Hello BCHers and FLEXers!
CoinFLEX’s BCH (mainnet) to BCH (SmartBCH) Bridge
The CoinFLEX BCH (mainnet) to BCH (SEP20) bridge has been live for a week now with zero issues. We are happy to announce that locking on the BCH chain, releasing BCH (SEP20, the SmartBCH format), and going from SmartBCH to BCH have all been working smoothly.
There are, at times, delays in withdrawals due to our multi-signature client funds storage system. CoinFLEX’s client funds are stored with high security and stringent protocols in place that eliminates human error in addition to external threats. Our primary custodial infrastructure is powered by Fireblocks, supporting us with a multi-layer technology that combines the latest breakthroughs in MPC cryptography with hardware isolation.
The upside of this is security.
The CoinFLEX team (Mark Lamb and the internal team) have operated crypto exchanges for 9 years with zero issues and losses by following a rigid policy of emphasizing security as the #1 priority at all times. This background is why the SmartBCH team chose us to be the centralized bridge before the decentralized “SHA Gate” solution is live.
Over this past weekend (21st and 22nd), we significantly improved this centralized bridge’s top-up to hot wallet times. Transactions are all being processed quickly.
Bridge Phase 2: No CoinFLEX Account Needed & More SEP20 Tokens
Right now, to use CoinFLEX’s bridge a user needs to create a CoinFLEX account (which can be done by MetaMask or an email address). The next phase of the CoinFLEX BCH bridge is:
- No account needed, very similar to Binance Bridge.
- Rather than only BCH (mainnet) <> BCH (SEP20), we will offer support for a lot of coins wrapped onto SmartBCH. At a minimum, it will be everything that CoinFLEX lists on perpetual futures markets. As we add more perpetual futures, we will look to increase the number of coins we wrap and tokenize into SmartBCH SEP20 tokens. We are giving the BCH community more tokens to trade as DEXs and other DeFi apps roll out and get built.
CoinFLEX DeFi Plans: FLEX Coin and flexUSD on SmartBCH
- FLEX Coin is the exchange token of CoinFLEX, in which the vast majority of the platform trading fees are paid. We burn 10% of revenues and10% of profits in FLEX coins. Our company lives and breathes to earn a greater and greater % of the supply of FLEX over time.
- FLEX Coin launched as an SLP-only token and then became SLP & ERC20 so that it could be traded more widely on Uniswap and Ethereum. FLEX will soon be SEP20 as well to launch the first DAO on SmartBCH: the FLEX DAO. DAO stakers will receive a percentage of revenues and profits. Additional details are outlined in our FLEX2.0 whitepaper.
flexUSD within SmartBCH Ecosystem
SmartBCH needs a stablecoin as the entirety of crypto trading, and lending activity is generally trading against stablecoins. With flexUSD as the bedrock of the SmartBCH DeFi, trading and lending ecosystem, DeFi users will have a higher “base rate” of return than the same usages in Ethereum and other DeFi platforms denominated by 0% interest stablecoins like USDC and USDT. Tether and USDC keep 100% of the interest they earn for themselves, whereas flexUSD pays 90% of the interest to holders of flexUSD, on-chain, every 8 hours. The higher the average APR of the smartBCH ecosystem, the more capital will flow to it, and the more it will attract talent from the Ethereum and BSC ecosystems.
Tether and USDC keep 100% of the interest they earn for themselves, whereas flexUSD pays 90% of the interest to holders of flexUSD, on-chain, every 8 hours.
flexUSD becoming a large stablecoin is also extremely important to CoinFLEX and a large part of why CoinFLEX cares so deeply about the SmartBCH ecosystem. Our founders, Sudhu and Mark, may have a personal love of BCH, but CoinFLEX is a for-profit company. A big part of our reason for being deeply involved in supporting, facilitating, and growing the SmartBCH ecosystem is that we can be a first-mover with flexUSD and see flexUSD becoming the dominant stablecoin in this new, emergent DeFi landscape. When flexUSD becomes the 90%+ dominant stablecoin and SmartBCH grows bigger than Ethereum, flexUSD will be the largest stablecoin. flexUSD lends into CoinFLEX’s 24/7 repo market, which is now trading a billion dollars per day. So when we become the largest stablecoin, we will also have the largest centralized borrow/lend market in crypto. That aim is a huge part of why we want to see SmartBCH become enormous and support this ecosystem.
Transparency Improvements to the SmartBCH Bridge
Right now, when BCH are locked on the BCH mainnet and sent out on SmartBCH via CoinFLEX’s bridge, users see that they have BCH balances on SmartBCH in Metamask or other SmartBCH compatible wallets. However, they do not have any publicly available pages and blockchain data to verify and confirm that CoinFLEX is locking and safeguarding these funds on BCH. Public displays of solvency and safeguarding funds are something that the CoinFLEX team has a long history with, dating back to Coinfloor’s “Provable Solvency Reports.” We will be implementing a SmartBCH Transparency page to show all locking/unlocking and balances held as part of the SmartBCH Bridge by CoinFLEX.
You can count on us to update across all channels when these steps are live, and we will continue to support the SmartBCH ecosystem.
To learn more about this roadmap and CoinFLEX’s plans you can also attend the upcoming Satoshi’s Angels Virtual Meetup held tomorrow (8/24/2021): https://twitter.com/SatoshiAngels/status/1428994916915589124?s=20
Flex on,
Mark, Sudhu and the CoinFLEX Team
