Breaking Through User Barriers: A Key Challenge in the Development of the Crypto Market

The decentralized technology of blockchain and the crypto market has spawned many innovative products, but the user base for these products is mainly limited to experienced individuals within the industry. Ordinary users need to understand concepts such as wallets, cross-chain bridges, and miner fees, which undoubtedly sets a high entry barrier.

Currently, centralized exchanges serve as a transitional solution, providing convenience for users who wish to engage with encryption but have not yet delved deeply into it. However, centralized exchanges cannot fully leverage the powerful network effects of the decentralized ecosystem and open networks. The products offered by centralized entities are always just a subset of the products available on-chain. Permissionless protocols can enable new types of meme coins, lending pools, and derivatives to be deployed faster than any centralized service, and this effect continues to strengthen as the network grows.

Infinex: A Game-Changing Decentralized Application

Currently, poor user experience (UX) is a major obstacle to the widespread adoption of blockchain technology. Although existing decentralized products and services are powerful, they have a high barrier to entry, resulting in a significant gap between users and the products. Infinex aims to simplify the user experience, helping users to more easily enter the decentralized world.

Infinex is a comprehensive DeFi platform dedicated to unifying decentralized ecosystems and applications under a single user experience layer, designed specifically for users familiar with Web2. By using the convenient front end of Infinex, users can enjoy the advantages of decentralized products without needing to delve into the complexities of blockchain technology. This approach not only makes it easier for users to access various decentralized services but also fully leverages the powerful effects of decentralized networks, attracting more developers and users to join the ecosystem, driving the rapid emergence of more innovative products, further promoting the development of the entire industry, and accelerating the mainstream adoption of blockchain technology.

current development status

On May 13, Infinex officially opened account creation and deposit channels, and announced that it will distribute 377 million governance points GP to all deposit users in the next 30 days.

Currently, Infinex's total locked value across networks such as Ethereum, Arbitrum, Base, Solana, Optimism, and Polygon has exceeded 110 million USD. This milestone marks the initial success of Infinex and lays a solid foundation for its future development.

Key Innovations and Breakthroughs

Infinex's innovations are mainly reflected in the following aspects:

Enhance user experience

Infinex uses a referral link and trading fee rebate mechanism commonly found in centralized exchanges, and generates a public-private key pair for each user, stored in the browser, automatically signing during transactions. These improvements make user operations more convenient, eliminating the need for cumbersome on-chain operations, thus lowering the entry barrier. Infinex generates a unique deposit address for each user, who can deposit using USDT, USDC, or sUSD. The funds are transparent and verifiable, ensuring security.

enhance liquidity and market attractiveness

Infinex plans to provide more efficient perpetual contract trading services by integrating with Synthetix Perps V3. Infinex not only supports various collateral types but also enhances capital efficiency and reduces risks for liquidity providers by using stablecoins such as USDC. For example, using USDC as collateral allows liquidity providers to achieve an annual return rate of 13.6% at a collateralization ratio of 110%, while SNX only offers an annual return rate of 3% at a collateralization ratio of 500%.

cross-chain scalability

Infinex supports multi-chain operations, allowing users to trade on multiple chains such as Ethereum, Optimism, Base, etc. This not only expands the user base but also brings more trading volume and revenue.

enhance market competitiveness

The launch of Infinex is aimed at directly competing with centralized exchanges. By providing a user experience similar to that of centralized exchanges, Infinex hopes to attract more users from CEX to DEX. Moreover, the seamless experience layer design of Infinex further bridges the experiential gap between CeFi and DeFi, promoting the adoption of DeFi. Key features included in Infinex are login using username and password, multi-factor authentication, and cross-chain deposits, which make users feel as if they are using a centralized trading platform, but with a backend supported by decentralized and permissionless liquidity.

Infinex Governance Mechanism: GP and Patron NFT

As a typical decentralized application, Infinex has built a community-centric governance framework. In this framework, governance points (GP) and Patron NFTs play a crucial role in ensuring the transparency of the protocol, the effectiveness of the incentive mechanism, and the fairness of fund management.

GP (Governance Points)

GP is the governance point used to reward and incentivize community members within the Infinex ecosystem. Community members can earn GP through various means, such as participating in GP Farming, being active on community platforms, joining governance conference calls, holding designated NFTs, and submitting and passing proposals. GP mainly plays the following roles within the Infinex governance framework:

• Participation in Governance: GP holders have the right to participate in Infinex's governance voting, including the approval and execution of various proposals.
• Redemption Rewards: GP can be used to redeem Patron NFTs, enhancing the status and influence of holders within the community.
• Community Incentives: Reward active members participating in community activities by distributing GP to promote the healthy development of the ecosystem.

Patron NFT

Patron NFT is a type of non-fungible token that represents the identity of contributors within Infinex. Each Patron NFT can be obtained by burning 200,000 GP, and the minting fees will be allocated to the Infinex Treasury for covering operational expenses, growth, market incentives, and contributor alignment costs. The roles of Patron NFT within the Infinex governance framework include:

• Symbol of Contributor Identity: Users holding Patron NFT are regarded as sponsors of Infinex, enhancing their prestige and influence within the community.
• Participate in the incentive program: Patron NFTs can be used as incentives to reward members who make non-financial contributions to the Infinex protocol.
• Participation in Governance: Although the Patron NFT itself does not grant direct governance rights, its holders have a high reputation in the community and can indirectly influence community decisions and governance.

Through GP and Patron NFT, Infinex has built a decentralized, transparent, and effective governance framework that encourages community members to actively participate and contribute to the development of the ecosystem.

Infinex "Whitelist Racing Event"

Infinex launched the whitelist racing event on May 13. Here is an overview of the event:

Create Account and Deposit

Starting from May 13, anyone can create an Infinex account and deposit USDC.

Governance Points (GP) Distribution

During the 30-day event, stakers will receive 377 million GP, a portion of the Patron NFT supply, and priority access to future integrations.

Infinex officially promises that the total supply of GP is limited to 630 million and will not become a "points scam."

GP is mainly used for governing Infinex, and the Infinex committee has allocated 3000 Patron NFTs to GP holders, with one NFT redeemable for every 200,000 GP.

activity details

• The event starts on May 14 (24 hours after the account is opened for deposits).
• Deposits will be locked during the event.
• Early deposits will receive more GP.
• 377 million GP will be distributed linearly to stakers based on the total TVL (Total Value Locked).

GP: Potential Economic Returns?

GP is an important review standard for accessing the "entrance ticket" of the official version of Infinex. According to official disclosures, Infinex has received over 200,000 whitelist applications for access eligibility since its official release, and therefore needs to use the GP points system to filter and decide which users can be the first to gain experience when Infinex launches its first integrated features.

It is worth noting that Infinex mentioned in September 2023 that "Infinex's interests will remain aligned with Synthetix, so Infinex will not launch its own token," and that "a significant portion of governance rights will be allocated to Synthetix stakers." However, a proposal submitted in February 2024 regarding the allocation of more GP to SNX stakers was rejected in Infinex's community governance, which may reflect a certain degree of directional adjustment within the Infinex community.

In addition, Infinex's current development and outreach have surpassed the early positioning of "the front-end application newly launched by Synthetix to optimize user experience," and is gradually thriving in the broader Web3 multi-chain ecosystem.

In the governance framework of Infinex, GP is the core part of its incentive measures. However, in the absence of token issuance by Infinex, how points ultimately translate into tangible economic returns for users remains a problem to be solved.

Currently, Infinex is continuously improving and updating the supply and distribution of GP, while also stimulating user imagination and expectations about GP by opening wider channels and launching more diverse reward incentive activities. Whether it is launching its own governance token or adopting other economic incentives to meet the expectations that GP brings to users, Infinex still needs to submit a more comprehensive and reasonable answer to the users. Therefore, the actual value and potential of GP still need further verification.

Conclusion

Infinex aims to address the bottlenecks of various decentralized applications in the current crypto market by enhancing user experience, increasing liquidity and market attractiveness, achieving cross-chain expansion, and strengthening market competitiveness. By simplifying user operations, introducing various collateral and stablecoins, supporting multi-chain operations, and providing a user experience similar to centralized exchanges, Infinex showcases its innovation and breakthroughs.

However, the success of Infinex also requires validation of the effectiveness of its governance mechanisms and incentive measures, particularly the actual economic returns of governance points (GP) and Patron NFTs. Although the GP points system provides users with the opportunity to participate in governance and receive rewards, its actual value and potential still need further observation and verification. Whether Infinex can provide users with a well-rounded and reasonable answer will determine its long-term competitiveness and development prospects in the decentralized finance sector.