On June 7th, 2022, Dr. Lars Brünjes (CTO) and Marvin Bertin (CSO) answered questions from the Genius Yield community on our Telegram group. Here is a recap of this session.
Welcome to our Ask Me Anything session!
At Genius Yield we are committed to providing you the information you need to make an informed choice.
That’s why we organized this AMA session. During those last 48 hours we collected queries from the community and our team members are here today to answer your questions!
First of all, please welcome Dr. Lars Brünjes and Marvin Bertin! For those who don’t know you yet, could you please introduce yourself?
Marvin Bertin: Hi I’m Marvin CSO at Genius Yield, working on the design and development of the Genius Yield protocols and applications.
Dr. Lars Brünjes: Hi everyone! My name is Lars, I am a German mathematician and Haskell developer and have been with IOG, the company building Cardano, for more than five years now. I’m the Director of Education there, but have also worked on the Cardano node and the incentive scheme. I’m one of the co-founders of Genius Yield and the CTO.
Fantastic! Let’s go to the first question.
- Was Dr. Lars the project lead writing 90% of the code for the smart contracts for the genius yield dapp ?
Dr. Lars Brünjes: Actually, I wrote 100% of the smart contracts. Or rather, I wrote the original version, but then others rewrote them in Plutarch to make them smaller and cheaper.
- What’s your opinion on the Tiered Fee system that IOHK wants to implement and how could Genius Yield make use of it?
Marvin Bertin: We don’t have a specific opinion about the Tiered Fee system. It is an interesting idea with various implications. It is up to IOG and the community to decide if this is what they want. At Genius Yield we will always try to make the best use of the features available on Cardano.
- How are the smart order routers off chain inventivized? Since anyone can play a role here, is there any possible way they can mess up / make mistakes?
Dr. Lars Brünjes: The smart routers can keep the arbitrage and make money that way. Users don’t have to pay for them. And there’s no risk for the users, because the smart contracts (for orders and liquidity positions) ensure that neither users nor liquidity providers lose out.
- Would it be possible to create an AI arbitrage trade system to swap from other network using AI to benefit the users of the DEX? A system like that would be super cool, it would bring so much value to Cardano
Marvin Bertin: The first purpose of our Yield Optimizer will be to use AI to optimize trading strategies and Liquidity Positions on our own DEX first. At a later stage we will extend these functionalities to also aggregate yields from different DEXes
- Hello, since genius yield will be a DEX similar to a CEX in many ways. I wonder if in the future you will make leverage trading available on the Genius DEX? That would be the first time DEX to ever do that and that would attract so much wider trader’s audience and popularity to the Genius DEX. Best regards!
Dr. Lars Brünjes: We’re already thinking about that. Won’t be in the first version of our DEX, but it’s definitely on the table, and we’re exploring partnerships that will help with that.
- Can you go into more detail as to how Genuis Yield approach to solve impermanent loss differentiates from Maladex approach ?
Marvin Bertin: I’m not familiar with Maladex’s exact approach, so I can’t comment on that.
In general, Impermanent loss is a type of loss that is only relevant to AMM-based DEX and this is due to the Constant Function Formula used for the liquidity curve.
CEX don’t have IL because they use a different architecture called an order book. The Genius DEX also uses the order book design, therefore we do not have Impermanent loss. This doesn’t mean that you can trade risk free, but that the tradeoffs of an Order Book DEX are different from an AMM DEX.
- Is Genius Yield AI related to singularitynet AI and sdao dynasets? 😊
Dr. Lars Brünjes: No, we’re two completely distinct projects.
- Has there been any head to head comparisons of the genius yield algorithmic trading strategies with other ‘similar trading entities/firms/wealth management groups etc’? Example — over a 12 more month period how many Win/loss trades would you expect ‘the in one solution’ to occur as the Dex trades to optimize opportunities trades with algorithmic strategies? What did the testing highlight?
Marvin Bertin: Trading strategy performance is a function of many different variables (market condition, volatility, speculation). We are inspiring ourselves from models used in traditional finance to manage risk & rewards potential. However, to properly test our strategies, we first need to release the Genius DEX. This will give us the data necessary to train and fine-tune our algorithms.
- What’s your stack/ dependencies? And how much has been written in-house?
Dr. Lars Brünjes: Haskell, Typescript, Node.js. The smart contracts, the transaction infra-structure and the UI were written in-house, but of course we’re using Cardano tooling like db-sync and the cardano-serialization-lib.
- I’d like to know how Many %APY We’ll have on the GENS staking program? Is it something that is already written in the stone ?
Marvin Bertin: The APY is still being finalized. We will announce more details in the future.
- I wanted to ask if Cardano DEX’s would be able to move off off-chain routers/scoopers/relayers?
Dr. Lars Brünjes: We’ll see, but I consider them a feature, not a bug: By allowing people to write their own off-chain routers, there will be a nice competition, from which users will benefit, because their orders will be filled as quickly and as profitably as possible.
This was the last one! Thanks for those brilliant answers!
We wanted to thank Megavolt, Braz, Carax, CloverNodes and Lyra for the questions! This is a partial list- thanks to those who we missed as well!
About Genius Yield
Genius Yield is an all-in-one Cardano-based platform that’s unlocking DeFi for everyone. The DeFi protocol plans to release the Genius DEX, an easy-to-use and intuitive order-book decentralized exchange incorporating concentrated liquidity. Built on top of the Genius DEX is the Smart Liquidity Vault (the Yield Optimizer), powered by advanced artificial intelligence algorithms allowing ordinary users to earn passive income.
To learn more our Genius Yield, visit our homepage and social media channels: