AIP-556: ApeTrade Bot Proposal on the ApeChain

PROPOSAL NAME:

ApeTrade Bot Proposal on the ApeChain

TEAM DESCRIPTION:

We are the ApeTrade Team, composed of experienced developers, blockchain experts, and AI specialists. Our team has a proven track record in building cutting-edge crypto trading bots, integrating AI-driven trading systems, and ensuring cross-chain compatibility.

Core Team Members:

  • Daniel (Lead Developer):
    With 6 years of experience in IT and blockchain development, Daniel leads the technical development of the project and oversees all blockchain integrations.
  • Frank (CTO):
    Holding a master’s degree in Software Engineering, Frank is responsible for overseeing the technical direction of the project and ensuring the scalability and security of our platform.
  • Adrian (Project Manager):
    Adrian brings extensive experience managing DeFi and crypto projects, ensuring smooth execution and cross-platform collaboration. He specializes in coordinating between technical and non-technical teams to keep the project on track.

Telegram: @ADRIAN00780

  • Denzel (Head of Design):
    With 7 years of experience in web design and 3D art, Denzel is responsible for the user interface (UI) and user experience (UX) of the platform. His creative vision ensures a seamless and intuitive design, enhancing user engagement and accessibility.

All team members are prepared to undergo KYC verification and sign a grant agreement before the release of any funds.

PROPOSAL DESCRIPTION:

We propose developing ApeTrade Bot, a decentralized trading bot that integrates with the ApeChain ecosystem. The bot will be multi-chain compatible, supporting Ethereum, Arbitrum, Solana, and ApeChain, and will leverage advanced AI technology to enhance trading strategies for users. We notice that retail users are still holding back to enter web3 space because of its complexity. By building the ApeBot and a web UI, we’re enabling users to become a part of ApeChain’s ecosystem and crypto with the slightest ease.

Key Features:

  • Multi-chain compatibility for cross-chain asset management.
  • AI-powered trading strategies, including real-time arbitrage detection and emotion-aware trading.
  • Core trading functionalities like limit orders, instant swaps, and portfolio management.

Income Model:

The ApeTrade bot will have two sources of income:

  1. Fees of the transactions.

  2. Subscription fees for using the pro version, including the (more sophisticated) AI features.

For the above mentioned revenue streams, our intentions is to give ApeCoin DAO the following percentages:

  1. 20% of all the fees collected through trading

  2. 50% of all the fees received from the subscriptions

These fees will be used to buyback ApeCoin and the tokens will be burned. We believe it will create a deflationary model in the circulating supply as well relieving selling pressure.

These fees that are given back to the ApeCoin Dao are lifetime long and thus has no expiration.

At this moment, we are looking at the market’s fees for using a bot. This is ranging between 0.8% and 1% of one transaction. To be competitive, we will be on the lower end of this spectrum. But we are also looking at options such as staking-as-a-fee-services and others to bring back value to the chain.

The bot will focus on scalability, ensuring it adapts to market expansion and the evolving needs of ApeChain users. Security is paramount, and we will employ top-tier security audits and cutting-edge AI-driven risk management.

Goals:

  • Building the first AI trading bot on ApeChain to attract users to the platform
  • Lower the bar for retail users to enter Web3 and ApeChain’s Ecosystem

BENEFIT TO APECOIN ECOSYSTEM:

The ApeTrade Bot will deliver significant value to the ApeCoin ecosystem by:

  • Revenue returns: ApeTrade Bot would provide the ApeCoin DAO treasury with 20% of all the fees collected through trading and 50% of all the fees received from the subscriptions.
  • Increasing trading activity: With AI-enhanced trading, more users will engage in trading, driving volume onto the ApeChain network.
  • Boosting cross-chain liquidity: By facilitating cross-chain asset transfers, the bot will improve liquidity and draw new users to ApeCoin.
  • Enhancing user retention and growth: With a user-friendly interface and features like referral systems, we anticipate stronger community engagement and growth.

We have seen many people who want to enter the decentralized space but face barriers like security concerns or unfriendly user experiences. ApeTrade will solve these issues by offering a safe and user-friendly platform where even beginners can start trading confidently. The AI-powered system will guide new users and help them avoid common mistakes, creating a welcoming space for all levels of traders.

Our goal is to reach 10.000 users within its first month of launch and 100.000 users within the quarter. The details are shared and explained in the marketing plan (TBA).

DEFINITIONS:

  • Limit Orders: Users can set specific prices for buying or selling assets. Trades are executed automatically when the set price is reached.
  • Cross-Chain Functionality: Enables asset transfers between different blockchains (Ethereum, Solana, ApeChain, etc.).
  • AI Trading Features: Leveraging AI for enhanced trading strategies, such as sentiment analysis, real-time arbitrage, and emotion-based trading.

STEPS TO IMPLEMENT:

  1. Initial Planning & Design:
  • Define the scope of the trading bot, AI features, and cross-chain functionalities.
  • Design user interface (UI) and user experience (UX), ensuring simplicity and ease of use.
  • Denzel will lead this phase by designing the interface to appeal to both novice and professional traders.
  1. Core Bot Development:
  • Build the core functionalities of the trading bot, including basic features like limit orders, instant swaps, and portfolio management.
  • Ensure multi-chain compatibility with Ethereum, Solana, Arbitrum, and ApeChain.
  • Backend development will focus on ensuring high transaction speeds and reliability for all users.

Completion of core trading bot with essential trading features and multi-chain support.

Budget: $35,000 for development, personnel and infrastructure.
Timeframe: 2 weeks

  1. AI Feature Training & Integration:
  • Train AI models for key trading strategies, including real-time arbitrage detection, emotion-aware trading, and predictive modeling for market trends.
  • Test and refine AI features through multiple simulations and live user sessions.
  • Integrate AI with the bot to enable automated trading strategies that adapt to changing market conditions.
  1. Beta Testing Phase:
  • Conduct beta testing with selected users from the ApeChain community to gather feedback and identify any bugs or performance issues. When we nearing the Beta version of the ApeTrade Bot, we will set up a test group among our community through announcements. This private group will be informed about the testing and we will discuss the detail in the private by that time.
  • Perform stress tests on both the bot and AI functionalities to ensure scalability and robustness.

Successful AI integration with live user feedback and initial optimizations. Completion of beta testing with key issues resolved and optimizations applied.

Budget: $55,000 for AI training, testing, and scaling.
Timeframe: 5 weeks

  1. Security Audits:
  • Third-party security audits will be conducted to identify potential vulnerabilities in the system.
  • Fixes and patches will be applied to ensure the security of both user funds and trading data.

Completion of security audits with no vulnerabilities.

Budget: $10,000 for auditing services.
Timeframe: N/A, dependent of external parties

  1. After successful development phase > start banana bill (part 2 of raise) for marketing and launch costs

REPORTING EXPECTATIONS:

We will provide monthly progress updates to the ApeCoin community, which will include:

  • Development milestones and project updates.
  • User feedback and performance data during testing phases.
  • Key metrics and updates after the official launch.

Reports will be shared via the ApeCoin forum and our Telegram channels. Once the launch of Apetrade Bot is live, the reporting to the community will stop and be continued in our Telegram group chat and announcements channel.

OVERALL COST:

Total amount requested from the ApeCoin Ecosystem Fund = $100,000

Budget Breakdown:

  • Development Phase: $35,000
    • Design UI+UX: $5,000
    • Setting up and running AWS: $8,000
    • Hiring 2 extra developers for 8 weeks: $20,000
    • Paying licenses and such: $2,000
  • AI Development, Testing & Integration: $55,000
    • Hire external parties to set up models for AI training: $20,000
    • Hire 1 specialist developer to assist on the AI integration of the models into the Apetrade Bot: $10,000
    • Payout core team members: $20,000
    • Running AWS: $5,000
  • Security Audits: $10,000
    • Auditing by 2 external parties: $10,000

We would prefer to have our funding provided in one lump-sum payout.

This proposal also requests support from the APE Foundation to facilitate community outreach via discussion platforms, the official website, and Snapshot to maximize the proposal’s visibility and engagement with the ApeCoin community.

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Hi @ApechainProject,

The community feedback period for your proposal would be ending in roughly 24 hours.

  • If you’re content with the feedback received, your next steps are to finalize your proposal using the AIP Draft Template.

  • A moderator will reach out to the author to finalize the AIP Draft. Upon receipt of the final Draft, we will review and provide instructions on the next steps.

  • Are you ready to proceed to the next phase or do you wish to extend community discussion for another 7 days?

We look forward to hearing from you.

-@Facilitators

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Hi @ApechainProject,

Thanks for the update! We’re good to go and ready to proceed to the next phase.

Looking forward to the next steps.

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This topic was automatically closed after 7 days. New replies are no longer allowed.

Hi ApeCoin DAO Community,

The AIP Draft submitted is currently incomplete and feedback has been provided to the author.

Follow this Topic as further updates will be posted here in the comments.

Thank you,

-@Facilitators

Hi ApeCoin DAO Community,

@ApechainProject has completed editing their AIP Idea to be their AIP Draft.

This proposal has been assigned the AIP ID Number 556.

Follow this Topic as further updates will be posted here in the comments.

Kind Regards,

-@Facilitators

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Hi ApeCoin DAO Community,

Our team has reviewed and discussed @ApechainProject’s AIP Draft and have sent a list of initial questions. We await answers.

Follow this Topic as further updates will be posted here in the comments.

Kind Regards,

-@Facilitators

Hi ApeCoin DAO Community,

@ApechainProject has responded to our questions and they are in our review once again.

Follow this Topic as further updates will be posted here in the comments.

Kind Regards,

-@Facilitators

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Hi ApeCoin DAO Community,

@ApechainProject has responded to our questions and has provided consent to share them in this forum for the community.

Click to expand Q&A with @ApechainProject

1. Regarding your funding, in the event of a successful passing of this proposal, do you anticipate being funded in one lump sum or via milestone-based funding tranches? If the latter, please indicate your preferred payout schedule.

We would like to receive the funds in one lump sum.

2. Regarding your Reporting Expectations, at what point would you expect your reporting to end?

Once the launch of Apetrade Bot is live, the reporting to the community will stop and be continued in our Telegram group chat and announcements channel.

3. You’ve included in your Steps to Implement “After successful development phase > start banana bill (part 2 of raise) for marketing and launch costs.” Is the complete and successful implementation of your proposal contingent upon receiving additional funding via the BANANA Bill?

No it’s not contingent. The extra funding via Banana Bill will certainly give us more options for the launch and marketing, but without it, we believe our project and team is strong and resourceful enough to seek other ways to make the next stage successful.

4. If Banana Bill funding is unsuccessful:

a.) Would the ApeTrade Bot still be launched?

Yes, the Banana Bill application is a phase that is planned after the ApeTrade Bot’s development.

b.) Is there an alternative plan in place if the funding isn’t secured?

We will resort to friends and family as well as Ape Chain’s community and possible even VC’s.

5. Have you applied and/or received any funding for this proposal via the BANANA Bill?

No, we haven’t.

6. Do you have any estimated costs or fees for users to use the ApeTrade Bot’s features, or any premium features?

At this moment, we are looking at the market’s fees for using a bot. This is ranging between 0.8% and 1% of one transaction. To be competitive, we will be on the lower end of this spectrum. But we are also looking at options such as staking-as-a-fee-services and others to bring back value to the chain.

7. If fees are collected, are there any plans for a return of revenues back to the ApeCoin DAO treasury?

Yes, this is the plan all along. But we haven’t set it in stone yet.

8. Do you have plans to protect any collected user data? Please elaborate.

We will keep the collected data to a minimum since this is not one of our objective to monetize on this. The collected data is stored on AWS and we believe that this party has proven it’s reliability already. If the audits shows any vulnerability along the development in any kind of way, we will seek for security advice immediately.

9. One of your Steps to Implement would be to “conduct beta testing with selected users from the ApeChain community to gather feedback and identify any bugs or performance issues.” How would these community members be notified and/or selected regarding these beta tests?

When we nearing the Beta version of the ApeTrade Bot, we will set up a test group among our community through announcements. This private group will be informed about the testing and we will discuss the detail in the private by that time.

10. Regarding any granted permission to use ApeCoin trademarks by the Ape Foundation, do you expect to maintain full ownership rights to the content and/or IP which may be created as a result of the approval of your proposal?

Yes, we expect to be full ownership of the content and development.

11. Would your expectation be to keep complete ownership of all content produced from this proposal?

Yes, this is our expectation.

12. Do you provide consent to apply updates to the relevant areas of your proposal based on your responses to the questions above?

Yes, we do.

13. Do you provide consent to share these questions and answers with the community in this forum?

Yes, we do.

A DAR package is being worked on and upon completion this AIP will move into Administrative Review. Follow this Topic as further updates will be posted here in the comments.

Kind Regards,

-@Facilitators

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Hi ApeCoin DAO Community,

We have sent a list of follow up questions to the author.

Follow this Topic as further updates will be posted here in the comments.

Kind Regards,

-@Facilitators

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Hi ApeCoin DAO Community,

@ApechainProject has responded to our follow-up questions and they are in our review once again.

Follow this Topic as further updates will be posted here in the comments.

Kind Regards,

-@Facilitators

1 Like

Hi ApeCoin DAO Community,

@ApechainProject has responded to our questions and has provided consent to share them in this forum for the community.

1. With respect to the possibility of revenue return to the ApeCoin DAO, you responded in the previous interview round that “Yes, this is the plan all along. But we haven’t set it in stone yet.” If you do in fact intend to offer revenues back to the DAO, please provide a tentative plan for this process (including the % of gross revenue, return schedule, etc.). Or, alternatively, you may choose to omit this feature from your proposal entirely.

As stated before, we do have a plan to support the ApeCoin DAO in our own way. The ApeTrade bot will have two sources of income:

1. Fees of the transactions.

2. Subscription fees for using the pro version, including the (more sophisticated) AI features.

For the above mentioned revenue streams, our intentions is to give ApeCoin DAO the following percentages:

1. 20% of all the fees collected through trading

2. 50% of all the fees received from the subscriptions

These fees will be used to buyback ApeCoin and the tokens will be burned. We believe it will create a deflationary model in the circulating supply as well relieving selling pressure.

These fees that are given back to the ApeCoin Dao are lifetime long and thus has no expiration.

2. Do you provide consent to apply updates to the relevant areas of your proposal based on your responses to the questions above?

yes

3. Do you provide consent to share these questions and answers with the community in this forum?

yes

A DAR package is being worked on and upon completion this AIP will move into Administrative Review. Follow this Topic as further updates will be posted here in the comments.

Kind Regards,

-@Facilitators

1 Like