What is Zenlink (ZLK)? Overview of the Zenlink project

What is Zenlink (ZLK)?

Zenlink (ZLK) is a cross-chain DEX protocol for asset trading on Polkadot and Kusama. Zenlink connects to all decentralized exchanges on Polkadot and Kusama parachains, allows liquidity to be shared across chains, and allows users to get the best price on swapping their token’s surname.

Development team

The Zenlink team is currently based in China and Singapore, all with many years of experience in the blockchain industry, with core members from imToken and early Polkadot supporters as well.

The project is in the process of finding more members from the US, Australia, and Europe to build an international team and expand its overseas community presence.

GFS will update when more information is available from the project

Technology

For those familiar with DEX aggregation exchanges like 1inch or Paraswap, this DEX aggregation concept will be quite familiar but taken a step further with Polkadot’s cross-chain interoperability. A protocol for trading across multiple parachains and various DEXs

The Zenlink DEX protocol includes Modular, WSAM, and EVM implementations, which are flexible and adaptable, allowing for customizable components and interoperability with different DeFi modules. In addition, Zenlink DEX Aggregator connects all DEX DApps on Polkadot and aggregates liquidity, providing a low slip trading experience for users.

Polkadot’s heterogeneous multi-chain architecture allows it to run multiple shards in parallel to achieve an exponential increase in throughput compared to other blockchains and unparalleled scalability but also results in liquidity spread across segments. XCMP – Cross-chain Message Passing will play a major role in solving the problem of cross-chain asset transfer and communication between parachains. The Zenlink DEX protocol was built to focus on the DEX field, and it is based on XCMP to realize a protocol that allows parachains to connect and share liquidity.

Zenlink DEX functions can be imported into parachains in the following three ways:

Integrate with parachains as a substrate module.
Implemented to Wasm Contracts module on parachains.
Implemented for EVM Contracts module on parachains.

Finance

Since completing the angel funding round in September 2020, Zenlink has grown rapidly, powered by two rounds of Web3 Foundation Grants while accelerating their product development and achieving deep cooperation wide with 10 quality projects, accumulating a good community base, and implementing a solid Roadmap.

On September 7, 2021, Zenlink completed a Series A funding round led by Alameda Research and followed by IOSG Ventures, Hashkey Capital, OKEx Blockdream Ventures

Product

Aggregation

All DEXs on Polkadot and Kusama can be easily connected to the Zenlink DEX aggregator. These could be DEXs deployed on Moonbeam or Astar or parachain DEXs like Acala and Bifrost.

Tokens Swap

Complete with price charts and trading pair liquidity details, Zenlink Swaps is a great upgrade over the basic user interface of some other popular AMM-based DEXs.

Zenlink DEX uses a CFMM (constant functional market makers) model for token swaps, with the same formula as Uniswap V2. Essentially, it is much simpler to add liquidity to a trading pair because liquidity is added on a price curve.

Liquidity Bootstrap

For new trading pairs on Zenlink, there is a “Startup” process where token holders can add liquidity to a trading pair before trading begins. This can help with initial price detection and reduce volatility in the early stages of trade due to low liquidity. Users can add liquidity during the Start-up phase with a weight of 50-50 or 100-0

Slotvault

Zenlink is also supporting Kusama community channels, allowing users to key their KSM to support several projects and receive ZLK tokens in return. While this is not a major feature of Zenlink, it is a great way for KSM holders to earn some extra rewards and support their favorite projects.

Upcoming products: NFT Crowdloan, Zenlink Community NFT, Combined DEX…

Development roadmap

Zenlink is a project built in July 2020 and has completed every step of its plan. And we are at the critical stage of the project:

Q3 / 2021

Achieve Zenlink DEX DApp
Launch of 2nd public test
Launch Zenlink on Kusama (integrated into Plasm / Bifrost / Moonbeam)
Release Tokenomic Lightpaper

Q4 / 2021

Launch Zenlink on Polkadot
Open resources
Start a composable DEX between each Parachains
Start the program Zenlink Builder
2022: will soon be updated to the community

Operation model

Zenlink DEX deploy Modules, WASM and EVM to parachains with one click and connect them
Find the best trading route at the best price through all sources of parachain liquidity with Zenlink’s smart order routing and liquidity pooling from other DEXs with Zenlink DEX Aggregator
Users can easily complete the swap efficiently, with good price and low slippage with Zenlink DEX

Competitors

Currently, in the Polkadot / Kusama ecosystem, Zenlink has quite a typical product, has its direction, and has no counterpart project.

Partner

Tokenomics

ZLK is Zenlink’s governance token. ZLK will be distributed to users through several community activities, including incentives for liquidity providers, community participants, traders, airdrops, and other activities.

Total ZLK Supply: 100,000,000 ZLK
Inflation Rate: 0%
Circulating Supply at Launch: ~4.7 million

Token Utility

Reduced transaction fees: The transaction fee on Zenlink will be 0.3%. By holding ZLK, users can reduce their fees as low as 0.1%.
Incentivize users to be active: By placing ZLK in a staking pool, users can earn ZLK in proportion to their contribution to the pool.
Governance: Holding ZLK gives users the right to participate in Zenlink governance, which may include suggesting changes/suggestions about Zenlink products, use of Treasury funds, marketing plans, and more. 5% of the total token supply will be allocated to the DAO Treasury.

Release schedule

Zenlink has a fairly active token release schedule, with all tokens to be released 36 months after launch.

Conclusion

Zenlink’s vision is to create the ultimate, open, and universal cross-chain DEX protocol as well as a new generation of cross-chain trading networks, allowing Polkadot developers to easily build a DEX and make it available to users. efficient and smooth trading experience. The project believes that the continuous improvement of Polkadot infrastructure and the development of Zenlink will bring more connectivity and imagination to the Web3 world.

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