Historic Day For Cardano! First Live Testnet Swap Via SundaeSwap!

get your ice cream ready everyone because today is the first live swap on cardano testnet via sunday swap [Music] what is up everyone welcome to crypto capital adventure hit the like hit the subscribe i mean actually smash the like so many times cardano price is up right now i'm not trying to jinx it as we're doing this historic event and with me today i have my friend pai from sunday swap what is up pai hey dan thanks for having me on kidding me thank you for coming uh so grateful you know to be able to kind of to do this with you it's extremely exciting if i'm sure there's a ton of ada holders out there very excited as well you're going to be doing some you know pretty cool stuff you know we have a little little teaser on the screen so just kind of want to start before we kind of get into this stuff just talk to you a little bit you know sunday swap i have some questions i know the community has some questions and i guess let's first start foundationally what is sunday swap what inspired it sure yeah so sunday swap is uh looking to be the premier decentralized exchange on the cardano blockchain um and so what that means if you're new to crypto or new to d5 decentralized finance um is uh we are looking to be the new york stock exchange or the robin hood of crypto um specifically on the cardano blockchain and that will allow you to fundamentally swap different tokens that you might have for each other um so in the same way that you might swap um and and acquire um assets on something like uniswap or binance or coinbase same thing on sunday swap um the the difference between um us and something like coinbase is that we are decentralized that means that kind of once we build it once we launch it there's no controlling entity it is governed by the community um and uh there's no kind of central piece that can fail and uh and cause the service to go down the protocol just kind of exists out there in the wild kind of similar to how bitcoin or ethereum or cardano just exists and nobody can really fundamentally disrupt it cool so it's going to be extremely uh pivotal and foundational to everything that's kind of going on in the uh d5 space and you know just the entire new cardano ecosystem that's kind of upon us i mean weaks upon us right yeah and that's the hope um you know when you think about all of these exciting projects that are going to launch and are going to have their own token um you need a way to get that token right and um and the dex is going to be kind of the go-to place to do that um and so we're hoping that it's the sunday swap decks that most people choose to go to get their tokens so and so i have i have a couple different questions we have a a big question you know many people wondering uh about the iso and we're going to get to that everybody but i it's something personally i've just been curious of i really wanted to ask you know what what inspired the sunday brand and the whole branding of you know sunday swap and everything that you've put together the story that's being told yeah so that um that comes down to our two co-founders artem and mateen um they're both students at boston university and they met um in september of last year and um a couple months kind of after they met and they were kind of really getting to know each other they got really into pancake swap and they got really excited about the idea of defy and so they said you know how crazy would it be for us to make a protocol and then they learned about cardano and they're like you know we're right on the the cusp of this space right sometime next year cardano is going to launch smart contracts and it's going to need a dex we're kind of perfectly timed to do that so they put together uh an initial technical team and started kind of evaluating that they started building a community started building twitter followers um and and really the the twitter following exploded and um and there was a point where um mateen said to artem he's like you know we got to do this for real right this this is um you know this isn't just us kind of theorizing anymore this is this is real people want this and um and so they kind of let go uh the the previous team um and and tried to find some kind of level up that technical talent and that's how they found me and then uh you know shortly after we found our cto matt um and then we just started building a team and um in some respects we were kind of late uh to the space in that you know we launched um our twitter in very late april right just after the um uh submissions for catalyst fund four closed and um or fund five closed and um our development and kind of caught up in some respects leapfrogged uh some of our competition cool yeah i can definitely appreciate that i love how they came up with this idea this vision they put it out there lightly and it seems like the community kind of showered it showered this little seed into the sunday swap we know and i think i and i've seen some you know big brands grow that way yeah and for me personally um so i found crypto back in 2009 um the the bitcoin white paper got slash dotted which was a kind of technical news site back then um i kind of was in and out of crypto for several years um you know got really excited about ethereum but um didn't kind of buy into it um and then when cardano came along it was really the third project that had made me feel the same way that bitcoin and ethereum had and it just became obvious that you know iog was doing a lot of really good things and so since 2017 i've been looking for you know passively looking for a way to get involved in the cardano ecosystem and i'm not an entrepreneur i don't know how to go and build a community so when mateen and artem came to me and they were like here we have this community we don't have a product um you know as a software developer of um depending on how you count it 15 or 20 years um i i said i know how to build a product you've already solved the problem that i didn't know how to do so it was just uh it was a really good fit that's awesome and i mean the team seems like it's coming together and you know just getting to chat with some of you all has been really cool so i guess along the way what kind of challenges what were some of the biggest hurdles since this kind of started to come to fruition you know since spring what what have you some of the biggest hurdles there yeah so some of the biggest hurdles have been um making sure that we are very careful from a regulatory standpoint um so for example back in may we had this idea it actually came from our community we didn't have the idea um to launch uh and fundraise through an iso model which would be we run a stake pool and we take the ada rewards and then give out sunday in return um and we were kind of all lined up to launch that and uh somebody suggested we get a second legal opinion you know we had one team of lawyers that said you know oh as long as you're doing what other people have done then that's fine um and so we were kind of comparing it to icos but then somebody recommended we get a second opinion and it became very clear very quickly in a very short period of time that what we were about to do would have permanently classified our token as a security and selling unregulated securities is kind of a death knell in this space especially as we see the sec start to wake up to this space and start to talk more about it and start to uh execute more enforcement actions and so we had to we had to delay um that and and we spent a couple of weeks figuring out that model um a model with our lawyers that would work and uh so that has been a big challenges um developing that model and uh kind of staying true to what we wanted to achieve but still staying legally compliant um yeah another big challenge has been you know we're really right there on the bleeding edge of cardano development right uh the smart contracts haven't even launched on mainnet yet you know we're looking forward to september 12th and so a lot of the tooling that you would come to expect when you're just building web apps or when you're building selenium apps or anything like that aren't there yet right um it feels uh in some ways a lot like um you know the the 70s and 80s right we're uh worried about 16 kilobyte transaction size limits and we're worried about you know questioning are we going to have to start handwriting bytecode to get underneath that limit and so those have been some really kind of stressful pushes to figure out those problems and what we're going to demo today is at least you know there's still a lot of work to be done but we're going to show what we've accomplished and and how we've overcome some of those problems cool and i think you know we're just about 10 minutes in we got we got a lot of excited people i say you know definitely have some more questions surrounding the iso surrounding these things uh but why don't we why don't we kind of pivot into the demo and you show us what we're looking at here absolutely so um i am really excited to introduce everybody to sunday swap so let me kick this off loving it hit the like button everybody for sunday swap right now this is yeah one of the things that's been absolutely really brilliant is is our branding team um yeah so and uh shout out to my my shirt so as you know what i the shirt is so is so on point especially for this live stream so i wanted to actually tell you that at the beginning and just got kind of a little sidetracked so awesome sure sure so before i launch into this i want to explain a little bit about what you're going to see um so some of our competitors have done demos in the past and that they've been really exciting and you know a lot of really cool work there this is going to be a little bit different uh in those demos they are either pure ui demos or they were wired up to what's called the plutus application back end or pab for short and that's kind of like a simulated local development environment that iog has put together what we're going to be showing today is actually running a private alonzo testnet so it's the same uh binaries or or files programs that will be running on the stake pool operator nodes when we hit the hard fork and so this has uh a lot more of the kind of real world considerations like for example the simulation environment doesn't check your transaction sizes whereas this your transaction size is too big then then it gets rejected um and there's going to be some things in this ui that aren't wired up to real data yet and some things that aren't so we try to make that really clear because we don't want to kind of give the impression that you know we don't want to lie to you um so i'm gonna click continue this will be this is our current version of the the home page this is one of those things that's not wired up to real data um and if i go over here this is the thing that is wired up to real data so this is the kind of sample pools that we created um in advance for this demo um and these are funds that are locked in um the on the blockchain right and so we have a raspberry strawberry pool we have a fudge and sprinkles pool and we have a chocolate and vanilla pool um so what i'm going to do today is let's just create a new pool um so i'm going to create a pool i'm going to select some ccv tokens and some dan tokens um and we're just gonna deposit you know all of our liquidity into that and so if you're not familiar with what this is doing um this is kind of following in the footsteps of something like unit swap or sushi swap or pancake swap and we create we we create a pair of tokens and what this allows us people to do is leverage the fact that we have both of them to swap one for the other right so somebody can come along and deposit which is what you'll be doing in a second deposit ccv tokens and withdraw damn tokens or vice versa somebody could deposit damn tokens and withdraw ccv tokens um and you know we use a pricing function to kind of track the ratio between them and make sure that it kind of behaves like a market um so i'm going to go ahead and add liquidity can we just talk i mean can we just talk about that for a second everybody look at that that is so sick to me i don't know like i feel like i don't think i'm the only one just been waiting just forever to get like this type of functionality that we've been waiting for you know with the advent of smart contracts coming and like it's literally on the screen right now and it looks so cool i'm just yeah and so so what just happened is we we built the transaction um that kind of spent those funds those that pair of uh tokens into kind of a locked smart contract and it's now locked by a smart contract that will only allow exchanges uh at kind of the the set uh ratio um so um now why don't we um why don't i hand it off to you and uh and you know we've set up a wallet on your end to okay execute the first swap let's do it let's make it happen oh that that's a bit bright though like why don't you uh switch to dark mode switch to dark mode huh everybody want to see dark mode boom awesome i really like the dark mode it's really nice we like it too cool um cool so why don't you go ahead and um head over to the swap page okay so this is a swap page and we've kind of pre-configured you with a wallet um that is holding now we're not integrating with any of the um the kind of wallets right now we're still waiting for uh kind of the the d-app bridge to be ready kind of like metamask or something like that um we anticipate that there will be a couple of wallets that we can integrate with um maybe uroi uh nami uh uh jiro wallet perhaps um we haven't finalized which ones we're gonna be able to integrate with on launch but for the purposes of the demo we've created kind of our own you know dummy wallet that you know hard codes in some things and it's not a great ux but um but it still allows you to access those funds and sign those transactions like you would need to do um so we've set you up with um some data so if you click on select you can see what your balance is um and so we we gave you some ccv tokens because you said you would you wanted to get some damn tokens i need some dan tokens i'm bullish on dan i'm bullish on two sounds so ccv so i can like start kind of swapping however i want to yeah yeah so you know you you'd need to pick a token that you wanted to swap it to right now there's only one token but you could imagine there would be a whole list of them if there were other kind of pairs created that's so cool so 50 max do 146 dan coin yeah and then swap yeah go ahead and swap here we go so cool cool so this is building and submitting the transaction to the blockchain and one of the things that you that kind of our audience will want to keep an eye on as they as other projects launch is is you want to look for if you want to interact with a decentralized exchange make sure that you're interacting with something that's decentralized um so a big part of the challenge in what we've built is making sure that we are truly decentralized so for example this um this interface is hosted on ipfs um or or will be this this particular one isn't but when we launch it's gonna be hosted on ipfs and the um you know we haven't built any special back-end infrastructure um anything that allows you to query the blockchain and submit transactions can be used and so uh there will be an option in the ui for somebody to switch to a different provider for those services if they wanted and so really it's um you know we're committing and and uh doubling down on that whole notion of um being uh decentralized so if you wanna uh this this transaction should have run um if you want to close and check your wallet and see if you have any of those damn coins okay look at that nice so you got those dan coins we got 40 um awesome so that's the swap everyone um obviously there's still a lot of work to do we we're gonna be building um some more features before we launch and uh we're gonna be going through a very extensive security audit with a really reputable firm more details on that soon um but uh is there any other uh questions you want to ask me and we've also got dan we've got something a little special prepared for you so it's gonna take us a little a few minutes to put it together but uh um you know maybe in 10 minutes or so we'll be able to show that off okay so real quick i mean and i appreciate that i'm looking forward to it so rewinding back to what you were just saying to keep things decentralized could you explain to everybody what ipfs is oh yeah sure so in the same way that bitcoin keeps track of a distributed ledger tracking everybody's balance of uh an asset called bitcoin or the same way that ethereum is a distributed ledger that keeps track of a balance of eth and some application state for a decentralized program ipfs is a project that is decentralized storage of files so you can upload a file and it gets replicated across the network and you use um a kind of cryptocurrency that's native to ipfs to pay for that host hosting and so as long as you are kind of keeping that up the file is decentralized and there's no kind of central aws server that can get hit by a meteor to take it out or um you know hijacked to show a different um a different ui that maybe steals your funds or whatever right it's kind of immutable fixed in the ipfs blockchain okay cool awesome and i guess another question is because you know you mentioned you're doing this on a private test net so why private test net and not alonzo purple that's actually kind of funny so um we were you know there's fundamentally no reason we couldn't point this at alonzo purple um the main reason that we aren't and we're running our own infrastructure and our own private test net is because iog asked us not to um actually in the development of our smart contracts um you know this is going to get a bit technical so uh for the non-technical people in the audience feel free to tune out a bit but basically we create certain assets to track internal state of our protocol and we set the token names to things that identify them to for example the pair and so it's uniquely identified to the pair of the tokens and often that comes out as non-utf-8 encodable which means it can't be printed as characters and that breaks right now some of the tooling that iog has built in that the first time it encounters something it's assuming that it can just print those to the command line and it fails and it stops printing and so if we did this demo on the alonzo purple test net it doesn't actually break anything about the blockchain itself transactions are still fine that's still stable and reliable but just some of that tooling like i mentioned is is still catching up it would have disrupted service for all of the um really incredible partners that iog has and um you know the hundreds of people they just invited into the test net and that wouldn't be a great experience just to kind of um just for our you know the sake of our demo um and so we kind of spun up our own private test net it's been useful for development anyway but but that's why we're running there um as soon as that bug is fixed we plan to um deploy a beta version to the test net and let kind of the public play with it too cool um so what you know on launch day what kind of functionality is there going to be when you launch yeah so um we're still pinning that down um uh i don't want to commit too hard to anything but i can give you a sneak peek of what's going to be there either on launch day or very shortly after um obviously what we just demoed the ability to create pools and swap against them is going to be there it's pretty fundamental for us to be able to deposit and withdraw additional funds so you can create these really deep pools that are shared by a number of participants and so that people can be earning um kind of a passive return on um on their liquidity right so that's one of the central draws of a default market is that um not only are we decentralizing access to financial services right and the ability to kind of participate in these markets we're also decentralizing the profits to them right so usually when you buy and sell on robinhood there's some big company or actually several companies in the interim that are all taking their cut and so um we're decentralizing the profits that would usually be collected by those um and by doing that we can and by cutting out many of those middlemen we can provide both cheaper trades and higher returns for people that are kind of creating a market and we're really excited about that kind of a um you know finance for the people movement in a sense um and so being able to deposit and withdraw is is pretty critical to us um we're also it's pretty critical to us to have um governance in place um so there will be the ability to create proposals vote on them etc we've actually partnered with liquid um and in order to kind of save on development time we're going to be using the governance contracts that they've built for for their protocol and that will be fully audited um through the company that they've partnered with um and then we're just going to integrate those into hours and that will allow us to um create updates with new features and then allow people to vote on whether they want that update or not and it will be kind of truly a decentralized organization um and then you know some of our stretch goals are things like yield farming right so the ability to take those lp tokens that you get for depositing liquidity and lock those up and earn additional rewards on top of what you would earn um just from the trading fees and that's really important to create um kind of a a guarantee for the market of a baseline uh price stability right because it gets people to keep their liquidity in the pool and you don't have these sudden swings of volatility okay cool first off and thanks for breaking all that down uh just a special shout out to aydah right now for for hitting 238 as as we talk and as i ask you a popular question in the chats how do i get sunday how can i get some sunday yeah absolutely so um the there will be three main ways to get sunday that we've announced so far um there may be a couple others but we haven't announced details on those yet the first wave and the kind of one of the most well-known the one that got us a lot of notoriety is this idea of an iso and it's changed a little bit from you know some of the other interviews that i did back in may with with big pay uh we love you big pay i hope to see you soon um but um now the iso is going to launch alongside and i talked about this with uh cardona with paul but um the iso is going to launch alongside the decks um so you will be able to stake your ada to stake pools that are run by trusted and reputable members of the community and there will not be a 100 fee it'll just be a normal kind of fee percentage to compensate those trusted members of the community um and so you will get both your ada rewards and your sunday rewards um this is because we no longer view you know we'll have built the decks it's no longer a fundraising vehicle for us um instead it is kind of a marketing vehicle to get people to know about and get people excited about sunday and um a tool in building kind of a decentralized voting body right because this is going to be our governance token and so we're going to be launching that token once there is a dex to use it on meaning it will be it will have utility from day one it will have things that you can use it for from day one and it won't depend on um kind of somebody delivering some product in the future and we're gonna be giving out five percent of the uh total supply um one percent per epoch so it'll run five epochs um and then we'll you know we haven't announced the exact details of how we're going to calculate people's rewards because we want to layer in some whale control to make sure that like i said it gets distributed evenly among as many people as possible and you know we haven't finalized the details on that and we don't want to announce it too far in advance because then people can try and game the system cool so that's the question that's the ultimate question i mean it's just like flying through the chats when when is the iso when yeah so that'll be when we launch the decks which um you know i give this disclaimer every time and people still try to hold me to hard dates but um you know that's gonna depend on our audit it's gonna depend on if we have to make any major changes um but right now it's looking like that's gonna be mid-october and so you know i try to strike this balance between giving you as much information as we have and you know giving you information that might change so i would really appreciate some understanding if that does change but you know we're feeling pretty good about that right now um to go back to your question oh i just got very bright um to go back to your question you're in this uh um so that's one way to get sunday um another way to get sunday uh that is gonna be a little bit more lucrative uh for um you know exactly how much more lucrative we can't we don't know uh because it's gonna depend on market factors but is providing liquidity to the decks right so um in the demo i took some pair of assets and i deposited it and i'm providing a service that so that other people can swap those tokens and in return for that i get i'm going to get rewarded right and so we're going to be distributing a portion of sunday rewards out to people who are providing liquidity and then the third way that we have announced is to be able to buy it on the decks itself right so there will be pairs for sunday to ada and sunday to some other tokens potentially and so you just swap and get the the ada okay or get the sunday sorry so a few different methods in accumulating sunday absolutely and and sounds like coming soon as well on pretty short term so um last question i have for you i guess because you know there's so much going on what's gonna differentiate sunday swap from you know all the competition out there um yeah so uh it's a little hard to say because nobody's launched yet and everybody's being kind of a little tight-lipped about their plans we do have some interesting plans some of which i can't talk about today and some of which i can kind of tease one of them is going to be our partnerships that we've established to bring lots of liquidity day one to the the decks and for those who kind of aren't familiar with the space liquidity brings with it capital efficiency meaning that um you will be able to swap uh tokens with less slippage which means that your trade will execute closer to the true market price and closer to you know what you intended to trade it at rather than if you have a large amount to trade it kind of slipping before your trade executes and so that will differentiate us we found some other ways in the design of our protocol um that i won't go into detail on to reduce that slippage even further um and uh you know where we are thinking about some really novel liquidity farming mechanisms um so being able to compound that yield and some alternative sources of income for people who are providing liquidity so we think that will be really attractive to people um and uh you know we're really also doubling down on this ecosystem of integrating with other products um so we've announced partnerships with liquid and um uh and indigo there's a few others in the works um so we're really trying to create this rich interconnected cardano ecosystem that benefits everyone and um and so we think that that will differentiate us there's a few others that i that i won't necessarily go into right now but keep your eye out yeah so that was a this was a question i'm glad you just answered that how do you provide liquidity so thank you for that here's another one i thought might be kind of good to bring up how's the transaction fees compared to ethereum network yeah so that's one of the things that makes um cardano very unique right so this is um this question can be broken up into two parts right because whenever you swap on something like unit swap you're actually paying two different fees you're paying the transaction fees to get the ethereum network to process your transaction and you're paying the swap fees to get uniswap to allow you to use their service and that unit swap fee is what gets paid to the liquidity providers and the um the gas fee the ethereum fee is what gets paid to the the miners over on the ethereum chain so we haven't announced details about our fee structure so that second part i can't talk about but for the first part that's one of the really big differentiating factors of cardano is that the fees are so much lower and in fact the fees are predictable so you know what the fees are before you submit the transaction to the blockchain i mean so you can never under spend or under collateralize you know often people will run transactions on the ethereum blockchain and they'll fail halfway through and a portion of your gas is still eaten and that unless you're being malicious that can't happen on cardano you should know ahead of time whether your transaction is going to succeed or not and uh fundamentally the um the fees on cardano are a protocol parameter that they can adjust that um right now iog but in the future the kind of distributed governance body of cardano can adjust so part of what makes ethereum so expensive is that the fees were set back when ethereum you know was worth much less and the price of ethereum surging means that the price of the gas fees are are surging and it's difficult for them to adjust those how would you answer this one what is the initial cost going to be for sunday token um i would answer and i can't go into a lot of details on this that the market will decide um i get we can't uh set a price for the token that's one of the things that's uh dangerous and uh a big no-no from the the sec 100 cool and thanks for clearing that up because it's i mean it's probably besides all the other top two questions is probably the most asked question so yeah i mean i think absolutely i think we covered a lot there so i i truly appreciate you breaking all of that down and i know there's more to come so everybody make sure you're following closely you know sunday yeah on twitter dan can i ask you a couple questions sure can i get your honest reactions to what you just saw what did you what did you think i mean i'm excited i don't know what else to say i mean so it's very you know personal to me because going back especially to last summer i started really getting excited about cardano what's being built after really getting you know some just doing some due diligence my buddy my buddy ed out there he he kind of really got me on on the cardano train and you know ever since i've just been focused on uh not only from an investment standpoint focusing on the opportunity but just building it there i'm an entrepreneur at heart and i just have a mind that always wants to do new things try new things and just having cardano blockchain kind of acting as this platform and it's really starting to come come into fruition now where i can kind of do that right experiment my ideas and and everybody out there has the opportunity to do that um as i'm meeting up say with my buddy ed right over the last year we're talking about man what's what kind of decks are we going to be using one day because that's coming right and we're talking months ago we're talking about that uh probably even before sunday swap was even a thing and and now i'm sitting here and i'm looking at it and it's just like it's everything kind of that you you i envisioned and better um the i love the branding the minimalistic feel from a design perspective is beautiful to me i like that and yeah i mean it's just i like it awesome i'm really glad to hear that we were really excited um you know we're big fans of your work so we're really excited to that you agreed to have us on the air for this um and um we wanted to do something really special for you and so what i've had my our graphic designer doing kind of in the background is um uh it's gonna take a few more minutes to render or i see him typing so maybe he has it now but we've um we've made you an nft to kind of commemorate this first uh swap um so uh i sent you earlier a draft of that you want to pull that up and then uh and then we'll we'll send you that once it finishes rendering cool let me get it let me grab it trying to grab it everybody it's not letting me bring it onto the screen bear with me here you know what i'm really glad the demo gods today decided that this is what was going to go wrong and not um not my demo oh this is nothing yeah there we go there it is yeah so so we we've created this nft for you we're gonna be minting it um and uh using the nami wallet and um and send it to you and um uh the thing that's taken kind of a few minutes to render is if you notice right above the first testnet swap there's like a hash so we took the transaction hash of the first swap you did and we're rendering that into it so it's very unique um and uh and you know we just wanted to kind of commemorate this special moment um as far as we know this is the first public demo of like substantial uh you know dap smart contracts on a card on a blockchain and that's a thing like i mean this is pretty because i put it in the title i don't know if i'm like being over dramatic or i'm just like trying to put some clickbait out there but like it's pretty historic right i mean i think it's really cool so uh this is literally a moment that is being captured via nft and you know i feel very grateful that that you kind of you guys are doing that and i i just very thankful for for you guys absolutely absolutely um i'm really proud of our team for for what they put together yeah well i think um and i'm guessing it's still rendering and it's it's still doing all that good stuff and that's all good this is what it looks like the story you know lies in that and all those numbers just above the first testnet swap i mean i'm extremely excited to have that sitting in my cardana wallet it's pretty sick yeah it'll be pretty special yeah um do you have any other questions for me before we uh before we go i don't think so i think you covered a lot i really truly appreciate your transparency i appreciate everything that you and the team over there sunday swap are doing and you know looking forward to more to come looking forward to seeing what you continue to build and uh once again thank you for for cruising by yeah we're really excited too and thank you again for having us on um thank you to our wonderful community for tuning in and uh you know keeping us going with your excitement it's just been fantastic yeah that's it that's actually a great point thanks to everybody in the chats right now for just you know watching we're at cardano sitting at 2 42 i wasn't going to talk about price a lot in this in this video but listen every time i go live you know that doesn't happen so thank you pie for making it happen so everybody of course pie you know coming on here but uh i appreciate all of you it's truly it truly is uh the fact of the matter you know the community is foundational to everything that is being built and and the ideas that are being inspired on this blockchain called cardano so thanks to all of you guys hit the subscribe hit the like as always i will see you in the next video god bless