I uh I could cover from it. But on uh on the lower level of things to explain it shortly, we have a lending and borrowing that's a bit more special than the usual collateralized lending and borrowing.

This is just peer-to-peer lending and borrowing. You as a borrower set up the yield, what collateral you're putting, and what the yield is for for the long-term for the lenders. And obviously, this also works with synthetic tokens. And the next one that's upcoming is going to be a liquid tokens marketplace in liquify just an order book where you could trade those synthetic tokens generated by by whatever um deal you're having and this also works only with synthetic tokens. So to just go into the architecture tech part or also philosophy of things firstly we have the EVM smart contracts and deploy per chain.

how we are handling things are we want we started with the EVM chains because those are the main chains that are using uh the deals and are you are being used for the fundraises and we are deploying per chain so you don't have issues with uh spaghetti code everywhere on the second part we have a clean UI and AI automations and here I would love to also plug in the integration with fetch AI we just had a partnership with them a couple of weeks ago And on the third, the philosophy behind it is that usually the VCs and the VC ecosystem entities are usually doing this through spreadsheets. So we wanted to make it fair and square and all always automated fully on chain on the how liquify does everything and everything that I said so far. We are trying to win in the web tree space by unlocking those debt uh and liquid illquid capital because as our philosophy goes we don't um necessarily acquire to say yes the assets should be illquid and they would be locked for ages those as I said empowers both stage of the both sides of the market because on every side there are problems that could be fixed in the same time And so far, no competitor that we know of combines everything from lending to trading and also tokenization of those private deals. This is uh also wanted to show you the beautiful people behind the team. Um those are the guys that get got wrecked a couple of years ago.

Then how liquify started. Um strong uh fundamentals of the team. We go from full stack developers to project managers to backend and front-end developers to smart contract architects. So we kind of cover it all and also behind the scenes there are many more team members ever since we started Riify at the first time and I also have a good philosophy to talk here. How we see things is that if you're doing something good in life you should also try to give back to the community.

And this is why the referral system works in liquify as it does with 20% fee of the pro uh 20% of the protocol fee going back through the referral system. And this was it. Uh I'm here to answer your all your question and afterwards if you have any question how we could make you liquid please let me know.

Awesome. Awesome. Awesome. Thank you so much. Thank you so much.

Um, does anyone have any questions from the crowd first of all? Anybody at all? You can either put up your hand and ask organically or you can go through the lovely app system here that we've got. Um, if not, in the meantime, I've got a question. Um, can you take us through a successful case study with a bit of a story behind it of maybe one of your largest customers using the product?

Um, firstly, we just launched a couple of weeks ago. A good success story would be a future deal that we're going to have on liquify chains atlas. They are basically an entire chain but they are having the private deal currently and they wanted to do something special for their users. So liquify came in uh in a good moment for them to just partner up with them put a part of their private deal on liquify and just tokenize it with a better deal for the users that will invest and basically contribute to liquify. So this would be the best uh scenario that we are going further to to approach the new clients and client acquisition and uh from their point of view the feedback so far and it's just in talks we're going to have a meeting on Monday to talk about the full details of the deal.

um they were really impressed to hear okay we are already doing this but we're doing it as we said either through soft agreements and whatn not and it's locked for I think their vesting schedule ends something somewhere in 2029 and part of that deal or the benefits to the community that they wanted to do but for just a portion to test things out is the faster release schedule and also on top of it they got the point that uh by doing this just of a part of their tokconomics. They could also see a good um price discovery mechanism through liquify and see how the liquid vested token tokens are handling before they actually have the TG.

Okay, great to know. Oh, look, we've had two questions pop up here. Um from DAP developer 30, what's the long-term outlook for liqufy? Pretty broad question there.

Yeah. Yeah, but we I think we have a good answer for that. um on the short to medium term obviously we started with the private deals and the private allocations this was the main issue that we wanted to solve but um developing and going into more in-depth discussions with liquify and with new partners we found out that you you could tokenize everything as Larry said um we have multiple venues and basically different vertical business verticals from tokenization of staking rewards to we also had talks about uh tokenizing the inference of AI to also tokenizing real world assets because it could uh liquify does provide the infrastructure to do that that so short term short to medium-term going for private deals taking rewards and future of future forwarding uh yields and then we'll go into v various business verticals.

Okay, good to know. A question here on research who does it the investors or liqufy? both because um on the initiator side as when I presented the different sides of people using liquify the initiators are the guys that are having access to those private deals and those on that part it won't be permissionless. So liquify will do the due diligence and the research on who is actually having those deals and we're also preparing a cool feature for this that's called proof of deal. So basically, we're going to also verify every deal that's put there to have a soft agreement or a contract or whatnot.

So either way, it's going to be a proper deal that we can have somebody behind the scenes. But on the other side, on the retail investor side, you're in crypto. So you should also do uh your research on your own. We can't guarantee everything will go because we know a lot of ideas and ICOs failed eventually after years because the project couldn't deliver. But we're going to try to do our best to not let anything that's u fishy from the get-go and actually have people that are actually building smart things from the start.

Okay, good to know. Um why do you need a head of Asia if most of the operations seem to be in Romania? Funny thing, um, our head of Asia, Mark, uh, we met with him with, uh, with with Mark at Crypto Expo Europe this March and he was really impressed by liquify use case and as a good investor in Southeast Asia. He had a lot of partnerships with various projects in cry in the web three space and he came up with smart ideas where we could partner with liquify in in ways that we haven't previously thought of. So talking about a partnership with him firstly and seeing how liquify could be developed in many other ways that we haven't previously thought of we just went okay let's let's do that and obviously we want his help because we're not um not from Asia we don't have a lot of partnerships or maybe we haven't had partnerships until we met Mark because we now do and Southeast Asia is kind of a specific use case for in the web3 space people are um are more specific and more special in how they are doing the deals and that's why Mark suggested liquify could be having a good use case there because there's lots of deals uh being made only in that part of the world.

Okay, good to know. So it sounds like you guys have got a global outlook here basically

trying to at least.

Okay, nice. Are there any other questions here from the crowd? Oh yeah.

Are you are you affected by the regulations or by the MIGA regulation for example or are you do you have plan to apply for one or

we do um part of our team we have also stakeholders that are legal team and we are fully Mika compliant as of right now. We are planning to be as compliant as possible because how we see things is obviously for the how private deals are working usually so far. We just want to do that decentralized but also safely for investors. So we are um at we are we are knowledgeable about every legal uh changes that are happening and we're trying to be as fast as possible to comply with everything.

Great stuff. Any other questions over here? Doesn't look like it. Okay. Thank you so much, man.

That was great. Cheers. What? Let's Let's give one more hands on pause.