Live AMA: CoinWind Discusses Smart DeFi Investing with ELLIPAL Wallet
In the recent live streamed AMA hosted by next generation mobile crypto cold wallet ELLIPAL, increasingly popular smart yield optimizer CoinWind dispensed useful and handy advice on smart DeFi (decentralized finance) investing. CoinWind is also supported on the crypto wallet, ELLIPAL and the audience was provided useful information on their collaboration as well as tips on wallet security and usage on ELLIPAL.
Hosted by Film from ELLIPAL and joined by Ceecee from CoinWind’s PR, the following is a summarized transcript (edited for clarity) from the Live Twitter AMA:
Film: Great to have you here today! And let’s get you started introducing your project, CoinWind.
Ceecee: CoinWind is an intelligent DeFi mining financial platform that automatically matches pledged tokens to maximize users’ incomes. Using smart contracts that implement strategies like hedging against impermanent losses, Coinwind effectively solves the issue of low revenues from single token mining, as well as the risk of large losses that can result from impermanent losses on LP mining.
In a nutshell, CoinWind provides solutions in these 4 areas:
1. Lowers the threshold for investors to participate in DeFi mining;
2. Solves the problem of low rates of profit in single token mining
3. Implements more professional project selections and mining strategies to maximize the rate of returns
4. And, to ensure the safety of funds, it conducts screening of audited, well-known, popular, and relatively reliable projects.
Users only need to invest a single coin, and the smart contract will automatically match it to the high-yield liquidity mining capital pool. In addition, as mentioned, CoinWind helps users to hedge automatically through a combined mining strategy. Minimizing impermanent losses in liquidity mining while maximizing revenue.
We issued our platform token on 25th May with a total supply of 100 million $COW tokens, with the following tokenomics breakdown:
Film: As I understand, CoinWind is a relatively new DeFi project, how has it been so far?
Ceecee: So far so good, the liquidity pool mining results have been really good, we have managed to offer really good yields for our users, the project has basically been on an upward trend. [See the recent daily report from July 2nd 2021 for the most updated statistics.]
Film: A question about “ecological smart mining”, it’s quite a new word, can you explain more about it?
Ceecee: That’s a good question! Before I continue, let me make the distinction between the word ‘mining’ as used in mining BTC or ETH and how we are using that for CoinWind. Here we use mining to specifically refer to liquidity pool mining, which is all about yield farming in DeFi.
Positioned as a smart decentralized finance management platform, Coinwind is not simply just an aggregator tool, CoinWind focuses on optimizing users’ yields.
The high-yield, safe and reliable platform automatically places tokens deposited by users into the different pools, and mobilizes funds from certain token pools to participate in different liquidity minings, all according to a combination of project selection and mining strategies.
At the same time, this is combined with token price hedging strategies to mitigate impermanent loss in liquidity mining so as to ensure the safety of funds. The aim of course is to maximize the rate of returns for users while reducing unpredictable losses.
We want to build a DeFi digital asset bank, launching a product that combines high yields, safety, and reliability. This is basically how we conduct the ‘ecological smart mining”.
Film: This is basically what people want nowadays right? Security and also high yields.
Ceecee: Hahaha yes exactly. They basically go hand in hand. Without security, even if you’re offering high yields, it’s very risky! But if you offer security without the high yields, then it’s not an attractive proposition for investors.
Film: True. Maybe you can go into more about your security.
Ceecee: We are audited and are a very secure platform. We consistently update on what is happening with our security audits so users do not need to worry about security as we make sure we are on top of the newest security protocols.
Film: Great! So our viewers can know that CoinWind is not only giving high yields, a great way to invest, but also very secure, so users can rest easy. Since you launched, it wasn’t a very long time ago, crypto has gone up really high and then come down. What are the future plans for CoinWind in this kind of market?
Ceecee: Yes indeed, the market has unfortunately been rather bearish recently. Yes we are taking steps to ensure that we are providing services for our users in this bearish market.
First of all we are already launched on HECO (the Huobi Eco-chain network) and BSC (the Binance Smart Chain network). So one of our plans right now is going to be deployment on the ETH chain in the next few weeks. Networks such as OKchain, Solona, and even more down the line, so that we are able to provide mining (or yield farming) services for more users.
By supporting more and more underlying protocols, we can increase platform capital management capacity, and provide users with more types of token mining opportunities.
We will also continue to optimize the single toking matching LP strategy which has been extremely successful so far, to increase user profitability. We will also continue to optimize our hedging strategy to reduce the impermanent losses, continue to explore more product formats and of course as always we are committed to building our DeFi digital asset bank.
Film: So I think your project is amazing — your focus is on the user, so many great things for the user.
You said you’re already on HECO and BSC, that already covers a lot of users, and you’re joining the ETH network as well as new chains like SOLANA and OKChain. So that’s amazing, anybody, whether you’re on any chain, you will be able to use CoinWind. There’s no excuse not to join CoinWind!
Our hardware wallet ELLIPAL supports CoinWind of course. Right now if you are on BSC and HECO- Chain, we already support that. If CoinWind is on the ETH chain, we can also support that. However, if you are integrating SOLANA and OKChain, we don’t support that.
Ceecee: Well, you’d better catch up then! Cos we are going places!
Film: [laughs] Yes we will need to catch up with CoinWind so there’s not an excuse people will not use ELLIPAL if they are on CoinWind!
I have one last question for you. What exactly does CoinWind do for “liquidity hedging”, can you give me an example?
Ceecee: CoinWind can automatically monitor the pool LP price and the constant product to implement the hedge, which can ensure that impermanence is minimized.
For example, when the token price drops, there will be more BTC in the LP and less USDT, so we will automatically sell the corresponding BTC in exchange for USDT. So that’s what we mean by hedging, we automatically do these kinds of strategies.
What I think we’re doing now with CoinWind is providing a service that investors and users would find valuable. It’s a smart service that automatically maximizes user returns, and we do this over different strategies, so that it’s very comprehensive. This is a product we feel can give a lot of value to people who are interested in DeFi liquidity mining.
Film: Actually personally I also feel the same, after listening to you, I think CoinWind is a very interesting project that is community focused, which is very important and you already got that right.
Ceecee. Thanks, that is our aim. For our platform, we are always thinking of how to maximize returns for our users. We even automatically reinvest the profits that are being made. We don’t just let the income lie idle in the LP pool. Every 5–10 minutes, we automatically invest the incomes into high-yield projects and this process continuously repeats. Incomes are efficiently used to generate optimal profits. We are saving time for the user who might have to process this manually — we automatically do it for them. So I feel this is a very useful tool. How often when we are trading, do we wish we had more hands, more screens — CoinWind is automating this process for users.
By the way, can we ask you some questions about ELLIPAL? Your wallet mentions air-gapped a lot, what does this mean?
Film: The term “air-gapped” is one of the most important security features on our wallet. Air-gapped means that the whole wallet is isolated from all kinds of connections, like wifi, bluetooth, usb, and all that. It does not have any components for connecting to a network.
This is good for a scenario where you have been targeted by a hacker who wants to take control of everything remotely, including your wallet. If you were to have your wallet on your phone, they could use the wifi to gain access to your phone, then your wallet. But if there’s no pathway, if the wallet is ‘connection-free’, they cannot break into it. You could say that if you kept your coins here, they’re completely protected.
That’s why we often advertise it as the real cold wallet because other cold wallets still have a connection pathway, making them not as safe.
Ceecee: We know supply chain attacks are a big problem for hardware wallets. Can you explain what a supply chain attack is and how ELLIPAL protects users against these supply chain attacks?
Film: If you buy a wallet, you should always be aware of a possible supply chain attack, as if you are buying your wallet online, it has to be shipped to you from a warehouse to your house. If somebody were to interrupt the process, they could infect your wallet with a virus. Then when you receive it, you would not know it has been compromised and that someone else can access your funds and everything.
To stop this, we’ve added an anti-tamper feature to the ELLIPAL wallet to make sure we detect attempts to tamper with your wallet. If your wallet is tampered, we then shutdown your wallet and make it unusable. That way, you never use your tampered wallet and your funds don’t get accessed by anyone else but you. When you get ELLIPAL, you are already protected from the beginning, not only at the point of receipt.
Some people don’t know how to check if a wallet is real or fake. I don’t know how to check for sure, but you can always contact our support team to be sure if you feel doubtful. At the very least, I can promise zero malware as it is ‘connection-free’. And if someone cracks it open to install malware, the anti-tamper feature would make the wallet unusable.
Ceecee: I’m sure you know Ledger, one of the more, if not the most, popular wallets. Can you give one useful benefit of ELLIPAL that it has over Ledger?
Film: From what I heard about Ledger, you cannot really store too many coins, I think the most is 5. If you want to store more than 5 coins, you have to cycle through multiple accounts on different network chains to store the coins you want. This is not very convenient.
Our biggest benefit over Ledger, I would say, is our user-friendly ergonomics. Many users focus on ease-of-use and convenience when deciding what wallet to use. This is why on ELLIPAL we allow for one account to hold all of the tokens that we support in one place; we support a lot of coins across many network chains (HECO, BSC, etc.), so that’s very convenient.
And if that’s not enough, you can add 10 accounts in total. That’s a lot of coins for you to store across all the different networks. Also, if you used other wallets and you just got ELLIPAL, you can import your accounts from other wallets.
Also, like I said before, if anything were to go wrong with ELLIPAL — like a hack — all of your accounts would be kept safe, as they’re not connected to the network. Just make sure you keep your backup seeds, and you’ll never have to worry about losing an account.
So Ceecee, do you have anything left you’d like to add on for CoinWind?
Ceecee: What I really want to emphasize about CoinWind is, “Why keep your assets idle when they can be working for you?” Come on over to CoinWind and put them to work, because we do it for you automatically. No need to manually implement every operation you want, our smart contracts take care of it for you.
CoinWind Official Channels:
English Telegram: https://t.me/CoinWind
Chinese Telegram: https://t.me/coinwind_cn