Posts made by Kabuto

@KhunSir_Vite: Thank you so much! Will wait for more compaigns and happy to play my part in dissemination of information about this amazing project.

When we think of public blockchains and cryptocurrencies, the first and foremost application that usually strikes us is their enormous benefits as payment systems. In the eyes of critics & fans of cryptocurrencies alike, the prima facie validation of success of blockchain systems would be adoption of cryptocurrencies as a means of transaction in day-to-day activities (like payments for online merchandise, groceries, games, coffee shops, restaurants, physical book stores, in-app purchases, ecommerce etc). Ironically, since the advent of Bitcoin in 2008, we haven't seen even renowned blockchain platforms scratching the surface of payments. We have the Satoshi's dreamchild, Bitcoin that is unhackable, immutable record of value but it is still limited to trading on exchanges; we have the incredible vision of Vitalik Buterin in the form of Ethereum smart contracts but the platform is too slow to scale; we even have payment networks like Ripple that are currently being used by banks but still far away from gaining adoption among masses. None of these solutions have really got mainstream adoption for payments in day-to-day activities or transactions for businesses. As if technology impediments were not enough, the regulatory regime have not been supportive for these nascent cryptocurrencies either.

To be more specific:

• While one set of blockchain networks like Bitcoin and Ethereum are decentralized and secure, they are not ripe for mainstream adoption yet due to scalability and speed issues.

• Ripple has its own issues in that it is a permissioned and private blockchain network that might be suitable for a closed ecosystem of organizations, but probably not trustless enough to be used for public payments among masses (atleast not in its current state), and (b) most banks are utilizing just the ledger part of Ripple and not really the underlying XRP token for payments which questions the real utility of its token. Further, it seems unlikely that banks would want to hold currencies as assets on their balance sheets to conduct business transactions, given the volatile nature of cryptocurrencies.

• Stellar is a permissionless network and its Federated BFT consensus is frequently described as more evolved than Ripple's but its native token XLM faces challenges similar to Ripple's XRP.

• Some contend that "stablecoins" issued on blockchains networks (although centralized) may have a better chance of acceptance as holding assets by banks and masses as they mitigate the problem of volatility associated with cryptocurrencies.

You can see the community divided here in several factions here. To classify broadly, individuals subscribing to:

(a) Hardcore principles of decentralization sticking to Bitcoin & Ethereum as payment currencies,

(b) A somewhat looser form of decentralization for faster payments and hence, inclining to payment solutions similar to Nano, Ripple and Stellar, believing that the volatility in cryptocurrencies will eventually fade

(c) "Stablecoins" as the future medium of payments

Regardless of which of the three categories mentioned above turn out to be successful in future, most of us would agree on the following:

• The underlying network based on distributed ledger technology makes payment transaction settlements significantly faster and cost efficient compared to existing banking solutions

• Relative to providing a solution enforcing a stablecoin like USDT (Tether), JPM coin (JPM coin is a dollar based stable coin issued by JP Morgan), or a cryptocurrency alone, providing the user with multiple choices/options that includes both cryptocurrencies and stablecoins on the same blockchain network for a given transaction would be more appropriate.

Now that the backdrop is set, I would now share why I find design of Vitepay appealing.

• Vite provides a medium of instantaneous and feeless payments using its innovative DAG structure with a snapshot chain securing the network. Thus it provides the convenience of a centralized payment system without compromising the security of the network.

• The platform provides optionality for buyers & merchants to accept/use both cryptocurrency or stablecoins (see Vite-USDO partnership description below).

• Another great point about Vitepay that distinguishes Vite is that even if the entire ecosystem of Vite payments is run using the stablecoin USDO, the role of VITE token is not compromised. How? Well, while small merchants and users can use the Vite payment system with a small POW at no cost, larger businesses will still need to hold VITE tokens for their higher throughput requirements. They can either buy VITE tokens directly from Vite DEX/exchanges or simply borrow them from the network stakers in lieu of some interest. In my opinion, atleast the model on which Vitepay is being designed appears perfectly aligned for user convenience and security without distorting the advantages of token utility (unlike the case in XRP or XLM where the use of underlying blockchain network alone may not bring any significant benefits to tokenholders).

• Features like in-built DEX and support for smart contracts should bring more adoption to Vitepay.

What is Vitepay?
Vite Pay is a technology running on Vite network, responsible for the payment function of product purchase work. Vite plans to enable Vitepay connecting over 100 merchants in Japan, Southeast Asia, North America and other countries over the Vite network very soon. The team tested its Vitepay to test purchases at the popular Don Quijote Chain in Tokyo using Vite tokens through an app in Sep 2018. Vitepay is currently deployed at the Vite Store where it is used for purchases of Vite swags such as t-shirts and hats as well as credit for paying mobile phone bills and virtual points cards (for in-game purchases). The store currently accepts VCP tokens (Vite Community Points, issued on Vite’s network), which fans can obtain through Vite Labs’ community rewards campaigns.

At the time of payment, the website directs the user to Vite Pay who can complete the payment. The payment is also available in Vite Pay Store.
At the time of payment, the Vite Pay screen displays the amount of the order and the currency information. The payment can be made by scanning QR code or entering the transfer address. The payment speed is fast, at the order of seconds. After the payment is complete, the order amount will be settled to the merchant fund account.

A brief overview of Vite USDO partnership
VITE announced a strategic partnership with stable currency USDO in February 2019. USDO is a stable currency with 1:1 anchoring USD supported by commercial Banks of many countries. It has full financial license and can be purchased and redeemed within one working day. USDO will provide VITE users with a stable and reliable channel between Vite enabled cryptocurrencies and USD. USDO will also access the merchant resources of VITE partner, and continuously expand the payment ecology of USDO for users.

Conclusion
While it can be convenient for a critic to assume that blockchains systems have failed to deliver, the technology is in a very nascent stage to draw conclusions about future of blockchain technology. This would be equivalent to drawing conclusions on future of internet by observing slow and cumbersome 40 KB internet connections in early 90s that hardly had any adoption back then. While it is too early to claim that Vitepay will emerge as one of the winners in the space, the design appears to be well thought-out. More specifically, I would like to see more adoption for Vite payment solutions among merchants and businesses. Post the integration of Vitepay with USDO, we can expect Vitepay to gain acceptance among merchants that seem to be the priority target for Vite currently. Hopefully, we will get to hear more updates relative to adoption of Vitepay this year.

#insightvite #Vitepay

Thanks @SwissVite!

Nice read! Please also read my analysis of ViteX highlighting its unique proposition compared to other DEXs here: https://forum.vite.net/topic/1000/vitex-a-potent-endeavor-to-solve-dex-challenges

I will write more elaborate comparisons for ViteX viz. other popular decentralized exchanges on a case by case basis if I see a lot of interest from the community!

Nice idea-Since Vite is trying to make a fast blockchain for industrial purposes, it makes sense to have a sort of private sidechain. Book keeping, data storage and automation through blockchain is already gaining mainstream adoption! A blockchain project that is already doing so for multiple clients in areas of process workflow automation and data storage/security is LTO Network. Do have a look at their enterprise solutions. Shoutout to Vite team @Richard_Yan @Choeriswangqiji

@Choeriswangqiji: Sent you a direct message on forum chat! Just making sure you received it.

@Snaker @ahmad : Thanks guys!

@Choeriswangqiji: Thanks for your kind comments. We can connect through DM regarding your offer!

Most of the domain experts contend that decentralized exchanges commonly known as "DEX" are one of the primary building blocks to make a complete blockchain ecosystem. While today, a majority of transactions between cryptocurrencies and tokens occur on centralized exchanges, the crypto universe eagerly awaits a DEX that can deliver a security far more powerful compared to a centralized exchange while retaining the liquidity, user experience and convenience features similar (or not too distant) to the renowned centralized exchanges. The best way to define the much awaited DEX is aptly described by Vitalik's tweet: "Decentralized exchange: no setup required, instantly convert A into B within one transaction. Open dapp, click, 1 min later you're done"

However, this is easier said than done. While they are many challenges associated with creating a DEX, the most critical ones pertain to (a) liquidity, (b) speed of transactions, (c) cross-blockchain transactions (d) user experience, and (e) regulatory hurdles. While the challenge from regulation, obviously, is outside ambit of developers, the first four issues need a concerted effort to move the needle for rightly placing this important piece in the puzzle of decentralized world.

In its endeavor to develop a decentralized exchange, Vite team initially intended to use "Loopring" protocol as the underlying algorithm. To explain briefly, this algorithm is used for facilitating trades that involve more than two digital assets (For instance, if you have traded markets only for VITE/BTC and ETH/BTC, but you want to trade your ETH for VITE, you can use Loopring protocol to go for direct conversion instead of executing two trades separately). But the team realized that use of Loopring protocol can be an "overkill" for Vite DEX in the early stages and a relatively simple maker-taker approach for trading one asset with another would be a better approach in the beginning. This does not mean that Loopring protocol has been thrown out, just that it is not an appropriate method in the current stage of the project and can always be brought back if required.

Enter ViteX!
ViteX is a decentralized exchange built on top of Vite's native blockchain planned to be launched in April 2019. All the orders on the DEX will be completed through the Vite smart contract on its own chain and the order book will also be stored on it. The true power of ViteX is its high throughput, fast confirmation, zero gas cost, multi coins model, and cross-chain gateway. This relates to challenges (b) and (c) highlighted in the beginning of the post.

Initially, ViteX will allow trading for these coins: VITE, BTC, ETH and USDT. The ViteX exchange will function through its own native token "VX". All transaction fees and other income created by ViteX will be totally distributed to the holders of VX tokens. VX tokens will be only be earned through mining, which implies through either of the three operations:
(a) Trading (VX tokens are obtained proportionally to the amount of transactions completed on ViteX; this is to incentivize transactions on the network to improve liquidity)
(b) Staking (User staking of Vite tokens to ViteX’s contract address will provide the exchange with the required quota for its operation. In return, the user will obtain a corresponding amount of VX tokens; this means that users holding Vite tokens can earn VX tokens and hence the two are not independent)
(c) Listing (The listing community or entity obtains a corresponding amount of VX tokens when listing new trading pairs on ViteX)

Is ViteX the answer to plaguing issues for crypto DEXs such as Idex, Switcheo, Quantadex, StellarX, Bancor, Kyber etc.? Atleast ViteX is directly addressing the underlying issues with these platforms. Wondering how?

• ViteX is being brought to us by the Vite team after extensive reviews and feedback from the community (especially the Vite Fan Club members) and entails a detailed study of various protocols (including the Loopring protocol).

• It will be interesting to see how fast Vite team can develop cross chain gateways to enable both BTC, ETH and other assets on ViteX. There are hardly any DEXs that have been able to implement cross-blockchain transactions in a swift and truly decentralized fashion. That's why Idex only gives you option to trade only ERC20 tokens. StellarX uses custodians (a centralized approach) to trade coins from other blockchains.

• I surmise that Vite also has capability to provide a great user experience, based on my experience of beautiful design and convenience features of its products/platforms like Vite Testnet, Vite Wallet and Vite Explorer.

• On top of this, the incentive structure of VX tokens has been designed to incentivize trading which should enhance liquidity in the network.

ViteX, therefore, appears to be a well thought-out project to eliminate issues with the DEXs of today. But is it really the answer? Only time will tell.

#insightvite #ViteX

@Allen : Thanks for directing me to the detailed post. Very clear! I will let you know if I have any follow-ups.

While we all understand that DEXs currently suffer from a lot of issues particularly in user experience and Liquidity. I will try to act as a devil's advocate here and put it very blatantly, Loopring is probably among the worst (much worse than IDEX or Etherdelta) in terms of order filling times and user experience.

So, I want to ask the Vite team what enhancements will they bring in Loopring DEX that will overhaul/transform the current Loopring as we know it? Are you guys fairly confident of transforming the user experience for Loopring when it launches on Vite? Can you share what developments on Loopring have been made until now?
Basically what I am trying to understand if Vite thinks that it can infuse life into an otherwise largely dead DEX.

Hi Vite Team,
I have listened to several criticisms from a security and decentralization vulnerability point of view for using DPOS as the underlying consensus mechanism relative to POS and POW. In several instances, Vitalik Butterin has come out publicly and written detailed articles on why a DPOS based chain like EOS can turn into a bribe-based corruption model leading to centralization and also result in security breaches if the corrupt actors (SBPs) at the top were compromised. The detailed article by Vitalik Butterin highlighting problems with DPoS used in EOS is available here: https://vitalik.ca/general/2018/03/28/plutocracy.html

I would like to know as to why in your opinion Vite would not face the same centralization limitations and security vulnerabilities as EOS may face because of DPOS (as is highlighted in Vitalik's detailed article).

I think that this is one of the most crucial and relevant aspects for Vite tokenholders and I would appreciate if the team can share their detailed thoughts on this.

@Choeriswangqiji : Thanks for your response. I just checked and I see that I have recieved some tokens just now-believe these are the ones that were redistributed very recently. Sorry for the confusion.

@Choeriswangqiji : I had written an article sharing my experience with Vite Testnet but haven't recieved any rewards. I am not sure if the campaign is still running but just wanted to check if the rewards for the same have been distributed. Maybe, I didn't pass the reward criteria but I thought it would be good to double-check.

@plasmo: I see that you sent me some Vite tokens. Appreciate the gesture, man! Thanks

My first encounter with Vite was to participate in Vite rewards programs through AMAs as it was amongst the few projects that was sold out entirely in private sales. Little did I know that the AMAs by Richard were so convincing that I fell in love with this project. The token use case, asynchronous architecture and Snapshot chain security were such an intricate pieces of puzzle that were well laid out. Amongst all that irrational exuberance that surrounded the crypto space, Vite struck me as one project where the team demonstrated that balance of pragmatism which was in contrast to other Blockchain projects that only touted their high TPS and ultra ambitious roadmaps.

Vite, on the other hand, deeply focussed on educating its community, came up with a well thought-out and realistic roadmap/milestones/timelines. While many criticized Vite for its long roadmap initially, the team stated that it prioritized execution over an unfurnished and less developed platform. Instead of giving hollow TPS claims like other projects, Vite focused on building and built an extremely fast testnet well ahead of the stipulated timeline. Not just that, Vite was extremely careful in taking feedbacks and reviews from the community to improve its testnet further. Needless to say, Vite stands out as a project that has constantly improved its product using active inputs from its fans and community members.

The active participation by the community has allowed the testnet to evolve rapidly. Within the months of initial release, we have seen several upgrades in the platform; New community SBPs, faster/seamless in-wallet token migration, a fully finctioning Android wallet app, voting rewards, >400 running full nodes, Vite store , Vite community forum and so much more. In the end, the Vite product development is significantly ahead of its roadmap while the testnet platform quality keeps getting better with time.

I am really excited to see Vite's inbuilt DEX based on Loopring protocol and the mainnet. With so many active testers, bug reporters & feedback providers from the community coupled with a very receptive team and a lightning speed of execution, I believe that Vite mainnet will be a notch above other platform mainnets especially on user experience and participation fronts, given such an acute involvement of community in project development. #Vitefan