On August 2nd, 2022, Source Protocol’s Founding Team members Jesse and Jack joined NaBox — a multi chain wallet and swapping platform — and their 50k+ official telegram community for an AMA. We answered 7 questions about Source Protocol and our product suite that provide tremendous detail and insight into our strategies and larger plans. We encourage you to read the summary below.

1) Please tell us about Source Protocol — What kind of tech have you built? and What’s your mission?

Jesse (Source): Yes, definitely! Source Protocol is a comprehensive blockchain ecosystem built to power all Web 3.0 transactions; value-based, data-based or otherwise. Complete with an interoperable and efficient layer 1 blockchain for secure and scalable dApp, smart contract and tooling development, as well as a full DeFi suite for borrowing, lending, staking, swapping, liquidity pooling, and more. Individuals, developers and enterprises can use, build and integrate Source Protocol’s ecosystem to easily access the latest advancements in Web 3 technology.

Jack (Source): Jesse outlined it well. Yes — to touch on our mission — as a team of experienced developers, blockchain tech experts and finance professionals, Source was created out of our belief in sovereignty for all. By supercharging the power of Web 3.0 tech to make economic interaction more accessible, efficient and private, we’re building a new blockchain-powered ecosystem to enable the next generation of individuals, developers and enterprises with complete ownership and control over their assets.

2) Why did you create Source Protocol? And what problems is your team solving?

Jack (Source): Ah, great question. Well, current blockchain solutions are falling short in a number of ways.

Firstly, many protocols are reliant on centralized exchanges for liquidity, limiting their ability to scale independently. This creates a lot of the same issues traditional finance has been plagued with for decades.

Next — slow tx speeds, high costs, limited scalability, and inability to collaborate with other chains, has created severe limitations in Gen 2 blockchain infrastructure.

Lastly, there still exists a level of complexity in blockchain applications that remains a barrier to entry for the average user, and there is not enough focus on building “bridges” for the enterprise to adopt this technology easily and quickly.

In summary, consumers are eager for a blockchain ecosystem that can securely and sustainably support mass adopted applications. That’s why we’ve built Source!

3) What products and features does Source Protocol have? Can you please introduce to us?

Jesse (Source): Yes — we’d be happy to introduce you. Again, we are a full suite of products, more like a tech company, than we are one token, coin or chain.

👉 Source Chain (SOURCE): An efficient, scalable and interoperable smart chain network to create apps, smart contracts and tools for the Web 3.0 Economy. Secured for enterprise grade solutions. Built with Cosmos SDK. CW-20 capable.

👉 Source Token (SRCX): The first automated liquidity acquisition and DeFi market participation token built on Binance Smart Chain (BEP-20). Engineered to drive solvency and self-sustainability, SRCX rewards participants by-the-block with automated Loyalty and Yield Echoes.

👉 Source One Market & Source Swap: A peer to peer non-custodial DeFi marketplace for borrowing, lending, staking, swapping, liquidity pooling, and more. BEP-20 and CW-20 capable.

👉 Source One Token (SRC1): Governance and incentivized earnings token that powers Source One Market. BEP-20.

👉 Source USX (USX): Source One Market stablecoin backed and over collateralized by a hierarchy of blue chip crypto assets and stablecoins. BEP-20.

👉 DeFi-as-a-Service: seamless white-label integration of Source One Market with existing online banking and financial applications, allowing businesses to bring their customers a full-stack, fully compliant, secure, and non-custodial decentralized banking experience.

👉 Source One Card & Members Rewards Program: Become a Source One Rewards member and earn from a robust suite of perks and rewards. In the future, connect your Source One Card to your DeFi wallet and swipe with your crypto assets online and at retail locations in real time.

👉 Source Launch Pad: Empowering Projects to Seamlessly Distribute Tokens and Raise Liquidity (ERC20, BEP20 capable)

4) Can you tell us more about Source Token ($SRCX) and where we can buy it?

Jack (Source): Sure!! Source Token (SRCX) is a global transaction network that allows users to automate rewards from DeFi lending markets.

It is equipped with automated liquidity capture mechanisms that ensure solvent growth with every transaction. In other words, every transaction increases SRCX’s accessibility, security and transactability.

In addition to its sustainable design, SRCX users benefit from earning automated DeFi market rewards called “Echoes,” without having to participate in any complex DeFi processes themselves. Echoes populate to user’s wallets block-by-block without any required interaction from the user’s end, creating a seamless way to earn passive rewards from this growing industry.

All you need to earn Echo rewards from SRCX is a Web 3.0 wallet (like Metamask or Trust Wallet) and any amount of SRCX more than 0.

SRCX can be purchased on PancakeSwap (make sure you are connected to the smart chain mainnet) or a few major exchanges including LBank, Cointiger, Indoex and a few more coming soon!

Here’s a video on how to buy: https://youtu.be/xefYJxzGeBg

5) Please tell us: What makes Source Protocol special?

Jesse (Source): Unlike the vast majority of existing industry players, Source is an all-encompassing ecosystem. You can think of it as a one-stop-shop. It is not just one chain, token, coin, feature or product, but several that work collectively to form a technology infrastructure that provides value for anyone, from the retail user to the developer to the enterprise. We have a huge incentive infrastructure for users and developers to come, and stay.

6) What are your competitive advantages over other blockchain projects we’ve seen to date?

Jack (Source): Great question!

For builders & developers — Source Chain’s extremely high speeds (2500–10000+ tx / per second), low cost / gas fees ($0.01 average per tx), and scalability (developers can deploy apps in multiple coding languages using CosmWasm smart contract framework), set it apart as a blockchain built to handle mass adopted applications and tools. Not to mention, it’s interoperable with the entire Cosmos ecosystem.

For users — Source Protocol’s DeFi suite is Solvent and Sustainable (Automated liquidity mechanisms create a continuously self-funded, solvent and liquid network), Reduces Complexity (we’re making Web 3.0 easy to use with tools like Source Token which automate DeFi market rewards), and we’ve implemented Enhanced Security and Governance systems (like Guardian Nodes), which help us track malicious attacks and proposals to create a safer user environment.

*****Source is also one of the first ecosystems that will enable wrapped Binance Smart Chain assets (BEP-20) to have access to the Cosmos Interchain ecosystem!

For Enterprises — Source Protocol is one of the first to introduce DeFi-as-a-Service (DaaS) in order for existing online banking and fintech solutions to adopt blockchain technology with ease, and source also provides Enterprise Programs which are complete with a partner network of OTC brokerages, crypto exchanges, and neobanks that create a seamless corporate DeFi experience (fiat onboarding, offboarding, and mutli-sig managed wallets)

7) What’s next on your roadmap?

Jesse (Source): The next few weeks, and months are going to be very exciting! We will be releasing a lot of our products here soon. The one we are very excited to announce is our layer one chain release!

Jack (Source): Yes tons of exciting releases coming up this year!!!

1) Our test net of Source Chain is live to the public this week! Developers and enterprises will be able to begin building apps, smart contracts and tooling on Source Chain, with plans for mainnet to be launched later this year! Source Chain is capable of hosting everything from DeFi, to NFTs, gaming & P2E, metaverse, privacy networks, DeSci, DAOs, cloud & storage, etc.

2) Source has already developed Source Swap, which is an interchain DEX and liquidity pooling platform that will support all Cosmos-based chains and tokens, and will launch with the mainnet later this year.

SRCX and ATOM holders that register with Source Protocol’s website will be eligible for the SOURCE fairdrop when mainnet is launched.

3) Following the launch of Source Chain and Source Swap, will come Source One Market (our BSC-based DeFi suite for borrowing, lending, staking, etc), along with Source One Token (our governance token) and USX (our stablecoin). Source One will be bridged to Source Swap and we will support wrapped assets, making Source one of the first to enable BEP20 assets the ability to efficiently interact with the Cosmos ecosystem.

Learn more about Source, engage with the community, and get exclusive updates on launch, airdrops, etc at the links below:

Website: https://www.sourceprotocol.io

Documents: https://docs.sourceprotocol.io

Twitter: https://www.twitter.com/sourceprotocol_

Instagram: https://www.instagram.com/sourceprotocol

Telegram: https://t.me/sourceprotocol

Discord: https://discord.gg/zj8xxUCeZQ

With an intelligently-designed airdrop, a focus on enterprise development and partnerships, and cross-chain functionality, the $SOURCE Blockchain is poised to quickly rise amongst the industry’s biggest and best.

On Thursday, August 4th, Source Protocol Ltd announced the test net launch of the next standout blockchain to hit the crypto market and the Cosmos ecosystem. Built as a highly efficient, scalable and permission-less blockchain network for interoperable dApp development, $SOURCE is bringing a Binance Smart Chain-based DeFi ecosystem and strategic enterprise partnership development to the Interchain. $SOURCE will be publicly-available for enterprises, developers and individuals to create and use scalable dApps, smart contracts and tools for Web 3.0, DeFi, NFTs, P2E, privacy networks, DeSci, and more.

Read more on Source Protocol’s advanced blockchain ecosystem: A Web 3.0 Tech Suite for Individuals, Developers and Enterprises

According to the team’s CEO, innovative plans have been set in motion to introduce new market share to the blockchain industry at large, with $SOURCE and Source DeFi Suite’s focus on bridging the gap between existing Web 2.0 solutions and Web 3.0. These plans already involve building infrastructure for mortgage data servicing companies, a top tier metaverse, white-labeled DeFi banking services, among others. The $SOURCE team is also currently working with partners to establish a strong presence in many regions including the United States, Dubai, Central Europe, South America, and Japan. The $SOURCE testnet is already onboarding dozens of validators in preparation of the chain’s airdrop and mainnet launch later this year.

A New Approach to Airdrops is Needed

A blockchain’s airdrop plays a critical role in establishing a strong foundation for the chain at the date of genesis. A successful airdrop bootstraps a blockchain’s decentralization to a large group of engaged users while simultaneously inviting them to contribute and participate in the new community network.

All Cosmos Hub blockchains have different strategies on how they approach their genesis distribution airdrop. There is controversy in how airdrops are done as $ATOM “whales” typically continue to receive the majority of each new project’s tokens, and users continually find ways to skirt the rules or “game” the airdrop. This limits distribution and decentralization at genesis. For example, if there is a whale-cap (which limits the amount of coins that can be distributed to any individual wallet address in an airdrop), people can spread their $ATOM to multiple addresses, and therefore avoid the impact of any whale cap. They can later consolidate all of their tokens and have a significant advantage over other delegators. This allows them to diminish the project’s value by continuously liquidating their staking rewards. The $SOURCE team is familiar with these greedy and malicious practices, and has designed a unique airdrop model that will be the most rewarding for the already existing and active #SourceForce community.

$SOURCE-Drop

The $SOURCE-Drop airdrop has been carefully designed to provide maximum benefit to Source Protocol community members that already hold Source Token $SRCX (Source Protocol’s Automated DeFi market rewards token, BEP-20) and stake Cosmos Hub $ATOM. SRCX should be held in decentralized wallet like Metamask, Trust or Binance Smart Chain wallet, and ATOM should be staked with a trusted validator via the Keplr wallet. Registering both your ATOM and SRCX wallet addresses in the Source Web 3.0 app via wallet connect will be required in order to participate.

The $SOURCE-Drop will be whale-capped and will not be game-able. The amount of $SOURCE claimable will be determined by the combined average wallet weight of a holder’s staked ATOM balance and SRCX balance. Wallet weight is determined by the proportion of a user’s wallet holdings to circulating supply. If no SRCX is held, a zero will be registered in the calculation and this will significantly reduce the quantity of $SOURCE received for ATOM stakers that do not hold SRCX. This creates a scenario where even the largest ATOM whales will receive significantly less $SOURCE than a participant that also holds SRCX. Likewise, SRCX holders that do not register an ATOM address on the claiming app will not be able to receive the $SOURCE-Drop as a Cosmos Hub $ATOM address is needed (via Keplr wallet) to generate the new $SOURCE blockchain public address.

***ATOM and SRCX held on centralized exchanges will not be eligible for the SOURCE-Drop.

Multiple snapshots of SRCX and ATOM will be used to calculate the amounts claimable. No snapshot dates will be announced to avoid any gamification. This rewards the true believers and community members of both ATOM and SRCX that are holding long term. This strategy is designed to enable a truly decentralized Web 3.0 ecosystem, rewards those who are loyal to the vision of Cosmos Hub’s “internet of blockchains” and #SourceForce communities, and to create a greater appreciation for recipients of the $SOURCE-Drop.

Bonus Eligibility

Contributors and participants to the $SOURCE testnet will also be eligible to receive bonus $SOURCE from active participation such as creating a wallet, setting up a validator node, launching a smart contract, etc. Additional contributions and active participation by community members will also be rewarded. For more information about the $SOURCE blockchain, click here.

To prepare for the SOURCE-Drop, be sure to install the Keplr wallet and use it to stake your ATOM with a trusted validator. Source Token (SRCX) can be purchased on PancakeSwap and stored in Trust Wallet, Metamask, or Binance Smart Chain Wallet. Visit the Source Protocol website here to follow the tutorial if needed.

Background

Source Chain $SOURCE is a public, permission-less and interoperable blockchain network for enterprises, developers and individuals to create and use scalable apps, smart contracts and tools for Web 3.0, DeFi, NFTs, and more. $SOURCE is a key component of a much larger ecosystem built by Source Protocol Ltd to fuel the ever-evolving global economy.

Source Protocol is a comprehensive blockchain technology suite for the use and developments of Web 3.0 applications, designed for builders, enterprises, and individuals that wish to easily utilize decentralized technology. Beyond Source Chain $SOURCE, Source Protocol’s ecosystem includes a full DeFi Suite, a members rewards program and white-label integration capabilities with existing online Web 2.0 enterprises:

• Source Swap — An Interchain DEX & AMM built on Source Chain for permission-less listing of $SOURCE-based tokens, native Cosmos SDK assets, cw-20’s, and wrapped Binance Smart Chain (BEP-20) assets.
• Source One Market — A peer to peer, non-custodial DeFi marketplace for borrowing, lending, staking, and more. Built on Binance Smart Chain with bridging to Source Chain & native Cosmos SDK assets.
• Source Token $SRCX (BEP-20) — the first automated liquidity acquisition and DeFi market participation token built on Binance Smart Chain.
• Source One Token $SRC1 (BEP-20) — a governance and incentivized earnings token that powers Source One Market.
• Source USX $USX (BEP-20) — Source One Market stablecoin backed and over collateralized by a hierarchy of blue chip crypto assets and stablecoins.
• Source Launch Pad — Empowering projects to seamlessly distribute tokens and raise liquidity. ERC-20 and BEP-20 capable.
• Source One Card & Members Rewards Program — users can earn from a robust suite of perks and rewards. In the future, Source One Card will enable users to swipe with their crypto assets online and at retail locations in real time.
• DeFi-as-a-Service (DaaS) — Seamless white-label integration of Source One Market, Source Swap, Source Launch Pad, and/or Source One Card with existing online banking and financial applications, allowing businesses to bring their customers DeFi capabilities.

The first product of Source Protocol, Source Token (SRCX), was deployed on June 6th, 2022 and is already contributing toward a vision of an ecosystem based on sustainable growth. $SRCX will be integrated with other Source applications like Source One Market, which will open the door to bridge wrapped assets from Binance Smart Chain (BEP-20) to Source Chain (SOURCE) and other Cosmos Hub ecosystems.

Introduction

Existing Blockchain Solutions are Falling Short

• Majority of protocols are reliant on centralized exchanges for liquidity, limiting their ability to scale independently
• Slow transactions speeds, high costs, limited scalability, and inability to collaborate and share information with other chains, has created severe limitations in Gen 2 blockchain infrastructure
• There still exists a level of complexity in blockchain applications that remains a barrier to entry for the average user
• There is not enough focus on building “bridges” for the enterprise to adopt this new technology easily and quickly

Consumers are eager for a blockchain ecosystem that can securely and sustainably support mass adopted applications.

Summary on Source Chain $SOURCE

Source Chain $SOURCE is a standalone, layer 1, proof-of-stake blockchain, based in the Cosmos Hub IBC ecosystem (the Interchain). $SOURCE has been built with Ignite CLI (formerly Starport), which utilizes the Tendermint BFT consensus mechanism (Ignite) and the Cosmos SDK. This enables interoperable transactions with other layer 1 Cosmos Hub blockchains and creates a developer-friendly platform to build on top of.

With $SOURCE, everyone has access to a highly efficient, scalable and interoperable blockchain network to create apps, smart contracts and tools for the Web 3.0 Economy. Developers, enterprises and individuals can build, integrate and use everything from DeFi apps, NFTs, play-to-earn, metaverse, privacy networks, DeSci, and much more.

Key Components

• Sustainable Growth model built for enterprise involvement and mass application adoption
• Guardian Validator Nodes for enhanced network security
• Integration with Source Protocol’s Binance Smart Chain Ecosystem and Decentralized Money Market, Source One Market
• Source-Drop (Fair community airdrop and asset distribution for $ATOM and $SRCX holders)
• Interoperable smart contracts (IBC)
• High speed transaction finality
• Affordable gas fees (average of $0.01 per transaction)
• Highly scalable infrastructure
• Open-source
• Permission-less Modular Wasm + (EVM)
• Secured on-chain governance
• Ease of use for developers

Implementing Sustainable Growth

Sustainable growth is a concept that is severely lacking in the blockchain space, and even in federally-managed fiat currency. Value-backed global currencies, like a gold-backed dollar, have been absent for decades, for example. The global financial system and its counterpart, the global economy, at their current states are more unstable than ever, with inflation and de-leveraging continually on the rise. Blockchain and smart contract technology has massive potential to emerge as key resolutions to the global fiat currency and economy devaluation and inflationary crisis. However, inherent volatility and speculation with crypto assets and blockchain networks have been pointed to as primary unstable growth factors, hindering mass adoption of Bitcoin and more recently, Web 3.0 application usage.

With smart contracts, we can lock-in sustainable value on-chain. They allow for transaction fee accrual and automated processes that can be strategically programmed into economic models that can achieve enduring success. Source Token $SRCX, Source Protocol’s smart contract utility token with automation fees for passive DeFi yield market participation, has already begun to demonstrate how a model like this can be used.

If growth mechanisms like the above were to be successfully integrated into a blockchain economy like Source Chain $SOURCE, it would play a significant factor toward improving security, trust and mass adoption. This, combined with fast transaction speeds, low network fees, secured governance modeling, highly scalable infrastructure, and interoperable IBC capable smart contracts, will provide a massive competitive advantage over current top-tier protocols.

It is time for a blockchain ecosystem to push beyond the status quo and introduce a sustainable growth model that will help to unleash the power behind this great technology. This is what we are building with Source Protocol and the introduction of Source Chain $SOURCE.

$SOURCE Key Features

Interoperability (IBC)

The interoperability and IBC Transfer function of the Cosmos Hub ecosystem (the Interchain) allows for sovereign layer 1 chains like $SOURCE to communicate and transfer tokens in an efficient and secure manner without requiring a bridge. While bridging is a great tool for chains to transfer value, many bridges are plagued with hacks, security exploits and vulnerabilities. The IBC transfer capability of the Interchain simplifies value transfer and provides a more secure and scalable environment for users to participate in.

The Cosmos HUB has a horizontal scaling advantage for blockchains built within its ecosystem (known as the Interchain) due to the capability of IBC Transfers. A simple metaphor to understand this would be to look at Ethereum as a two lane highway where transactions are like vehicles that are limited from being able to change lanes. There is only one path which is very limiting. This causes network congestion, higher fees, and slower transaction finality. In contrast, the IBC capability of SOURCE and all other Cosmos Hub built blockchains.

Not only is IBC functionality a massive advantage for $SOURCE, it also provides additional security for many token holders that participate in the Interchain ecosystem as it eliminates the need for bridging. With all the attacks and hacks on bridges in 2022, the IBC model is proving itself to be a much more future proof and scalable solution.

This model will be secured even further with the Interchain Security upgrade scheduled for the Cosmos HUB in 2022. This upgrade allows validator node operators to provide security to multiple chains simultaneously and receive additional incentives for doing so. For example, once this upgrade is live $ATOM delegators will be able to receive $ATOM, $OSMO, $EVMOS, $JUNO and $SOURCE all from staking their $ATOM to validator nodes that should choose to participate. This promotes further decentralization and makes it easier to further secure newly built blockchains in the Interchain.

CosmWasm

$SOURCE enables Rust smart contract capability with CosmWasm and features a minting system that mints and releases new tokens over a predetermined inflation schedule. Rust is widely-used outside of blockchain technology and is a highly scalable language for smart contracts, making $SOURCE an attractive blockchain for developers and enterprises looking to utilize the power of Web 3.0 technology. On top of that, CosmWasm allows IBC-capable smart contracts between chains, creating an extremely effective mechanism for cross-chain collaboration, value and data sharing. This is considerably important, as the need for information to be shared in an effective and secure way across networks is vital in order for decentralized applications to garner mass adoption.

Throughput & Affordable Gas Fees

$SOURCE has a throughput starting at 2,500 transactions per second (TPS), scalable up to 10,000 TPS, and an average block confirmation time of 7 seconds. Combined, these are significant increases from Bitcoin’s TPS of 7 and average confirmation time of 30+ minutes, and Ethereum’s TPS of 25 and average confirmation time of 6+ minutes. For further perspective, VISA handles about 1,700 to 4,000 transactions per second.

Transaction fees (otherwise known as ‘gas’) on $SOURCE are extremely affordable at approximately $0.01 to $0.07 per transaction. This is significant for developers that wish to deploy various apps, marketplaces, metaverses, etc., as they do not want to be bottlenecked by high network congestion, downtime or high fees that slow user adoption and limit product scalability. Affordable transaction fees are imperative for enterprises, many of whom wish to utilize blockchain solutions for more efficient on-chain data storage via micro transactions.

Decentralization Model

Security for any blockchain is top priority. Without it, the network can be quickly halted or rendered useless, affecting all users, applications and services. $SOURCE has a unique approach towards decentralization with an emphasis on security first.

Fully decentralized governance models have evident limitations in security. For just one example, a malicious on-chain governance proposal could be submitted under the guise of a well-designed narrative that appeals to the community, but in reality would be harmful to the network and its participants if passed. Unfortunately, governance hacks like this are common, and have happened as recently as July 23rd, 2022, when hackers stole $6 million worth of AUD tokens from Audius, a Web 3.0 music platform. Governance systems without a failsafe create high levels of unnecessary risk. A system which considers short and long term risk, ramifications of changes, malicious intent, etc., is necessary to secure a blockchain ecosystem properly.

Guardian Nodes

13 Guardian Nodes will be deployed at the $SOURCE genesis event, managed by the $SOURCE Guardian DAO. Their purpose is to protect the sovereignty, ethos and constitution of the chain, as well as to provide sustainable funding for the community pool and $SOURCE Swap incentives. These nodes hold authority by being delegated a combined minimum of 33.4% of $SOURCE from the strategic reserve and $SOURCE partners. This delegation ensures a successful “No with Veto” by the $SOURCE Guardian DAO to shut down any threatening or manipulative governance proposals. The $SOURCE Guardian DAO will consist of blockchain experts that share a common vision and purpose for the $SOURCE blockchain. As a comparison to these 13 nodes, the top 7 validator nodes on $ATOM are delegated 34.77% of circulating supply by ATOM delegators. The more distributed a chain’s supply is to various validators the more secure it is. Governance Proposals can be used to add additional Guardian Nodes in the future that will further secure the network.

In order to avoid top-heavy centralization, Guardian Nodes will be set to 100% commission. This removes any incentive for additional delegators to delegate to Guardian Nodes and encourages delegation to community validators. Guardian nodes will also avoid being involved in most governance proposals and will, by default, vote “Abstain” to prevent centralized influence over community governance. “No with Veto” will only be used by Guardian Nodes to protect the chain from malicious proposals.

Nefarious narratives are not always perceived as immediate threats by individuals with limited technical expertise, and the Guardian Nodes are to be viewed as a “fail-safe” mechanism that provides enhanced security to the chain. Subversive, threatening and spammy proposals will be immediately shut down and prevented by Guardian Nodes as they exist as a deterrent for any malicious behavior whatsoever.

Guardian Nodes use $SOURCE delegated to them from strategic enterprise partners. These partners will have signed private contracts to commit their delegated tokens to assigned Guardian Nodes as well as trusted community validators.

Source Protocol’s founding team encourages the education and active participation of the community to distribute their delegations to several validator nodes. This increases chain security and makes the network more decentralized. Everyone in the community will have a different level of commitment to actively participate in governance. It is recommended to always research your $SOURCE community validator.

To summarize, the benefits provided by $SOURCE Guardian Nodes are:

• Designed to protect governance and secure the future of $SOURCE
• Managed by $SOURCE Guardian DAO’s expertise
• 13 Guardian Nodes deployed at genesis to spread network distribution
• Non-competing with $SOURCE community validators
• Provides additional funding for community pool
• Abstains from voting unless the chain is threatened
• Provides opportunity for strategic enterprise partners

Value-Backing From Guardian Node Staking

Not only do Guardian Nodes protect and secure the chain, they also provide the chain with a revenue stream. Guardian Nodes will provide additional revenue to the Community Pool, Liquidity Mining Rewards and Strategic Reserve. This allows for a steady flow of value to expand and improve the development, adoption and progress of the $SOURCE ecosystem.

Community Pool

3.5% of the Genesis Distribution is allocated to the Community Pool. The pool is used to fund beneficial proposals passed by the community to improve the $SOURCE ecosystem. There is a 5% tax on all block rewards that also contributes toward replenishing the Community Pool. A percentage of stake rewards from Guardian Validators will also contribute toward replenishing the community pool.

Strategic Reserve

Approximately 33.6% of the $SOURCE genesis distribution will be allocated to the Strategic Reserve. This is used for Guardian Nodes and the funding of $SOURCE development efforts. These funds will be delegated into the 13 Guardian Nodes from the $SOURCE Guardian DAO controlled multi-sig wallet. As strategic partnerships are formed, these funds will be transferred and the partners will sign private contract agreements that maintain their delegated $SOURCE within the Guardian Nodes. $SOURCE in the Strategic Reserve will not be market-sold, as it is needed to make Guardian Nodes possible. $SOURCE purchased from the strategic reserve to raise development capital will also be released on a vesting schedule.

Staking rewards from the strategic reserve will be moderately compounded to uphold the 33.4% minimum delegation of total supply needed for Guardian Nodes. Additional $SOURCE accrued from staking will be used to further fund the community pool, or will be delegated to top performing community validator nodes that provide exceptional services to the $SOURCE ecosystem.

Summary

Source Swap

Introduction

Source Swap is a DEX and AMM currently in beta testing that will allow for trading and liquidity mining of $SOURCE-based tokens, native Cosmos SDK assets and cw-20’s. Wrapped tokens from $SOURCE Protocol’s Binance Smart Chain-based “$SOURCE One Market” will also be integrated. It will allow users to use IBC transfers from various chains for a secure and interoperable user experience. Liquidity pool incentives will be provided from the $SOURCE liquidity mining reward allocation from the genesis distribution.

Fees: Transaction, Swap & Exit

Transaction fees are paid by users when signing and posting transactions to $SOURCE Chain. These fees are distributed to $SOURCE stakers.

Swap fees are paid by users when trading with the $SOURCE Swap AMM decentralized exchange. They are calculated based on trade size and vary by liquidity pool. These fees are added to their respective pool and then distributed to users based on the proportion of their liquidity pool token share.

Exit fees are paid by users when exiting a liquidity pool. They are calculated as a percentage of LP token shares being redeemed. Upon exit, the user’s LP shares are burned and the value is distributed to the remaining LP shares. Exit fees are set by the pool creator. $SOURCE governance can also deploy additional fees to improve the network if needed.

Source One Market & Source One Card

The Source One Market on Binance Smart Chain is a non-custodial, peer-to-peer lending and borrowing market where users are able to earn rewards from lending and access credit lines by collateralizing their crypto assets. Source One Market assets will be bridgeable to $SOURCE Chain, where they can be traded and used for liquidity pool mining within Source Swap.

This will allow for wrapped Binance Smart Chain assets (BEP-20) to have access to the Cosmos Interchain ecosystem.

Source One Market has been developed on the Binance Smart Chain in order to access large volumes of wrapped assets. $SOURCE will implement a bridge and swap feature that allows simple transfer of Source One assets to be used in liquidity pools on $SOURCE and Source Swap.

The Source One card will allow users to manage and pre-load value from their crypto assets to spend at retail locations and online. The card will have several additional bonuses and reward incentives. Spending crypto earnings is a great feeling and the Source Protocol development team is building the backbone to support this in a truly decentralized manner.

Unofficial $SOURCE Genesis Distribution

(These are not final numbers, all of the following is subject to change)

$SOURCE Release Schedule (fixed inflation)

MAX SUPPLY: 1,043,556,906 (unofficial: the true max supply will be around 1 billion and will be finalized once the SOURCE-Drop is released)

Staking

Users will be able to delegate/stake their $SOURCE to qualifying validator nodes via a Keplr wallet. Staking $SOURCE will have a bonding period of 14 days. Once $SOURCE is delegated to a validator, it can be redelegated at any time to another validator node if desired without breaking the bonding period. However, once delegation is broken, the user will not receive staking rewards or have their holdings become liquid until 14 days have passed. The $SOURCE development team is actively working with professional validators to help secure and decentralize the network. The staking rate is determined by numerous factors and will be viewable within the Keplr wallet.

$SOURCE-Drop Airdrop

Summary

The $SOURCE-Drop has been carefully designed to provide maximum benefit to community members that hold both Source Token $SRCX (Source Protocol’s Automated DeFi market rewards token, BEP-20) and Cosmos Hub $ATOM. $SRCX should be held in Metamask, Trust Wallet or Binance Smart Chain Wallet, and $ATOM should be held in the Keplr Wallet. Registering both wallets in $SOURCE’s Web 3.0 app via wallet connect will be required in order to participate.

Details

The $SOURCE-Drop will be whale-capped and will not be game-able. The amount of $SOURCE claimable will be determined by the combined average wallet weight of a holder’s ATOM and SRCX balances. Wallet weight is determined by the proportion of a user’s holdings to circulating supply. If no SRCX is held, a zero will be registered in the calculation and this will significantly reduce the quantity of $SOURCE received for ATOM stakers that do not hold SRCX. Likewise, SRCX holders that do not register an ATOM address on the claiming app will also not be able to receive the $SOURCE-Drop. A Cosmos Hub $ATOM address is needed (via Keplr wallet) to generate the new $SOURCE blockchain public address. ATOM and SRCX held on centralized exchanges will not be eligible for the airdrop.

Bonus Eligibility

Contributors and participants to the $SOURCE testnet (now public) will be eligible to receive bonus $SOURCE-drop from active participation such as creating a wallet, setting up a validator node on $SOURCE testnet, launching a smart contract, and more. Additional contributions and active participation by community members will also be rewarded.

Conclusion

Source Chain $SOURCE will be a highly utilized, transacted and scalable global Web 3.0 network. The genesis distribution model is designed to “jump start” the network by inviting and incentivizing users and contributors to join the $SOURCE ecosystem. Source Protocol’s development team has many features and tools being built and tested that will have a significant impact on the network.

The $SOURCE test net can be joined by clicking HERE. All are invited to contribute and provide feedback to the foundation of this revolutionary Web 3.0 ecosystem.

Developers click HERE to dive into SOURCE CHAIN DOCUMENTATION

Links

Website: https://www.sourceprotocol.io

Telegram: https://t.me/sourceprotocol

Discord: https://discord.com/invite/zj8xxUCeZQ

A community-first approach to Source Protocol’s growth and value proposition that offers members exclusive benefits and rewards within the Source Ecosystem and beyond.

Vision

When it comes to growth, adoption and user value-add, most DeFi products limit themselves to the digital realm. Outside of their code-based suite of services and any competitive advantages they may have technologically, there isn’t much being brought to the table to incentivize users to come, and stay. This, among other variables, has caused fairly high turnover rates when it comes to DeFi products, as many users rush to the ‘next best platform,’ having little incentive outside of security, rates comparisons, asset availability, and fee structures to stay with any particular platform over another.

While Source brings various benefits technologically, and will certainly appeal to customers for this reason alone, we are implementing premier incentive programs and packages that will set Source apart in our ability attract and retain crypto and non-crypto users alike.

Summary

This initiative will start with the Source One Card and Members Rewards Program. Similar to American Express’ concept of luxury and premium benefits through their partners, referrals and perks, Source One Card holders and Source One Members will benefit from exclusive discounts on Source partner products and services, ranging from giveaways to travel to financial education to physical products and much more, as well as early access to future Source product releases and VIP events. Members will also be provided a personal profile and community dashboard to conveniently access all of their benefits and perks, track their referrals and rewards status, and enter exclusive Source giveaways and social media contests.

Source One Cards will come at an early-bird price of only $100 and comes equipped with your personal Smart Chain (BNB) wallet address QR code, your Source referral QR code, your name, and unique Source Members ID number. It is important to note that in the future, these cards will be implemented with debit/credit features attached to your Source DeFi Wallet for converting your crypto holdings to fiat in real time.

While Source One Card holders are automatically given Top Tier Rewards Status, Source Members have the option to earn and upgrade their rewards status via referrals, social media contests and other competitions, without having to purchase a card.

Whether you’re a day trader, new to crypto, a travel enthusiast, or just looking to get the best discounts on your favorite products and services, the Source One Card and Source Members Rewards program is your pass to the best benefits and perks in the new Web 3.0 economy.

Launch Details

The Source One Card and Members Rewards program will launch in July 2022, specific date TBD. Learn more about Source, engage with the community, and get exclusive updates on launch, airdrops, etc at the links below:

Website: https://www.sourceprotocol.io

Documents: https://docs.sourceprotocol.io

Twitter: https://www.twitter.com/sourceprotocol_

Instagram: https://www.instagram.com/sourceprotocol

Telegram: https://t.me/sourceprotocol

Discord: https://discord.gg/zj8xxUCeZQ

As blockchain technology and traditional finance begin to intersect, Source Protocol’s limitless DeFinTech ecosystem plans to be at the center.

Summary

Born out of the need for a simple, solvent and secure DeFinTech solution suite that benefits retail and enterprise users alike, Source Protocol Ltd will be introducing a smart chain ecosystem built to power the Web 3.0 economy over the course of 2022. Source users will be able to:

- Create and use scalable and secure applications on Source Chain, a decentralized, public and permission-less network for cross-chain smart contracts.

- Explore all DeFi has to offer in Source’s peer-to-peer money market, Source Marketplace, where you can instantly access competitive rates on lending, borrowing and staking your crypto assets.

- Simplify your DeFi experience and earn passive market rewards from Source Marketplace with Source Token.

- Unlock the potential of your business by seamlessly integrating Source Protocol’s DeFinTech infrastructure and enabling your customers to utilize next generation financial technology on the blockchain.

Focused on-chain inclusivity, security, and solvency, Source plans to fuel the next generation of the Web 3.0 economy through their ever-evolving, all-encompassing ecosystem fit for beginners, experts, and enterprises alike.

Background

The Source team has a combined 34 years of experience in blockchain technology and cryptocurrency markets and its founders have been active since 2013. Through this experience, the team has come to recognize the benefits and drawbacks that various technologies have to offer. While many are showing promise, it is undeniable that much of crypto’s mainstream use is plagued by low transaction speeds, expensive gas fees, network congestion, lack of scalability, 51% attacks, centralized exchange hacks, minimal interoperability, over-hyped brands with unproven tech, etc. A major lack of solvency and self-sustainability with prominent protocols has also become very clear with recent liquidation crises, centralized or otherwise. Evidence of this fact is arguably more visible due to the hype and what many would consider extreme over-valuations of “meme coins” and NFTs. This has created an irrational market lacking a significant presence of real utility and a dominant technology.​

While blockchain and crypto technology’s adoption continues to grow, slow transaction speeds, ever-increasing network (gas) fees, lack of scalability, and illiquid/custodial protocols have hindered institutional development and excluded many retail investors from being able to utilize valuable DeFinTech dApps and products. Combine all that with the fact that few tech firms are focused on building infrastructure that integrates with existing financial technology, and it becomes clear there is a large gap to be filled. From a business and economic perspective, the market will naturally seek out ecosystems that excel in these categories. For this reason, Source commits to building on, integrating with and implementing the most efficient, compatible, and adaptable tech as the space iterates and improves over time.

Source Protocol’s Vision

Despite the challenges, Source embraces the evolution and benefits of various blockchain and smart contract technologies to date. The team’s vision is to create a continuously evolving and all-encompassing Web3 Ecosystem that unites state of the art technologies in a chain-inclusive, solvent, secure, and automated environment fit for retail and enterprise users alike. As Web 3.0 grows and matures, Source’s focus will remain on value creation for our community and users, ensuring superior security features, continuously audited, value-backed solvency, and economic incentives are a high priority.

As a team of experienced finance professionals, developers and DeFinTech experts, we are dedicated to fostering financial sovereignty by utilizing the power of blockchain and smart contract to make traditional financial services accessible, efficient and private. Together we’re building a new protocol for reliable decentralized lending, borrowing, earning and more, to support the next generation of individuals and institutions with complete ownership and control over their finances.

“Source Protocol is creating an ecosystem to fuel unlimited DeFi participation from all corners of the crypto market.”

Overview

A Decentralized, Public, Permission-Less Network for Cross-Chain DeFi: Built-in Cosmos SDK Hub, users and developers can utilize Source Chain — a fast, scalable, interoperable and efficient smart chain network — to create scalable apps, smart contracts and tools for the new Web 3.0 economy.

All of DeFi’s Benefits in One Token: Holders of Source’s first product, Source Token (SRCX), earn automated DeFi market rewards in the form of “Echoes.” Echoes are distributed to Source Token holders block-by-block, originating from network fees and Source’s Dynamic Compound Liquidity Pool (DCLP), a basket of blue-chip stablecoins that are positioned in interest-bearing smart contract liquidity positions.

Multiple Networks in One Hub: Starting with Binance Smart Chain (BSC) and the Cosmos Hub, Source Protocol retail and enterprise users will have the option to swap assets and engage in DeFi feature sets within an ever-increasing variety of crypto ecosystems.

Enabling Instant Liquidity: Source users can easily collateralize their crypto assets to borrow without credit and with no lockup periods.

Earn Without Giving Up Control: Using smart contracts, Source Protocol enables users to earn from lending, staking, and liquidity pooling without ever giving up control of their crypto assets. Source Marketplace is non-custodial and allows participants complete retention and freedom over their assets.

Offering a Solvent, Self-sustainable and Secure Ecosystem: Source uses automated liquidity pool contributions derived from network fees to create more value and ensure higher security for its users. These mechanisms continuously increase Source Marketplace’s Total Value Backing (TVL), creating solvent growth with each transaction. Deploying on multiple chains will allow Source Protocol to support large volumes of liquidity and establish a position in the most promising, efficient, and high-volume networks all within a single, non-custodial DeFi Marketplace application.

DeFi-as-a-Service for the Enterprise: our team of blockchain and DeFinTech experts seamlessly integrate our platform with existing enterprise and institutional web/mobile applications, allowing them to bring their customers a full-stack, fully compliant, secure, and non-custodial banking experience.

Source Protocol’s Vision for a More Inclusive Economy: As a team of experienced finance professionals, developers, and DeFi experts, Source is dedicated to fostering financial sovereignty by utilizing the power of DeFi to make traditional financial services accessible, efficient, and private. Together we’re building a new protocol for reliable DeFi lending, borrowing, earning, and more, to support the next generation of individuals and institutions with complete ownership and control over their finances.

Learn more about Source, engage with the community, and get exclusive updates on launch, airdrops, etc at the links below:

Website: https://www.sourceprotocol.io

Documents: https://docs.sourceprotocol.io

Twitter: https://www.twitter.com/sourceprotocol_

Instagram: https://www.instagram.com/sourceprotocol

Telegram: https://t.me/sourceprotocol

Discord: https://discord.gg/zj8xxUCeZQ

Tortola, British Virgin Islands — Source Protocol has announced the launch of its utility-based reward token, Source Token ($SRCX). The token saw a 1,000 percent price impact within just a few hours of its fair launch on Monday.

$SRCX is officially live on PancakeSwap, and will soon be listed on LBANK, P2PB2B, and COINSBIT.

Launched on the BNB Chain, the world’s largest crypto network by volume, SRCX is the first product of many to launch in Source Protocol’s ecosystem. The automated DeFi participation and liquidity acquisition token enables users to passively participate in DeFi markets by utilizing built-in automation fees, executed by smart contracts, where a percentage of every transaction is sent to Source’s Dynamic Compound Liquidity Pool (DCLP).

The DCLP is made up of interest-bearing stablecoin liquidity positions and lives in Source’s decentralized money market, Source Marketplace, where users can lend, borrow, stake, and farm various crypto assets. Rewards, called “Yield Echoes,” derived from the DCLP, are then automatically redistributed to Source Token holders, enabling them to reap all of DeFi’s benefits without having to participate themselves.

The SRCX token also helps users and holders gain access to DeFi’s benefits through a single token, regardless of experience with cryptocurrency.

The success of SRCX’s launch suggests Source Protocol is set to become a leader in the DeFi space by making blockchain and Web 3-based financial services more easily accessible, less complicated and more efficient.

Source Protocol’s upcoming launches include a governance token (TMX), a stable coin (USX), a layer-1 POS smartchain (SOURCE), and a decentralized DeFi marketplace (Source Marketplace). Official launch dates will be announced in due time.

About Source Token (SRCX)

Learn how to buy Source Token (SRCX)

Watch an explainer video on Source Token (SRCX)

About Source Protocol

Source Protocol is a multi-chain and interoperable DeFi ecosystem with automated protocols designed for users to easily borrow against their crypto assets and generate passive earnings from lending, staking, liquidity pooling, and more. The protocol is composed of a “DeFi Toolbox” where users can conveniently access the best that DeFi has to offer in one seamless hub committed to interoperability, security, solvency and sustainability.

Website | Twitter | Instagram | LinkedIn

Tortola, British Virgin Islands — Source Protocol Ltd is launching a comprehensive DeFi ecosystem across multiple chains that enables users to easily borrow against their crypto assets and generate passive earnings from lending, staking, liquidity pooling, and more. Source’s first product suite, “Source 1.0,” will be introduced on Binance Smart Chain and their proprietary layer 1 smartchain, Source Chain, built in the Cosmos Hub. Focused on chain-inclusivity, security and solvency, Source plans to fuel the next generation of DeFi through their ever-evolving, all-encompassing ecosystem fit for beginners, experts and enterprises alike.

A Decentralized, Public, Permission-Less Network for Cross-Chain DeFi: Built in Cosmos SDK Hub, users and developers can utilize Source Chain — a fast, scalable, interoperable and efficient smartchain network — to create apps, smart contracts and tools for the new DeFi economy.

All of DeFi’s Benefits in One Token: Holders of Source’s first product, Source Token (SRCX), can earn automated DeFi market rewards in the form of “Echoes.” Echoes are distributed to Source Token holders block-by-block, originating from network fees and Source’s Dynamic Compound Liquidity Pool (DCLP), a basket of blue-chip stablecoins that are positioned in interest-bearing smart contract lending positions.

Multiple Networks in One Hub: Starting with Binance Smart Chain (BSC) and the Cosmos Hub, Source Protocol users will have the option to swap assets and engage in DeFi feature sets within an ever-increasing variety of crypto ecosystems.

Enabling Instant Liquidity: Source users can easily collateralize their crypto assets to borrow without credit and with no lockup periods.

Earn Without Giving Up Control: Using smart contracts, Source Protocol enables users to earn from lending, staking and liquidity pooling without ever giving up control of their crypto assets. Source Marketplace is non-custodial and allows participants complete retention and freedom over their assets.

Offering a Solvent, Self-sustainable and Secure Ecosystem: Source uses automated liquidity pool contributions derived from network fees to create more value and ensure higher security for its users. These mechanisms continuously increase Source Marketplace’s Total Value Backing (TVL), creating solvent growth with each transaction. Deploying on multiple chains will allow Source Protocol to support large volumes of liquidity and establish a position in the most promising, efficient and high-volume networks all within a single, non-custodial DeFi Marketplace application.

Source Protocol’s Vision for a More Inclusive Economy: As a team of experienced finance professionals, developers and DeFi experts, Source is dedicated to fostering financial sovereignty by utilizing the power of DeFi to make traditional financial services accessible, efficient and private. Together we’re building a new protocol for reliable DeFi lending, borrowing, earning and more, to support the next generation of individuals and institutions with complete ownership and control over their finances.

Website | Twitter | LinkedIn

Source Protocol — an up-and-coming smartchain and interoperable DeFi ecosystem — has set out to lower the barriers of entry to this new financial landscape through its suite of products and automated protocols that allows users from all walks of life to easily participate in DeFi. In this pursuit, Source is preparing to launch its first utility-based reward token, Source Token (SRCX); a smart contract token that enables users to passively participate in DeFi markets.

SRCX Yield Echoes and the Dynamic Compound Liquidity Pool (DCLP)

Launching on Binance Smart Chain, the world’s largest crypto network by volume, Source Token utilizes a built-in automation fee that sends a percentage of every transaction to Source’s Dynamic Compound Liquidity Pool (DCLP), a basket of stablecoin liquidity positions within Source’s decentralized money market, Source Marketplace, where users can lend, borrow, stake, and yield farm with their crypto assets. Rewards, called “Yield Echoes,” derived from these interest-bearing liquidity positions are then automatically redistributed to Source Token holders and network participants, enabling them to reap all of DeFi’s benefits without having to participate themselves.

SRCX Loyalty Echoes

In addition to Yield Echoes, SRCX holders and users also benefit from “Loyalty Echoes,” which are generated block-by-block, with every transaction that takes place on the Source Token network. Enabled by the same automation fee, a percentage of each transaction is redistributed directly to all SRCX holders and network participants with every buy, sell or transfer that takes place on the network. The higher the transactional volume, the more Loyalty Echoes are generated for all holders. Loyalty Echoes are designed to incentivize long term participation with SRCX and its Source ecosystem counterparts, and also help compensate the holder for the automation fee.

SRCX Burn Feature

To offset any inflationary measures caused by Loyalty Echoes and Yield Echoes, SRCX contains a large burn wallet that will be deployed at genesis. The burn wallet is a “black hole” wallet address with no private keys, and tokens sent to it are gone forever. Since this wallet is the largest holder on the network, it receives the largest portion of Loyalty Echoes and is blacklisted from receiving Yielding Echoes. Incentive programs will be launched where this wallet will occasionally be blacklisted during promotional periods, which will increase rewards for all SRCX holders and participants. As the network grows, it is also possible for the burn wallet to be blacklisted indefinitely. This creates a balanced network and promotes long term sustainability of the protocol, which benefits all.

Importantly, SRCX’s passive automation fee will be reduced as adoption and transaction volume increases over time. It’s also worth noting that all of the above is accomplished non-custodially and with peer-to-peer initiated smart contracts, so there are no middlemen involved, and users have full independence with their SRCX holdings.

Looking to the Future

With its upcoming launch of SRCX, Source Protocol will soon become a leader in the DeFi space by executing its vision of making blockchain and web3-based financial services more easily accessible, less complicated and more efficient, empowering Source users to have complete ownership and control over their finances.

Source Token — SRCX — will be one of the main factors driving this growth and development, helping users regardless of their experience with cryptocurrency gain access to all DeFi has to offer via one token. SRCX is going to assist in breaking through the barrier of entry to DeFi for retail and enterprise users alike, and will open the floodgates for anyone, regardless of technical know-how, to easily participate. With its dual-reward Echoes structure, SRCX is also an excellent alternative to PoW (proof-of-work) mining networks, without having to afford the necessary hardware and resources required to mine cryptocurrencies.

Launch dates of the Source Token SRCX will be announced soon. To stay up to date on Source Protocol and their plans, visit the website and follow the project on Twitter and Instagram. For a chance to be entered into the whitelist for the SRCX launch, please join Source’s Discord channel. For more detailed information about Source Token (SRCX), visit Source Protocol’s documentation.