Quicksilver (QCK)

Quicksilver is a protocol in the Cosmos ecosystem that provides interchain liquid staking through a permissionless and sovereign blockchain. The network leverages the interchain communication provided by the IBC protocol to seamlessly onboard new zones.

Basics

• Based in:
• Started in / Announced on:
• Testnet release:
• Mainnet release: 7-9-2022, after being delayed 2 days.

Audits & Exploits

• Bug bounty program can be found [insert here].

Governance

• From Figment (24-8-2022):

"Quicksilver is the very first liquid staking protocol to design the "Governance by Proxy'' feature, which allows users to keep their voting rights in governance even when liquid staking their assets. Basically, Quicksilver will be able to mirror the proposals of all native chains, guaranteeing their right to participate in governance. This feature won't be live at mainnet launch, but according to Quicksilver's roadmap, it should be deployed shortly after."

Token

Token Allocation

• From Figment (24-8-2022):

"Community incentives 102.7m, Foundation 40m, Investors 26.3m, Dev Team 21m, Testnet Incentives 10m

Inflation is set to 65% during the first year and will decrease by 25% every year until the token reaches its maximum lifetime supply of 1 billion tokens.

Newly minted QCK tokens are to be allocated as follow:

• 57.5% as staking rewards to validators and delegators for securing the network.
• 15% to the Incentive Pool for ongoing incentives to new users and liquidity providers
• 25% as participation rewards to users and adopters of the protocol
• 2.5% to the community pool controlled by governance, to fund projects that benefit the ecosystem"

Utility

• From Figment (24-8-2022):

"QCK is Quicksilver's native token, and it has three primary roles:

1. Securing the network through staking
2. Paying transaction fees
3. On-chain governance

Additionally, the token also has the (sweet) function of accruing Staking Rewards fees."

Technology

• Whitepaper or docs can be found [insert here].
• Code can be viewed [insert here].

Implementations

• Built on: Cosmos SDK
• Consensus mechanism: Tendermint, PoS
• Algorithm:
• Virtual Machine:
• Development language:

Transaction Details

• Capacity (TPS):
• Latency:

How it works

• From Figment (24-8-2022):

"The main use case on Quicksilver is primarily to give back to delegators the liquidity over their staked assets, without unbonding their tokens or forfeiting their governance rights. The goal is to allow delegators to freely move the liquidity gained from staked assets on any onboarded zone by the Quicksilver protocol—effectively enabling them to maximize their capital.

When a network is onboarded as a zone on Quicksilver—such as Osmosis or Juno, the protocol will be able to issue liquid stakers a qAsset voucher that represents that very same position. A qAsset reflects the user's claim to their original native assets, allowing them to reclaim liquidity initially locked up by the protocol traditional staking mechanism and to use it however they choose to—collateral, liquidity, trading, etc.

Quicksilver also incentivizes liquid stakers to participate and, more importantly, to make positive choices on the network by rewarding them with a portion of QCK inflation emissions—in addition to staking rewards, should they choose to stake their QCK tokens.

Quicksilver's liquid staking functions through custom modules that can be gradually added. Upon onboarding a new zone—another proof-of-stake chain, Quicksilver can issue a qAsset token to represent the staked position of the chain's native token. Meaning, users are able to start liquid staking without unbonding their original assets.

By using the Interchain Accounts application, Quicksilver becomes the recipient of the rewards pertaining to said delegation. After each epoch, which comprises three days, accrued rewards are restaked and the redemption rate for the Asset:qAsset pair is adjusted to include the new rewards. This means the real value of qAssets is accrued over time through staking rewards.  

The risk of permanent loss of value does not apply to qAssets because they reflect the value of rewards accrued on the platform, meaning users will always have a claim to their rewards. This only stops once users decide to exchange their qAssets for their delegations or sell their qAssets at market price—though whoever buys qAssets through a DEX will own from then on the staked position it represents.

Also at the end of each epoch, as an incentive for choosing performant and decentralized validators, users of the protocol (i.e. any qAsset holder) will receive a portion of the QCK token from its inflation emissions."

Roadmap

• Can be found [Insert link here].

Team, Funding and Partners

Team

• Full team can be found [here].

Funding

• Figment was part of the early investors (1-9-2022). And "Figment participated in both their testnets as validators—first in the non-incentivized one, Rhapsody, and later on on the incentivized one, Killer Queen."

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