In this post, we will be introducing our Kusama Parachain called Mangata X, talk about tokenomics, the crowdloan, the roadmap, our priorities and how you can become part of this community-owned and community-driven Parachain. If you want to join the waiting list right away, subscribe at x.mangata.finance.
If you follow Mangata just a little bit, you have seen us make the case that Mangata is the only DEX in the Polkadot and Kusama ecosystems that focuses on capital efficiency. We believe it will be the key deciding factor on the question of which DEXes will be the most successful eventually. That is why we are creating a No Gas Economy, have built Themis Protocol to prevent front-running and MEV, and why we have invented the revolutionary Proof-of-Liquidity mechanism to unlock more capital for deeper liquidity pools.
Now that we have made our case, built our tech, and bootstrapped our community, it is time to launch our first Parachain. We have long been considering to launch on Polkadot first. But after several community calls and talks with partners in the ecosystem, we have become convinced that Kusama is the perfect match for our first Parachain.
Introducing: Mangata X
Mangata X is a community-owned exchange on Kusama for experienced traders and experimental tokens.
It is an Innovation Lab that fully embraces the spirit of Kusama: Innovation, Experimentation, Chaos. Mangata X will build bridges to Ethereum and other networks, as well as open channels to Parachains to host tokens from the newest experimental Parachains and Protocols in the Kusama and Ethereum space.
Mangata X will be for more experienced, forward-thinking and innovative users that are ready to take risks, bridge capital between the ecosystems, create network effects, and tame the chaos. It invites Traders, Liquidity Providers, Node Operators, Bot Creators and Governance Fans that want to come together and build to be part of the most cutting edge technology that is available in the space today.
Mangata X will be community-driven. It is built with progressive decentralization in mind from the beginning. More than 50% of the tokens in the hands of the community within 2.5 years. This means that we are inviting community members who want to be part of governance to join early, take the steering wheel and help us direct liquidity mining programmes, whitelist liquidity pairs for staking and decide on the future of Mangata X together.
Mangata X Tokenomics
The ticker of the native token of Mangata X will be $MGX. It will have a total supply at the TGE of 1bn MGX. Rewards will be issued up to a capped supply of 4bn MGX, which will be reached at the earliest in 5 years. 80% of the final supply of tokens are reserved for the community. The Exchange Commission on trades is 0.3%, of which 0.2% go to liquidity providers, 0.05% to the Treasury and 0.05% are used for algorithmic buy & burn.
Hard Capped & Infinite Rewards
While Mangata X is hard capped, it still can offer infinite rewards due to algorithmic buy & burn. 0.05% of the every token swap is used to buy & burn MGX. This ensures that new rewards can be issued for securing the network via staking and providing liquidity forever while keeping MGX price stable and creating trust for the DEX.
A diversified treasury & DEX-owned liquidity
As the Treasury is earning 0.05% on every token swap, it will build a diversified portfolio of the most traded tokens. As Mangata X will be a major exchange between the Ethereum and Kusama networks, we expect a lot of blue chip tokens to accumulate in the Treasury.
Mangata X is built to make it easy for the Treasury to aquire DEX-owned liquidity. This will lead to more capital efficiency through deeper pools and reduce volatility and risk for traders, adding further to the stability of the DEX.
MGX creates a base layer of liquidity
Our revolutionary Proof-of-Liquidity is using MGX-based liquidity instead of single assets for staking. This unlocks capital, puts it to work in liquidity pools, and creates new incentives for stakers and liquidity providers.
The result is a base layer of MGX-based liquidity that secures the system and creates deep pools for the most efficient trading routes.
The full Tokenomics can be downloaded here: Mangata X - Tokenomics v1.0
Mangata X Crowdloan
We plan to join the Auction Batch 25-30 which will start in February. We bid for a slot duration of 48 weeks. We offer 140m MGX for the first Crowdloan reward pool (3.5% of the capped supply). To ensure that rewards per KSM invested are competative, we are considering setting a cap that is high enough to secure a slot but low enough to promise a good reward.
20% of Crowdloan rewards will unlock immediately, the rest will unlock over the remaining slot period. More details will follow in January.
Mangata X Roadmap
- January: Campaigning for the Crowdloan, release of the Crowdloan Website and more information
- February: Crowdloan and Parachain Slot Auction. TGE.
- March: transition to governance, remove Sudo key, bootstrap the first MGX pool
- moving forward: open channels and build bridges
Mangata X Priorities
Like many Parachains on Kusama, we will initially launch with the core functionality, which is trading and providing liquidity. As we are solving very fundamental problems that improve capital efficiency, you can expect Mangata’s value proposition to unfold as it scales.
To show you how we plan to scale to the size whereby our tech will carry network effects, we are sharing our priorities for the time after the launch.
Invest in Network Effects: Network Effects are one of the best predictor of growth. This is why we are investing heavily in being ready once ecosystem bridges between Polkadot/Kusama and other ecosystems will deploy. Within Kusama, opening channels will enable the flow of capital between Parachains. This requires effort and trust on both sides and we are in the process of reaching out to other teams and parachains.
Invest in Features: Our UI is already optimized to integrate Matemask and Polkadot.js. As bridges get deployed, bridging capital between the ecosystem becomes a crucial task and should become easier over time. Providing a seamless user experience will become important to onboard more users. Analytics are also an important tool for traders and liquidity providers to understand what is happening on a Parachain. We will create new tooling that enables users to gain insights into what is happening on-chain.
Invest in the Community: We believe in the power of the crowd. We have reserved 170m MGX for the Ecosystem Development Fund to invest in initiatives and programmes like bug bounties, hackathons, experiments & tech that help our ecosystem grow. We strongly support giving treasury tips to community members that make valuable contributions as the way to go to allow bottom-up scaling of the network.
Support the Crowdloan!
Interested to invest in the Crowdloan? Then join the waiting list at x.mangata.finance and share the early alpha with your friends!
Join the Mangata Pioneers!
Do you want to become involved and join our community of tinkerers and analysts? Then become a Mangata Pioneer. Participating in Governance, running a node, creating art and content, applying game theory or creating arb bots are all activities that we highly welcome and reward at Mangata X.
Join us on Discord and let’s build the community together! - https://discord.gg/mangata
You can also watch the full announcement here:
What you can do right now:
Stay tuned for the blog updates
Subscribe to the newsletter and follow Mangata on social media.