Launchpool AMA Recap — BTC Proxy
Date & Time: May 7th, 3PM UTC
Guests: Donnie Kim, Founder of BTC Proxy and CTO of Kryptoin
Host: Roxana, Head of Community, Social, and Outreach, at Launchpool
Launchpool was excited to host Donnie Kim, Founder of BTC Proxy and CTO of Kryptoin for an interactive Ask Me Anything session with the Launchpool Community. The AMA comes in anticipation of BTC PROXY’s $250k Allocation Mining Event which starts this week on our Launchpool pre-IDO launchpad. The session lasted for 1hr, and consisted of questions from Launchpool Team and questions from the community “on the spot”.
Questions from the Launchpool Team
Roxana: Hi everyone, welcome to another Launchpool AMA with an exciting upcoming project: BTC Proxy. Today we have with us Donnie Kim from BTC Proxy. Please tell us a bit about yourself, about the project & team, and your involvement with the team. We’re very excited to have you here.
Donnie Kim: Hello everyone my name is Donnie and I’m the founder of BTC Proxy, and the CTO of Kryptoin. Our focus is at the intersection of Bitcoin and ETFs. Kryptoin is in the regulated Asset Management space where our Directors have managed over 70 Billion and managed the GLD which was the largest Gold ETF. We are also currently engaged in the application for a US Bitcoin ETF. There are may many similarities in ETF and stable coin structures and we have applied these fundamentals to BTC proxy so that it can be qualified for institutional usage.
Roxana: Stablecoins are a hot topic this year, and it hasn’t been long since ETFs entered the markets (Canada, US etc). What makes your project unique, Donnie, and what’s the project’s vision to bring upon a turning page in the cryptoverse?
Donnie: Well, Roxana, our project is focused on one thing and that is to bring Bitcoin Holders — particularly large BTC holders into DeFi. Even though there may be over 10B of Bitcoin in Defi. that is only 1% of the BTC’s value. We foresee much more involvement in DeFi by institutions in the future. Other solutions exist but we consider ourselves the next generation Bitcoin Bridge. BTC Proxy’s key feature is the way Bitcoin is held. It is held by an insured and regulated custodian with insurance. You see large holders cannot simply convert their bitcoin or send it over a bridge and start using Uniswap. There’s too much risk. So our solution makes it safer to use.
Roxana: Would you say you focus on a particular jurisdiction, or have more of a global focus at this point?
Donnie: At this point the project is focused on delivering a global participation since the UI is permission-less.
Roxana: What made you choose Launchpool as your launchpad partner for the AME?
Donnie: Launchpool is not only a platform, but it is also an ecosystem comprising some of the most recognized funds in the DeFi space today. The community here is great and they are very supportive of new ideas and project. Their investing strategy is very appealing as their staking model drives interest to participate. Working with the likes of Alphabit, they are a top notch player in the space and what they are doing to help incubate project is extremely important for the continued development of crypto. We are obviously very happy to be part of their portfolio as they deliver a ton of value for a startup.
Roxana: Thank you for the kind words. We definitely want to bring a more mature narrative of being your own VC in this space, and are happy to have partners such as yourselves helping us bring the crypto community together, and step away from fud, speculation, and pump & dump schemes.
What is the total allocation you’ve set aside for the LP community? Are there any KYC / AML limitations or is the AME open to everyone? Please list any countries that are excluded from the allocation event due to regulatory reasons.
Donnie: There are 187,500 $PRXY tokens being offered on LP at a value of $1.60 this represents around 300K or around 100 ETH. Like most projects there is a vesting period of 108 days where 25% is released every 36 days. The offer is open to most except for OFAC and USA countries.
Roxana: Yes, we have a set of countries excluded in the AMEs due to regulatory reasons. What happens after the Allocation Mining Event? Walk us a bit through the tokenomics: total supply, initial circulating supply, initial market cap, initial vesting, total vesting period (from launch until when will the last token be vested for), etc. I think we covered the vesting part, unless there’s anything more you wish to add.
Donnie: After the AME, the PRXY tokens will held for its distribution. The initial supply after the AME will be 518,000 tokens with a marketcap of $829,000. Within 30 days we should be performing an IDO. The venue and the date will be announced. PRXYs supply of 21M will be mined over a period of 2 years. The AME participants will vested over 108 days (4x36 days) and the development team, private sale investors and DAO Members, management and partners are vested from 144 days to 2 years.
Roxana: Thank you. Obviously good news for our AME participants. Regarding your community… Where does the BTC Proxy community live? Where can we find you (social, web)?
Donnie: Yes, the vesting period is shortest for AME participants. Our community mostly resides on our telegram group @BTC_Proxy. Our twitter account @BTC_proxy you can follow for news and updates. We have a Facebook group called BITCOIN PROXY (BTCpx) with over 30k members, and if your interested in reading, a Medium blog at:
Unlock Bitcoin for DeFi on Matic L2 with low costs, high speeds and PRXY token governance
You can check out the UI at btcpx.io where minting and redeeming of BTCpx happens.
Roxana: Happy to see such a vibrant diverse community. Can you please share more on the development & product roadmap, milestones etc. What’s Completed? What’s In Progress? What’s Scheduled?
Donnie: We have currently integrated with HEX Trust as the custodian and erc20 blockchain for the permission-less side. We will integrate with Gemini Custody next as well as BSC (BEP20) chain. Gemini is important for institutional growth as many of them will be US based.
Roxana: Nothing explains better than a visual. Where can we find your detailed roadmap and other materials?
Donnie: Details about the TGE and the roadmap can be found at proxy.btcpx.io.
Roxana: Any strategic partners (aside from LP) that you can share? we saw some advisors listed in the roadmap visual. And who is helping with the Audit?
Donnie: That’s a good question. Yes we do, BTC Proxy is part of the TDeFi accelerator which is a cohort of some of the best Banking and DeFi projects.
I believe Matic was also part of this. The importance of the partnership is that it provides the opportunity to plug our protocol into their NEO Banking system. We have already secured a contract to with TDeFi to custody a large amount in Bitcoin and we are working towards fulfilling that contract.
We have working relationships with Polygon/Matic Network to further develop our L2 strategy onto BSC so that fees on that chain will also remain low. Quillhash performed our security audits and penetration testing.
Roxana: We just saw the news:
Continuing DeFi Summer: SushiSwap is live on Polygon with 30M USD in Liquidity Rewards
SushiSwap is live on Polygon, 30 Million USD in rewards for six initial major pairs (15M$ SUSHI and 15M$ MATIC)
How will this impact you? in a positive way, it seems.
Donnie: Sure, it benefits everyone as the purpose of polygon is to reduce gas fees one thing that polygon did was help us save up to four times in gas fees compared to our competitor.
Roxana: Who is/are your main competitors?
Donnie: Our main competitors remain WBTC and renBTC. Instead of $50 to mint renBTC it will cost only about $14 to mint BTCpx. But we consider ourselves to be a 2nd generation protocol so there are many deficiencies we addressed in ours. This chart was created by the guys at Fomocraft, our marketing agency.
Roxana: Good work by the guys at FOMO. Some more developments to answer ETH gas fees, by the way:
Roxana: How will the funds be used? How was the project funded until the AME?
Donnie: The ETH raised from the AME will be used for the liquidity on Uniswap pools. We have raised a round of private investment from Alphabit and founding funds and this will be used to further build the protocol and build the bridges for interoperability between different chains as well as custodians. We want to hire more expertise and do additional business development with the goal in mind to unlock in institutional Bitcoin.
Roxana: What is the expected cap at TGE? How do you expect your token to gain value over time, any mechanisms to support the DeFi component (staking, burning, earning, spending, others)?
Donnie: Initial market cap is expected to be $828,800 with the circulation of 518,000 tokens. Our strategy is to grow the underlying BTC Proxy protocol by pairing with strategic tokens and driving liquidity to these pools but we believe one of the most important utility of our network is for PRXY holders to FARM BITCOIN. This is significant because we all know Bitcoin is King and it represents 60% of the market. Many holders will not venture into altcoins and they want to only stay within the BTC ecosystem.
“On the Spot” Questions from LP Community
Rheagan asks: Hi Donn, How is your project different from badgerDAO? They have done a lot to bring BTC to DEFI on ETH. They also have partnership with various other popular projects & also with Fireblocks to bring institutional BTC onto ETH.
Donnie: Well I’m not sure about the way that badgerDAO holds their bitcoin so that is going to be one of the main features that we bring. The way that bitcoin is held is by a regulated institution that insures the deposit. Institutions are not going to send their bitcoin over some bridge and incur a lot of risk.
Rheagan: BadgerDAO is solving exactly that. They don’t have a mediator to bring customer’s BTC. People who own their BTC can deposit their native BTC with 1 click on their platform to earn interest. Which is to me awesome. If you can add something similar to your project, then it will be huge. Nevertheless, can’t wait to try out your project & excited about it. All the best to you all.
Donnie: Thanks, Rheagan, for your question. Yes, we will have staking options and yield generating strategies similar at: btcpx.io/stake.
Roxana: Bit of a side question: How was the response so far from the Bitcoin community? Just curious.
Donnie: We have only received positive responses from the bitcoin community so far and what they like about it is the safety we feature in our protocol.
Karl aks: Hello Donn. What are your thoughts on the current market situation? Where most new projects don’t perform as well as those who launched in the first quarter. What advice or words can you give to investors to stay confident?
Donnie: I think that the 1st quarter was very bullish and now we are in sort of a BTC consolidation. Yes the token prices may not be as good as before but in the long run it is still a bull market, is anyone here that remembers when BTC fell to $4000? Well, holding and investing in the future is a good strategy. This DeFi sector is still in its infancy, the big players have not even dipped their toe in the water.
Karl: Exactly. It’s a marathon not a spring. Thank for your answer.
Roxana: Donnie, thank you so much for joining us today, that’s a wrap for today’s AMA! We’re excited for the AME of BTC Proxy, and wish you and the team a smashing success!
Donnie: Roxana thank you and the LP community for your time, it was a pleasure. See you at the AME on Tuesday.
About BTC Proxy
BTC Proxy is an institutional-grade layer-2 protocol for bringing Bitcoin to DeFi with no centralized exchange risk and no price slippage. BTCpx is an ERC20, and later a BEP20, wrapped bitcoin token that offers insured custody and ensures a 1:1 Bitcoin backing ratio that cannot be affected by volume or liquidity. PRXY is the ERC20 governance token that governs the protocol.
Launchpool ($LPOOL) leverages communities, knowledge, expertise, contacts and capital to provide crypto projects with the best possible start to life, maximising their chances for success in this fast moving & dynamic space.