Knit Finance AMA Recap with the Coin Crunch Community
On the 22nd of January, 2021, Sainath Gupta, CEO & Founder of Knit Finance, was live on the Coin Crunch Crypto Community Telegram group, to provide the community with insights on what Knit Finance is all about, details on upcoming developments, and also attend to their questions and queries. The session was moderated by Naimish Sanghvi, who kicked off the session by launching an interactive session with the CEO. Afterwards, Community members were then given ample opportunity to ask questions.
In order to ensure clarity to my readers, this article has been divided into two segments; the first segment, gives full account of the questions asked by the moderator (Naimish Sanghvi) of this AMA session, while the second segment gives account of the questions asked by Coin Crunch Crypto Community members.
Naimish Sanghvi — Welcome Sainath how are you?
Sainath — I am doing very good Naimish, thanks to you and for the community to have me here.
Naimish Sanghvi — Knit Finance is an upcoming Multi chain DeFi platform. It is going to the platform that allows trading, lending, borrowing on real world assets like gold silver and more. how did you come up with the idea?
Sainath — We saw that DeFi was like $13 billion and Crypto cap was $700 billion huge value that can still be added into DeFi world.
Naimish Sanghvi — DeFi is definitely big right now. How do we secure real world assets in real world while trade on DeFi platforms?
Sainath — In our model, a trusted custodian ensures that (from our marketplace) ensures the trust behind security behind real world asset.
Naimish Sanghvi — Why do you think there is value in synthetic assets?
Sainath — That’s the only model by which you can support multiple assets on multiple chains simultaneously.
Naimish Sanghvi — What is the Knit Finance journey like? Was it hard to get to this point?
Sainath — It was crazy. But having a great team made it an exciting journey so far
Naimish Sanghvi — Why the name Knit?
Sainath — Two things behind choosing Knit:
Knit means: to form by interlacing yarn or thread in a series of connected loops. Also, to link firmly or closely knitted my hands, or to cause to grow together time.
We at KnitFinance connect multiple projects chains/ tokens using bridges hence Knit. We also will be the reason for getting this disjoint assets to work together
Naimish Sanghvi — Fantastic!
Community Question 1 — How Token burning is scheduled for native tokens any special benefits we get apart from regular price spike ?
Sainath — Native coins are 1:1 collateralized so no burning for them
Community Question 2— Yield farming is there?
Sainath — Yes. For providing liquidity we have yield farming
Community Question 3— can you share that custodian name?
Sainath — Hypothetically, when we launch and we are considering Real estate rentals as assets on DeFi . Then embassy rights can be held by a custodian like Zerodha verified by a third trusted party which can be minted as synthetics available to be bought on any chain.
Community Question 4— In India when all those assets come in play like gold silver then many regulatory body of government involves
Sainath — Yes, In our first stage we are only supporting crypto. Holding company is from Singapore.
Community Question 5 — How will you ensure startup profitably, as crypto startups major source of income is by selling their reserve tokens like ripple did?
Sainath — Our way is to get product traction, every time a synthetic is minted we get a small revenue considering the scope is in billions of dollars, we should be good.
Community Question 6— What other chains are you planning during the initial launch?
Sainath — Currently our POCs are on Ethereum, Polka and Matic.
Community Question 7— What is Most Special in Knit Finance and give me a unique feature or key that is in Knit Finance itself that is different from the others?
Sainath — We are providing each synthetic token 1:1 collateralized and will be available in multiple chains creating a number of DeFi use cases and advantages.
Community Question 8— Which coins will you Support first apart from BTC?
Sainath — Privacy coins are focus areas
Community Question 9 — Any specific reason to get privacy coins first when many top exchanges running away from it?
Sainath — That’s the sole reason for privacy coins focus.
Community Question 10— how will you ensure mass participation is this crowded DeFi landscape. What’s your plan for mass adoption?
Sainath — This product was conceived after lots of research and finding the actual need So we are thinking it will get traction for sure. We have good ecosystem partnerships as well.
Community Question 11 — why token sale? here are multiple projects working fine without any need to launch tokens in Initial phase?
Sainath — Having a good Run way makes us to concentrate on making and iterating products
Community Question 12 — What’s the revenue model for KNIT?
Sainath — every time a synthetic token is made a small fees is charges which is our revenue
Community Question 13 — Only while generation or vice versa?
Sainath — During deposit and withdrawal.
Community Question 14— Is there any airdrops/public sale /IEO for KNIT tokens?
Sainath: No airdrops for now.
Public sale: yes to create awareness and interest, will be small amount though
Community Question 15— Private Sale status? Open or closed?
Sainath — We are over committed at the moment. Very good interests from strategic investors is all I can say.