Foxify x Decibel Trade AMA

Maybe we can do a quick intro first for both sides. If you don't mind, maybe Brian can start. Yeah, of course. Yeah, I'll kick it off. So, Brian Lee here had a decibel doing a little bit of everything, making sure the exchange is running. Our risk looks good, liquidity looks good, shipping product features, and making sure we're giving traders exactly what they want. Nice. Would you like me to get a next camera? Yes, please. Thank you. OK, cool. Sorry, because I'm jumping in on the Fox. I am a real human. So, I'm Danny. I do go by Danny as well. And I'm a founder, yeah, CEO of Foxify.trade, sort of, been in the industry since really a bare market, baby, to be honest. I've got into the industry and we sort of launched the first version of our sort of protocol a week before the terryluna crisis. Stuck it out, whilst most people quit, launched Foxify, which originally was a perpetual platform, 2023, built the first on-chain proctorating application. Whilst others claimed that, they're lying. We were the first and the only for the A-Book on-chain proctorating app, even back in 2024, actually. So, a million, million miles before any of these clowns that B-Book can pretend that they A-Book. And we realized we just got a little bit, a little bit sorry seeing how traders really perform to be on a cent. And it's good for business for as if traders do better. So, we built, we built Quant AI and automated funded challenges because rather than designing systems to try and extract liquidity from people, what we wanted to do is to build something and launch something that's just going to create better outcomes for everybody, which is actually better for everybody. It's better for chains and platforms. And obviously, all of our holders as well. So, that's kind of us in their nutshell. Nice, thanks for sharing. So, I'm Calvin. I'm on the app to side, but I'll do a lot of help on the decibel side as well. All right, so, Danning, if I were to give you 30 seconds, what's funded, Foxify? 30 seconds. So, probably blend of copy trading and additional capital. So, you can copy trade a strategy, which is pre-proven, not guaranteed to perform, but has a history of performing. And you get access to additional capital, which gives you outsized returns when it's successful. Danny, if you don't mind, I would love to, you know, go back a little bit also on the Foxify launch and the bear market and know you a bit more as well. Were you also personally coming in during the bear market, or did you have experience maybe in the markets and the opportunity that you saw before launching Foxify and then hitting kind of like that, that unfortunate timing of Teriluna? Yes, it's a really good question, actually. So, yeah, sorry, because the first question was 30 seconds, not too long ago. So, no. I just started to call it back because I think what I see in your product and what I see from Foxify is like a bit more experience and a bit more of understanding of what traders want. Yeah, okay, no, great. All right, well, that's it. Now, the shackles are off, right? There's no 30 second timer, you know, get a cup of tea. This is going to take a while. So, so my background, so sort of 10 plus years in corporate and sort of puts you 100, a couple of 14, 500s, then sort of scaled a SaaS business, sort of as the bridesmaid sort of second in command in that company. And then in 2022, so I had an idea, it was part of a few groups and I was sort of jokingly say, sort of accidentally raised 2 million because we just never expected it to blow up as quickly as it did. I turned around to my lovely wife and my boss who had just given me a mass pay rise and my equity was worth a nice tidy sum and told them all that I'd lost my mind and I was going to become a Web 3 founder. And then we kicked off our first project a week before the Teriluna crisis and was just sat there after quitting my job thinking, okay. But everybody quits in this industry, right? Everybody, and we build, I remember, we've made many mistakes in our time in the industry, so it's not like we're perfect, but certainly for the first nine months at it, we got most things right. Always a little bit of luck and a great community behind us. And we built like this really solid core community, which is even though we've got like a legacy token that's now years old and we are really, we've got like 95% locked and we've got this like really core and amazing sort of core community. So that was sort of our background. And then Foxify was us, those are trying to mature a bit and develop an idea of, there's something there's more of a utility. And we quickly found that actually, does the world need another perpetual platform, not really a lot of it? The world need another perpetual platform, not really at that time. And so prop trading is a real challenge for people because it's mostly a scam. Yeah, it's just, you might as well just get a decade when he's in head to the fruit machine in your local pub. And that's what the systems are designed to extract the liquidity from you. In most cases, I'll say that so that nobody sort of comes after me with a lawyer. So if you come in and move a lawyer, you're one of the ones that said wasn't a scam. Okay. And yeah, so we like trying, I don't want to be part of the pact. We wanted to try and solve a problem there. And we thought bringing trust and transparency on chain would be a great way of doing that. But if I'm honest, what we also learned is that you can't undigene a degen. And so I think you can offer someone a hundred K and they know deep down it's a scam as an account where you can offer them 20 K and it's not a scam and they'll go for the hundred K, unfortunately in this industry. So being reliant in that business model on volume, on sorry, use of a heavier to drive the business, right? What we saw, and I'll be completely honest with it, it's 13.9% of users would pass a challenge level. And now flip that, that's 86.1% would fail the first time as horrendous, right? And we would like the fairies platform in existence. And then you would see typically the average trader would last 1.2 weeks. So that's a horrible situation for the people using the product and it's not a great situation for you if your business is profit share and fees, right? And so we started to explore sort of AI and automation and we built this engine early this year and this engine then goes out scans the world and finds all sorts of strategies, tests it, runs it through funded models. And as long as it comes out and ticks a load of boxes which I won't bore you with any more info, then it gets approved, then it goes into live testing and then it might make it onto the platform and when it makes it onto the platform now, we can say there's a high degree of confidence, historically it will pass a challenge 75% of the time. And you just, no, profferms won't even let you use systems like that, right? Even though they're down for you making money and they love bragging about your cash out, the reality is every time you get paid out, they are hurt and they hate it. Whereas we love it, we absolutely love it. So for us, it's just a super simple thing to do, double down on that. And actually at the same time, go and plug this into platforms like decibel because you guys want the same thing. You want traders to succeed because traders succeed, stay, they keep trading, they do volume, you make fees, everybody's happy. So that's what we're all about. No, that's great. And I love the long winded answer here. And I think I'm going to keep going off away from Calvin's questions. Sorry about that. And I know this is a perfect lead into about decibel. But I'm curious as well on Foxify because I think we are aligned on. You want a trader to succeed, you want to give them the portfolio tools to manage their capital, to be able to express their views on the market and survive. And I think that comes back to maybe both of us coming through different bear markets. It's like you need to stay interested. You need to stay involved. You need to keep building through the boring pieces. So that when you have a bull market come back and you have more volatility, you're prepared for it. And so following your question here is as you've gone into the deep dive of data and signals, how has maybe the last year differed in more of a bear market sentiment and some of the signals and signs that you saw from that from maybe even just the last three weeks of some volatility? Yes, really interesting. I think how do I answer this question? So the sources that we use is all about history. We're not, and we've done, it sounds like I'm horrible about everyone. We've worked with organizations who've sent us tear sheets, and then they've blown up three accounts in a row. Even though they've said they've got 6% maximum historical draw down in a bazillion years and they've got a gazillion dollars. And then we've plugged them into an account and they're literally like the worst than the junkie has been horrendous. So what basically the lesson from that is, don't believe anybody, and don't believe it unless you see it. And then the other big lesson actually, is not, it's not, it's not, it's not ETH Australia designed so that it just stacks probability in your favor. They all blow. Like I'll give an example so we've got one that hasn't gone live yet actually which is USDJPY. We've actually been running this ourselves live, we've got years of history and we've been running it ourselves for 12 months straight and it hasn't hit any drawdown over 5% for a year and I don't know if you guys know on USDJPY last Wednesday or Thursday absolutely got destroyed. So if we'd had 300 accounts live on that strategy last Thursday luckily I feel like we kind of got it out of the way before we go live with it which is great. It would have absolutely wiped everybody. So I think the most important thing of what we do is not so much about can we find the best signal or can we find the alpha that nobody can get is just looking at statistical averages and then playing a numbers game. So that's what our system does. I think anybody that sells you something that wins all ticks away from and actually you know our system fails you and actually you know something like 60% of our strategies, signals could actually be wrong and you would still be net profitable because of that outsized capital that you get to use. So I know I haven't directly asked such a question but it's probably probably the best I can do on that one. No no but I think it's great and I know we have a bunch of people from from our side listening that are just hearing about Foxify today and it's always great to get into the mind of the product and the strategies that are there and what the tools that they're going to have access to. So I'll let Calvin keep going. Sorry for derailing a little bit but thanks for all the info. Yeah, excited to learn more about like how do you how you construct the strategy later on in this episode as well. I'm sure I'm not a systematic trader but I often like to run some backtests and those kind of stuff to help me decide but yeah I love to learn more about later. Before we move on to the next step, Brian do you want to do a quick intro on what decibel is for people that are mainly familiar with Foxify? Yeah, of course. decibels are fully on chain perps and spot decks now. I guess we've been live since February and the you know design decisions and the things that we did align here for giving traders the most trust and transparency that they can see inside the exchange. So when it comes to the order book, the matching, the settlement, the entire system of decibel being published on top of apptus and being able to trust what's happening to your trade, to your flow that's coming into the exchange and how it's going to be treated and matched fairly. And so yeah, we've been doing well and we just launched spot and now we're excited to see how more and more people tie into the spot market so we can get more spot listings and kind of bring your entire portfolio or your entire trading strategy within one on-chain venue. You know when we talk about that, you know risk management and long-term portfolio management you want to have delta neutral strategies you might want to express the long and one asset but hedge with the short somewhere else. Those are all the things that we want to enable traders to be able to do, run those complex strategies and then be able to trust and verify everything that's going on on the exchange on-chain. Thanks. So why now, why each other, why we're integrating together and why there's a big sense for people to come use Foxify on decibel. Is that a question for me or was that for Brian? Sure, sure, sure. Yeah, you can take it first. Yeah, so look from our perspective actually and again it comes back to like, you know, look, I understand we're in an industry where everybody says the same thing. I haven't done the space for ages and this is because I feel like quite excited because I've been done for a long time and it reminds me my first ever spaces. I remember a comment that said, is this some wolf of Wall Street shit because I was like a little bit nervous and really energetic but the, you know again it comes back to outcomes for us. Somebody said to me the other day, why don't you just launch your mean token, right? And I'd happily share this like we're out docks in the person and they said, why don't you just launch your mean token, you know, you can just make so much money on Robinhood really quickly, yeah. And I said, I literally would rather die poor. Yeah, and I don't think I hope I'm not going to die poor, but I think there might be other ways. I don't think it's just binary on launching a mean token or not, but that was my answer. And I genuinely lock into that and that's because I want to sleep easy at night and so for us, why decibel, if I link that back, you look at the liquidity and you look at the quality of pairs and the structure that you've got on decibel, that just translates into outcomes. You know, people talk about liquidity like it's this little buzz word.