Tranchess Swap (V1）
A temporary archive for those that are interested to understand Tranchess Swap 1.0.
If you cannot sell your Q/B/R tokens, check first to see if you have already STAKED your Q/B/R tokens! Q/B/R tokens need to be claimed and staked first before they can be traded on Tranchess Swap. So if the Q/B/R tokens are in your wallet, please stake them so they can be traded.
For "takers", the swap function would be paused every day from 13:00 UTC to 14:30 UTC.
Taker, as opposed to maker, is a frequently used term in trading.
On Tranchess Swap, users enter into the "taker mode" when they disable Post-Only. Under taker mode, all orders placed are filled or cancelled immediately against the existing orders listed on the order book. On the other hand, checking the Post-Only box puts users in “Maker Mode”. Orders placed as post-only will enter the order book and list under Pending Orders. It won’t be executed immediately. Users cannot place cross trade orders.
Here are two external links if you want to learn further on the term:
No, there is no trading fee on Tranchess Swap. The only fee you would face is the BSC gas fee for transactions.
Right now Tranchess Swap has listed 6 tokens, which are the QUEEN/BISHOP/ROOK tokens of BTCB fund and ETH fund. As we continue to issue new asset tracking fund, the list will also grow.
Tranchess Swap is a function designed specifically for the Tranchess mechanism, at this point, we do not have plans for listing tokens outside the Tranchess ecosystem.
This depends on one’s starting point. If you have BTCB/ETH with you and decide to hold it for a long time, you might want to mint it into Token QUEEN for the extra earning. However, for those without BTCB/ETH, using USDC to buy Token QUEEN will be a more straightforward method.
QUEEN’s APY is calculated based on the annualized amount of CHESS tokens QUEEN can collect and the price of CHESS.
You can find the daily interest rate of Token BISHOP in Compare Tokens page, which you can enter from the front page or the Swap page.
Scroll down and you will find BISHOP's daily interest rate right under its NAV. The value updates once every seven days.
On a weekly basis, the protocol uses Venus’s Borrow rate of USDC from the previous week and calculate a weekly average, it then adds a premium on top which is determined by community voting. The total becomes BISHOP's next week's fixed APR.
The leverage rate is calculated by the following formula:
Tranchess uses a 30-minute TWAP price oracle instead of instant price to prevent price manipulation by oracle attacks.
Tranchess Swap adopts a Premium-Discount Orderbook system, which means that the premiums or discounts of a forward-starting 30-minute TWAP (Time Weighted Average Price) are traded. Tranchess defines each 30-minute trading window as one epoch, and users can place orders within each epoch at the premium or discount of the NAV calculated from the TWAP of the next epoch’s price. For instance, at 9:45 am, Alice buys token QUEEN from Bob on the order book at +25bps premium. This transaction's reference price will be the NAV for the next 30-min window, i.e., 10 am – 10:30 am, and Alice’s final purchasing price will be (the NAV of 10am-10:30am) * (1+25bps). One bps = 0.01%
Tranchess defines each 30-minute window as one Epoch.
For the underlying fixing price, our oracle extends the Open Oracle standard by Compound, accepts price data signed by two Reporters (Coinbase and OKEX) and computes time-weighted average price (TWAP) in every 30-minute epoch.
We also use oracle to obtain the borrow rate of USDC from VENUS and calculate a weekly average for Token BISHOP’s interest rate calculation.
TWAP is short for Time Weighted Average Price. Comparing to using the price of a single timestamp, using the average price over a period of time greatly reduces the chance of price manipulation. In Tranchess, TWAP is used for calculating the NAVs on Tranchess Swap and for calculating the next-week’s base interest rate of Token BISHOP.
Because the actual transaction is filled based on a future price, Tranchess can only provide an estimate based on the current market.
Since the transaction is filled based on a future price, to make sure the taker's order can be fully filled, the protocol reserves a small percentage of the maker's order as a buffer to counter potential price movement in the next Epoch window, which will be returned to the maker once the order is settled after the next Epoch.
Our TWAP oracles, both for interest rates and underlying fixing prices, are designed to prevent short term manipulations from the get-go. The smart contracts on interest rate do not rely on prices from other smart contracts and thus are immune to price manipulation by flash loan. The underlying fixing price oracle uses 30-minute TWAP instead of instant price, in another word, attacker has to manipulate the price oracle for a consecutive 30mins window, making the attack virtually impossible.
Checking the Post-Only box (make sure to choose "Advanced first!) puts users in “Maker Mode”. Orders placed as post-only will enter the order book and list under Pending Orders. It won’t be executed immediately. Users cannot place cross trade orders.
When Post-Only is disabled, users enter the “Taker Mode”. All orders are filled or cancelled immediately against the existing orders listed on the order book. Completed orders are listed under Filled Trades.
The swap function will be suspended for “takers”, i.e. post-only disabled users, everyday from 13:00 UTC to 14:30 UTC. However, users can always place Post-Only Orders.
If a Rebalance was triggered at 14:00 UTC, the trading function for takers will be suspended until 02:00 UTC on the next day, same as the Primary Market.
Users can continue to place Post-Only orders during this time. All orders placed before the Rebalance will be cleared from the order book and will no longer be filled. Users will find the Status of such orders changed to “Expired” under Pending Orders. Users can cancel the pending orders at anytime.