Version 0.1.2 (Update: November 30, 2021)


Project purpose: You agree that you are acquiring ZLK to participate in Zenlink and to obtain services on the ecosystem thereon. The Company, the Distributor and their respective affiliates would develop and contribute to the underlying source code for Zenlink. The Company is acting solely as an arms’ length third party in relation to the ZLK distribution, and not in the capacity as a financial advisor or fiduciary of any person with regard to the distribution of ZLK.

Nature of the Lightpaper: The Lightpaper and the Website are intended for general informational purposes only and do not constitute a prospectus, an offer document, an offer of securities, a solicitation for investment, or any offer to sell any product, item, or asset (whether digital or otherwise). The information herein may not be exhaustive and does not imply any element of a contractual relationship. There is no assurance as to the accuracy or completeness of such information and no representation, warranty or undertaking is or purported to be provided as to the accuracy or completeness of such information. Where the Lightpaper or the Website includes information that has been obtained from third party sources, the Company, the Distributor, their respective affiliates and/or the Zenlink team have not independently verified the accuracy or completeness of such information. Further, you acknowledge that circumstances may change and that the Lightpaper or the Website may become outdated as a result; and neither the Company nor the Distributor is under any obligation to update or correct this document in connection therewith.

Token Documentation: Nothing in the Lightpaper or the Website constitutes any offer by the Company, the Distributor, or the Zenlink team to sell any ZLK (as defined herein) nor shall it or any part of it nor the fact of its presentation form the basis of, or be relied upon in connection with, any contract or investment decision. Nothing contained in the Lightpaper or the Website is or may be relied upon as a promise, representation or undertaking as to the future performance of Zenlink. The agreement between the Distributor (or any third party) and you, in relation to any distribution or transfer of ZLK, is to be governed only by the separate terms and conditions of such agreement.

The information set out in the Lightpaper and the Website is for community discussion only and is not legally binding. No person is bound to enter into any contract or binding legal commitment in relation to the acquisition of ZLK, and no digital asset or other form of payment is to be accepted on the basis of the Lightpaper or the Website. The agreement for distribution of ZLK and/or continued holding of ZLK shall be governed by a separate set of Terms and Conditions or Token Distribution Agreement (as the case may be) setting out the terms of such distribution and/or continued holding of ZLK (the Terms and Conditions), which shall be separately provided to you or made available on the Website. The Terms and Conditions must be read together with the Lightpaper. In the event of any inconsistencies between the Terms and Conditions and the Lightpaper or the Website, the Terms and Conditions shall prevail.

Deemed Representations and Warranties: By accessing the Lightpaper or the Website (or any part thereof), you shall be deemed to represent and warrant to the Company, the Distributor, their respective affiliates, and the Zenlink team as follows:

(a) in any decision to acquire any ZLK, you have shall not rely on any statement set out in the Lightpaper or the Website;

(b) you will and shall at your own expense ensure compliance with all laws, regulatory requirements and restrictions applicable to you (as the case may be);

(c) you acknowledge, understand and agree that ZLK may have no value, there is no guarantee or representation of value or liquidity for ZLK, and ZLK is not an investment product nor is it intended for any speculative investment whatsoever;

(d) none of the Company, the Distributor, their respective affiliates, and/or the Zenlink team members shall be responsible for or liable for the value of ZLK, the transferability and/or liquidity of ZLK and/or the availability of any market for ZLK through third parties or otherwise;

(e) you acknowledge, understand and agree that you are not eligible to participate in the distribution of ZLK if you are a citizen, national, resident (tax or otherwise), domiciliary and/or green card holder of a geographic area or country (i) where it is likely that the distribution of ZLK would be construed as the sale of a security (howsoever named), financial service or investment product and/or (ii) where participation in token distributions is prohibited by applicable law, decree, regulation, treaty, or administrative act (including without limitation the United States of America, Canada, and the People's Republic of China); and to this effect you agree to provide all such identity verification document when requested in order for the relevant checks to be carried out.

The Company, the Distributor and the Zenlink team do not and do not purport to make, and hereby disclaims, all representations, warranties or undertaking to any entity or person (including without limitation warranties as to the accuracy, completeness, timeliness, or reliability of the contents of the Lightpaper or the Website, or any other materials published by the Company or the Distributor). To the maximum extent permitted by law, the Company, the Distributor, their respective affiliates and service providers shall not be liable for any indirect, special, incidental, consequential or other losses of any kind, in tort, contract or otherwise (including, without limitation, any liability arising from default or negligence on the part of any of them, or any loss of revenue, income or profits, and loss of use or data) arising from the use of the Lightpaper or the Website, or any other materials published, or its contents (including without limitation any errors or omissions) or otherwise arising in connection with the same. Prospective acquirors of ZLK should carefully consider and evaluate all risks and uncertainties (including financial and legal risks and uncertainties) associated with the distribution of ZLK, the Company, the Distributor and the Zenlink team.

ZLK Token: ZLK are designed to be utilised, and that is the goal of the ZLK distribution. In fact, the project to develop Zenlink would fail if all ZLK holders simply held onto their ZLK and did nothing with it. In particular, it is highlighted that ZLK:

(a) does not have any tangible or physical manifestation, and does not have any intrinsic value (nor does any person make any representation or give any commitment as to its value);

(b) is non-refundable and cannot be exchanged for cash (or its equivalent value in any other digital asset) or any payment obligation by the Company, the Distributor or any of their respective affiliates;

(c) does not represent or confer on the token holder any right of any form with respect to the Company, the Distributor (or any of their respective affiliates), or its revenues or assets, including without limitation any right to receive future dividends, revenue, shares, ownership right or stake, share or security, any voting, distribution, redemption, liquidation, proprietary (including all forms of intellectual property or licence rights), right to receive accounts, financial statements or other financial data, the right to requisition or participate in shareholder meetings, the right to nominate a director, or other financial or legal rights or equivalent rights, or intellectual property rights or any other form of participation in or relating to Zenlink, the Company, the Distributor and/or their service providers;

(d) is not intended to represent any rights under a contract for differences or under any other contract the purpose or pretended purpose of which is to secure a profit or avoid a loss;

(e) is not intended to be a representation of money (including electronic money), security, commodity, bond, debt instrument, unit in a collective investment scheme or any other kind of financial instrument or investment;

(f) is not a loan to the Company, the Distributor or any of their respective affiliates, is not intended to represent a debt owed by the Company, the Distributor or any of their respective affiliates, and there is no expectation of profit; and

(g) does not provide the token holder with any ownership or other interest in the Company, the Distributor or any of their respective affiliates.

Notwithstanding the ZLK distribution, users have no economic or legal right over or beneficial interest in the assets of the Company, the Distributor, or any of their affiliates after the token distribution.

To the extent a secondary market or exchange for trading ZLK does develop, it would be run and operated wholly independently of the Company, the Distributor, the distribution of ZLK and Zenlink. Neither the Company nor the Distributor will create such secondary markets nor will either entity act as an exchange for ZLK.

Informational purposes only: The information set out herein is only conceptual, and describes the future development goals for Zenlink to be developed. In particular, the project roadmap in the Lightpaper is being shared in order to outline some of the plans of the Zenlink team, and is provided solely for INFORMATIONAL PURPOSES and does not constitute any binding commitment. Please do not rely on this information in deciding whether to participate in the token distribution because ultimately, the development, release, and timing of any products, features or functionality remains at the sole discretion of the Company, the Distributor or their respective affiliates, and is subject to change. Further, the Lightpaper or the Website may be amended or replaced from time to time. There are no obligations to update the Lightpaper or the Website, or to provide recipients with access to any information beyond what is provided herein.

Regulatory approval: No regulatory authority has examined or approved, whether formally or informally, any of the information set out in the Lightpaper or the Website. No such action or assurance has been or will be taken under the laws, regulatory requirements or rules of any jurisdiction. The publication, distribution or dissemination of the Lightpaper or the Website does not imply that the applicable laws, regulatory requirements or rules have been complied with.

Cautionary Note on forward-looking statements: All statements contained herein, statements made in press releases or in any place accessible by the public and oral statements that may be made by the Company, the Distributor and/or the Zenlink team, may constitute forward-looking statements (including statements regarding the intent, belief or current expectations with respect to market conditions, business strategy and plans, financial condition, specific provisions and risk management practices). You are cautioned not to place undue reliance on these forward-looking statements given that these statements involve known and unknown risks, uncertainties and other factors that may cause the actual future results to be materially different from that described by such forward-looking statements, and no independent third party has reviewed the reasonableness of any such statements or assumptions. These forward-looking statements are applicable only as of the date indicated in the Lightpaper, and the Company, the Distributor as well as the Zenlink team expressly disclaim any responsibility (whether express or implied) to release any revisions to these forward-looking statements to reflect events after such date.

References to companies and platforms: The use of any company and/or platform names or trademarks herein (save for those which relate to the Company, the Distributor or their respective affiliates) does not imply any affiliation with, or endorsement by, any third party. References in the Lightpaper or the Website to specific companies and platforms are for illustrative purposes only.

English language: The Lightpaper and the Website may be translated into a language other than English for reference purpose only and in the event of conflict or ambiguity between the English language version and translated versions of the Lightpaper or the Website, the English language versions shall prevail. You acknowledge that you have read and understood the English language version of the Lightpaper and the Website.

No Distribution: No part of the Lightpaper or the Website is to be copied, reproduced, distributed or disseminated in any way without the prior written consent of the Company or the Distributor. By attending any presentation on this Lightpaper or by accepting any hard or soft copy of the Lightpaper, you agree to be bound by the foregoing limitations.

Zenlink is an underlying cross-chain DEX protocol based on Polkadot and is committed to becoming the DEX composable hub of Polkadot. By accessing the ultimate, open, and universal cross-chain DEX protocol based on Substrate, Zenlink DEX Protocol enables all parachains to build DEX and achieve liquidity sharing in one click. Zenlink DEX Protocol includes Module, WASM, and EVM implementations, which are flexible and adaptable, allowing for customizable compositions and interoperability with different DeFi modules.

In addition, the Zenlink DEX Aggregator connects all DEX DApps on Polkadot and aggregates liquidity, providing a low slippage trading experience for users. Zenlink DEX Composable Hub enables developers to access the Zenlink DEX Module to build their own unique DEXs, forming a DEX composable hub for the Polkadot ecosystem.

Zenlink DEX Network architecture can be described as follows.

Zenlink DEX Protocol is an underlying cross-chain DEX protocol based on Substrate, which includes Module, WASM, and EVM implementations.

Zenlink DEX Module is a module that can be inserted into parachain code through Pallet. The module will be integrated into parachains, so that they can directly have the basic functions of DEX without repeated development, such as Swap, creating transaction pairs, adding/removing liquidity, etc.; at the same time, it can also share liquidity with all parachains integrated with Zenlink DEX Module.

Zenlink DEX WASM refers to the version of the WASM contract written with ink! Pallet. The advantage of this implementation is that the smart contract can be compiled and deployed to the parachain ink! module, instead of modifying the source code of the parachain. WASM is the native contract implementation in the Polkadot network and is the primary contract deployment method of the future, and the Zenlink DEX WASM version has the ability to be deployed to the WASM contract parachain for the first time.

Zenlink DEX EVM is a contractual deployment mode to achieve compatibility with the Ethereum virtual machine (EVM), and it is also a transition scheme adopted by the Polkadot network in the initial stage. The Zenlink DEX EVM version implements all the functions of the protocol layer, complements the perfect testing process, and can be deployed to the EVM contract parachain for the first time, which greatly expands the applicability of the platform.

Zenlink DApp is a front-end interactive product based on Zenlink DEX Protocol to facilitate users to use cross-chain DEX without awareness.

Zenlink Network Token (ZLK) is the native token of the Zenlink network, serving the participants of the entire Zenlink DEX network. It provides a fair and transparent governance mechanism and significant utility within the ecosystem, and is used to motivate eco-users to participate in the network development in the long term.

Zenlink network ecosystem participants consist of the following categories.

  • Liquidity providers: provides liquidity for trading pairs on the Zenlink DEX network.

  • Traders: users who make trades on Zenlink DEX.

  • Governance users: users who obtain ZLK and participate in network governance in a variety of ways.

  • Developers: developers involved in the Zenlink network.

  • Parachains: parachains integrating Zenlink DEX Module

Zenlink is committed to providing valuable protocols, products, and services, and the development of its ecosystem depends on the joint efforts of the above participants. At the same time, Zenlink will continue to invest the value created by the network into ecosystem construction, encourage more contributors to participate in network construction, promote optimization and upgrading at all levels of the network, and then create greater value, making the whole network enter the development track of positive feedback. And ZLK is the most important medium to promote the whole eco-economic cycle.

Token Utility

The native cryptographically-secured fungible protocol token of Zenlink (ticker symbol ZLK) is a transferable representation of attributed governance and utility functions specified in the protocol/code of Zenlink, and which is designed to be used solely as an interoperable utility token thereon.

ZLK provides the economic incentives which will be distributed to encourage users to exert efforts towards contribution and participation in the ecosystem on Zenlink, thereby creating a mutually beneficial system where every participant is fairly compensated for its efforts. ZLK is an integral and indispensable part of Zenlink, because without ZLK, there would be no incentive for users to expend resources to participate in activities or provide services for the benefit of the entire ecosystem on Zenlink. Given that additional ZLK will be awarded to a user based only on its actual usage, activity and efforts made on Zenlink and/or proportionate to the frequency and volume of transactions, users of Zenlink and/or holders of ZLK which did not actively participate will not receive any ZLK incentives.

ZLK does not in any way represent any shareholding, participation, right, title, or interest in the Company, the Distributor, their respective affiliates, or any other company, enterprise or undertaking, nor will ZLK entitle token holders to any promise of fees, dividends, revenue, profits or investment returns, and are not intended to constitute securities in Singapore or any relevant jurisdiction. ZLK may only be utilised on Zenlink, and ownership of ZLK carries no rights, express or implied, other than the right to use ZLK as a means to enable usage of and interaction within Zenlink.

ZLK is a utility token with multiple practical utility values, including:

1. Trading mining weight value bonus

ZLK functions as a loyalty membership point which embeds a licence granting active participants exclusive access to selected products or services, so users will be classified into different loyalty tiers based on the amount of ZLK held, user activity and volume of transactions, with each variable weighted based on the "tradingContributionValue" formula. The premium membership tiers would allow users to get greater access to the network features and more preferential terms. The calculation formula for trading mining is as follows:


d_ weight value of the ZLK holdings, see the table below for details

r_ trading pair weight value, see the table below for details

m_ indicates the total incentives in the period

tradingVolume_ indicates the amount of a single trade, denominated in stablecoins

Note: tradingVolume does not count all transactions. Every 5 minutes will be a statistical period, for each address, only the one with the highest transaction volume within 5 minutes will be counted, the rest of the transactions will not be counted. If there are multiple transactions with the same maximum value at the same address within 5 minutes, only one transaction will be counted. For example: If address A has 3 transactions in 5 minutes, 100 USDT, 1,000 USDT, and 10,000 USDT respectively, then its tradingVolume is 10,000 USDT and tradingContributionValue is 100 in these 5 minutes. Similarly, if address B has 2 transactions in 5 minutes, 5,000 USDT, and 50,000 USDT respectively, then its tradingVolume is 50,000 USDT and tradingContributionValue is 223.61 in these 5 minutes

2. Active User Incentives

Users may receive ZLK rewards by actively participating in activities on Zenlink, for example utilising the platform, providing liquidity, or participating in governance.

3. Governance

To promote decentralized community governance for the network, ZLK would allow holders to initiate and vote on ZIP (Zenlink Improve Proposal) to determine future features and/or parameters of Zenlink, with voting weight calculated in proportion to the tokens staked (the right to vote is restricted solely to voting on features of Zenlink; it does not entitle ZLK holders to vote on the operation and management of the Company, its affiliates, or their assets or the disposition of such assets to token holders, or select the board of directors of these entities, or determine the development direction of these entities, does not constitute any equity interest in any of these entities or any collective investment scheme; the arrangement is not intended to be any form of joint venture or partnership). For example, ZLK holders may vote on suggestions for the improvement of Zenlink products, allocatn of the treasury to development or community building efforts.

Economic Mechanism

In order to promote network growth and ensure a healthy cycle of the entire ecosystem, Zenlink designed the following economic mechanisms for ZLK:

Liquidity Mining

Zenlink is currently a DEX based on AMM (automatic market maker) model. It is crucial for DEXs to have a broad and deep liquidity pool in order to create markets for users to trade their tokens, so Zenlink has established a liquidity incentive program. Token holders can obtain the LP Token of the corresponding trading pair by providing liquidity to the Zenlink DEX network. The LP Token represents the voucher to add and remove liquidity, and liquidity incentives can be obtained by staking LP Token with Zenlink to record their contribution to the liquidity pool, and accordingly the liquidity provider will be entitled to receive ZLK rewards. The liquidity mining reward shall be distributed periodically, as detailed in the announcement or program of liquidity mining launched in the future.

It is important to reiterate that a liquidity pool simply comprises a set of autonomous smart contracts deployed on the relevant blockchain network, operated directly by users calling functions on it (which allows them to interact with other users and/or pool their own selected assets in a peer-to-peer manner). There is no further control by or interaction with the original entity which had deployed the smart contract (which entity solely functions as a provider of technical tools for users, and is not offering any sort of securities product or regulated service).

Trading Mining

Users who trade with DEX can also get ZLK token incentives proportionate to their activity. Considering the fairness of participating users, there will be a balance between users with different trading volumes in the design of the mechanism. The incentive for transaction mining comes from two parts: 10% of the transaction fee income (rebate) and 15% of the initial ZLK allocation. The reward is distributed according to the proportion of the contribution value of the transaction volume in a certain period, calculation formula reference [Token Utility-Trading mining weight value bonus].

Transaction Fee Fund Pool

The transaction fee will be managed in a dedicated fund pool. At present, the maximum transaction fee is 0.3% of the amount of each transaction, and depending on the actual situation, the transaction fee charged on different parachains may be in different tokens, so there are theoretically multiple tokens in the transaction fee fund pool. The main uses of transaction fees include:

  • ZLK liquidity provider share: 50%

  • Active user incentives: 30%

  • Traders share: 10%

  • Reservation share: 10%

Community Incentives Pool

Users may receive ZLK rewards by actively participating in activities on Zenlink, for example utilising the platform, providing liquidity, or participating in governance. 5% of the total supply of ZLK tokens is reserved to reward active community contributors and parachains that promote adoption by integrating Zenlink DEX Module.

DAO Treasury

This part of the token is reserved for 5% of the total supply and is jointly managed by DAO members to support the development of the Zenlink network. Its expenditure purposes include, but are not limited to:

  • Zenlink marketing or community-building activities.

  • Rewards to DAO members based on the proof of workload.

  • Developer Grant.

*We will publish a separate document on the model design of Zenlink NFT

ZLK Distribution

Zenlink will issue the same set of ZLK Token in Kusama Network and Polkadot Network with a maximum supply of 100 million. Due to the buyback mechanism, there will be a certain degree of deflation, and the actual maximum circulation will be less than 100 million. The token distribution ratio of the two networks is tentatively 40% of Kusama issuance and 60% of Polkadot issuance, following the same distribution rules (i.e. 40,000,000 ZLK issued on the Kusama network and 60,000,000 ZLK issued on the Polkadot network, which will follow a non-discriminatory release rule). The specific distribution is as follows:

Community: 50%, of which:

  • Trading mining: 15%, non-linear unlocked

  • Liquidity mining: 25%, non-linear unlocked

  • DAO Treasury: 5%, used on demand for network construction expenses and is jointly controlled by the community and Zenlink team.

  • Community Incentives: 5%, which is used to reward ZLK active community contributors and parachains that integrate Zenlink DEX Module.

Early investors: 26%, of which:

  • Seed round: 7%, linearly unlocked every 3 months, 1/8 unlocked each time

  • Angel round: 11%, linearly unlocked every 2 months, 1/8 unlocked each time

  • Series A Round: 8%, linearly unlocked every month, 1/8 unlocked each time

Team: 20%, linearly unlocked every 3 months and released in 24 months (No unlocking for the first 2 months after launch).

Zenlink Foundation: 4%, reserved and there is no plan to unlock for now.

Risk Statement

Zenlink is currently in the initial development stages and there are a variety of unforeseeable risks. You acknowledge and agree that there are numerous risks associated with acquiring ZLK, holding ZLK, and using ZLK for participation in Zenlink. In the worst scenario, this could lead to the loss of all or part of ZLK held. IF YOU DECIDE TO ACQUIRE ZLK OR PARTICIPATE IN ZENLINK, YOU EXPRESSLY ACKNOWLEDGE, ACCEPT AND ASSUME THE FOLLOWING RISKS:

Uncertain Regulations and Enforcement Actions: The regulatory status of Zenlink, ZLK and distributed ledger technology is unclear or unsettled in many jurisdictions. The regulation of digital assets has become a primary target of regulation in all major countries in the world. It is impossible to predict how, when or whether regulatory agencies may apply existing regulations or create new regulations with respect to such technology and its applications, including ZLK and/or Zenlink. Regulatory actions could negatively impact ZLK and/or Zenlink in various ways. The Company, the Distributor (or their respective affiliates) may cease operations in a jurisdiction in the event that regulatory actions, or changes to law or regulation, make it illegal to operate in such jurisdiction, or commercially undesirable to obtain the necessary regulatory approval(s) to operate in such jurisdiction.

Inadequate disclosure of information: As at the date hereof, Zenlink is still under development and its design concepts, consensus mechanisms, algorithms, codes, and other technical details and parameters may be constantly and frequently updated and changed. Although this Lightpaper contains the most current information relating to Zenlink, it is not absolutely complete and may still be adjusted and updated by the Zenlink team from time to time. The Zenlink team has neither the ability nor obligation to keep holders of ZLK informed of every detail (including development progress and expected milestones) regarding the project to develop Zenlink, hence insufficient information disclosure is inevitable and reasonable.

Competitors: Various types of decentralised applications and networks are emerging at a rapid rate, and the industry is increasingly competitive. It is possible that alternative networks could be established that utilise the same or similar code and protocol underlying ZLK and/or Zenlink and attempt to re-create similar facilities. Zenlink may be required to compete with these alternative networks, which could negatively impact ZLK and/or Zenlink.

Loss of Talent: The development of Zenlink greatly depends on the continued co-operation of the existing technical team and expert consultants, who are highly knowledgeable and experienced in their respective sectors. The loss of any member may adversely affect Zenlink or its future development. Further, stability and cohesion within the team is critical to the overall development of Zenlink. There is the possibility that conflict within the team and/or departure of core personnel may occur, resulting in negative influence on the project in the future.

Failure to develop: There is the risk that the development of Zenlink will not be executed or implemented as planned, for a variety of reasons, including without limitation the event of a decline in the prices of any digital asset, virtual currency or ZLK, unforeseen technical difficulties, and shortage of development funds for activities.

Security weaknesses: Hackers or other malicious groups or organisations may attempt to interfere with ZLK and/or Zenlink in a variety of ways, including, but not limited to, malware attacks, denial of service attacks, consensus-based attacks, Sybil attacks, smurfing and spoofing. Furthermore, there is a risk that a third party or a member of the Company, the Distributor or their respective affiliates may intentionally or unintentionally introduce weaknesses into the core infrastructure of ZLK and/or Zenlink, which could negatively affect ZLK and/or Zenlink. Further, the future of cryptography and security innovations are highly unpredictable and advances in cryptography, or technical advances (including without limitation development of quantum computing), could present unknown risks to ZLK and/or Zenlink by rendering ineffective the cryptographic consensus mechanism that underpins that blockchain protocol.

Other risks: In addition, the potential risks briefly mentioned above are not exhaustive and there are other risks (as more particularly set out in the Terms and Conditions) associated with your participation in Zenlink, as well as acquisition of, holding and use of ZLK, including those that the Company or the Distributor cannot anticipate. Such risks may further materialise as unanticipated variations or combinations of the aforementioned risks. You should conduct full due diligence on the Company, the Distributor, their respective affiliates, and the Zenlink team, as well as understand the overall framework, mission and vision for Zenlink prior to participating in the same and/or acquiring ZLK.


Last updated