▶️ Interviewing Deniz Omer From Kyber Network | EP#295

▶️ Interviewing Deniz Omer From Kyber Network | EP#295


Hey everyone I’m Scott Cunningham aka
@scottcbusiness and today we’re here with Deniz Omer who is the head of
ecosystem growth there can you just tell us a little bit about yourself to stir
oh hi everyone my name is Dennis I’m the head of ecosystem growth at kyber
network and well I studied economics back in I don’t know like more than a
decade ago and then as soon as I graduated I went straight into finance
and I spent 10 years out of financial data company called Thomson Reuters and
around 2016 I came across a reddit post that mentioned the theorem and it was
like a you know today I learnt and it talked about how theorem was true and
complete like supercomputer and that was when I basically went down the rabbit
hole and since then it’s consumed my life 24/7 like it’s shocking if it feels
like it’s just like being in a bubble all day you know with crypto Twitter and
and in the meantime in 2016 as soon as I got into it I did my MSC in digital
currency from the University of Nicosia it was the only mod it’s well still is
the only master’s in the world where you can you know we learn about blockchain
technology in terms of what it means for finance for low for developing countries
like consensus mechanisms and that was awesome and in 2016 that’s when I
started buying a theorem as well eat and from there I really like projects like
maker and then I came across khyber Network and that’s when I really liked
what they were doing and over time I kind of just transitioned in the TAT
team because I really enjoyed like you know meeting up with them in conferences
and seeing how they approach decentralized liquidity in aetherium so
over time I just joined them and that’s what I’ve been doing I guess almost two
years now and you know I love working in this space and meeting these really cool
people and building these awesome crazy products and that that’s basically my
story that’s awesome that’s awesome so what
they look like on an average day these days well I’m I’m well as head of
ecosystem growth I’m always looking at where we can actually bring that growth
from and over the last two years we realized that okay we can build a an
exchange that’s folks one token to another and that’s great traders can go
there but beyond that this simple use case of converting one token to another
is so powerful in so many different use cases you can plug that into like
storefronts so that the storefront owner can accept any token and that gets
converted to the specific token that he wants or you can plug it into these like
completely Unchained decentralized financial or like adapts
where they’re all connected to each other and and as they grow our volumes
kind of grow with it so that’s why I spend most of my time looking for new
gaps within this space and that’s and that’s not just mean like just feeling
like what’s happening on in hackathons I’m crypto Twitter and reddit just being
on top of what’s happening in that scene and seeing as soon as the new company
comes out oh would they like to use this liquidity that we kind of provide yeah
apart from that I’m just working on different initiatives like within Kaiba
we have a lot of things going on we have a new huge update coming soon I can talk
about that later but just my basic days just spent around this stuff
awesome awesome so for people who don’t have a full grasp or don’t know a lot
about cabernet where can you give a brief introduction to what that is yeah
so you can think of Kaiba network at a very simple level it just lets you swap
one token to another but the beauty of it the way how it does is it has these
set of smart contracts that bring the liquidity side and this can be any like
so many different kind of sources it can be project teams that want to provide
liquidity for their own tokens it’s khyber itself you can also plug in
different external like exchanges like uni Schwab and Oasis so you have the
supply side and on the other side using all this
liquidity are multiple different wallets and exchanges and defied apps and games
so it’s a real Kaiba just kind of this ecosystem of different apps like being
fed this instant guaranteed liquidity at a very simple level I guess it’s so
that’s how you would describe it yeah yeah absolutely and for people who are a
little bit more tech savvy crypto savvy do you want to talk a little bit more
about the like development side of khyber yeah I mean we launched early
2018 and there we were just a just purely in exchange we called like hybrid
swap where you could it’s super easy you just choose from a drop-down what token
you have on the other side you can choose out of 70 80 different tokens but
the amount and it’s going to give you like okay this is how much you’re gonna
get and it just does the whole transaction completely on chain and
that’s when afterwards we have to throughout 2018 we got more wallets on
board and then 2019 we saw that defy was exploding so we started like integrating
into defy that’s like new oh and in stood up and defy Sabre so that’s
basically you know how did you come over the time and now we’re also moving to
this new yeah I’ll say that for later I guess and sure that’s that’s how it is
at a development level okay yeah and so what problem did Kaymer set out to solve
in the in the space we see ourselves as a kind of like on the oil in the engine
and the engine is aetherium and there’s all these hundreds of different tokens
and sometimes it can be siloed so what we’re saying is here’s a set of smart
contracts in the middle just send it and it just spits out whatever is needed by
that specific dphi use case or whatever use case you want so we basically allow
you to accept any token and our slogan was what was it oh my god I can’t
believe I actually forgot at something like any token anywhere something like
that you know so it was like do you have but you want to spend it but the app
needs for example die just send it Aziz and Kaiba will do it on China
and that’s that was another differentiator for it was that we were
completely on chain as in everything is completely transparent the the execution
of the trade happens on chain and then it gets settled on chain as well within
one transaction and that’s why I think it’s been adopted by so many different
taps as opposed to some of these more often projects where you don’t exactly
know how is the matching is done is it in your favor or not sure you can see
that out of all the different sources the smart contract is only going to go
and pick the best priced kind of liquidity provider for that trade and
for every trade it just does that again it looks at the best price one for the
end-user and just pulls that in so it’s like this beautiful system like that
yeah yeah that’s really awesome and being someone myself who uses a lot of
different blockchain social platforms I end up earning a ton of different like
small amounts of different currency and Khyber’s been you know a huge help for
just consolidating all that into one crypto rather than you know signing up
for like 15 different exchanges that all have you know because these aren’t super
super popular coins too so they’re all on different exchanges and it’s just a
huge hassle whereas I can just really easily send it to Khyber and get it in
whichever crypto I want so how did Khyber get its name
well Khyber what a Kyber crystal is is the energy force that power is a
lightsaber in Star Wars it’s this kind of source of power so that’s where it
gets his khyber name from and the Khyber Network K&C our token thing is like hi
Burnett work crystal basically okay that’s awesome and we had those little
sweets as well like little crystal like sweets okay
three three so so you mentioned earlier some of the big updates that are in the
works for Khyber do you want to talk about that now yes so until now in every
trade the way it worked was 0.25 percent of each trade so one
quarter of one percent was paid as a fee by the liquidity side the market maker
side and that was paid in K&C which then got burnt so for each trade 0.25 so you
can imagine and like hundreds of millions dollars of volume that 0.25
that keeps getting burned kind of accumulates and that’s how K and C it
kind of gets its value because it’s a depreciating token over time there’s
less of it supply is dropping so the it kind of appreciates in price now we’re
gonna try something radically different where instead of the market maker paying
0.25 percent the model is that 0.25 percent gets taken out of the trade so
out of the end-user and it gets distributed into three different things
first it comes to the market maker as a rebate so he can get 0.3 he thing like a
third of it or a quarter of it of some amount of it as a reward fraction
providing the liquidity KNC holders will be rewarded as well and all they have to
do is just take their K and C and participate in the governance of this
mechanism and they get rewarded and thirdly part of that K and C is burnt so
we have a burning we have rewards to can see stakeholders and we have rebates and
this basically this whole thing is actually decided on governed on by the K
and C stakeholders so every epoch every two weeks for example they can actually
vote and say okay let’s slightly increase the rebate and then provide a
bit more liquidity let slightly decrease the burn rate and they can actually make
tweaks to the system so we come to this what we need
believe is like a super efficient an equilibrium system and the beauty of it
is that before we were taking this K and C now we’ve changed it and we’re
actually collecting it in ether and that’s super powerful that each unit of
K and C is actually collecting ether and is not collecting K and C because if it
is collecting can see it would either have to be some
inflationary system where mental more K&C and that’s how some other projects
in the space I decided to do it or we we wouldn’t have that kind of mechanism
built out over there so so we’re pretty excited about it we’re calling it
catalyst catalyst and it’s coming end of q2 hopefully awesome awesome so I guess
instead of you know relying on holding it and waiting it for it to burn in the
value to go up now people will also sort of in a way receive little payouts and
that just gives more incentive for people to participate I definitely need
to get some more some more than either myself so so where do you feel that the
khyber network fits in with other similar like swap exchanges like yuna
swap or like simple swap yeah I mean I guess we are comparable to unit so up in
the sense that we’re both completely on chain and unit swaps approaches super
simple automated market system where the price is determined by the order size
and that determinant that goes up or down the curve to determine where it
will be so it’s a completely hands-off approach whereas in Khyber you still
have the option to use an automated market maker but if you don’t you can
have your own kind of manual market maker where you’re more reactive you’re
not stuck on this curve but you can actively rebalance from finance if you
have to or whatever do you it’s up to you to manage your own kind the system
so that’s one difference with Yuna swap and I guess kind of slightly more
versatile in the sense of because it can accept many different kinds of liquidity
it can actually accept unit swaps liquidity as well so unit shop is
actually feeding its price its liquidity to khyber
and if you know Schwab is the best priced liquidity provider for any given
trade then that you know kind of fulfills the trade so maybe 25% of our
volume actually comes from Oasis which is makers kind of die liquidity solution
and I think one-tenth comes from you nice work so okay so there
front but they’re still kind of interconnected in a way as well we’re
still kinda you know there is some I don’t know if you call this synergy but
we are making use of them as well so the interesting thing was during Black
Thursday I don’t know like two weeks ago we know the whole markets crashed and
even some exchanges I kind of stopped but khyber some reserve manager some of
the creative providers said it’s too volatile for me I’m stepping out but
because we were connected to Eunice Rob we always had that kind of guaranteed
liquidity coming in from there as well you know and when it is coming from
unislope there is no 0.25 percent that’s taken because it’s like a pure we don’t
want to impose another extra cost on it because the user could have just gone to
Eunice well so it’s the same as collecting from Eunice web as it is from
Khyber agenda they in the worst case that’s good that’s good it’s sort of
just like a contingency if you lack the liquidity otherwise so that’s that’s
good that you guys kind of have those reserves so where do you see Qyburn
network going in the next year and then like ideally in the next five years if
you guys are looking that far ahead yeah I think we see a lot of growth in
the defi space in the last year we’ve grown a lot with it we’ve seen like at
least from our part like almost a dozen different taps come in like continuously
use hybrid liquidity and they make up for I don’t know if it’s like around 20
25 percent maybe of Khyber’s overall volume so we expect that to keep growing
because there’s a lot of innovation happening there and it’s kind of easy
now to just pull in different define apps and create something completely new
you know like sometimes I show the example of diversify which was using
margin trading using a fulcrum in the background and then fulcrum is building
its margin trading positions from Khyber and Khyber gets its liquidity from three
four different sources so suddenly you have this chain within one transaction
of so many crazy little things happening to build something new you know so we
expect that to contain in for the next year and if you keeps growing at this
stage I mean I’m like within five years some of more
conventional finance will shift into this space as well they’re gonna be like
okay here’s here’s a system an alternative where there is no three-day
settlement waiting time everything’s transparent everything is instant and I
can tailor specific solutions just exactly to my own need you know and I
true USD now is like the fourth largest crypto so you are seeing that kind of
base being built for us to be able to build much more like let’s say sit like
serious not serious but more mature products in four or five years time
because we can see this technology is amazing right so we expected to keep
spreading and keep being adopted gradually and within five years I expect
this to be much much further down the line yeah yeah no doubt no doubt
so why did you guys decide to go with etherium for like like building on that well we like that others at a
fundamental level like the whole concept of it made sense and many of us I had
been involved with the theorem since 2016 so I could see that it wasn’t just
that it was technically sound but the ecosystem was kind of growing much
faster than anything else it kind of it was super absorbent it was just pulling
it and I remember 2006 it was so basic there was almost no adapt and in 2017
was the year where all these different I SEOs collected multiple year runways so
they could go and execute on those ideas 2018 we started to see them come online
and then khyber came online and so many different ones and then 2019 we actually
so the layer being built on top of that as well so we know there’s tremendous
growth potential here you know I go to so many different hackathons and I can
see like hundreds of developers working on specifically theorem problems or you
know brainstorming on it and I haven’t seen that in other ones because I
haven’t I’ve just said I don’t have the time to expend like some our energy in
so many different things you know although we did look into EOS
for example we built a bridge between a theorem in eros and kinda something like
kind of had his version of khyber on on iOS but it didn’t really catch on in
terms of volumes so you know we were more than happy to work with here and in
the future if it’s reinforce some reason doesn’t scale up or e 2.0 is way behind
and something else comes that proves that it’s as a smart contract platform
it’s just as viable but then we would consider it we’re not like complete
maximalists you have to go with reason whatever makes sense you know we will
follow it but right now the theorem is you know where it’s at you know from our
perspective yeah no I absolutely agree I feel like etherium is kind of the
enterprise chain as it is right now today so that’s everything that I have
to ask you where can everyone go to learn more about kyber well you can go
to our website keyboard or network or you can even go to our exchange of
front-end khyber swap and we also have a discord channel as well that’s pretty
active and a telegram won as well and of course on Twitter at Kyoto Network
awesome awesome and is there anything else that you’d like to share with the
audience before we end this on I mean nothing comes to mind and you know thank
you for having me on yeah yeah absolutely I really appreciate you
coming on and sharing a little bit about khyber and what you guys have in the
works and what you guys have been up to I think this will be really really good
for my audience and I personally use khyber a lot so you know this was good
for me to learn a little bit too and I’ll definitely be investing more
especially with the changes that you guys are gonna be implementing so for
everyone who hasn’t tried convert check it out it’s really really simple and
easy to use for people who do use khyber let us know what you think about the
upcoming updates and everything let us know what you think about this in the
comments below and again thank you so much for coming on yeah and thanks for
having me and thanks for the show it’s super interesting and you know look
forward to your continuing work awesome right Cheers

Author: Kevin Mason

1 thought on “▶️ Interviewing Deniz Omer From Kyber Network | EP#295

  1. These are some of the questions we went over:

    • Can you tell us a little bit about yourself? – 0:18

    • What does your average day look like? – 2:15

    • Can you give us a brief introduction to Kyber Network? – 3:53

    • For our more tech-savvy audience do you want to dive into the development side of Kyber? – 4:57

    • What problem does Kyber Network solve? – 6:00

    • How did Kyber Network get its name? – 8:08

    • What are the next big updates for Kyber Network to release soon or that are in the works? – 8:50

    • Where does Kyber Network fit in with other existing similar projects? – 11:58

    • Where do you see Kyber Network going in the next year? The next 5 years? – 14:27

    • What lead to the decision to go with using the Ethereum blockchain? – 16:32

    • So where can everyone go to learn more about this? – 18:40

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