Year in Review and Looking Ahead into 2024
Community Newsletter #26: December 2023
Season’s greetings! Extending warm wishes to everyone for a delightful holiday season and a joyous new year ahead in 2024! 🎉
Increment has achieved numerous standout moments throughout 2023. As we embark on this year-end review, there is one significant highlight worth emphasizing: the completion of the peripheral contracts. Illustrated in the diagram below, this achievement has significantly broadened the scope and capabilities of the Increment protocol. Looking ahead, a security audit is scheduled to commence in February 2024.
Continue reading for a full review on all the achievements we’ve completed this year and a glimpse into 2024!
January to April
In the first quarter, the core contributors and core community members reached consensus on launching the INCR governance token in order to establish an ecosystem around the Increment protocol and further its path to decentralization.
Following the launch of INCR, Increment launched its onchain governance model for delegated voting. This model is similar to Alpha/Bravo, the governance smart contract that was first built by Compound in 2020. This governance contract along with a few other distinct modules establish a decentralized, onchain framework allowing the community to modify system parameters, support new markets, or add entirely new functionality to the protocol once it's launched.
May to August
During the summer, we released our latest technical documentation as well as some research articles, taking a deep dive into all the system workflows, smart contract design, economic parameters, and more. Concurrently, we also launched the Increment protocol on zkSync Era public testnet allowing anyone to try out the platform.
Summer always ignites excitement within our community, especially on various activities! A prime example of this was the thriving Increment Twitter Thread Contest. Witnessing community members worldwide come together to generate educational resources for the Increment system and amplify awareness was truly awesome. By the end of the two week contest period, the writers of the winning threads took home an unique digital collectible each! There will be more opportunities to earn unique Increment prizes in the coming year, stay tuned.
September to December
During the final four months of the year, the primary focus centered around the development and implementation of peripheral contract designs. The peripheral system design was inspired by Aave’s periphery contracts but with added features. There were two main mechanisms built:
Token emissions for liquidity providers with early withdrawal penalty
Safety module with multiplier and auction
The complete technical documentation will be released very soon but in the meantime, read last month’s newsletter for a more detailed overview. Here’s is an enlarged diagram of the peripheral system:
During this period, the community also successfully reached a consensus based on the proposal to deploy the core Increment protocol smart contracts to the zkSync Era mainnet.
Looking Ahead into 2024
The forthcoming first quarter of 2024 holds paramount importance for the Increment community. Having Chainlink now available on zkSync and Curve almost there, we stand on the brink of launching the protocol, marking our closest yet to this significant milestone. Following the protocol's launch, a series of exciting community programs will be activated, propelling the Increment flywheel into motion.
Another notable milestone on the horizon involves the comprehensive security audit covering both the peripheral contracts and their subsequent deployment. Once the peripheral contracts are available, it will fortify the protocol, enhancing its economic robustness and security.
As we advance the Increment protocol in 2024, a crucial piece yet to be integrated is the inclusion of risk management tools, such as limit orders. This aspect will take center stage in our research and development efforts in the forthcoming year.
Lots to look forward to in 2024 at Increment. Happy holidays and we’ll see you in January!
Increment is a decentralized, algorithmic perpetual swaps protocol building on zkSync Era, featuring automatically concentrated liquidity, dynamic fees and parametrizable pools.
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