ViteX Decentralized Exchange
ViteX: a decentralized exchange built on the Vite public chain. The world's first DAG-based decentralized exchange.
ViteX Coin, VX: the ViteX native coin that will be mined by the community and be used to allocate rewards to the ViteX community. VX will have no pre-sale, pre-mining nor initial coin offering (ICO).
See: VX One Page
- Complete decentralization
- On-chain order matching
- Smart contract-enabled transaction fee collection and dividend distribution
- Listing new trading pairs only requires 10,000 VITE
- Exchange run by the community
- Anyone can become a ViteX Operator
- ViteX Operators have the right to set trading fees, suspend trading activity & list new trading pairs
- All Operator functions are deployed on the smart contract
- Native exchange coin VX can be mined in five different ways
ViteX Coin （VX）
VX is the coin native to the VX platform. VX holders enjoy benefits in the form of dividends as the trading and listing fees collected by the exchange are distributed back to VX holders.
- Total supply: 100 million
- Smallest denomination:
- Features: VX holders receive daily dividends from a shared dividend pool which aggregates the trading & listing fees accumulated by ViteX and redistributes back to VX holders.
- Distribution: VX will have no private sale nor public sale. The only way to obtain VX is through mining. VX can be mined in five ways:
- Trading as mining: whenever a trader takes an order off the order book, they get VX.
- Staking as mining: since ViteX is a dApp on the Vite platform, ViteX requires quota in order to properly allocate computing resources on the Vite platform. By staking VITE for the benefit of ViteX, users receive VX as a reward.
- Referring as mining: for every friend that you bring to trade on ViteX (via a personal referral code), you are rewarded with VX.
- Market-making as mining: place orders to boost liquidity on ViteX and get rewarded with VX.
- Listing as mining: a user that lists a new trading pair receives VX.
- Release schedule: 100 million VX will be released over the course of two years at a fixed percentage rate.
VX Distribution Schedule
After the launch of VX mining, there will be two phases of VX release with the total supply set to 100,000,000 with no inflation. All VX will be mined in about 2 years.
Phase 1: Buffer Phase. In Phase 1 a fixed amount of 10,000 VX will be released daily
Phase 2: Standard Phase. In this phase, all un-mined VX will be released according to below schedule:
- Year 1: 0.5% daily decrement rate. 477,032.36 VX will be released on the first day while 76,939.48 will be released on the last day.
- Year 2: 0.2% daily decrement rate. 76,785.60 VX will be released on the first day.
VX Mining Allocation
The daily amount of released VX will be allocated according to the breakdown below:
- Trading, Referring and Listing: 60%
- BTC market: 15%
- ETH market: 15%
- VITE market: 15%
- USDT market: 15%
- Staking: 20%
- Market-making: 10%
- Vite team: 10%
VX Holder Dividends
All fees collected by the ViteX platform will be collected into a shared dividend pool and distributed at a rate of 1% daily. For any given day, the total fees collected during that day will be fully distributed by the 100th day.
This shared dividend pools will consist of the following:
- All trading fees collected by ViteX (excluding Operator Zone fees)
- Each time a new trading pair is listed, 5,000 VITE from the 10,000 VITE listing cost goes into the dividend pool
- Each time a referral code is generated, the 1,000 VITE fee (paid by the user requesting the referral code) goes into the dividend pool
In order to receive dividends:
- You must hold a minimum of 10 VX. Please note that VX held in a wallet account will not make you eligible for dividends — the VX must be held on the ViteX exchange account in order to be considered for dividend rewards.
Trading as Mining
Currently, users are able to trade in four markets: BTC, ETH, VITE and USDT and receive VX rewards accordingly.
- Allocation: As mentioned above, ViteX is currently divided into four different markets: BTC, ETH, VITE and USDT. By trading in these markets, users are able to receive VX mining rewards. Each market will receive 15% of daily distributed VX.
- How to participate: By executing trades on eligible trading pairs and paying the corresponding trading fees, users mine VX (Trading as Mining).
- Mining reward calculation: VX rewards are calculated based on the proportion of a user's daily accumulated trading fee to the total accumulated fees in each market. For example, for a given day, if a trader accumulates 5% of the total BTC market trading fees, then that trader will receive 5% of the 15% of VX rewards allocated to the BTC market.
Staking as Mining
By staking VITE to help ViteX obtain necessary quota, users receive VX rewards.
- Allocation: 20% of daily released VX
- How to participate: stake VITE with the beneficiary set to the ViteX smart contract
- Staking amount: the minimum amount of VITE that users can stake is 134 VITE. There is no maximum cap.
- Staking duration: if a user stakes his or her VITE, they will be able to withdraw it after 3 days. There is no maximum number of days for staking VITE (i.e. users can stake VITE indefinitely if they want to). Note: after the staking amount is retrieved, it will not be counted towards staking as mining rewards. The user must re-stake VITE in order to participate in staking as mining rewards.
- Mining reward calculation : the amount of VX rewards will be calculated based on the proportion of VITE staked by a user's account to the total amount of VITE staked that day.
Market-making as Mining
Placing orders on ViteX will also earn users VX rewards. The amount of VX earned depends on three factors: 1) the amount of order, 2) the amount of time your order remains on the order book, and 3) the amount of deviation from the best bid and best offer in the order book spread.
Allocation: 10% of daily released VX, with each market (BTC, ETCH, VITE and USDT) weighted equally at 2.5%
How to participate: stake VITE with the beneficiary set to the ViteX smart contract
- Only eligible trading pairs will be considered for market-making as mining rewards
- Only buy orders will be considered for market-making as mining rewards
- The buy orders must not deviate more than 10% from the best buy offer in the order book
Referring as Mining
User can request invitation codes to invite friends to join the ViteX platform. The invitees will enjoy a 10% discount on trading fees on the ViteX platform while the inviter will receive a "commission" of 5% on all transaction fees generated by the invitees. This means that 5% of their invitees trading fees will get counted towards the inviter's total trading fees.
How to participate:
- Apply for a referral code at Vite Web Wallet
- If you are approved, you will get a referral code that you can send to your friends
How to generate a referral code:
- In order to obtain a referral code, the user will also need to pay 1,000 VITE, of which 100% will go into the shared dividend pool.
- Currently, the referral code generation will not be available to all users. Those who are interested need to apply for a referral code via this form. Later on, the referral code generation function will be added as a feature to the Vite wallet and users will be able to generate the code without having to apply.
Mining reward calculation:
As an example, let’s say Bob gets a referral code from Alice. When Bob signs up and starts trading on ViteX, he gets 10% off of all trading fees (Base Transaction Fee + any applicable Zone Fees) on ViteX. Alice, on the other hand, benefits from Bob’s trading activity as 5% of Bob’s accumulated trading fees count for Alice’s accumulated trading fees. For example, if Bob accrues $100 in trading fees and Alice accrues $200, Alice will effectively have $205 in accumulated trading fees (thus boosting the ratio of her trading fees to the total collected fees = more VX rewards).
If you are a ViteX VIP (users who have staked 10,000 VITE to obtain a 0.1% reduction in trading fees) AND joined ViteX via a referral code, your 10% discount will be applied after the 0.1% reduction.
Listing as Mining
Whenever a trading pair is opened on ViteX, the issuer is required to pay 10,000 VITE. Of this 10,000 VITE, 5,000 VITE will be burned and the other 5,000 VITE will go into the shared dividend pool. The token issuer’s VX reward is then calculated as if he/she executed a trade involving a transaction fee of 1,000 VITE.
For example, if Alice listed a trading pair, her VX reward on the given day would be calculated as follows:
Transaction Fee Model
All trading actions on ViteX will incur a fee provided that the orders are successfully matched. No trading fees will be triggered if the order is not processed.
Transaction Fee Formula
Total Transaction Fee = Base Transaction Fee + Operator Zone Fee
Unlike other DEXes, ViteX does not charge fees for pending orders and withdrawals provided that users have the requisite amount of quota. Related documentation: What is quota.
Base Transaction Fee: 0.2%
This transaction fee will be applied to all trading pairs in the ViteX ecosystem. All the fees collected from this will be put into the shared dividend pool to be redistributed back to VX holders.
Operator Zone Fee: 0 - 0.2%
This is the fee that will be set by ViteX Operators for their respective Zones. Operators may set fees ranging from 0% to 0.2%. Proceeds from this fee belong to the Operators.
Reducing Transaction Fees
Stake 10,000 VITE to Become a ViteX VIP
Users can stake 10,000 VITE to reduce the Base Transaction Fee by 0.1%.
Minimum Staking Duration: 30 days
Get a Friend Referral Code
Users that sign up for ViteX via a referral code will get a 10% discount on the Total Transaction Fee.
If the user is a VIP user, his or her fee will first be reduced by 0.1% followed by an additional 10% off the Total Transaction Fee.
For example, if the VIP user who joined via a referral code trades on a Zone with a 0.15% Operator Zone Fee, the final fee for this user is:
ViteX Operators & Token Issuers
ViteX adheres to the principles of openness and transparency. As such, ViteX allows anyone to operate their own decentralized exchanges, called Zones, on ViteX. Within their respective Zones, Operators can list trading pairs, customize transaction fees, and generate profits from users that choose to trade on their Zone.
Token Issuer ("Issuer")
An Issuer is classified as anyone who issues a token on the Vite platform. By default, the rights to list a token trading pair belongs to the Issuer. However, the Issuer can transfer rights to their token to other entities (such as an Operator).
For example, Alice issues Token A on the Vite chain. As the Issuer, Alice has the rights to Token A. If Bob wants to list a Token A / BTC trading pair, he will need Alice to first transfer the rights to Token A before he can list.
ViteX Operator ("Operator")
On-chain functions of the Operators include listing trading pairs and setting transaction fees. As mentioned earlier, Operators have the option to set an additional transaction fee of up to 0.2% on top of the Base Transaction Fee. Additionally, Operators have the right to manage the trading pairs listed on their respective Zones.
Per the example above, if Alice decides to transfer the rights to Token A and allow Bob to list the Token A / BTC trading pair, Bob becomes an Operator. He can then set the transaction fee for trades involving Token A / BTC.
If an Operator lists several trading pairs using several addresses, collectively they are considered to be a Zone. The Zone run by an Operator can be thought as a business operation. As such, off-chain, Operators are responsible for promoting and marketing their respective Zones to attract more users and promote their business.
ViteX Operator Rights
Token Ownership Rights
By default, the token ownership rights belong to the Issuer. However, the Issuer can transfer the rights to their token to a third party. Once they do so, the third party has full access to the token and can list trading pairs.
- Listing Trading Pairs
Only the token owner can list trading pairs involving the token he or she owns. In the case of ViteX, only BTC/ETH/USDT/VITE trading pairs can be listed. Attempting to open trading pairs to other cryptocurrencies will be rejected.
- Transferring Token Ownership
Token ownership can be transferred. The transfer of token ownership is irreversible.
A cost of 10,000 VITE is required to open a trading pair.
Token Trading Rights
If an Issuer does not want to fully transfer the rights to his or her token, the Issuer can choose to transfer the Token Trading Rights instead. For example, the Issuer can first list a trading pair (i.e. Token A / BTC) and transfer the rights to this specific trading pair to a third party. In this case, the third party now has the right to the Token A / BTC pair — they cannot open additional trading pairs to other cryptocurrencies but can transfer their Token A / BTC right to another party should they wish to.
- Setting Transaction Fee
Operators have the right to set an additional transaction fee (on top of the Base Transaction Fee) of 0 - 0.2%. Operators also reserve the right to adjust these fees.
- Trade Suspension
The Operator reserve the right to suspend a trading pair. After they do so, the user cannot place orders involving the given trading pair but can withdraw the order if they already had one in place.
- Transferring Token Trading Right
Token trading right can be transferred. The new owner will become the Operator of the trading pair. This operation is irreversible.
The token ownership right and token trading right are two independent sets of rights.
For example, Alice is the Issuer of Token A, so by default, she has the token ownership right to Token A. At the moment, only Alice can open trading pairs involving Token A. Now, Alice decides to open a trading pair: Token A / BTC. Now, she has two"sets" of rights: 1) Ownership of Token A and 2) Token A / BTC Trading.
If Alice transfer the right of Token A / BTC to Bob, Alice now no longer has the right to list Token A / BTC pair. The transfer of trading rights to Bob is irreversible. However, since Alice still has the token A ownership rights, she decides to open another trading pair of Token A / ETH. Now, if Alice decides to transfer the Token A Ownership right to Charles, she permanently loses that right and can no longer open any additional trading pairs involving Token A. However, Alice still owns the Token A / ETH trading pair despite no longer having the Token A Ownership rights.