# Overview

AI-Optimized Yield and Liquidity Strategies | Powered by LayerZero

<figure><img src="/files/9xvMSbqnyxDh7hos7fyt" alt=""><figcaption></figcaption></figure>

### What is Mozaic? <a href="#perpetual-protocol-dex" id="perpetual-protocol-dex"></a>

Simply put, Mozaic provides automatic yield farming using AI and LayerZero technology.

But it's much more than that.&#x20;

Mozaic is a community founded project, bootstrapped by a highly experienced team with the goal of bringing AI into the hands of everyday users.

### Objective

**The AI,&#x20;*****Archimedes*****&#x20;has one objective:**

To save users time and maximise their profitability.&#x20;

He does this by removing the indecision involved with yield farming as he compounds and rebalances assets to the highest APY pools every hour (if profitable).&#x20;

{% hint style="info" %}
*Archimedes thinks like a trader.* He is programmed with the core team's institutional grade technology and proprietary trading strategies.&#x20;
{% endhint %}

### Why?

The saturation of choice and the difficulty of discovering yield opportunities have and continue to be a major hurdle for the average cryptocurrency holder, adding unnecessary levels of complexity to the simple question of; "*Where can I stake my tokens to achieve the highest return?*"

Mozaic eliminates this problem by making the most efficient yield farming decisions on behalf of the end user.


# Distribution

MOZ Token Distribution.

### Circulating Supply

[<mark style="color:yellow;">CoinGecko</mark>](https://www.coingecko.com/en/coins/mozaic)

[<mark style="color:yellow;">CoinMarketCap</mark>](https://coinmarketcap.com/currencies/mozaic/)

### Distribution

1,000,000,000 MOZ will be minted at genesis and will be the entire finite supply of tokens.

<table><thead><tr><th width="188">Name</th><th width="146">Percentage</th><th width="189">Vesting</th><th width="169">MOZ Amount</th><th data-hidden></th><th data-hidden></th></tr></thead><tbody><tr><td>Pre-Seed</td><td>8.00%</td><td><p>1 year cliff</p><p>12 month linear vest</p></td><td>80,000,000</td><td></td><td></td></tr><tr><td><p>Core </p><p>Contributors</p></td><td>18.00%</td><td>1 year cliff<br>24 month linear vest</td><td>180,000,000</td><td></td><td></td></tr><tr><td>Advisors</td><td>2.00%</td><td>1 year cliff<br>24 month linear vest</td><td>20,000,000</td><td></td><td></td></tr><tr><td><p>Community </p><p>Raise</p></td><td>6.00%</td><td>20% at TGE, 20% every month after</td><td>60,000,000</td><td></td><td></td></tr><tr><td>LBP</td><td>4.02%</td><td>No Lock,<br>See <a href="/pages/QuNSGIoioWQTLPkI8dGS"><mark style="color:yellow;">LBP.</mark></a></td><td>40,241,320</td><td></td><td></td></tr><tr><td><p>Mozaic </p><p>DAO </p></td><td>59.98%</td><td>No lock (not in circulation, DAO controlled)</td><td>599,758,680</td><td></td><td></td></tr><tr><td><p>Strategic</p><p>Airdrop</p></td><td>2.00%</td><td>TBA (not in circulation)</td><td>20,000,000</td><td></td><td></td></tr></tbody></table>

<figure><img src="/files/xk13i3BAHCRwhsXmqZJ5" alt=""><figcaption><p>MOZ TOKEN DISTRIBUTION</p></figcaption></figure>


# DAO Distribution

Designed to support the Mozaic ecosystem and protocol itself.

<table><thead><tr><th width="242.66666666666669">Name</th><th width="238">Percentage</th><th>MOZ Amount</th></tr></thead><tbody><tr><td>Incentives</td><td>15.00%</td><td>150,000,000</td></tr><tr><td>Development Fund</td><td>5.50%</td><td>55,000,000</td></tr><tr><td>DAO Treasury*</td><td>26.98%</td><td>269,756,713</td></tr><tr><td>Protocol Owned Liquidity</td><td>7.50%</td><td>75,000,000</td></tr><tr><td>Insurance Fund</td><td>5.00%</td><td>50,000,000</td></tr></tbody></table>

<figure><img src="/files/vfQ0qIwKMUMNQtmxZfeP" alt=""><figcaption><p>MOZ DAO DISTRIBUTION</p></figcaption></figure>

### Purpose

The Mozaic DAO has a number of token incentive mechanisms at its disposal to drive value to the protocol to create sticky TVL and drive protocol revenue.&#x20;

*\*Use of the Treasury is left to the DAO to implement.*


# Emissions

MOZ Token Emissions.

## Breakdown

The MOZ token emissions schedule is as follows (updated accordingly):

**Community Raise:**

* Details: see [<mark style="color:yellow;">Community Raise</mark>](/token/distribution/community-raise)
* 6% of the Max Supply
* 20% received at TGE, 20% released every month on a claim basis through [<mark style="color:yellow;">Hedgey</mark>](https://hedgey.finance)
* Four months total vesting

#### Liquidity Bootstrapping Pool (LBP)

* Tokens Released: 21,620,000 (2.16%)

#### OTC Agreement with [<mark style="color:yellow;">@0x7d54</mark>](https://twitter.com/0x7d54)

* Date: November 21st, 2023 (*executed, see* [*<mark style="color:yellow;">Arbiscan</mark>*](https://arbiscan.io/tx/0xef137ca9b795140490217466bfc2810dcb5cfc4752c585a688699add3e11e1fc))
* Details: see [<mark style="color:yellow;">MIP-6</mark>](https://snapshot.org/#/mozaicfinance.eth/proposal/0x8b364fea65d5e624305e699f8ab176e7a4e38f42c4e0c00d609efd22c21d756a)
* MOZ Amount: 10,000,000 MOZ
* Term Length: Four month lock, four month linear vesting

#### Vault Incentives (To Be Revised)

* Date: TBA
* Details: see [<mark style="color:yellow;">xMOZ Vault Incentives</mark>](/vaults/hercules-vault-offline-for-upgrades/vault-incentives)
* MOZ Amount: *Up to* 20,000,000 MOZ
* Term Length: **Two months**

#### Protocol Owned Liquidity

* Date: From TGE
* Details: see [<mark style="color:yellow;">Pool</mark>](/token/moz/pool)
* MOZ Amount: *17,123,287* paired with 76.90 ETH at TGE (see [<mark style="color:yellow;">LBP</mark>](/token/distribution/lbp))
* Term Length: N/A

#### Development Fund

* Date: TGE
* Details: 1.51/5% of the Development Fund will be distributed linearly over 6 months from TGE for paid marketing, integrations and technical development.&#x20;
* MOZ Amount: 15,100,000 MOZ
* Term Length: Distributed linearly over 6 months

#### Airdrop

* Date: Post TGE
* Details: see Zealy [<mark style="color:yellow;">Pre-Season</mark>](broken://pages/bmp7xc4PNbk6BA1ZouPQ) and [<mark style="color:yellow;">Season One</mark>](broken://pages/6tSuuHpIajODYHrYv12U) rewards... :eyes:
* MOZ Amount: \~0.06% OR 607,500 MOZ distributed for Zealy pre-season/season one rewards.
* An additional 0.25% in MOZ will be distributed to the [<mark style="color:yellow;">Tenset</mark>](https://twitter.com/TenseT_io) community, that will be linearly distributed over 12 months to their community, beginning one month after TGE

The MozaicDAO will work with the Core Contributors to ensure the healthy emissions of the MOZ token beyond TGE that is IN-LINE with protocol revenue. Details of this will be published with the launch of the MozaicDAO


# Pre-Seed

Details of Mozaic's Pre-Seed round.

Mozaic has been funded for $400,000 from a suite of Angel Investors to kickstart protocol development.&#x20;

The Mozaic protocol has received NO VC INVESTMENT.&#x20;

8% of the token supply will be distributed proportionally to these Angel investors of the protocol.

**Pre-Seed Valuation: 5M FDV.**&#x20;

**Token Price: $0.005**


# Community Raise

Date: 3rd of July at 2pm UTC

**CONCLUDED**

**Claim:** [<mark style="color:yellow;">**https://app.hedgey.finance/token-grants**</mark>](https://app.hedgey.finance/token-grants)

### NEW TERMS:

4% -> 6% of the Max Supply.

20% received at TGE, 20% released every month on a block-by-block basis.&#x20;

Four months total vesting.

### **INITIAL TERMS**

Raise Amount: $300,000.&#x20;

Fully Diluted Valuation: 7.5M FDV.&#x20;

Vesting: 25% at TGE, 25% every month after.&#x20;

Maximum contribution per wallet: $50,000 USDC&#x20;

### PROCESS

Phase #1: **Whitelist**, 48 Hours duration&#x20;

Phase #2: **Public**, 72 Hours duration&#x20;

*Whitelist Phase:* open for 48 hours unless the amount is filled. It will operate on a FIRST COME, FIRST SERVE BASIS. Any tokens left unsold from this phase will then be go toward the public phase.

*Public Phase:* will be open after the Whitelist Phase. Will also operate on a first come, first serve basis or until all tokens have been sold.

### OUTCOME

Community Sale #1 SOLD OUT within 24 hours.&#x20;

122 participants contributed to the sale.&#x20;

A multi-sig wallet (on ETH and BSC) held the raised funds: 0x26E17aDa97868A75FFbF01bB36DC84dcAC180f83&#x20;

The total raise amount equaled $290,000 from the sale. This is due to fact that an advisor (*who is an absolute CHAD*) had funded the Hercules Vault audit cost, chose to be partially paid back by investing in the community sale. This amounted to $10,000, which is why the amount raised was $290,000.&#x20;

### **EXPENSES**

Solidity Development: $48,970

* Further Development Salaries (ongoing): $26,000

AI Technical Development: $90,000

* Further Development and Salaries (ongoing): $7,000

Team Salaries: $5,250

* Further Team Salaries (ongoing): $4,875

Front End Development: $3600&#x20;

Hercules Audit:&#x20;

* $34,000 was loaned by our advisor (minus 10,000 for investment in the community sale).&#x20;
* $24,000 to be paid back to said advisor

Loan for Marketing Expenses: $10,000&#x20;

Data Hosting (previous to Google Program): $9,000&#x20;

Refine Studio: $12,000&#x20;

PreSail Software: $3,750 + $590&#x20;

Vault #2 Audit: $10,000 (part one)&#x20;

\---

RAISED: $290,000&#x20;

PAID: $255,035&#x20;

REMAINING: $34,965&#x20;

\---

(updated 04/08/2023)


# LBP

Liquidity Bootstrapping Pool.

#### *CONCLUDED*

### OUTCOME

Closing Price: $0.007275

Tokens Released from LBP: 21,620,000 (2.162%)

* Total ETH Raised: 137.7 Ξ

### Post LBP Distribution Breakdown

21,618,033.13 (LBP)

17,123,287 (POL)

1,500,000 (Nitro Pool) \[one month release schedule]

—> 40,241,320.13

**Total LBP: 4.02%**

### SALE PARAMETERS.

MOZ: 8% or 80,000,000 MOZ

ETH: 120 Ξ (\~$200,000 equivalent)

Start Weights: MOZ - 96% / ETH - 4%

End Weights: MOZ - 50% / ETH - 50%

Start: September 4th, 2pm UTC - September 7th, 2pm UTC.

Term Length: No Lock - unsold tokens will go toward seeding liquidity for the MOZ-ETH pair, remaining tokens will be returned to the DAO Distribution.


# Wallet Labelling

Track where and what.

EACH WALLET HAS THE APPROPRIATE MULTI-SIG SETUP.&#x20;

UPDATED 24/07/2024

### DAO TREASURY, INCENTIVES, AIRDROP, POL

TREASURY ARB: 0xC56e382Aae7E281de1d8827bb1A166D873A39f4E\
TREASURY BASE: 0x05806526629efCBcd8B81b9406d6E1d13E4bA265

Treasury: 26.98% of the Max Supply

* OR 269,756,713 MOZ

Incentives: 15% of the Max Supply

* OR 150,000,000 MOZ

POL: 7.5% of the Max Supply

* OR 75,000,000 MOZ

Airdrop: 1.70% of the Max Supply (Remaining)

* OR \~17,047,500 MOZ

452,500 MOZ has been distributed as Zealy rewards with 155,000 MOZ remaining to be distributed to unclaimed participants. &#x20;

Note: the actual values may slightly differ due to the additional tokens accrued to the DAO from the token tax (since removed, see Swap [<mark style="color:yellow;">Fee</mark>](/token/moz/fee)) and from vesting xMOZ to MOZ.&#x20;

### DEVELOPMENT FUND:

0xB005F122b0b954D82422Bc32630566753Fa14Ce4

3.53% of the Max Supply (Remaining)

* OR 35,330,000 MOZ

### INSURANCE FUND:

0x1d906F438c4947C85A69294E427D78E85D8f8990

5% of the Max Supply&#x20;

* OR 50,000,000 MOZ

### PRE-SEED AND COMMUNITY RAISE

Hedgey Vesting Contract

[<mark style="color:yellow;">https://arbiscan.io/address/0x1b24cae1de08ec8b3ce0c55f9ee30db747fd72ae</mark>](https://arbiscan.io/address/0x1b24cae1de08ec8b3ce0c55f9ee30db747fd72ae)

* 8% OR 80,00,000 MOZ for Pre-Seed
* Remaining Community Raise tokens to be claimed.&#x20;

### TEAM AND ADVISORS

Hedgey Vesting Contract

[<mark style="color:yellow;">https://arbiscan.io/address/0xd240f76c57fb18196a864b8b06e9b168c98c4524</mark>](https://arbiscan.io/address/0xd240f76c57fb18196a864b8b06e9b168c98c4524)

* 20% or 200,000,000 MOZ for the core contributors and advisors

The additional tokens over the 200M Team allocation on the above contract are for marketing, KOLs, integrations and some development and are being linearly vested over 3 months. This was part of the development fund as stated in the docs prior to token launch.&#x20;

The additional xMOZ in the above Hedgey contract are further developer payments with three month vesting (again, included from the development fund in the documentation prior to token launch) and xMOZ tokens streamed to voters of MIP-1.


# MOZ

At issuance, MOZ provides access to participation in the Mozaic DAO.

### Max Supply

1B MOZ was minted at genesis and is the entire finite supply of tokens.

### Token Standard

MOZ is an Omnichain Fungible Token (OFTv2).

### MOZ Token Address <a href="#overview" id="overview"></a>

Token contract address (ARB): 0x20547341E58fB558637FA15379C92e11F7b7F710

Token contract address (BASE): 0xc227717ef4ae4d982e14789eb33ba942243c3fee

### Swap MOZ

See [<mark style="color:yellow;">here</mark>](/token/moz/swap) for how to swap.

### Analytics

Navigate [<mark style="color:yellow;">here</mark>](<https://dune.com/officialmozaic/moz-xmoz-dashboard >) for the MOZ / xMOZ Dune Analytics dashboard.


# Swap

Purchase MOZ directly from our dApp page.

### How to Swap

1\) Navigate to the 'buy' page on the Mozaic dApp:

[<mark style="color:yellow;">https://app.mozaic.finance/buy</mark>](https://app.mozaic.finance/buy)

2\) Connect a supported wallet&#x20;

3\) Select your desired blockchain and coin to swap directly to and from MOZ.

*--- Powered by* [*<mark style="color:yellow;">LI-FI</mark>*](https://twitter.com/lifiprotocol)*<mark style="color:yellow;">.</mark>*&#x20;

For the best swap rates, please convert to MOZ on Base.

<figure><img src="/files/8uCf8K6VEfTX8sy9uR2o" alt=""><figcaption><p>LI-FI's widget will always find you the best swap route if bridging from another chain <span data-gb-custom-inline data-tag="emoji" data-code="1f60e">😎</span></p></figcaption></figure>


# Pool

Add dual liquidity to the MOZ-ETH pool and earn a share of swap fees.

### MOZ-ETH LP pair

The protocol has established ONE primary liquidity pool as protocol owned liquidity:

* [<mark style="color:yellow;">MOZ-ETH LP pair</mark>](https://aerodrome.finance/deposit?token0=0x4200000000000000000000000000000000000006\&token1=0xC227717ef4Ae4D982E14789eB33bA942243c3FEe\&type=-1) on the Aerodrome V2 AMM

### Initial liquidity Seeding&#x20;

ETH seeded in the LP: 43.90 Ξ

MOZ seeded in the LP: 4,406,457

Liquidity seeded: 11/07/2024


# Fee

A fee on swaps used to bolster protocol liquidity.

There is a 1% *swap fee* (on buys and sells) implemented through Aerodrome, where the fees generated will be dedicated to incentivizing DEX liquidity for the MOZ-ETH pair.

The MozaicDAO has the ability to redirect these fees as necessary.


# Burn

Ongoing and TVL targeted token burns.

### Milestone Based TVL Burns

In accordance with [<mark style="color:yellow;">MIP-9</mark>](https://snapshot.org/#/mozaicfinance.eth/proposal/0xbbee57b14d09956f63ac003c9a95c01adcb0bf18d352e4ac4e93dbfc0fcdec10), the MozaicDAO will periodically burn a portion of the total supply of MOZ at specific TVL Milestones:

* Burn 5% of the total supply of MOZ at 1M Vault TVL - *COMPLETE*
* Burn 2.5% of the total supply of MOZ at 2.5M Vault TVL&#x20;
* Burn 2.5% of the total supply of MOZ at 5M Vault TVL&#x20;
* Burn 2.5% of the total supply of MOZ at 10M Vault TVL&#x20;
* Burn 2.5% of the total supply of MOZ at 25M Vault TVL&#x20;
* Burn 5% of the total supply of MOZ at 50M Vault TVL&#x20;
* Burn 5% of the total supply of MOZ at 100M Vault TVL

Total Token Burn: 25%


# Bridge

Transfer MOZ from each chain.

Bridging allows for the transfer of MOZ tokens across different chains. Use [<mark style="color:yellow;">Stargate</mark>](https://stargate.finance/bridge) directly or the [<mark style="color:yellow;">Mozaic dapp</mark>](https://app.mozaic.finance/buy) to facilitate bridging. There are zero fees, aside from the transaction execution costs.

Bridging is currently available on chains:

* Arbitrum
* Base

<figure><img src="/files/2z6jesRoWn9tiyUt0gQI" alt=""><figcaption><p>Stargate V2</p></figcaption></figure>


# Audit

Various audits conducted for the MOZ and xMOZ token.

A token audit was conducted with [<mark style="color:yellow;">Trust-Security</mark>](https://twitter.com/trust__90) prior to launch.&#x20;

MOZ TOKEN AUDIT:

{% file src="/files/D9aa7b6tRB8jgpShHnQz" %}
MOZ Token Audit
{% endfile %}

xMOZ STAKING AUDIT:

{% file src="/files/mtVKh9WcqpLOQBDvOXGw" %}
xMOZ Staking Audit
{% endfile %}


# xMOZ

xMOZ gives holders a way to voice their opinion in the Mozaic DAO.

### Overview

xMOZ is *the* utility token of the Mozaic protocol.

xMOZ is currently only available on Arbitrum.

### Token Address

Token contract address (ARB): 0x288734c9d9db21C5660B6b893F513cb04B6cD2d6

<figure><img src="/files/8aG5Oc07lES5vjzEU8Ql" alt=""><figcaption><p><em>xMOZ convert, withdraw, redeem.</em></p></figcaption></figure>

### Convert

xMOZ can be acquired by [<mark style="color:yellow;">converting</mark>](/token/xmoz/convert) MOZ on a 1:1 ratio.&#x20;

### Withdraw&#x20;

To get xMOZ back to MOZ, a user can [<mark style="color:yellow;">withdraw</mark>](/token/xmoz/withdraw) for different periods to redeem MOZ.

### Redeem

Once the vest period is over, a user can [<mark style="color:yellow;">redeem</mark>](/token/xmoz/redeem) equivalent MOZ.


# Convert

Convert your MOZ to xMOZ and access the Mozaic ecosystem.

### Convert MOZ > xMOZ <a href="#overview" id="overview"></a>

MOZ holders are able to freely convert their MOZ tokens to xMOZ at any time. This transaction is instant and the ratio is 1:1.

xMOZ is illiquid and non-transferable (it cannot be sent from wallet to wallet).

### xMOZ > MOZ <a href="#overview" id="overview"></a>

To redeem xMOZ back to MOZ a user must [<mark style="color:yellow;">**vest**</mark> ](/token/xmoz/withdraw)their xMOZ.&#x20;


# Withdraw

A user has three options when withdrawing xMOZ -> MOZ.

If a user initiates the withdrawal process, they will lose access to any xMOZ utility and voting power.

### Withdraw <a href="#overview" id="overview"></a>

xMOZ must be 'withdrawn' to redeem equivalent MOZ.&#x20;

A user has three options to withdraw:

* Minimum withdrawal period of 15 days incurs a 50% withdrawal penalty
* Median withdrawal period of 30 days incurs a 25% withdrawal penalty
* Maximum withdrawal period of 45 days incurs a 0% withdrawal penalty

{% hint style="success" %}
Only the MAXIMUM withdrawal option will return xMOZ to MOZ at a 1:1 ratio.&#x20;
{% endhint %}

Any excess MOZ (from the minimum or median withdrawal period) is redirected to the DAO Treasury.&#x20;

Ratios calculated only after the FULL TIME has elapsed.&#x20;

Withdrawal process can be cancelled at any time without any penalty.&#x20;

{% hint style="danger" %}
SCENARIO A: If a user has 100 xMOZ and selects the minimum withdrawal duration of 15 days, after the time has expired they will be able to REDEEM 50 MOZ. The remaining 50 MOZ is sent to the DAO Treasury.
{% endhint %}


# Redeem

Redeem MOZ after vesting xMOZ.

### Redemption <a href="#overview" id="overview"></a>

A user is able to *redeem* their equivalent MOZ from vesting after the time has expired.&#x20;

Vesting can be cancelled at any time prior to time expiry.


# Earn

xMOZ holders are entitled to earn a share of protocol rewards.

### Overview

The *Earn Terminal* is unique to the Mozaic ecosystem designed to distribute proportional rewards to xMOZ stakers. The reward pool and distribution amount(s) will grow over time in line with the health of the protocol.&#x20;

NOTE: Staked xMOZ can be used in governance.&#x20;

{% hint style="success" %}
The Earn Terminal is a '*no lock in system.*'&#x20;

The protocol encourages active participation in governance and with this in mind, xMOZ holders should feel as if the staking system is not there to '*trap*' them for extended periods of time to earn their share of fees.
{% endhint %}

<figure><img src="/files/rsH96AoiCm3iZD6qtCDl" alt=""><figcaption><p><em>Testnet UI, not final.</em></p></figcaption></figure>

### Reward Calculation

Each week a percentage of the '*Total Reward Pool*' is distributed proportionally to xMOZ stakers. Users will need to stake their xMOZ prior to the cut-off time each ***epoch*** to be eligible for their share of weekly rewards.&#x20;

An ***epoch*** in this case represents one week - beginning at 1pm UTC every Tuesday, the same time as the start of the weekly Mozaic Community Calls.&#x20;

The higher percentage share of staked xMOZ a user has at the cut-off time, the larger their percentage claim to rewards that epoch.

Unstaking prior to the cut-off time each week forfeits any rewards proportionally (see below for an example).

{% hint style="warning" %}
SCENARIO A:&#x20;

A user has 100 xMOZ staked in the EARN Terminal before the cut-off time.&#x20;

The user unstakes 50 xMOZ before the next epoch cut-off interval.&#x20;

The user will therefore forfeit 50% of their upcoming rewards for that epoch.&#x20;

These rewards are distributed to other xMOZ stakers proportionally during that epoch.
{% endhint %}

### Multi-Token Distribution

Fees shared with xMOZ holders are added to a pool.&#x20;

This pool is capable of distributing ERC-20 tokens, beyond MOZ and xMOZ.&#x20;

xMOZ stakers will therefore be able to stake -> claim a variety of crypto assets in the future, for example:&#x20;

* xMOZ
* USDT, USDC, DAI, FRAX
* ETH & wETH
* ARB
* STG

...and more.


# Stake, Claim, Fee & Unstake

User interactions within the Earn Terminal.

### Stake

Stake xMOZ and *earn* a share of weekly available rewards.

{% hint style="success" %}
Remember!

A user must stake their xMOZ for an entire epoch to be eligible for weekly rewards.
{% endhint %}

The larger percentage share at the cut-off time, the greater claim to rewards.

### Claim

A user will need to initiate a transaction to claim their share of rewards each week. A user is not opted to do so, they have the choice to do so at their leisure.&#x20;

However, upon unstaking rewards will automatically be harvested and the 1.5% claim fee applied.

### Fee

A 1.5% claim fee is charged on claims ***only*** and is distributed back into the reward pool.

### Unstake

Unstaking ANY AMOUNT of xMOZ automatically claims any pending rewards.&#x20;

{% hint style="danger" %}
Remember!&#x20;

Unstaking prior to the 1pm UTC cut-off time every Tuesday forfeits any upcoming rewards proportionally to the unstaked amount.
{% endhint %}


# Airdrop

Strategic deployment of tokens to grow Mozaic DAO members.

2.00% of the supply, or 20,000,000 MOZ tokens will be used to coordinate a strategic airdrop specifically targeted to capture Mozaic DAO participants.&#x20;

This portion of the supply will not be included in circulation from launch.

Airdrop fund remaining: 16,892,500 MOZ


# Token Roadmap

Features of the Mozaic Token Roadmap.

### Token Economy

<figure><img src="/files/JtijNC7mgZR5pveT2KNV" alt=""><figcaption><p>Designed, created and rendered by <a href="https://twitter.com/The_Linkfather"><mark style="color:yellow;">@The_Linkfather</mark></a></p></figcaption></figure>

### xMOZ 'EARN' TERMINAL

When MOZ holders [<mark style="color:yellow;">convert</mark>](/token/xmoz/convert) to xMOZ they are entitled to a share of protocol rewards, distributed proportionally on an 'epoch' based timeframe.

The DAO has accrued upwards of $40,000 in swap fees since TGE. (07/11/2023)

### xMOZ 'YIELD BOOST' TERMINAL

If a user is earning yield in one or more of Mozaic vaults, they will be able to allocate their xMOZ to a vault deposit, or separate their balance between multiple deposits to boost their yield and collect any additional rewards in yield.&#x20;

### oTOKENS

Made popular by @tapioca\_dao and more specifically @twMattt's piece, [*<mark style="color:yellow;">'The Death of Liquidity Mining'</mark>*](https://mirror.xyz/tapiocada0.eth/CYZVxI_zyislBjylOBXdE2nS-aP-ZxxE8SRgj_YLLZ0) -- oTokens provide a solution to simple liquidity mining programs.

Vault depositors could lock their LP token and have the right to exercise discounts on xMOZ based on their average lock time, purchasable from the DAO allocation of the Max Supply. Through the oToken model, the DAO will continue to diversify the Treasury with hard assets (USDT, USDC, ETH) while not *'giving away tokens for free.'*

### TREASURY SWAPS

As the protocol continues to expand with integrations and partnerships, opportunities may arise in which the MozaicDAO may propose to use treasury assets to acquire or swap for other protocol tokens that align with its long term vision.

These assets may be yield bearing or otherwise proposed and voted on by the MozaicDAO.


# Ai-Fi

Efficient and automatic yield farming decisions.

### Archimedes V1

Mozaic's AI is dubbed Archimedes.&#x20;

He is designed to remove the indecisions that arise in yield farming that stem from yield decay, transaction fees, over choice and the risks that are incurred from moving positions from farm to farm that occasionally involve cross-chain transactions.&#x20;

### How does it work?

When a user deposits into one of the Mozaic vaults, Archimedes:

1. Rebalances the deposit across vault assets so it can then...
2. Allocate those assets to the farms that will net the highest APY before...
3. Compounding - if it is most efficient to relocate to a new farm that hour

{% hint style="success" %}
*Archimedes is a profit maximalist.*&#x20;

He constantly learns and evolves, serving as a database that continually improves over time.
{% endhint %}

### Considerations

Archimedes intelligently and holistically considers APY and predictive APY metrics, token prices, fees, slippage, time, TVL, volume, pool reward share and error rates in all its decisions. This processing is computed off-chain to ensure it is cost effective, efficient and reliable - only the results are published and implemented on chain to ensure the decisions of Archimedes cannot be imitated.

{% hint style="info" %}
Mozaic will use [<mark style="color:yellow;">Zero Knowledge Proofs</mark>](/security/zkps) to prove that the off-chain data from Archimedes is indeed true and not being manipulated by the Mozaic team.
{% endhint %}


# Mozaic AI Paper: Beyond Traditional Models

An in-depth exploration of using machine learning techniques for portfolio optimization.

This document explores the innovative application of machine learning techniques within a portfolio optimization framework, surpassing traditional methods like mean-variance optimization. The paper introduces the use of machine learning models to predict returns, yields, and volatilities for GMX pools, integrating these predictions seamlessly into the portfolio construction process.

**Key highlights include:**

* **Machine Learning for Prediction:** Utilizing historical data and various influencing factors, machine learning models generate accurate predictions for GMX pool behavior.
* **Integration into Optimization:** The predicted returns and covariances are integrated into the portfolio optimization framework, accounting for the unique risk-return profile of GMX pools.
* **Results and Significance:** The findings demonstrate significant improvements in portfolio performance, with higher cumulative returns and superior Sharpe Ratios compared to benchmark portfolios.

This paper provides valuable insights into the effectiveness of machine learning-driven approaches for enhancing investment strategies in the dynamic cryptocurrency market.

[<mark style="color:yellow;">View the PDF</mark>](https://files.gitbook.com/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F-MiihhDZYtNvGU8rJ3vI%2Fuploads%2FoIyoQozAjsu3LZz7jCT2%2FMozaic%20AI%20Paper%20-%20Beyond%20Traditional%20Models.pdf?alt=media\&token=1783af7d-4f40-40ba-bdd6-6496c0585249)


# Archimedes V1

The Mozaic AI system integrates the capabilities of Archimedes and Conon as its core components.

*Archimedes* collaboratively interfaces with *Conon*, adopting a blend of analytical and Machine Learning methodologies. Its primary function is to utilize the insights from Conon to make informed decisions, particularly for optimizing the staking portfolio.

{% hint style="info" %}
*Conon was a friend and assistant to the great mathematician Archimedes. Together they discovered the spiral of Archimedes.*
{% endhint %}

Conon specializes in forecasting future values leveraging historical data, aiming for the most extended prediction horizon feasible.

Together, these components elevate the efficacy and precision of the Mozaic system, ensuring state-of-the-art decision-making and prediction capabilities.


# Conon V1

Processing, Interpreting and Forecasting Data in Machine Learning.

Conon aims to make predictions of necessary data in order for Archimedes, the Decision maker, to determine the most profitable transaction at given intervals.

<figure><img src="/files/HGhsLI8HOQzbg3GsSl1c" alt=""><figcaption><p><em>Conon V1 predicts the APY of pools as Archimedes makes decisions.</em> </p></figcaption></figure>


# Iron Hand

Archimedes x Conon x Iron Hand

An external web-server to fetch real-time data from on-chain data-resources is sent to the Google Cloud Platform (GCP) to save the data to cloud storage. This is used for model updates.

<figure><img src="/files/RUgel0y2u2r5UbTbNJ4g" alt=""><figcaption><p>Archimedes x Conon x Iron Hand</p></figcaption></figure>

Conon includes a web server which is responsible for pulling requests from Iron Hand.

Conon draws necessary data as needed; including recent APY data of different pools and stores it into a Google Cloud Storage (GCS), in a readable format.

Conon ingests the accumulated data inside the GCS, preprocesses the data and uses it for model training. V1 employs an LSTM model, known for one of the best models for time series forecasting.

The model is saved into GCS and further deployed to communicate with Archimedes to provide a prediction API for a number of APY metrics.&#x20;


# Machine Learning

Archimedes has been theorized, tested and trained concurrently, for almost a year.

### Model Design

For any AI model, each set of input data needs to be first defined and ultimately determined to train the algorithm.&#x20;

Mozaic's machine learning team currently extracts data block by block and coin price data through one minute feeds when modeling.

#### **This has specific reasoning:**&#x20;

* Each chain has different update frequencies
* Block-by-block APY data is quantifiable and encapsulates numerous other metrics&#x20;
* One minute token price data is key for selling native protocol tokens (when farming) in a volatile market

{% hint style="info" %}
*Training Archimedes to become the most efficient yield farmer.*
{% endhint %}

### Initial Test Case

An initial 14 day simulation (April 7th - 14th, 2022) was conducted theoretically with Archimedes and Mozaic's stablecoin vault, farming on [<mark style="color:yellow;">cBridge</mark>](https://cbridge.celer.network/liquidity).&#x20;

Archimedes rebalanced funds on the Avalanche chain for approximately five days out of the fourteen, the Ethereum chain for four, and an alternating combination of the Optimism, Polygon, Fantom, and Ethereum again for the other five days. Spikes in yield on AAVE were also captured (27%) for a large portion of one of the days.

Harnessing Mozaic’s omnichain stablecoin vault over the 14 days produced a geometric daily expected return of approximately 19.02%.&#x20;

Leaving 100% of your assets in the best performing vault over the same 14 day period only yielded 13.98%.&#x20;

### Staking Optimizer

A live test was conducted for Archimedes, farming on [<mark style="color:yellow;">Stargate</mark>](https://stargate.finance/farm) single-sided staking pools.

During this process, an APY data extraction tool was developed to capture necessary modeling data to train Archimedes. This extraction tool extracts any APY data block by block.

<figure><img src="/files/q2Q644ZAbdu0VPGO05BH" alt=""><figcaption><p>Archimedes Live Test Results</p></figcaption></figure>

### Trading Optimizer

Protocols use their native token as rewards to increase their APYs.

Another live test was conducted on Stargate to show a competitive edge gained as Archimedes sells native token rewards.

<figure><img src="/files/1aGk23C2ht7rI1RPCkQt" alt=""><figcaption><p>STG Rewards Competitive Edge</p></figcaption></figure>


# Pipeline

Deploying and automating the process of updating the model with real-time data.

<figure><img src="/files/LoyOvFOAGV0KMEOQkNTX" alt=""><figcaption></figcaption></figure>

### Re-Training of the Model&#x20;

Incremental learning refers to the process of training a machine learning model with new data without having to retrain the entire model from scratch. This is particularly useful for datasets that are constantly changing or for situations where it's not feasible to store and process all the data at once.

### Monitoring&#x20;

Continuously monitor the model's performance and the system's health. If the model's performance drops, or if there are any issues with the system, we have to know about it as soon as possible so that we can take corrective action.


# Automation

### Data Acquisition

The web server will be deployed on the Google Cloud Run and be scheduled to fetch relevant data from Iron Hand repeatedly, every hour. It will upload the apy data in a readable format.

### Data Ingestion and Preprocessing&#x20;

In order to start the process of model training, the readable file in GCS will be loaded and preprocessed in order to prepare high quality data for training. The preprocess phase will clean the data, commit feature engineering in order to generate new features to enhance the model’s predictive power, normalizing the data, splitting the data into training, validation and test sets etc.

### Hyperparameter Tuning&#x20;

Tuning hyperparameters like number of neurons, activation function, learning rate, batch size, loss function, epochs etc to boost the performance of the model.

### Model Training&#x20;

In this phase, define the LSTM model, train it, make predictions and evaluate the model.

### Model Evaluation&#x20;

Use the test set to evaluate the performance of the model and make sure the model’s performance surpasses the certain threshold, save it into GCS.

### Model Deployment&#x20;

Deploy the saved model for serving prediction data.

### Continuous Monitoring

Monitor the health and performance of the deployed model and set up alerts for any anomalies or drift in the model performance.

### Feedback & Retraining&#x20;

If the monitoring phase detects drift or decreased performance, retrain the model.


# AI Roadmap

ONE of FIVE features of the Mozaic Roadmap.

### AI-Tech

<figure><img src="/files/51jdu2iX7kTPUpm3gHSk" alt=""><figcaption><p>Designed, created and rendered by <a href="https://twitter.com/The_Linkfather"><mark style="color:yellow;">@The_Linkfather</mark></a></p></figcaption></figure>

### 'Smart' Archimedes. V2.

Continue to build upon the current self-taught RL (Reinforcement Learning) agent designed to navigate the complexities of yield farming in the DeFi ecosystem.

INCORPORATING DOMAIN KNOWLEDGE

Use domain experts to define possible black swan scenarios, even if they haven't occurred in the past. Integrating this knowledge into the environment simulation to expose the AI agent to these scenarios during training.

ANOMALY DETECTION

Train a separate model (or system) for anomaly detection. When this system detects an anomalous state(s) in the market, which could be indicative of trend change, it can trigger the RL agent to switch to a more conservative strategy.

HUMAN-IN-THE-LOOP (HITL):

Especially for high-stakes areas like financial markets, having a mechanism where unusual decisions by the AI agent (that might indicate it's moving into unknown territory) are flagged for human review before procedure can be invaluable.


# Overview

Mozaic's AI powered vaults - at a glance.

### [<mark style="color:yellow;">Theseus</mark>](/vaults/theseus-vault) - Volatile Asset & Yield

<div align="left"><figure><img src="/files/OEA4GFs6qkh3WL0EsQjs" alt="" width="188"><figcaption></figcaption></figure></div>

Integration: **GMX Market (GM) Pools**

Farmed Assets: **BTC, ETH, BNB, SOL, ARB, LINK, UNI, DOGE, XRP, LTC, XRP, NEAR, AVAX, ATOM, OP, USDC, USDC.e, DAI, USDT**

Historical APY: **25 - 50%**

Risk: **Smart Contract Exploit, Severe Market Downturn**

***

### [<mark style="color:yellow;">Perseus</mark>](/vaults/perseus-vault) - Berachain Dedicated

<div align="left"><figure><img src="/files/qkYIQ1hoE5O2QRJ1ZKff" alt="" width="188"><figcaption></figcaption></figure></div>

There is currently a vault dedicated to Berachain in development.&#x20;

This will be developed privately until just before the Berachain launch.

***

### [<mark style="color:yellow;">Hercules</mark>](/vaults/hercules-vault-offline-for-upgrades) - Stablecoin Yield (Offline for Upgrades)

<div align="left"><figure><img src="/files/Je7ZnQTQWzSZxZmZuOI0" alt="" width="188"><figcaption></figcaption></figure></div>

Integration: **Stargate Finance**

Farmed Assets: **USDT, USDC, DAI**

Historical APY: **7.5 - 15%**

Risk: **Smart Contract Exploit, Stablecoin Depeg Risk**


# Hercules Vault (Offline for Upgrades)

An automatic stablecoin yield farming strategy, powered by AI.

### Hercules Vault Exposure

{% hint style="info" %}
The Hercules Vault maintains healthy exposure to ONE or more of the stablecoins across [<mark style="color:yellow;">Stargate Finance</mark>](https://stargate.finance/farm):&#x20;

* USDT, USDC, DAI.
  {% endhint %}

<figure><img src="/files/YTEXz8TlgYNizsnBX7Iy" alt=""><figcaption><p><em>Hercules and the Hydra</em></p></figcaption></figure>

#### CHAINS

Arbitrum, BNB Smart Chain, Avalanche, Polygon, Fantom, Base, KAVA

* To be added (*tbc.*): Mantle, Optimism, Scroll and more&#x20;

**FARMS**

* Stargate Finance single-sided staking pools

{% hint style="success" %}
**THE HERCULES VAULT IS CURRENTLY FEE-FREE.**&#x20;
{% endhint %}

<figure><img src="/files/SeYMELHdaBheJ57gocww" alt=""><figcaption><p>Hercules dApp UI</p></figcaption></figure>

### Features

* Hourly rebalancing to highest APY
* Automatic compounding&#x20;
* Removal of individual transaction fees
* Time Saving Costs
* Access to multi-chain yield&#x20;


# mozLP

The Hercules Vault receipt token

The official vault receipt token for Hercules is [<mark style="color:yellow;">mozLP</mark>](https://arbiscan.io/token/0x2e8751fcd698b0a0704a04515667229e7843fa58?a=0x8bfed25d58d4c38a3a9bca1ac45bcfd866a3a88c) (*otherwise known as MOZ-HER-LP*).&#x20;

Contract address (Arbitrum): 0x2e8751Fcd698B0A0704a04515667229e7843fa58

***

### mozLP Collateralized Lending on MYSO v2

As per [<mark style="color:yellow;">MIP-8</mark>](https://snapshot.org/#/mozaicfinance.eth/proposal/0x03cc2ee19a35959205ecd715ecd598c2a1f1eb9b2fbe88a471b2ac62c8f90ad6), the mozLP token can be used as collateral on Myso Finance to take out a ZERO LIQUIDATION LOAN (ZLL) against a Hercules stablecoin deposit. At this stage, users must receive the mozLP token on **Arbitrum ONLY** in order to collateralise their deposit.

<figure><img src="/files/UG0tc2BOAkhFbsItDIzp" alt=""><figcaption><p><em>Myso UI</em></p></figcaption></figure>

1/ ***Select Token Pair:*** Select MOZ-HER-LP on Myso (*mozLP = MOZ-HER-LP*).

2/ ***Input Collateral Amount*****:** Input the amount of mozLP tokens you want to collateralise.

3/ ***Select Loan Offer:*** Select which terms you would like for the loan.&#x20;


# Vault Incentives

...

*The Demi-God Hercules was known for his immense strength and numerous, far-reaching adventures.*&#x20;

<div align="left"><figure><img src="/files/ke6NkLhGZo6DxZo5HASe" alt=""><figcaption></figcaption></figure></div>


# Theseus Vault

An AI-driven yield optimisation vault on Arbitrum that dynamically allocates assets across GMX's GM pools, maximising returns and managing risk.

### Theseus Vault Exposure

{% hint style="info" %}
The Theseus Vault maintains exposure to [<mark style="color:yellow;">**GMX Market (GM) Pools**</mark>](/vaults/theseus-vault/gm-pools) and the performance of the following assets:

**BTC, ETH, DOGE, SOL, LTC, UNI, LINK, ARB, XRP, BNB, NEAR, ATOM, AAVE, AVAX, OP, USDC, USDC.e, USDT, DAI.**<br>

GM Pools maintain a 50% exposure to stablecoins at all times.
{% endhint %}

<figure><img src="/files/LZWuJRyX62vCcSAiTgUj" alt=""><figcaption><p><em>Theseus and the Minotaur</em></p></figcaption></figure>

### What is Theseus?

Theseus is powered by Mozaic's proprietary Archimedes AI Engine, which dynamically allocates assets across [<mark style="color:yellow;">GMX</mark>](https://gmx.io/#/)'s yield-bearing "GM" pools. Theseus aims to maximise both yield farming returns and the capital appreciation of the volatile crypto assets the vault holds.

{% hint style="success" %}
**Depositable assets: Any coin or LP token on Arbitrum.**

* See [<mark style="color:yellow;">Zaps</mark>](/vaults/zaps)

*Theseus is a long-only vault and responds to the volatile price changes of the assets across the GMX Market (GM) Pools.*
{% endhint %}

Leveraging its advanced machine learning algorithm, Theseus offers users an automated and sophisticated approach to navigating the complexities of DeFI markets. The vault routinely rebalances its portfolio to optimise potential returns while leveraging a "risk first" strategy to manage risk, providing users with diversified exposure to crypto market trends through a single, actively managed vehicle.

<figure><img src="/files/HF7Qk6VmceAXP9UMlt7b" alt=""><figcaption><p><em>Theseus Vault UI</em></p></figcaption></figure>

### Vault thesis

The Theseus V2 vault is designed to provide users with:

* Optimised exposure to GMX’s yield-bearing GM pools;
* AI-driven strategy allocation across various long crypto asset positions;
* A balance of yield-farming returns and potential market gains and
* Automated management of complex DeFi strategies.

The vault’s primary goal is to offer a competitive product that captures the yield from GM pools and the potential upside of holding long crypto asset positions. As such, Theseus provides a diversified portfolio that reflects overall crypto market trends.

### MOZ-THE-LP Price

The value of a deposit can fluctuate depending on the PRICE of the Theseus Vault receipt token.

Read More: [<mark style="color:yellow;">**MOZ-THE-LP**</mark>](/vaults/theseus-vault/deposits-and-moz-the-lp)

### VAULT APY

The value of a deposit can fluctuate depending on the changing APY of the farmed asset(s).

Read More: [<mark style="color:yellow;">**GM Pools**</mark>](/vaults/theseus-vault/gm-pools)

{% hint style="info" %}
The AI model for Theseus is likened to '*Dr.* *Frankenstein.*'&#x20;

Operating in TWO distinct [<mark style="color:yellow;">Risk Modes</mark>](/vaults/theseus-vault/risk-management), Archimedes pulls '*parts*' of information and data from a number of different proprietary trading strategies to then formulate his own response to the volatility of crypto assets. Archimedes chooses the best '*piece*' from each strategy, continuously learning and responding to changes in both *Price* and *Yield*.
{% endhint %}


# How Theseus Works

Theseus leverages the Archimedes AI Engine to continuously analyse and optimise asset allocation  considering liquidity, risk, yield potential, price momentum, and market sentiment.

### Archimedes AI Engine

Theseus V2 is a sophisticated trading model deployed on Mozaic’s Archimedes AI Engine. The Theseus model uses a pseudo event-driven framework to optimise asset allocation within GMX’s GM pools. The AI continuously calculates optimal weights for each asset and determines when to rebalance the portfolio.

### Asset selection (Tradeable Universe)

Archimedes carefully chooses which GM pools to invest in and considers several factors to make the best choices for the vault:&#x20;

* Liquidity: The vault only allocates to pools where liquidity exceeds agreed minimum risk management thresholds. This ensures sufficient market depth to enable efficient trading into and out of positions.
* Risk assessment: Archimedes evaluates each pool's risk profile based on historical volatility, correlation with broader market trends, and other proprietary metrics. This information informs the risk-adjusted weighting of each pool within the portfolio.
* Yield optimisation: The AI analyses the yield potential of each GM pool and considers both the current APY and the projected sustainability of returns. This includes evaluating trading fees, liquidity mining rewards, and other yield-generating mechanisms specific to each pool.
* Price momentum: Archimedes analyses price trends to identify GM pools with assets showing favourable momentum. This allows the vault to capture potential capital appreciation in addition to yield.
* Market sentiment: The AI also considers broader crypto market sentiment indicators to adjust the portfolio's overall risk exposure. This allows for dynamic changes to vault allocation in response to changing market conditions.

Archimedes synthesises these factors using advanced machine-learning algorithms, continuously optimising the vault’s allocation strategy. This approach enables the AI to dynamically weight the above factors, adapting to evolving market dynamics and maintaining an optimal risk-reward profile for the vault.

### Rebalancing strategy

The Archimedes AI Engine continuously monitors market conditions and portfolio performance to determine optimal rebalancing times. Rebalancing may be triggered by various factors, including:

* Significant market movements;
* Changes in relative asset performance;
* Shifts in yield opportunities across GM pools;
* Risk management thresholds being met or exceeded.

The rebalancing process is iterative, and Archimedes regularly reassesses and adjusts the portfolio composition. This approach balances the need for strategic adjustments against the cost of excessive transactions, ensuring the vault’s strategy remains efficient in changing market conditions.


# Deposits & MOZ-THE-LP

The Theseus Vault receipt token.

### Deposits

When users deposit into the Theseus Vault, they receive some "MOZ-THE-LP" token as a receipt for their deposit. All deposits are processed automatically - as a single transaction.

The PRICE of ***MOZ-THE-LP*** will fluctuate depending on the change in price of the asset(s) to which the vault has exposure. The vault may 'hold' one OR multiple GM Pool assets at any given time or defer to a stable asset GM Pool if price volatility is deemed unfavourable.

<figure><img src="/files/F9Cn58RG09eeln69DR3h" alt=""><figcaption><p><em>Theseus Vault UI, with the price of MOZ-THE-LP highlighted. LP returns are displayed in purple on the graph.</em></p></figcaption></figure>

The value of a user's deposit can change depending on the price of MOZ-THE-LP, independent of any yield generated.

{% hint style="warning" %}
Take for example a deposit of $100 at a PRICE of $1.00 per MOZ-THE-LP:

* On the first day or after 24 hours, the price of the MOZ-THE-LP appreciates to $1.04, the deposit will now be worth $104 only if the user executes a withdrawal.
* On the second day or after 48 hours, the price of MOZ-THE-LP depreciates to $1.02, the deposit will now be worth $102 only if the user executes a withdrawa&#x6C;*.*&#x20;

Yield generated is *excluded* from the above scenario.
{% endhint %}

MOZ-THE-LP contract address: [<mark style="color:yellow;">https://arbiscan.io/address/0x6d8e0ac94fb79cd3520f546ce1c23a6f27f16eac</mark> ](<https://arbiscan.io/address/0x6d8e0ac94fb79cd3520f546ce1c23a6f27f16eac >)


# Multi-Token Withdrawals

Users receive USDC and one of the underlying farmed assets when withdrawing from Theseus.

Theseus operates in accordance with the multi-token withdrawal flow from GMX Market (GM) Pools, where users would receive both USDC and one of the assets that Theseus is currently farming.&#x20;

{% hint style="warning" %}
Web3 wallets cannot simulate transaction outcomes for non-atomic (multi-step) transactions. Do not be alarmed when your wallet cannot predict the outcome of your withdrawal transaction.
{% endhint %}

Withdrawals from Theseus are processed in three steps as follows:

* Mozaic burns the user's MOZ-THE-LP token;
* Mozaic requests that GMX processes a withdrawal against current vault positions in GMX pools.
* GMX processes the withdrawal, and the tokens are credited to the user's wallet.

It is important to note that the actual value of a user's withdrawal will depend on both the price of MOZ-THE-LP at the time of the withdrawal and the performance of the underlying assets in the Theseus Vault.

{% hint style="info" %}
Currently, the GMX withdrawal flow does not support [<mark style="color:yellow;">Zaps</mark>](/vaults/zaps). Watch this space for new solutions that Mozaic is developing.  :eyes:
{% endhint %}

<figure><img src="/files/6bAmCfGoZM3Q1ExVMjuj" alt=""><figcaption><p>Mozaic Multi-Token Withdrawal UI </p></figcaption></figure>


# Theseus Performance

Theseus is a long-only diversified strategy that is benchmarked against Bitcoin returns.

Theseus V2’s performance is measured in terms of yield (APY) and is benchmarked against Bitcoin ($BTC) returns. The following factors are considered when evaluating performance:

* Yield performance - Mozaic tracks the vault’s yield performance, which is influenced by factors such as trading fees, liquidity mining rewards from GM pools, and bonus incentive yields.
* Benchmark - Theseus’ performance is compared against Bitcoin returns as a benchmark. This provides context for the vault’s performance within the broader cryptocurrency market.

### APY calculation

Theseus’ APY is calculated using the following methodology:

* The APY comprises yield from the GMX GM pools and the capital performance of underlying assets.
* It is calculated using backtested data based on historical 3-month returns of the Theseus Vault strategy compared to Bitcoin performance.
* Whilst this backtested data is based on past performance, it is important to note that it may not predict future performance.
* Based on this data, the APY provides users with an annualised perspective on potential returns.


# Fees

Mozaic collects fees to fund protocol product development, marketing and risk management.

Mozaic charges a performance fee on Theseus's performance which is structured as follows:

* **Fee rate:** 10% on positive vault performance.
* **Calculation basis**: The fee is applied when the Theseus Vault's net asset value (NAV) appreciates. No fees are applied when NAV decreases.
* **Fee claim:** Fees are claimed periodically and are credited to the Mozaic DAO's earnings wallet at this address: [<mark style="color:yellow;">https://arbiscan.io/address/0xa766bab0854469bf9449451cf827190c3408eeb7</mark>](https://arbiscan.io/address/0xa766bab0854469bf9449451cf827190c3408eeb7)
* **Performance period:** Fees are calculated and accrued each time a deposit or withdrawal affects the Theseus Vault's total value locked (TVL). This ensures fair treatment for all users, regardless of when they enter or exit the vault.


# Risk Management

Mozaic takes a "Risk First" approach to risk management

*Archimedes is an active participant in the volatile crypto market. 'He' processes datasets to formulate a strategy that objectively interprets and responds to changes in price and yield while actively managing risk.*

### Risk-on, Risk-off...

Archimedes operates in TWO distinct modes:

* 'Risk On' Mode - deploys a higher share of Theseus vault TVL into volatile asset GM Pools.
* 'Risk Off' Mode - prioritises "derisking" by moving a higher share of vault TVL into stablecoin pools.

### Risk management approach

When applying its "Risk First" approach, Mozaic recognises and actively manages several key risks when operating Theseus V2, as follows:

* **Market risk:** Extreme market volatility of prolonged downturns could impact vault performance. Mozaic’s AI continuously adapts the portfolio allocation to balance risk and reward.
* **Smart contract risk:** Mozaic’s smart contracts have been audited by [<mark style="color:yellow;">Trust</mark> <mark style="color:yellow;">Security</mark>](/security/vault-audits) to mitigate this risk. &#x20;
* **Counterparty risk:** Mozaic routinely monitors a set of key performance indicators for GMX to ensure the management of the vault’s counterparty exposures.
* Liquidity risk: Sudden changes in liquidity could affect the vault’s ability to enter or exit positions. Strict liquidity thresholds are maintained for all allocated pools.
* Systemic DeFi risk: Broader issues in the DeFi ecosystem could have cascading effects that may impact Theseus. Mozaic employs ongoing monitoring, leveraging tools such as [<mark style="color:yellow;">Hypernative</mark>](https://www.hypernative.io/), and has contingency plans in place for various scenarios.

Mozaic’s risk management approach combines AI-driven analysis, strict operational protocols, and ongoing human oversight to mitigate these risks and protect user funds.

{% hint style="warning" %}
**Risk management is an iterative process** - especially in DeFi.
{% endhint %}

Mozaic is committed to continuously evolving and enhancing its risk management strategies. We regularly review and update our protocol risk controls and consider new market developments, emerging risks, and advances in risk management techniques. This ongoing refinement ensures that our risk management framework remains robust and adaptive over time.

<br>


# GM Pools

Yield farming across GMX Market Pools.

### GMX Market Pools

GMX V2 consists of 'Market' pools, which are comprised of:

* Index Price Feed: Long and short tokens will be opened/closed based on this price feed.
* Long Token: The token that 'backs' long positions.
* Short Token: The token that 'backs' short positions.

e.g. ETH/USD:

* Index Price Feed: ETH/USD.
* Long Token: ETH tokens back long positions.
* Short Token: USDC tokens back short positions.

<figure><img src="/files/XyxiESoLLtFPSCxK30bp" alt=""><figcaption><p>GMX V2 'GM' Pools</p></figcaption></figure>

### Pricing GM Tokens

The price of the GM token depends on:

* The price of the long tokens.
* The price of the short tokens.
* The net pending PnL of traders' open positions.

Fees from leverage trading and swaps will automatically increase the price of GM tokens.

***

Source: GMX Docs, [*<mark style="color:yellow;">Liquidity on V2</mark>*](https://gmx-docs.io/docs/providing-liquidity/v2/)


# Perseus Vault

Perseus will be a specialized strategy aimed at enhancing POL across Berachain. More details will be provided as the launch approaches.

<div align="left"><figure><img src="/files/qkYIQ1hoE5O2QRJ1ZKff" alt="" width="375"><figcaption><p><em>Perseus, Slayer of the Gorgon Medusa</em></p></figcaption></figure></div>


# LayerZero

70+ Blockchains in one application. Welcome to an omnichain future.

The [<mark style="color:yellow;">LayerZero</mark>](https://twitter.com/LayerZero_Labs) messaging layer (*omnichain interoperability*) gives Archimedes the tools needed to access and farm across 70+ blockchains.&#x20;

<figure><img src="/files/CsYQ0URV8C3EMRhJh8Dh" alt=""><figcaption><p>dApp</p></figcaption></figure>

LayerZero enables the realization of cross-chain applications with a low level communication primitive. At the core of this technology are Ultra Light Nodes (ULNs).&#x20;

ULNs allow decentralized exchanges (DEXs) such as SushiSwap to *‘have one single interface and code base for all cross-chain pairs.’*


# Zaps

Zap in, Zap out.

{% hint style="info" %}
Mozaic is building its own, in-house, Zaps solution and is expected to launch this product in Q4 2024! Watch this space...
{% endhint %}

What are 'Zaps'?

Zaps allow any token or LP position *(see screenshot below)* to directly enter the Mozaic Vaults, without the need to swap assets before executing a deposit, providing accessibility for users entering into and exiting the Mozaic Vaults.

Mozaic uses [<mark style="color:yellow;">Enso Finance</mark>](https://www.enso.finance/) as its Zaps provider for Theseus.&#x20;

<figure><img src="/files/9NmEkeYEYtwX5tx75uam" alt=""><figcaption><p>Users can select any token or LP position when depositing into Mozaic's Theseus Vault on Arbitrum</p></figcaption></figure>

***


# Deposit Thresholds

Incremental vault deposit cap increases for Theseus.

### Max Cap

To ensure the healthy growth of the Mozaic protocol, each new vault deployed will feature incremental increases in total deposits. This will ensure our AI is functioning as intended and also allows an additional security layer.

{% hint style="info" %}
The Theseus Vault will be capped at $250k for a period of at least 1 week.
{% endhint %}

Any information regarding vault cap increases will be made prior to doing so.&#x20;

### Cap Increases

~~$10,000~~ -> ~~$25,000~~ -> ~~$100,000~~ -> ~~$250,000~~ -> ~~$500,000~~ -> $1M+&#x20;

***

*it's always good to be early, will you be anon?* :eyes:&#x20;


# Fees

Protocol fees and distribution.

### Basic Structure

Mozaic will collect ongoing fee revenue through a simple standardized mechanism:&#x20;

* Performance (profit) fee
* Swap Fee

{% hint style="warning" %}
Fees are subject to change but will always be done so with absolute transparency, justification and forewarning. &#x20;
{% endhint %}

### Vault Fees

Mozaic Vaults will have a simple fee structure:

* 10% performance (profit) fee only.

### Swap Fee

Swapping MOZ incurs a 1% fee on all swaps (buys and sells).

See [<mark style="color:yellow;">Swap Fee</mark>](/token/moz/fee) for more information.

### Claim Fee

Staking xMOZ in the [<mark style="color:yellow;">Earn</mark>](/token/earn) Terminal allows a user to claim a share of protocol rewards.&#x20;

A 1.5% fee is charged on CLAIMS ONLY.&#x20;

Unstaking also claims any pending rewards.


# Vault Audits

Security first.

### Trust Security

Mozaic employs [<mark style="color:yellow;">Trust Security</mark>](https://www.trust-security.xyz/) for its auditing process.&#x20;

Trust Security was formed by top white-hat security researcher [<mark style="color:yellow;">Trust</mark>](https://twitter.com/trust__90)<mark style="color:yellow;">​</mark> to provide the best auditing and consultation services in the ecosystem.

Their team is handpicked from some of the best auditors globally - [<mark style="color:yellow;">see more.</mark>](https://www.trust-security.xyz/team) &#x20;

<figure><img src="/files/QBmnlvkh7wQkwBybimta" alt=""><figcaption></figcaption></figure>

### Hercules Vault Audits

#### Hercules Initial Audit Report&#x20;

{% file src="/files/WFKjldrQz68kPiXzIIlj" %}

#### Hercules Mainnet Audit Report

{% file src="/files/NrpvG0lfEAsvz4oNbOCs" %}

### Theseus Vault Audit

{% file src="/files/3M7JZ156XKxctOkFD07Y" %}


# Hypernative

Live alerts and contract monitoring.

### Real-Time Monitoring

To safeguard users from malicious attacks, anomalies, and potential threats to the protocol and users' funds, Mozaic has integrated Hypernative for real-time protocol alerts. Hypernative leverages advanced machine learning models, heuristics, simulations, and graph-based detections to predict and mitigate a wide range of risks, including smart contract hacks, bridge security incidents, market manipulations, and private key theft.

With Hypernative, the Mozaic protocol core team will receive real-time alerts and relevant notifications about the security and health of the protocol, ensuring a robust and proactive defense mechanism.

<figure><img src="/files/gdvcM4MEZ9KvqLYdQQ6I" alt=""><figcaption></figcaption></figure>

### Justification

Quick response is critical in neutralizing potential threats and minimizing the risk of fund loss or damage. Hypernative automatically sends alerts to the core team and trusted developers at Mozaic when issues arise, enabling the team to respond swiftly, assess risks, and implement necessary actions. This real-time monitoring and threat detection ensure that Mozaic can maintain the highest security standards and protect its users effectively​.


# ZKPs

Verifiably proving the decisions of Archimedes.

{% hint style="info" %}
What are ZKPs (Zero-Knowledge Proofs) ?\
\
ZKPs are cryptographic methods that allow one party (prover) to prove to another (verifier) that a statement is true, without revealing any information (“zero-knowledge”) about what is being proven. This enhances privacy and security in transactions and smart contracts.
{% endhint %}

### **Applications**

ZKPs will prove to the user that our algorithm indeed governs the vault's decisions, without manipulation from the team.

The previous iteration of ZKPs, ‘ZK-SNARKs’ required a trusted setup phase (a third-party) whereas ZK-STARKs *‘uses publicly verifiable randomness to create trustlessly verifiable computation systems’* - it removes the need for a trusted, third-party setup.&#x20;

Mozaic as a protocol aims to mitigate any malicious third parties that may be attempting to, for example, front-run Archimedes and its decisions in alternating farms or rebalancing funds (exchanging from coin to coin).

{% hint style="info" %}
ZKPs are a feature that we plan to integrate post launch. We have reached out for integrations with several ZKP solutions, like [<mark style="color:yellow;">Modulus Labs</mark>](https://www.moduluslabs.xyz/).&#x20;
{% endhint %}


# Bug Bounties

Publicly scrutinizing the protocol in a secure manner.

### Justification

Mozaic will offer incremental monetary rewards to those who find critical bugs or are able to penetrate our AI implementation (post audit). This could provide broader access to other talents and provide Mozaic alternate threat assessments.

### How to Participate

After audit, a detailed process to ensure this is conducted in a controlled way will be detailed here.&#x20;


# Mozaic DAO

Welcome to the Mozaic DAO.

### **Vision**

The Mozaic community governs itself via the Mozaic DAO, the decentralized governance framework that supports the development and success of the protocol. The DAO follows a proposal process to vote on how to expand the Mozaic protocol to introduce and evolve the possibilities of AI in crypto. In the future, the DAO will decide on where and how to direct ecosystem rewards with the goal of creating a dynamic and self-sustaining ecosystem.

### Values

Accelerate DeFi adoption

Unlock and responsibly develop the potential of AI&#x20;

Build a transparent and secure protocol

Empower users with the necessary tools to harness DeFi

To consistently strive for the approval of DOIQ

<div align="left"><figure><img src="/files/qDLMVjv2x4KfPsvHeGRz" alt=""><figcaption></figcaption></figure></div>


# Membership

Holding MOZ is the only requirement for membership in the DAO.

### Classifications

Membership has three classifications: MOZ token holders, xMOZ token holders and Senate members.&#x20;

* Member: Discussion channels are open to all member classifications.&#x20;
  * Members are holders of MOZ.
* Participant: Able to submit and vote on proposals.&#x20;
  * Participants are restricted to xMOZ holders.&#x20;
* Senator: Have the ability to put forth official MPs.&#x20;

{% hint style="info" %}
xMOZ is the requirement for voting on any official Mozaic Improvement Proposals.
{% endhint %}


# The Senate

The Mozaic DAO will be governed by The Senate.

### Function

Initially, the primary function of The Senate is to help facilitate the growth of the protocol and the community. The Senate is tasked with promoting discussion for governance topics while reviewing, rejecting, and voting on whether draft proposals are put forth as official MPs to Snapshot.&#x20;

### Elections

To ensure that the Mozaic protocol builds the foundations for long-term success, for the first year, the election process will be as follows:

* Five internally elected members, w/ a one-year fixed term
* Two community elected individuals, w/ 6 month fixed term
  * *with new elections after the first six months*

After The Senate has been in operation for ONE YEAR, the election process will move to:

* Three Internally Elected Members, w/ a one-year fixed term
* Four Community Elected Members, w/ a one-year fixed term

{% hint style="success" %}
Members will be a set of elect individuals who have taken an active interest in the protocol, its community and development.
{% endhint %}

### The Senate

[<mark style="color:yellow;">DEFINITION</mark>](/governance/the-senate/definition)

[<mark style="color:yellow;">REQUIREMENTS</mark>](/governance/the-senate/requirements)

[<mark style="color:yellow;">RESPONSIBILITIES</mark>](/governance/the-senate/responsibilities)

[<mark style="color:yellow;">ELECTION</mark>](/governance/the-senate/elections)<mark style="color:yellow;">S</mark>

[<mark style="color:yellow;">POSTING PROPOSALS</mark>](/governance/the-senate/posting-proposals)

[<mark style="color:yellow;">COMPENSATION</mark>](/governance/the-senate/compensation)


# Definition

What is the Mozaic Senate?

The Senate is comprised of SEVEN ‘entities’ or individuals who have the time, knowledge and commitment on a week-to-week basis to oversee the processes of the MozaicDAO.&#x20;

{% hint style="info" %}
1/ These seven members must adhere to the requirements set forth in this documentation to be eligible to partake in The Senate during their term.

2/ These seven members must adhere to their responsibilities set forth in this documentation to retain their eligibility in The Senate during their term.&#x20;
{% endhint %}


# Requirements

The minimum requirements for members of the MozaicDAO Senate.

There are certain requirements for Senate members:

* A minimum of 6 hours per week of contributions to the MozaicDAO through research, discussion and fulfilment of *responsibilities*.
* Social (*Discord, X & Telegram*) and Wallet Verification.
* Must reside in a country that legally allows participation in decentralized organisations.

{% hint style="danger" %}
\**If any individual is found to be dishonest or in anyway violates the requirements at anytime, their eligibility for The Senate will be immediately revoked.*&#x20;
{% endhint %}


# Responsibilities

Senate members are tasked with upholding certain obligations to the MozaicDAO.

### Senate Responsibilities

* Attend monthly meetings with the other Senate members, the core contributors and advisors of the Mozaic protocol.&#x20;
* Decide on whether a proposal should be posted to Snapshot based on the discussions, feedback and comments of token holders.
  * Majority rules 4/7 - unless there is very strong opposition from the other three members and/or Token holders.
* Propose ideas and opportunities to the protocol through discussion and/or proposals themselves.
* Encourage and action growth within the Mozaic ecosystem and beyond.&#x20;

{% hint style="info" %}
The above only serves as a *guide* to the Mozaic Senate, it is by no means is an exhaustive list. Responsibilities may also expand as the MozaicDAO matures or where a situation arises that causes additional responsibilities to be added.
{% endhint %}


# Elections

The Senate election process - who, what when, where and how?

### <mark style="background-color:red;">Elections have been paused until Mozaic 2.0 launch (August 2024)</mark>

### Five Internally Elected Members

This is comprised of FIVE individuals or ‘*entities*’ who have taken an active role in supporting the Mozaic protocol. '*Support*’ by definition, has numerous connotations - the Mozaic protocol encourages those who feel they have contributed in their own way to the protocol, ecosystem and beyond to apply.

#### APPLICATION

We encourage EVERYONE interested in being apart of the Senate to apply to the form:

APPLY NOW: [<mark style="color:yellow;">https://forms.gle/EUUzCpZgh5RfyvVZ9</mark>](https://forms.gle/EUUzCpZgh5RfyvVZ9)

Cut-off application date: Tuesday 8th of March at 1pm UTC, 2024

### Two Community Elected Members

This is comprised of TWO community members who have taken an active role in supporting the protocol.&#x20;

You must have the @hodler role in the Mozaic Discord to access the #elections channel and view the minimum requirements to post for the election campaign.

#### Minimum Requirements:

Post - See the #elections channel in the [<mark style="color:yellow;">Mozaic Discord Server</mark>.](https://discord.gg/mozaic-fi)&#x20;

Cut-off post date: Tuesday 8th of March at 1pm UTC, 2024


# Posting Proposals

Senate Members retain the ability to post proposals to Snapshot.

All Senate members have the ability to post proposals and are given an ‘*Author*’ role on the Mozaic Snapshot. Once a proposal has passed temperature check in Discord and the 4/7 Senate approval, a Senate member will post the proposal to the Mozaic Snapshot.&#x20;

{% hint style="info" %}
Snapshot: [<mark style="color:yellow;">https://snapshot.org/#/mozaicfinance.eth</mark>](https://snapshot.org/#/mozaicfinance.eth)

* Author: '*Able to create proposals without proposal validation.'*
  {% endhint %}

Each member will post to Snapshot on a rotating basis i.e. 1st member posts, 2nd member posts… 7th member posts back to the 1st member. &#x20;

This encourages participation from all Senate members.&#x20;

Proposals will always go live on Snapshot at 1pm UTC on Tuesday.&#x20;

{% hint style="warning" %}
Wallets used for posting proposals wallet must be hardware controlled. &#x20;
{% endhint %}


# Compensation

Each member of the Senate will be compensated for their term.

It is in the interest of the MozaicDAO to incentivise Senate members to remain active and engaged over the course of their term. Significant contributions to the protocol such as this should be recognised by the MozaicDAO and rewarded as such.&#x20;

A proposal will be put forth to the MozaicDAO to ‘activate’ discussions on how this will be paid and/or structured.


# Proposals

The process for passing proposals in the MozaicDAO.

Below, is the current process for passing Mozaic Improvement Proposals (MIPs) as the protocol moves towards decentralization. This is a living, breathing page that will develop over time as the Mozaic protocol continues to grow.

Proposals will have an indicated ‘status’ and will only become official MIPs once they are posted to the Mozaic [<mark style="color:yellow;">Snapshot</mark>](https://snapshot.org/#/mozaicfinance.eth).&#x20;

Proposals will always go live on Snapshot at 1pm UTC on Tuesday.&#x20;

### PROPOSAL STATUS

#### 1) OPEN&#x20;

Proposals are first posted to the #draft-proposals channel in the Mozaic Discord. Here, they are open for discussion where the MozaicDAO will work with the Core Contributors to weigh in on and deliberate whether or not to push the proposal to Snapshot (active). In the near future, The Senate will be responsible for deciding whether proposals should remain open or become *active*.&#x20;

*A guiding timeframe for ‘open’ discussion should still be noted in any proposals.*

#### 2) ACTIVE (CALL OUT)

Proposal has received enough support to be posted to Snapshot. Once the timeframe for discussion has elapsed there will be a final **‘call out’** for DAO members to voice any final comments or concerns. The pros and cons will be weighed, with DAO sentiment toward the proposal also taken closely into consideration.

#### 3) APPROVED / REJECTED

Once posted to [<mark style="color:yellow;">Snapshot</mark>](https://snapshot.org/#/mozaicfinance.eth) and the proposal has been voted upon by the DAO, its status will change depending on the outcome of the vote.

Current voting time: 72 hours.

### VOTING

Proposals will be live on Snapshot for three days for voting. A minimum amount of votes (quorum) is needed for any proposal to pass.&#x20;

This is set to 0.4% of the Max Supply (in xMOZ) or 4,000,000.

Quorum will be updated as the DAO expands and circulating supply increases.

A proposal must have at least 65% or more votes in favour to pass.

\---

Note:&#x20;

* You must have the @hodler role in the Mozaic Discord to participate in the MozaicDAO discussion. Requirement: 100 MOZ or xMOZ.&#x20;
* If you are vesting xMOZ —> MOZ you will be unable to participate in voting at this time.


# Guiding Framework

The initial guiding framework of the MozaicDAO

Below is the initial guiding framework of the MozaicDAO. It is here to provide a strucutre for MozaicDAO members to draft proposals.

### Outline

An easy to digest summary of the MIP. Suggested length one-two sentences.

### Specifications

A detailed breakdown of the platforms, technologies and/or distribution(s) that will occur. Please provide as much detail as to the '*why* of your decisions.&#x20;

Try to include examples in this section of where this has been successfully (or unsuccessfully) implemented.&#x20;

### Justification

A short statement explaining why the Mozaic community should consider and implement the MIP.

### Overall Cost

The total cost to implement the MIP. The overall cost section should include a breakdown of the total cost of the MIP, including any associated costs for each step (where applicable).&#x20;

### Timeframe

Relevant timing details, including but not limited to start date, milestones, and completion dates.

### Steps to Implement

A (*brief*) procedure of the the steps to implement the MIP, including associated costs, manpower, and other resources.&#x20;

### Key Terms (optional)

Definitions of any terms that are unique to the proposal, new to the Mozaic community.

*If a MIP is not passed, the proposer may resubmit the MIP after addressing the concerns of the community.*&#x20;


# DAO Roadmap

ONE of FIVE features of the Mozaic Roadmap.

<figure><img src="/files/EBXNpC7y5SD56f5mms3K" alt=""><figcaption><p>Designed, created and rendered by <a href="https://twitter.com/The_Linkfather"><mark style="color:yellow;">@The_Linkfather</mark></a></p></figcaption></figure>

### THE SENATE ELECTIONS

* Five Internally Elected Members
* Two Community Elected Members

The Senate is composed of SEVEN members that will facilitate DAO discussion, help draft proposals and push approved proposals to Snapshot.

### DAO TREASURY STRATEGIES

As the protocol grows in TVL and continues to expand, the DAO will have other reserve assets to deploy to further bolster its Treasury. Strategies will need to be scrutinized heavily by the DAO and community to ensure the long-term growth of the protocol.

### xMOZ UTILITY

As the MozaicDAO shapes the protocol, expressive interest surrounding token utility may be mentioned within the DAO community. The MozaicDAO has the ability to propose, draft, vote and ultimately implement token utility that is beneficial for the protocol.


# Protocol Leaderboard

Interact with the protocol, earn points and climb the Olympus Ladder.

### Ascend.

*Climb the ladder and earn your spot among the gods.*&#x20;

Earn *loyalty* holding xMOZ and points through:

* Converting MOZ > xMOZ
* Allocating funds to Mozaic Vaults
* Voting in Governance
* And more...

<div align="left"><figure><img src="/files/BSTHfXeQHeL4HUQdRKwi" alt="" width="375"><figcaption><p>Olympus Hoplite</p></figcaption></figure></div>

### Boosts

On-chain tokens used to boost a users' points on the protocol leaderboard.


# NFTs

Community driven NFTs used to cultivate an army of 'Hoplites'

<figure><img src="/files/aY2jvkWUfzoeaQeqiD5a" alt=""><figcaption></figcaption></figure>

* Believooor role in the Mozaic Discord Server.
* Liquidity Bootstrapping Pool participants.
* Hoplite role in the Mozaic Discord Server.


# Wave One

$HOP

*In a twist of fate, battle hardened Mozaic Hoplites that have endured the fury of countless battles, rather than being celebrated, have instead provoked the gods.*

***

EDITION: Hoplite ($HOP)

AMOUNT: 375 + 3 Demigods (1/1s)

MINT MECHANISM: [<mark style="color:yellow;">Gradual Dutch Auction</mark>](https://x.com/sudoswap/status/1727432307408269636?s=20) (GDA)

CHAIN: Arbitrum

MARKETPLACE: [<mark style="color:yellow;">Sudoswap AMM</mark>](https://sudoswap.xyz/#/collections)

AUCTION DATE: Sunday, February 25th at 8pm UTC / 3pm EST

{% tabs %}
{% tab title="Hoplite" %}

<figure><img src="/files/VP5OPpD5dgB5kNvZ46oT" alt="" width="375"><figcaption></figcaption></figure>
{% endtab %}

{% tab title="Demigod 1/1" %}

<figure><img src="/files/Je7ZnQTQWzSZxZmZuOI0" alt="" width="375"><figcaption></figcaption></figure>
{% endtab %}

{% tab title="Demigod 1/1" %}

<figure><img src="/files/OEA4GFs6qkh3WL0EsQjs" alt="" width="375"><figcaption></figcaption></figure>
{% endtab %}

{% tab title="Demigod 1/1" %}

<figure><img src="/files/qkYIQ1hoE5O2QRJ1ZKff" alt="" width="375"><figcaption></figcaption></figure>
{% endtab %}
{% endtabs %}


# Mint

Become a part of the army.

### **Collection Breakdown**

* 310 to be sold via GDA
* 20 for community airdrops
* 45 for Hoplite Owned Liquidity (HOL)
* 3 '*Demigods*' to be airdropped to three participants of the GDL

### Mint

Mint proceeds will go to establishing liquidity for NFT swaps on Sudoswap, guaranteeing liquidity for anyone who does wish to [<mark style="color:yellow;">swap</mark>](/add-ons/nfts/wave-one/swap) to and from their Hoplite and ETH. This trading pool will be established upon conclusion of the *Gradual Dutch Auction* (GDA).

Remaining funds will be deposited into the [<mark style="color:yellow;">Theseus Vault</mark>](/vaults/theseus-vault) to earn yield.

Hoplite NFT holders all have a claim to and will be able to govern the raised liquidity in the future.&#x20;

The team will not profit from the sale in any way.

### Launch

* FEBRUARY 2024

***

Additional launch details to be updated shortly.&#x20;


# Utility

Interactions within the Mozaic ecosystem.

### 1) Hoplite Governed Liquidity

Post launch, all funds raised will be proportionally owned by all 378 NFT holders.

{% hint style="info" %}
If a user holds 4 Hoplite NFTs, their share of Hoplite owned liquidity will equal 4/378.

* Approximately 1.058% share
  {% endhint %}

Infrastructure will be established in the future so Hoplite NFT holders can collectively decide how to redirect the liquidity throughout the Mozaic ecosystem.

### 2) Hoplite Owned Liquidity (HOL)

Mint proceeds will go toward establishing a liqudity pool on the [<mark style="color:yellow;">Sudoswap</mark>](https://sudoswap.xyz/#/) AMM:&#x20;

* $HOP-$ETH

Similar to the MOZ-ETH pair on Camelot, the Sudoswap AMM provides (instant) *guaranteed liquidity* for anyone who wishes to swap to and from $HOP.

<figure><img src="/files/OCicsXHYhkjSaUPg4O2x" alt=""><figcaption><p>Sudoswap AMM</p></figcaption></figure>

The opening price on the secondary market will be determined by the closing price of the GDA.

### 3) Yield Bearing

Mint funds not used to provide liquidity on the Sudoswap AMM will be deposited into the Theseus Vault to earn yield.&#x20;

A swap fee (royalties) of 1.5% are compounded into the HOL on Sudoswap as buybacks or as additional liquidity on the Sudoswap AMM (tbc.)

HOL and the Theseus Vault deposit will be traceable on-chain.

### 4) Leaderboard Perks

Hoplites grant access to exclusive areas of the [<mark style="color:yellow;">protocol leaderboard</mark>](/add-ons/protocol-leaderboard) as well as point multipliers (boosts) to a users available points. &#x20;

### 5) Omnichain

* Hoplites NFTS are an OFT standard and are able to be bridged seamlessly cross-chain
* In the future, partnerships will be established that will allow Hoplites to bridge their NFT cross chain and participate in multi-chain events.

### 6) Merch...&#x20;

* Hoplites have access to exclusive Mozaic merchandise in the future.

***

*Hoplite utility is designed to be expansive, anon...*


# Swap

Guaranteed liquidity for NFT swaps.

### Sudoswap AMM

Similar to a decentralised exchange (DEX), Sudoswap functions as a fully on-chain NFT automated market maker.

<figure><img src="/files/xviR2mM9ocUL8vBoJm76" alt=""><figcaption><p>Sudoswap AMM features</p></figcaption></figure>

The Sudoswap NFT AMM functions similarly to a normal token-token trading pair on a DEX, like Camelot. Instead, NFTs are replaced as the quoted asset.&#x20;

*i.e. in this case $HOP - $ETH*


# NFT Roadmap

The Underworld does not signal the end for the Hoplites...

### FUTURE UTILITY

* Gated Community Access
* Hoplite NFT Collateralized Loans
* Tradable Merch Token airdrop
* Claimable NFT yield
* Vault Fee Discounts

and much more...  🪂&#x20;

***

<div align="center"><figure><img src="/files/NonkMmyg2nLPEIZlstVz" alt="" width="375"><figcaption><p><em>Hoplites are otherwordly, their battle continues beyond the mortal world.</em></p></figcaption></figure></div>


# NFT Audit

The audit for the Hoplite NFTs - wave one.

### NFT Audit:

{% file src="/files/MhDKcEqZJZMtjsLBAxU5" %}
NFT Audit
{% endfile %}


# Galxe

Earn unique on-chain rewards redeemable within the protocol...

### Quests

Head over to [<mark style="color:yellow;">Galxe</mark>](https://app.galxe.com/quest/mozaic) to explore the latest quests. By completing these quests, you can earn rewards within the Mozaic ecosystem, recognizing your support and time. These quests are designed to be an engaging way to learn more about the Mozaic ecosystem and to gain a deeper understanding of **AIFI** while being rewarded for your efforts.

<figure><img src="/files/1OSEpf51amlhNDLcJY0s" alt=""><figcaption></figcaption></figure>


# Roadmap (prev.)

{% hint style="success" %}
**Minerva** COMPLETED: Q4 2021 - Q1 2022
{% endhint %}

* Form core team
* Project planning
* Build branding and key media channels
* Establish advisors
* Theorize AI implementations

{% hint style="success" %}
**Vulcan** COMPLETE&#x44;*:* Q2/Q3 2022
{% endhint %}

* Develop APY data extraction tool
* Begin AI modeling
* Plan Dapp build
* LayerZero expansion
* Initial Archimedes testing

{% hint style="success" %}
**Ceres** COMPLETED Q4 2022
{% endhint %}

* Live AI testing
* Mozaic NFT-Fi Planning&#x20;
* Establish DAO governance framework
* Architecture design and development
* Expand core team

{% hint style="success" %}
**Juno** COMPLETED Q1/Q2 2023
{% endhint %}

* Community Building:
  * Weekly Community Calls
  * Zealy Seasons
  * Galxe Campaigns
  * Discord gamification
* Community Raise
* dApp Alpha Testing
  * Onboard first users
  * dApp feedback and reiterations
* Testnet&#x20;
* Mainnet Testing
  * Archimedes live testing
  * Deposit/Withdrawal optimization
  * Finilizing Launch Chains.

{% hint style="info" %}
**Diana** UNDERWAY Q3 2023
{% endhint %}

* Protocol Launch
  * TVL Milestones: $2,000 --> $10,000 --> $50,000...? --> $1M
  * Collateralized borrowing
  * Additional Stargate Farms.&#x20;
  * Emissions
* Token Launch
  * LBP
* Publish Updated Roadmap.


# General FAQ

Find out more!

### What is Mozaic Finance?

Mozaic is an automatic yield farming protocol powered by AI and LayerZero technology.&#x20;

### What is the goal of this project?

To provide an intuitive protocol that empowers users with automatic yield farming. We aim to make this process as simple as possible for any user. While this is our initial goal, LayerZero technology have made the possibilities for yield farming endless.

### Who created Mozaic?

Mozaic is a community built project, brought to life in Sydney, Australia from a team of quantitative and proprietary firm traders. They teamed up with machine learning experts in California and software engineers in London. Mozaic now boasts a team of 20+ individuals.&#x20;

### Why would I use AI powered vaults over a self managed portfolio?

Self managing yield farming in DeFi poses many challenges and risks - our omnichain vaults remove the indecisions that arise in yield farming that stem from yield decay, transaction fees, over choice and the risks that are incurred from moving positions from farm to farm that occasionally involve cross-chain transactions.

### Why is Mozaic different to other yield farming protocols?

Mozaic boasts an expert team of AI experts, which we combine with LayerZero technology (omnichain interoperability) that amalgamates to create one of the most seamless and competitive yield farming experience for any user.

### Is there a token yet?

Yes. See this [<mark style="color:yellow;">page</mark>](/token/moz) for details.

### Disclaimer

The information found in this Gitbook is subject to change. There will be a prior notice and complete transparency for all changes.


# Logo

Community oriented and based on The Archimedes Spiral.

<figure><img src="/files/WNpne0cyU5cdc3vyemZo" alt=""><figcaption></figcaption></figure>

<figure><img src="/files/1xjStnTWDE7cNz5GLjHC" alt=""><figcaption></figcaption></figure>

<div align="left"><figure><img src="/files/7QYqWHmjemfLMLHxZ2hj" alt="" width="353"><figcaption></figcaption></figure> <figure><img src="/files/R2EeSxShbTE0xsDSM3oQ" alt="" width="353"><figcaption></figcaption></figure></div>