Yapeswap Weekly Update — July 15th

The following is an abbreviated account of the Yapeswap weekly developers meeting held on 7/15/21, for which ApeBuilder, 0xMayflower, and Torgmeister were present

ApeBuilder shared his vision for Yapeswap:

Goal: To make the most profitable AMM for LP’s
General Approach: Focus on how to manage inactive reserves in the pool, not the AMM itself.
Specific Approach (short term): Leverage UniV2 AMM and Yearn Finance

Torgmeister and ApeBuilder discussed AMM’s:

  • UniV2 is a good 1st option to build on and can be migrated later with relative ease

ApeBuilder shares the main milestones for the project:

  1. Launch the initial version of Yapeswap (~ 2 weeks)

0xMayflower pointed out that we may need to discuss the Optimism launch with the Yearn Community, however, we can always launch Yapeswap onto Optimism before Yearn is ready, and the protocol would work similar to Uni/Sushi swap until Yearn is ready for optimism. Users would need to take no action for their reserve liquidity to be deployed to Yearn, the protocol will do it automatically once it is ready.

0xMayflower provided the following figures regarding gas consumption:

  1. Bare Uniswap consumes about 73462 & Yapeswap uses 87882.

ApeBuilder replied that the Yapeswap team would execute the second scenario, therefore the 1st scenario would affect users the majority of the time.

The team noted that Optimism will greatly help reduce gas usage, but that the competition would also enjoy this benefit.

0x and Ape explained the farming ratio to Torg: The operator sets the farming ratio, say for example the minimum rate is 80% and the maximum is 100%. Rebalancing would deposit the average (in this case 90%) into Yearn with the other 10% being used to facilitate swaps.

The rest of the discussion can be condensed into a few key points:

  • Gas usage is more critical to the trader and not the LP’s.

Yapeswap is a next generation AMM focused on maximizing capital efficiency for our liquidity providers