Maverick Protocol Describes Itself As 

Maverick Protocol is a DeFi infrastructure provider, aiming to establish highly liquid markets for traders, liquidity providers, DAO treasuries, and developers. Core to the Maverick Protocol is its Dynamic Distribution Automated Market Maker (AMM), a curve-function based AMM that dynamically adjusts the distribution of assets within a liquidity pool according to market demand and expected yields. 

The protocol's Phase 1 emphasized capital efficiency, especially in liquid staking token market-making. Following 2 years of development, Maverick's Dynamic Distribution AMM launched on Ethereum on March 8, 2023, and later extended to zkSync Era.

The Dynamic Distribution AMM leads to improved liquidity and potentially better trading prices by concentrating assets where they are most needed, thereby reducing slippage. It also helps to mitigate impermanent loss by repositioning assets in response to market movements. For liquidity providers, this model automates the management of their positions, reducing the need for constant adjustments and the associated costs. Additionally, it introduces greater flexibility in liquidity provision, allowing providers to follow asset price trajectories and employ more sophisticated, customizable liquidity strategies, catering to varied risk profiles and preferences.

With the introduction of 'Boosted Positions' in Phase 2, Maverick attracted major DeFi projects, including Lido, Fax, Rocket Pool, Liquidity, and Swell. 

The MAV token is used to provide liquidity through staking, and is used for governance, enabling token holders to vote on the modification protocol parameters within the Maverick ecosystem. 

Founded by Alvin Xu and Bob Baxley, Maverick Protocol raised $9 million in seed funding led by Founders Fund, with participants including: Binance Labs, Coinbase Ventures, Pantera Capital, and Apollo Crypto. 

Risks of MAV

Like an investment in other crypto assets, there are some general risks to investing in MAV. These include:  (i) volatility risk and liquidity risk, (ii) short history risk, (iii) demand risk, (iv) forking risk, (v) code defects, (vi) regulatory risk, (vii) electronic trading risk, and (viii) cyber security risk. For additional information of these and other general risks associated with crypto assets and Uphold’s platform, please refer to the Risks Specific to Holding Digital Assets statement.

In addition to these general risks, an investment in MAV is subject to the following specific risks:

• Maverick Protocol operates using smart contracts, which have an association with vulnerabilities and security breaches. Despite undergoing successful audits by well-regarded third-party entities, it is essential to acknowledge the existence of inherent risks. Furthermore, the project’s future trajectory hinges on the decisions made by a global community of MAV token holders. 

We emphasize that this Crypto Asset Statement is not an exhaustive description or summary of all risks associated with MAV. Investors should conduct their own research and perform their own assessment before trading any crypto asset to determine the appropriate level of risk for their personal circumstances.

The MAV community and aforementioned founders are not under any legal or regulatory obligation to disclose material information to the public regarding its activities. Holders of MAV have no recourse to MAV holders, founder, or Uphold if MAV declines in value for any reason.

Changes to applicable law may adversely affect the use, transfer, exchange, or value of any of your crypto assets, and such changes may be sudden and without notice.

Uphold’s Evaluation Process

Prior to listing MAV on the Uphold Platform, Uphold performed due diligence on MAV and determined that MAV is unlikely to be a security or derivative under relevant securities legislation. Uphold’s analysis including reviewing publicly available information on the following: 

• The creation, governance, usage, and design of MAV, including ensuring the source code is open-source, audited and peer reviewed, security, and roadmap for growth in the developer community. 
• The supply, demand, maturity, utility, and liquidity of MAV.
• Any marketing materials put forward by the MAV social team including on, Twitter, Medium blog, LinkedIn posts, Discord and Telegram channels.
• Material technical risks associated with MAV, including any code defects, security breaches and other threats concerning MAV and its supporting blockchain (such as the susceptibility to hacking and impact of forking), or the practices and protocols that apply to them.
• Legal and regulatory risks associated with MAV, including any pending, potential, or prior civil, regulatory, criminal, or enforcement action relating to the issuance, distribution, or use of MAV.

General

Uphold has prepared this Crypto Asset Statement based on publicly available information. Although Uphold has taken steps to obtain information from apparently reliable sources, information contained in this Crypto Asset Statement may be inaccurate, incomplete or out-of-date. This overview is a starting point for you to perform your own research prior to investing in a crypto asset.

Uphold users should read the Risks Specific To Holding Digital Assets statement for additional discussion of general risks associated with crypto assets made available through the Uphold platform.  

Canadian residents, please note that Uphold has filed an application for registration in certain Canadian jurisdictions but has not yet obtained registration. Until such time as Uphold obtains registration, Uphold has agreed to abide by the terms of an undertaking available at the following link. Please also review the Uphold Canada – Crypto Risk Statement for additional discussion of general risks associated with the crypto assets made available through Uphold Platform. Please be aware that statutory rights of action for damages or rescission in section 130.1 of the Securities Act (Ontario) and, if applicable, similar statutory rights under securities legislation in the other provinces and territories of Canada do not apply in respect of this Crypto Asset Statement or other disclosures on the Uphold website and Risks Specific To Holding Digital Assets statement. 

Last updated on November 30, 2023.