LINKBASED — Goodfellas AMA WED DEC 16 @ 1:00 PM EST

This entire article is a word-for-word transcript of the AMA LinkBased team had with the Goodfellas on December 16 at 1:00 PM EST.


Pep, [16.12.20 19:01]
AMA for @LinkBasedApp

We will now mute the chat and only admins can post. We would like to take this time to welcome @gregch1 and @Leotardq from the LinkBased project for joining us today and introducing our community to the Project. I will be asking the initial questions on behalf of The GOODFELLAS ™.

The general format for the AMA will be:

-Introduction from Team
-Project Description
-Token Economics
-Community Dialogue/Questions:

Pep, [16.12.20 19:01]
Good Afternoon @gregch1 and @Leotardq and thanks for joining us here at The GOODFELLAS ™…

First off, please introduce yourself to our community with a brief background as well as a description of your project.

sAINT, [16.12.20 19:03]
Good afternoon. Thanks for having us today. I’m Greg. In the last few years, since 2016 actually, I have been heavily involved in crypto. By participating in different communities and being active on Twitter and telegram, I have made many friends in these 4 years. Luckily, some of these friends had quite similar interests and goals as me. This naturally led us on the path to creating our first significant project, LinkBased. I have also previously worked as a paralegal, so I understand the complexity behind legal processes and project management.

sayan, [16.12.20 19:04]
Thanks for having us here, Hi I am Sayan. I am the lead developer for LinkBased, pseudo-deflationary elastic token pegged to the market cap of chainlink, I have been in this space since late 2017. A little about my background I have built the modules for CRM for axis group, acted as a quant in Motilal Oswal for a few months, and now also have been leading another team at Sigimon, other than this.

Twitter Question 1:

Pep, [16.12.20 19:06]
Critics would argue that the crypto market cap is an inherently flawed metric as it focuses solely on price rather than value. What are your views on this and do you think this impacts LBD’s value proposition?

sAINT, [16.12.20 19:08]
Humans from the time of them exchanging shells until today when they exchange BTC have always measured the value of something by tagging it with a price. Some of the fundamental factors that decide the value of a specific market is supply, demand, and traction. Similarly, this will not be any different here. Value accrual can be independent, but the price or the market cap that LinkBased chooses to go with is a good indicator of the project’s health.

Twitter Question 2:

Pep, [16.12.20 19:10]

It can be difficult to fully understand how #LBD and other elastic supply projects work. What do you think are the most common misconceptions? Do you consider any of the current rebase projects as direct competitors? What makes you guys stand out from the crowd?

sayan, [16.12.20 19:15]

One of the most common misconceptions is that — “Where did my tokens go?”

Tokens multiply or get divided into your wallet as per the project’s market cap. The price tries to stay the same according to its underlying formula to manage its dynamics via increasing or decreasing the supply. Rebase protocols price information into supply and seeks a price supply equilibrium Via rebases.

Talking about our competitors: It’s all about synergies, we are building a new finance stack built for the elastic protocols, and we are open to collaborate with any other projects on this matter.

Talking about our unique value proposition: LinkBased pegs itself to the market cap of chainlink, with the underlying formula as such- Chainlink’s (FDV)*0.1¹⁰.

However, the most important feature is the 3% tax that we collect from every transfer that goes to solidify the liquidity provision in the network. This helps us create a new monetary standard filled with incentives to represent LBD as a store of value. Additionally, if you are bullish on chainlink, you are essentially bullish on LBD.

Twitter Question 3:

Pep, [16.12.20 19:18]

How will LinkBasedApp handle your system if unexpected problems occur in the future, especially a hacking issue affecting your platform having some of your users’ personal data? Will your platform be ready for such a situation?

sAINT, [16.12.20 19:20]
We are going through audits of our codebase as we speak. Additionally, while developing the project, we have been consulting with trained auditors while compiling our system.

Now to the matter of hacks. We stress-tested the system, but we didn’t find any issues. Nevertheless, the codebase is built on an upgradable pattern. So even if any bugs were to be found later, it could easily be patched.

Twitter Question 4:

Pep, [16.12.20 19:21]

Liquidity has always been a major concern when it comes to trading, especially since DEX emerged. How does the #LinkBased solution keep liquidity levels stable on trades?

sayan, [16.12.20 19:23]
Our core value proposition is to make Linkbased protocol a liquidity black hole. We have designed the system in such a manner that participants in the network are incentivized to act as LPs of the network. Our network changes 3% tax off of each transfer and distributes them among the LPs.

Twitter Question 5:

Pep, [16.12.20 19:25]

With all the rebase clones and protocols going on at the moment, with most having a great first few days, then seem to die off as they get so super inflated so quick. What have you got in place to ensure this can withstand an initial pump and continue on growing?

sAINT, [16.12.20 19:32]
One of the major problems with most of the rebase protocols is that their value accrual in the network isn’t directly proportional to the pace of their network growth. We prevent that by charging a transfer fee and transferring it to the liquidity providers. We take a theocratic game approach towards solving this by initializing the network with adverse conditions for disablement of the network by preventing the network agents from carrying out operations such as swing-trading before rebase to throw the system off and such.

Twitter Question 6:

Pep, [16.12.20 19:34]

What necessitated the start of the LinkBased project, what problems did you wanted to solve and how successfully have you. Explain the utility of the $LBD token within the ecosystem

sayan, [16.12.20 19:39]
LBD token is the backbone of our ecosystem. We have designed our economics in such a manner that the protocol is on pace with the growth of the network. We address the problems of token velocity and try to mitigate the leakage of value flow, from our ecosystem with our model.

As we have seen previously most of the rebase protocols quickly run to a liquidity deficit. We wanted to overcome that by rewarding the LPs with tax charged.

We are against value destruction that’s why we built a pseudo deflationary model, where the value stays within the network just passes onto productive participants in the ecosystem.

LBD is pseudo-deflationary in nature, which means it will directly reflect the growth and value accrued in the network. Combining the value proposition of a pseudo deflationary model with elastic protocol, we might be able to solve most of the issues pertaining today, like the Impermanent Loss problem for providing liquidity in the rebase protocols.

Pep, [16.12.20 19:41]
this is music to an investor's ears. In crypto everything tanks so easily ….I can see why this would invite people to hold.

Twitter Question 7:

Pep, [16.12.20 19:41]

Regarding marketing…..How will you attract more people to the project and what are you planning in the future to increase interest

sAINT, [16.12.20 19:48]
1. LinkBased (LBD) token is pegged to (Chainlink’s_fully_diluted_mcap)*0.¹¹⁰
2. When a transfer in the network happens, 3% of it is used to incentivize LPs of LBD/ETH pair at Uniswap, on top of the Valhalla LP program.
3. LinkBased is, as mentioned, pegged to Chainlink — if you are bullish on Chainlink, you are essentially also bullish on LBD. The second feature incentivizes stability in our ecosystem, which hopefully helps with the risks that holders and traders traditionally face in new projects.
Additionally, LinkBased has gotten huge support all over — demand from Twitter influencers, notable VCs, etc. We have been extremely delighted with this response and are prepared to deliver on every expectation.
We have a lot in store for LinkBased and its future. Details will be shared when they are ready. We are also dropping our new website later tonight. Keep your eyes peeled at our announcement channel and Twitter, I am sure you won’t be disappointed.

This concludes the upper section which consisted of Twitter questions. Questions beneath will be live from THE GOODFELLAS community:

Sadewa, [16.12.20 19:52]
Can you introduce the LinkBasedApp project, what critical problems does it solve that existing solutions are not solving and what’s the competitve advantage?

sAINT, [16.12.20 19:56]
We solve the impermanent loss differently from the other rebase projects. That’s one of our main features

Community Question 2:

R o s s o ll $ I Y F x T U R B O C H A D, [16.12.20 19:53]
At this point, do you think you need exchanges as a binance to keep growing? Or is it better to forget those things and focus on other activities.

sAINT, [16.12.20 20:05]
We designed our network in such a manner that only liquidity providers are able to generate the fees from the network. We intend to make our protocol a liquidity black hole and incentivize the LPs. With that been said our main goal is to produce as much volume and liquidity as possible. Uniswap is the perfect exchange for that. But we are always open to offers

Community Question 3:

Tony ( Never pm first ), [16.12.20 19:52]
DeFi, Staking and Yield Farming are hot topics right now in our Crypto Space, My question is, did you make this project only for the short term because of these hot topics? Do you have a long term plan for this project?

sAINT, [16.12.20 20:08]
We definitely have a long vision.

  1. Adding streamline farms
  2. Building elastic finance
  3. Transitioning to the DAO model
  4. Building strategic partnerships

All the above concludes our first AMA with THE GOODFELLAS.

Read more about LinkBased:





**Disclaimer: This project is not affiliated with the official Chainlink project by any means***

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