Puzzle funding proposal

Hey guys!

Herewith I’m applying for the Waves DAO funding on behalf of my project Puzzle. We are applying for a 0.1 WAVES vesting per block in exchange for PUZZLE tokens.

Puzzle Network is one of the oldest projects on the Waves blockchain with a sustainable protocol revenue model and tokenomics, proved by time. As of the moment of writing, Puzzle Swap and Puzzle Lend combined have 2.5m USD in TVL, which makes Puzzle the second project by TVL on Waves, after Neutrino.

The attracted funds will be used to implement Puzzle’s roadmap for the next 6 months. The goal of this roadmap is to secure Puzzle’s role in “New Waves” establishment and valuable share in ecosystem TVL.



  • First PUPs in Waves DAO

  • Axly market launch


  • sTokens launch on Puzzle Lend

  • Megapools democracy

  • UI bugs massive fix


  • Contracts finalization

  • Pluto protocol relaunch

  • Liquidity incentivization

You can learn more about Puzzle roadmap in a full article.


The proposed vesting conditions are:

  • Waves DAO vests 0.1 WAVES per block to Puzzle’s team account (totalling 4320 WAVES per month)
  • in exchange, once in a month Puzzle team sends PUZZLE tokens back at a market rate
  • by default, this agreement works till the end of December, although it can be terminated by a wish of any side or extended, if the tokens exchange proves its long-term sustainability

This proposal is a big step for Puzzle project, which has never asked for external funds before, besides previous after-hack proposal, which has already been successfully used to recover 50% of the debt accruing after Puzzle Lend hack in May 2023.

I believe that this is a good investment opportunity for the Waves DAO, because Puzzle, unlike the most other projects, is proposing a sustainable, high-liquid and established token in exchange for funding.

Thank you.



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Hello governors!

2 months have passed since the Puzzle funding proposal got approved. The Puzzle team has so far received 8640 WAVES ($13,390) and made 3 payments totalling 3117 PUZZLE ($20,260) to the Waves DAO address, resulting in +50% ROI.

I think it’s a good moment to make a breakdown regarding funds spendings, milestones achievement and a general success of this proposal.

Budget breakdown

Puzzle team received approximately 8640 WAVES tokens to 3PFJgYn9tJVM2nNp5zDnb8qs4CUHTaNbScs. These funds were used to:

  • repay the debts for previous developments and Gitcoin hackathon (3740w)
  • developer bounties (2000w) including Puzzle Aggregator and Puzzle Lend Bot development
  • moderator salary (300w)

All remaining funds (2600w) are secured as an addition to the Puzzle reserve fund in order to take over the debt on Puzzle Lend against XTN, without directly dumping it to the market, in case if liquidation is needed.

KPI performance

As announced in the roadmap, key KPIs for H2 2023 are Puzzle Lend and Swap TVLs and PUZZLE staking APY.

  • Puzzle Lend TVL: from $1,800,000 to #3,100,000
  • Puzzle Swap TVL: from $300,000 to $700,000
  • Staking APY: 6% with a weekly high at 9%
  • PUZZLE price: from $3.50 to $6.50

Roadmap performance

We are moving according to the announced roadmap. So far all the deadlines are completed.


As a representative of Puzzle team, I’m grateful for the financial support of the Waves DAO which allows us to move forward even in the bearish times. I’m also happy to see that this proposal is financially successful and has so far generated +50% ROI in 2 months for the DAO. Looking forward to the next months!

Best regards,


Solid numbers Puzzlemaster!
Keep up the good work.


Congratulation Vladimir and thanks for the update.


Hello governors,

another month came to an end, so it’s me again with overview of Puzzle performance.

October was an extremely challenging month for Puzzle project, we experienced a few massive liquidations on our lending platform, Puzzle Lend, totalling more than 150K USD. Fortunately, none of them led to the protocol bad debt or significant impact on collateral asset prices.

It was also a challenging month for Puzzle Swap, but in a positive sense: we saw a local maximum of trading volume in Puzzle aggregator and megapools, hence, staking APY growth. Last week, the APY was more than 25%, which made our DAO earn 25 PUZZLE just in 7 days from staking only.

KPI performance

  • Puzzle Lend TVL: $3,118,487
  • Puzzle Swap TVL: $753,000
  • Staking APY: 9% with a weekly high at 25%
  • PUZZLE price: $7.52

Roadmap performance

Unfortunately, “Megapools democracy” and “UI bugs massive fix” updates got postponed due to the liquidation activities this month. Some additional comments on it:

  • the core feature of megapools democracy update will be an option to update megapools composition; smart contract core functionality for this is already implemented (github) and is now tested. the main delay factor is our will to test this functionality and especially math well, because no one did this math feature before us;

  • UI bugs fix is obviously much needed, especially now after we saw an increase in trading volume, the website is working too slowly; I feel responsible for it and ask all our users to take my apologizes.

On a positive note, we also had some unplanned updates released this month for Puzzle aggregator:

  • aggregation of PL-tokens (Puzzle Lend LP tokens): link
  • aggregation of Pepe Team stablecoin swaps: link


I’m glad for the continuous support of Waves DAO and Puzzle users.

Looking forward to November which hopefully will be easier and, most importantly, will mark the 2-years anniversary of Puzzle project :tada: Time flies!

Best regards,

Dear governors!

Based on this proposal, Puzzle funding is scheduled till the end of December this year, however it can be prolonged “if the tokens exchange proves its long-term sustainability”. Since tokens exchange was pretty sustainable and profitable for the DAO (check out previous comments in this topic for the details), I suggest to discuss whether we should prolong the Puzzle’s 0.1w/block vesting in exchange for PUZZLE for another 6 months. In case if we decide to prolong it, I will introduce the new roadmap, which is supposed to be focused on achieving the 3 main goals:

  • extending ecosystem value of Puzzle Network, which includes bringing Puzzle Swap to the future L2 chain,
  • bringing adoption to ROME - the new stablecoin backed by Puzzle LPs and Puzzle Lend,
  • scaling 3rd-party projects; BURN-XTN project success was a huge inspiration, and I think it’s possible to scale this approach.

Let me know what do you think about it. Any comments, including the ones regarding Puzzle development vector, are really appreciated!

On a side note: looks like prolonging the Puzzle’s vesting will not require the voting, since there is no cap in the smart contract.

Best wishes,

1 Like

Will the Puzzle team cancel the old vesting and do it with the new vesting parameters?

Hello Vladimir!

The Puzzle team demonstrates remarkable agility, seamlessly adapting to market dynamics while maintaining sustainability. Their efficiency in bringing products to market is unparalleled, often outpacing competitors. Impressively, Puzzle consistently delivers a substantial number of projects, rivaling even the productivity of Waves Teams. What sets them apart is their unique and competitive approach, achieving comparable results with significantly lower overhead costs, especially when compared to other funding proposals.

Puzzle to the moon!

Guys, have an amazing short update to share with you! We just performed the first Rebalancing in a megapool, which was the main challenge for this year. Soon it will be possible for Pool Owners to change the compositions of the megapools on Puzzle, which is a great tech step towards a better adoption!

Read more: twitter.com/puzzle_network/status/1735691096817033505