[Grant Request] DeFunds - GMX trading through smart contract based crypto funds

Proposals
1

Grant Title:
GMX <> DeFunds Integration.
DeFunds is a social investment platform that facilitates profit sharing between professional traders and users - DeFi investors

Author:
Igor Shepelev igor[@]defunds[.]co
linkedin[.]com/in/shepelev-igor

Rustam Abdullin rustam[@]defunds[.]co
linkedin[.]com/in/rustam-a-11010635/

About us:
Igor and Rustam have been working on DeFunds part time since Oct 2021. Our developers are working on DeFunds full-time since Oct 2021. Our sister company https://quanthill.ae/ has ~90M AuM and 100 investors:

  • 8 years trading (6 years profitable)
  • AuM increased 14 times within 5 years

Development of classic trading quant strategies, developer/author of algorithmic trend strategy Q-Ant. Algorithmic trend-following trading of crypto futures with over 70% average annualized return since 2018.

Grant Description:
We would like to provide our Managers and Investors with access to Decentralized Perpetual Exchange. Trade BTC, ETH,and other top cryptocurrencies with up to 50x leverage from our Funds smart contracts.

Grant Goals and GMX impact:

DeFunds goals is to establish transparent and safe interaction between Investor and Manager, non-custodial crypto-investment platform for trading core crypto assets and DeFi tokens.

We are ready to bring new customers and professional Asset Managers to GMX, by integrating it into our dApp.

Also, our mother company (QuantHill) can establish leverage ETH/BTC trading strategies through DeFunds and GMX.

Milestones:

  • #1 Add Arbitrum blockchain support to DeFunds [in progress]
  • #2 Add GMX opening-increasing-a-position and closing-decreasing-a-position methods to our trading smart contract
  • #3 Add GMX related UI to our Web3 application: [in progress]
    • Trading view
    • Long/Short position
    • Leverage slider
    • List of current positions

Funding Request:
$4,000, half paid up-front (for Milestone #1) and half paid once Milestones #2 and #3 are done.

Other Information:
We can bring a new experience of interaction between Asset Manager and Investor into the crypto, which has been tested for decades and is the standard in classic Hedge Funds, with the help of smart contracts and blockchain. We managed to take the age-old experience of the classic market and pack the structure and logic of work into DeFunds.

We plan to bring a new standard for asset management to DeFi. DeFunds goals is to establish transparent and safe interaction between Investor and Manager, non-custodial crypto-investment platform for trading core crypto assets and DeFi tokens.

Previous partnerships and grants:

We got Aave grant and added Aave Borrow/Supply features to our fund. With this feature, our Fund manager can deploy a low-risk “Supplying & Earning” strategy on behalf of investors, allowing our funds to use borrowed tokens.

We have also developed a GUI for the Fund Manager to provide a user-friendly interface for working with Aave.

** DeFunds MVP dApp [Optimism Mainnet]**

2 Likes
2

Status update from DeFunds team:

  • We have integrated GMX into our application. Now, our Fund Managers can use investors’ funds for margin trading on GMX.
  • Currently, we are debugging the functionality of GMX and testing it.
  • Additionally, we will conduct an external audit of our application.

We have attached a demonstration of GMX functionality within the framework of DeFunds fund.

We are still counting on support and cooperation from GMX.

We also have 2 questions for the GMX team:

  1. We are trying to use public APIs and smart contracts of GMX, however, we use GMX analytics. This API is not described in your documentation. Can we continue to use them while our project is in the MVP/PoC stage and attracting investments?

  2. Your terminal’s source code is published under the Business Source License 1.1, which prohibits copying parts of the code for commercial purposes. However, we use some parts of your open code to calculate position indicators on the client (liq. price, net worth, size, borrow fee, etc.). Is it possible to obtain your permission to use the source code from the gmx-interface repository in our application?

Integrating GMX into our application will attract even more clients and resources into the GMX ecosystem. At the same time, investment will be made by professional traders within the framework of verified trading strategies.

GMX DeFunds Demo:

3

Thanks for the update, Igor. Is there a link to the demo missing, or is it me…?

4

Hey @Jonezee

Sorry, my fault, here it is:

5

Sidenote but someone should probably add this to docs

6

Hi Igor, my apologies for getting back to your questions so late.

  1. We are trying to use public APIs and smart contracts of GMX, however, we use GMX analytics. This API is not described in your documentation. Can we continue to use them while our project is in the MVP/PoC stage and attracting investments?

We don’t expect to put any restrictions on that anytime soon. In case you’re not going to be sending too many requests (let’s say no more than 10 requests per second on average), this is absolutely fine. That said, it’s not a public API and devs might introduce some breaking changes in future/disable it - I can’t offer guarantees.

Is it possible to obtain your permission to use the source code from the gmx-interface repository in our application?

Generally speaking, we’re definitely fine with projects using our API or some parts of our code if they’re integrating with our contracts.

As per the proposal, as long as the actor is not acting maliciously against the DAO, i wouldn’t expect the dao would approve enforcing the license against anyone.

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