Spice / Firefly / Prime Crypto / WAGMI AMA

Attendance

 

Main Presenters

Paul Pesek - WAGMI Ventures

Yash Chopra / Roy Lu - Prime Crypto

Company Profile

• Dylan Vu

• Niyant Narang
Got into crypto “late” in 2019

• Jakub
Got into crypto in 2015-16
monetary policy at Olympus DAO

 

Value Prop

• Propy, ties ownership to NFTs

• NFTs are well suited to lending because of their non-fungible nature

• 3 cores in the stack
NFT Apprisal Tool (NFT Bank, Upshot) - gives an idea of what an NFT might sell for in a market - MVP ready
Credit Risk - MVP ready
Auto routing system (Should be done mid sep 2022)
Public launch by end of 2022
Next step - building a borrower aggregator
Then build a P2P matching algorithm

• $1.3m pre-seed round - heavily oversubscribed

• Legal team is the same as behind compound* & dydx*(think I caught the names correctly)

• Multichain implementation planned for future roadmap

Q&A

1. How the industry is responding to the bend DAO events and how the industry will adjust
looking to Uniswap team at 7 lending protocols
Liquidations will be reflected on the open market
MEV risk

2. Graham Smith: How you compare to other NFT aggregators and what differentiates you vs them?
Spice offerings are different from most NFT aggregators. Close similars include Metastreet / Goblin Sachs?
able to provide yields not available by other aggregators
working towards a more efficient product using a flywheel effect

3. CryptoDad: “how Spice estimates the NFT price, specifically for PFP projects. Would it provide different pricing for NFT with different properties?”
represent each NFT as a vector using time, price,
yes they take properties into account

4. Tesa: “how much is spice taking off of the lending yield? what is stopping the user from seeing which lending protocol has the highest yield / lowest borrow rate and going directly to them?”
not routing to best independent lending / borrowing rate, it’s routing to a portfolio
Once P2P matching platform is built out, Spice’s rate offerings will be unparalled and will be the go-to platform for NFT lending/borrowing.
The system is constantly rebalancing portfolio to monitor risk
Spice removes liquidity from pools to provide active risk monitoring for users(sounds similar to DeFi saver’s functionality to monitor MakerDAO vaults)

5. Roy: How does machine learning play into your long term strategy???
Some assets are integrated with cash flows aquisitionaquisition

6. Chris / NF: What plans do you have to tap into the upcoming Real Estate NFT market? What additional complexities are involved with dealing with real world assets?
tapping into that includes forming relevant partnerships - keep an eye on the space and form relationships with companies bringing assets onchain
biggest challenge is Legal implications - what licensing required? staying on top of legalities is a necessity. Spice has two strong legal minds who’ve worked at marquee web3 proejcts
Spice expecting appraisal and calculation of loan with relation to income generating assets
Spice will be going multichain - In touch with Layer 0, Cosmos

7. CryptoDad: How would Spice attract users during the bear market? maybe from product features, go-to-market strategy?
aligns with user acquisition strategy
beta beginning next month
Spice team drawing on personal networks to have representatives of their target user base(whitelisted users) to begin testing
Plan to complete product by the time GTM is through
Partnering with various defi protocols and their treasuries and their communities

8. What keeps the founders up at night?

1. Existing Defi solutions are not exactly suitable for NFTfi

2. Hoping the ecosystem would build out infra so they don’t have to end up building everything.

3. The difficulty of the NFT finance space - there’s a level of innovation that exists to get a valuable product off the ground and solve real world problems

4. Jakub feels like they are working on a turnkey product that will transform the space

5. Niyant: wants to work together with other pools for aggregating to reduce risk management

6. Dylan: NFTs are the financial primitive of the metaverse. We’re not here to build financial primitives for monkey pictures. The tools need to be flexible enough to capture other markets

ROI