Summary of Twitter Spaces AMA with Sei and MEXC Global
February 10th, 2023

Speakers: 1) Jeff, co-founder of Sei Network; 2) Leo, Venture at MEXC Global; 3)Moderator.

Full AMA you can listen to here. Time to listen: 53 minutes. Time to read: 10-15 minutes.

Moderator: Would you guys like to introduce yourselves and your projects? What kind of problems are you solving for?
Leo: We are one of the top trading exchanges based in Asia, so we offer the widest trading pairs and also specifically for our venture team. We're actively looking at the next infrastructures for DeFi and NFTs. Many sectors where we're studying it. So I'm glad we're doing the space with Sei, which we're super bullish on and glad to be here and talk about it.
Jeff: We are the first sector specific layer-1 specialize in trading. So the only thing we focus on is offering exchanges unfair advantages.

Moderator: What kind of projects and teams are you guys really looking for?
Leo: I've already met a few projects, including Synthr, who is building over Sei, for cross-chain liquidity zero slippage protocol. So this is something that we're really looking at. And also more specific for Sei because it's one of an emphasis on order book style. We would be also looking for this kind of DeFi infrastructures and innovations tailored to order book style and more DeFi related projects. Jeff: The types of products that we've seen that have the clearest part of market fit are DEXs. Without a doubt, those are the kind of apps that have by far the most frequency of usage. DEXs aren't just what we typically even think of in DeFi like AMM or order books, but are far more widespread than that. They cover NFTs and gaming as well. One of the biggest problems the DEXs teams come across is DEX, the exchange trilemma between decentralization, scalability and capital efficiency. And that's the problem that our team is focused on solving.

Moderator: What do you guys vision for the Sei Ecosystem Fund, and what does success look like for the two of you? What kind of projects or what kind of environment are we trying to foster through this fund?
Jeff: So when we think about some of the things that we really want to focus on as part of our ecosystem fund with MEXC, it's new types of exchanges that typically aren't what people expect, not just DeFi exchanges, but exchanges that are embedded in games, exchanges that are embedded in new types of NFTs and new types of assets (carbon credits, real world assets - authors note*)
Leo: We hope to participate more with Sei with more liquidity provisioning and also the MEXC Venture also have lots of our platform tokens to be rewarded to projects that can also adopt our token as a collateral or trading all kinds of collaboration. And we hope to be part of the right of the transition from centralized exchange to the DeFi trend.

Moderator: For Jeff, maybe you could elaborate more about how many projects might be building on Sei or where they're coming from. And for Leo just love to hear more about, I guess, MEXC as a whole, how many customers are you serving? You know, how many almost like financial products or unique assets are you guys offering at the moment? Jeff: We view Sei as a publisher partner for really good protocol teams and unbelievable founders. So at this point, a big part of it is growing the network effect, bringing it around as many really high quality developers as we can, and helping make it as easy as possible for them to explore the design space for DEXs and most importantly, build a really successful DEX with a great user experience. So at this point in time, we have well over 100 different projects and teams building on Sei going into mainnet. When they think about scaling their DEX, scaling their applications Sei becomes a much better infrastructure fit. Leo: And as for us right now, we had about 10 million users just across that number last quarter. I think our brand image is that we are always the fastest exchange that lists any great assets or popular assets. And in the DeFi era back then we were one of the first to list Synthetics, Aave, Perp and several other ones. I think our best advantage is to be a fast exchange to list great assets. I also used our exchange to do cross-chain bridging because we support the widest coins in different chains. We also hope to support Sei at the very beginning.

Moderator: Why did Sei and MEXC choose to partner with each other? I know, Leo, you just mentioned being the fastest exchange to listings. Were there standout qualities that resonated with you all about Sei and likewise for Jeff? Were there any qualities that Sei really saw in MEXC that led to this ecosystem fund? Leo: The Sei is first of its kind for dedicated order book style exchange. And we've seen so many projects like GMX, PERP, they're all facing the issue of liquidity because AMM naturally has a little bit of a disadvantage compared to the order book style. So I think it's really unique and we can’t miss this one.
Jeff: Some of the best kind of partner for a chain that focuses on the value prop for DEXs and exchanges is unsurprisingly a really strong centralized exchange. And when we think about what are the best ways for us to work together and collaborate, we can break it up into a couple of big parts. The first is the exchange design space. The second way to work together is on the ecosystem. We spend all of our time on making ourselves as useful to founders as possible. I think that's one of the reasons why Sei has the largest ecosystem point blank in Cosmos today. And when we think about the value prop for projects, a big part of it is listing go to market and distribution. MEXC has built up a very large distribution model like Leo had mentioned, over 10 million users already. So all of those users will get access to a lot of the applications built on Sei and a lot of those projects deploying on Sei they'll get the opportunity to list on MEXC as well.

Moderator: What are some of the major problems that DEXs and DeFi apps face today? How can Sei support these products, these DeFi apps and other DEXs as well? Jeff: So first, the biggest problem that DEX founders face tends to be around performance, its speed and making sure that users can get finality on their transactions as soon as possible. So Sei is the fastest chain point blank to finality like multiples faster than any other train out there today. And Sei is actually perhaps effectively the fastest because machines can even possibly become a lot of that due to everything that our engineering has done. You know we call it twin turbo consensus. So optimizing consensus in two major ways. Another way that we've another optimization that Sei makes is parallelization. So today Sei is the only Cosmos chain to conduct parallelization. It allows for more different DEXs to get larger and scale faster. Third is the native order matching. So a lot of order book exchanges typically come across major problems scaling on other layer ones. A big part of that is because the order book has never been built into the layer one. It's always a smart contract. And a lot of the time it's not the problem of the order book, it's the problem of the chain. The chain doesn't offer the best infrastructure for that order book to thrive and to perform well. Sei addresses exactly that by building the order matching engine into the chain. The only thing we focus on is making sure that the performance and the reliability of this chain works.

Moderator: How can the community get involved with Sei and MEXC today? How can we support you all? Leo: Like as we have mentioned, first of all, we're going to be the first exchange to integrate the chain. Our engineer is already actually actively working with them, and we also will support as much on Sei as possible. And also of course projects whoever needs listing will also prioritize that and we are also going to use these funds to support projects who want to build on top of that. And we also are designing a grant program to support the early developers on Sei.
Jeff: The biggest way for people in the community to work closely with our team is through the ambassador program. The stuff that I think really matters to ambassadors is how they can grow a bigger presence within the Sei community, how they can grow a bigger presence themselves as an influencer, as a thought leader. It is the way to get most involved. It's the way to also earn the most Sei tokens as well.
Second big way is we are spending more and more time building out the Asia community as well. And I think that's another big area that we're working together with Leo and his team on. A big part of the Sei Labs team is based out of the United States in Europe, but less so in Asia. And that's why our first big event that we did in 2023 as part of our world tour was in Japan. So for any potential ambassadors based out of Asia, we'd love to hear from you and please hop in our discord and reach out.

Moderator: We have a speaker request from Mr. Rizzo. Feel free to ask your question, bro. What's your question?
Speaker: Are you guys having a pre-sale coming up or not?
Jeff: We don't have plans as of today, but you'll hear updates on Twitter.

Moderator: All right. So we've got a question here from the chat. So how does Sei differ from others Layer – 1?
Jeff: So on one side you have general purpose chains and that's like every big chain. Today it's Ethereum BnB, AVAX, Polygon and Solana. And on the complete opposite you have app specific. So teams that are built around one application. So like DYDX, Osmosis and a couple of others. We think the most interesting design area is actually right in the middle. It's almost sector specific, so not quite general purpose, not quite app specific training. Sei is the whole ecosystem. It's all of the hundred plus different teams and products that are getting launched in each of their communities and the tokens that will come with that.

Moderator: I just wanted to ask what kind of unique products or financial assets are you guys most interested in?
Jeff: When you think about the new types of assets that can be brought on chain and exchanged, a lot of the ones that we're most excited about have the worst. They basically are impossible to trade. Like, you can't have any liquid market with some of these types of assets. So carbon credits is one of them, Renewable credits is another. So these are things that don't really have a liquid market today. They just don't exist. If there are many different companies like Bitcoin mining companies, for example, that use renewable energy. And every time you use solar energy, you can accrue renewable credits. The problem is you can't do anything with those credits now. It's really hard to sell them, trade them, and collateralize them. Once you bring them on a chain as a token, it's much easier to do all that. So those are some of the things that we're most excited about.
Leo: I also saw some ideas that could be on Sei, is that so? We all know the Lens protocol, right? It's an open social graph with even more. What could be more interesting is the open commerce social graph. So say you purchased so many things everywhere and this project is doing to aggregate all of your receipts, your transactions history from Amazon. That makes it an NFTs. What you buy is the commerce graph. As an NFT you can decide to show, like Nike or Starbucks, anonymously see your transaction history and if they think you are really their potential customer, they can choose to give some discount or vouchers, things like that.
Jeff: I completely agree. In fact, there's actually a team that is building on Sei; they haven't announced anything yet. So they're a bit more stealth, but they're doing exactly what you just mentioned, Leo. Leo: Yeah, I think those are both really, really cool use cases that I'd love to see, you know, grow on Sei and on DeFi as a whole. I think we never really see an end to the number of new protocols and number of new ideas that are popping up. And that's really kind of what makes all this so exciting and what makes it a new experience every day.

Moderator: Jeff, Leo, anything else you want to say before we say goodbye to the good people?
Jeff: We really appreciate working with Leo and we're really excited to launch this fund. I think the fact that this $20 million fund came together during a market like this is, if anything, a testament. So really excited to continue working together.
Leo: Yeah. Same for our side too, there's so many interesting things that need to be built on Sei. I'm just really looking forward to testnet and this kind of unique use case we mentioned about. Thanks for having me.

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