“Integrating 0x Swap API has been a game changer for Liquifi. Its secure, battle-tested contracts and flexible API allowed us to deliver a seamless token swap experience quickly and confidently. 0x empowers us to move fast while ensuring stability and top-tier UX for our users.”

- Oliver Tang, Co-Founder and CTO at Liquifi

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Highlights

• Liquifi, an automated vesting and token lockup platform, leverages 0x Swap API to enable users to automatically swap vested tokens for USDC in 1-click.
• Secure by design: Liquifi trusted 0x’s audited and battle-tested contracts.
• Ease of integration: Integrating 0x enabled the Liquifi team to ship its token swap feature faster, allowing the team to move quickly while preserving stability for their customers. Liquifi was able to get up and running with 0x API in 1 day.
• Flexible API: Swap API was flexible enough to allow Liquifi to tailor the UX to their needs, while 0x’s developers tools were leveraged to easily spot and debug API errors.‍
• Deep liquidity: With support for 7+ million tokens and 140+ liquidity sources, 0x provided Liquifi with deep aggregated liquidity to ensure the best exchange rates for users.

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What is Liquifi?

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Liquifi is the market leader in automated vesting and token lockups, managing over $8B+ on its platform and distributing $1.7B+ to 300k stakeholders worldwide.

As the trusted system of record for token operations from Day 1 post-raise to Day 1000 hiring, working with projects like Uniswap Foundation, Optimism, Animoca Brands and others, Liquifi ensures compliant token launches and distributions. From global hiring and payroll to executing legal and operational workflows, Liquifi coordinates all aspects and key partners required for a seamless token launch.

Liquifi serves 80+ customers, running from pre-token generation event (TGE) startups who recently raised capital to mature, global protocols. Liquifi enables these companies to scale confidently with compliance-driven token operations and payroll solutions.

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Automated token distribution

In order to hire the best talent, Web3 businesses offer incentives, sometimes in the form of tokens. As the space has grown, these businesses need tools to manage and automate token vesting and lockups.

Vesting is designed to incentivize the long-term commitment of talent. It gradually grants ownership of assets to employees over a specified schedule. Common schedules include time-based vesting or milestone-based vesting. Vesting often includes a cliff, an initial period during which no assets vest.

Lockups are primarily used to prevent market disruption by restricting the sale or transfer of assets for a specific period of time. In most cases, lockup periods are enforced across core team members, investors, and insiders for a period after the token launch date. Companies often implement a token lockup after the token launch date.

Because vesting tokens has potential tax implications, businesses need to make clear when tokens are vesting or when tokens are in a lockup period. And when token ownership is transferred, it creates a taxable event. Mishaps in tax withholding, around accelerated tax strategies, and in determining token ownership status can have significant financial consequences.

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With a mission to build the future of ownership by streamlining token operations and empowering protocols to focus on their core missions, Liquifi simplifies the complex legal, compliance, and administrative processes involved in token creation.

Liquifi streamlines these processes and eliminates potential consequences with tracking, management, and automated vesting schedules and lockups, supporting various customizable combinations to suit different needs.

In order to make token vesting as simple as possible, Liquifi wanted stakeholders to have the ability to choose to receive their vesting tokens in USDC. But building a swap feature in-house would have required significant engineering bandwidth. 

The Liquifi team needed an easy to integrate API for fetching exchange rates across multiple venues with access to deep liquidity to move quickly and ensure a top-tier swap experience for users.

Their search for a swap provider with flexible API infrastructure and enterprise-grade security led them to 0x. The Liquifi team chose 0x for:

1. Security: 0x has been around since 2017 and its secure and battle-tested contracts are trusted industry-wide.
2. Ease of Integration: Integrating 0x enabled the Liquifi team to ship its token swap feature faster, allowing the team to move quickly while preserving stability for their customers. Comprehensive, easy to understand documentation and resources made integrating the API smooth. Liquifi was able to get up and running with 0x API in 1 day.
3. Flexible API: Swap API was flexible enough to allow Liquifi to tailor the UX to their needs, while 0x’s developers tools enabled the team to easily spot and debug API errors.‍
4. Deep Liquidity: With support for 7+ million tokens and 140+ liquidity sources, 0x provided the deepest aggregated liquidity to ensure the best exchange rates for users.

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Token conversions powered by 0x

Liquifi leverages 0x Swap API in the offramp flow for its users, enabling them to automatically swap vested tokens for USDC in 1-click.

Swap API allows Liquifi to fetch exchange rates from 140+ liquidity sources and ensure that users are getting the best possible prices. With 0x, Liquifi is able to provide a secure and reliable token swap experience that is easy even for non-crypto native users directly within its offramp flow.

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Here’s how it works:

1. John vests 100 LQFI tokens on Liquifi: When a stakeholder receives a token grant on Liquifi, they can elect to receive their award either as tokens or as fiat.
2. John clicks “Claim” and specifies how he wants to receive his tokens: If fiat is elected, the user receives their award amount as a bank deposit in any fiat currency.
3. Under the hood, Liquifi leverages Swap API to convert John’s tokens to USDC using the best possible exchange rate. Liquifi completes the following in a single transaction:
   1. Approves and swaps John’s 100 LQFI tokens to USDC via Swap API
   2. Offramps the USDC tokens to USD fiat
   3. Transfers the USD to John’s bank account

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Tokens are at the center of everything onchain - whether you’re building a direct swap feature for users or not. If you’re building in Web3, your app will need to interact with tokens at some point.

While Liquifi doesn’t offer swaps directly to users, utilizing swaps behind the scenes is critical to building the simplest token management platform for customers. 0x Swap API enables businesses like Liquifi to quickly integrate powerful swaps into their product without the need for additional engineering resources.

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Embed swaps in your app with 0x

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