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[Informative] Subswap aggregator module draft : Next generation deal aggregator

Subswap Aggregator on XDC: Current State, Problems, Solutions, and Advantages

1. Problems statement

Currently, there are multiple DEXs on the XDC Network, each with its own liquidity pool and trading pairs. This leads to the problems of fragmented liquidity and price discrepancies.

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Fragmented liquidity and price discrepancies lead to the following problems:

  • Users have difficulty finding the best trading price
  • Increased transaction slippage
  • Slower transaction execution speed

2. Solution : deal aggregator

A Subswap aggregator can solve the above problems. The aggregator provides users with the best trading price and the most optimized transaction execution plan by aggregating the liquidity pools and trading prices of multiple DEXs.

Subswap aggregator provides users with the following advantages:

  • Better trading prices: Users can find the best-priced solution by exploring all possible trading options through the aggregator.
  • Lower transaction slippage: The aggregator can help users reduce transaction slippage, thereby lowering transaction costs.
  • Faster transaction speed: The aggregator can optimize the transaction execution path, thereby improving transaction speed.
  • Higher liquidity: The aggregator can aggregate the liquidity of multiple DEXs, thereby providing users with greater liquidity.

3. How does it works

  1. The aggregator collects liquidity pool and trading price data from multiple DEXs
  2. Based on the user's trading request, the aggregator calculates all possible trading solutions
  3. Selects the trading solution with the best price, the least slippage, and the fastest execution speed
  4. Sends the trading instruction to the selected DEX for execution

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4. Tentative Proposal

To actualize the Subswap aggregator on the XDC Network, we need a cohesive plan encompassing development, marketing, and operations. Here's a preliminary proposal outlining the key components and a six-month development timeline:

Development Phase (6-12 months)

  1. Research and Analysis: Conduct an in-depth analysis of existing DEXs on the XDC Network, their liquidity pools, trading pairs, and APIs for data collection.

  2. Prototype Development: Build a prototype of the Subswap aggregator platform that can collect data from multiple DEXs, perform price calculations, and generate optimized trading solutions.

  3. Smart Contract Development: Develop smart contracts for executing trades on selected DEXs securely and efficiently.

  4. User Interface Design: Design an intuitive and user-friendly interface for the Subswap aggregator platform, ensuring seamless navigation and accessibility for both novice and experienced traders.

  5. Testing and Optimization: Conduct extensive testing to ensure the reliability, security, and efficiency of the aggregator platform. Optimize algorithms for price calculation, trade execution, and data synchronization.

  6. Integration and Deployment: Integrate the developed components into a cohesive platform and deploy it on the XDC Network. Ensure compatibility with various wallets and trading interfaces.

Marketing and Operations Phase (3 months)

  1. Market Research: Conduct market research to identify target users, their needs, preferences, and pain points. Analyze competitors and identify unique selling propositions (USPs) for the Subswap aggregator.

  2. Brand Identity and Positioning: Develop a strong brand identity for the Subswap aggregator, including logo, colors, and messaging. Position the platform as the premier solution for accessing optimized trading on the XDC Network.

  3. Community Building: Engage with the XDC community through social media channels, forums, and events. Create educational content to raise awareness about the benefits of using the Subswap aggregator.

  4. Partnerships and Collaborations: Forge strategic partnerships with DEXs, liquidity providers, wallet providers, and other ecosystem stakeholders. Collaborate on marketing initiatives, integrations, and joint promotions to expand the reach of the Subswap aggregator.

  5. User Acquisition and Retention: Implement targeted marketing campaigns to attract users to the Subswap aggregator platform. Offer incentives such as fee discounts, rewards, and referral programs to encourage user adoption and retention.

  6. Feedback Collection and Iteration: Gather feedback from users and stakeholders to identify areas for improvement and iteration. Continuously iterate on the platform based on user feedback, market trends, and technological advancements.

Considering that our plan involves development, testing, deployment, and marketing across multiple fronts, here's a preliminary estimate of personnel requirements:

Development Team

  1. Technical Director / Project Manager (1 person): Responsible for project planning, technical architecture design, and team coordination.

  2. Blockchain Developers (2-3 people): Responsible for smart contract development, DEX integration, and platform optimization.

  3. Frontend Developers (1-2 people): Responsible for UI/UX design and development to ensure platform usability and user experience.

  4. Backend Developers (1-2 people): Responsible for data management, API integration, and backend logic implementation.

  5. QA Engineer (1 person): Responsible for test plan formulation, automated test script writing, and quality assurance.

Marketing Team

  1. Marketing Director / Marketing Manager (1 person): Responsible for devising marketing strategies, brand promotion, and team management.

  2. Social Media Specialist (1 person): Responsible for social media operations, content posting, and user engagement.

  3. Content Creator (1 person): Responsible for writing blog articles, press releases, and marketing materials.

  4. Community Manager (1 person): Responsible for community building, user support, and feedback collection.

  5. Business Development Manager (1 person): Responsible for finding partners, expanding channels, and marketing collaboration.

These numbers are indicative, and the specific personnel requirements should be adjusted and optimized based on the project's specifics and the team's capabilities.

By following this comprehensive plan, we aim to successfully develop, launch, and promote the Subswap aggregator on the XDC Network, providing users with superior trading experiences and contributing to the growth and development of the decentralized finance (DeFi) ecosystem on XDC.

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