What is Primex?Primex Finance is a non-custodial prime brokerage protocol that connects lenders, traders, market-makers, and liquidity providers. The platform allows for spot margin trading on DEXs and other leveraged operations across various DeFi protocols, all backed by lender liquidity.In this article, we are going to be using the latest version Primex v0.4.0. Primex is currently live on the Goerli, Polygon Mumbai, Moonbase alpha, and zkEVM Testnet.Exploring Primex:We indulged, we documented—this article encapsulates our review of Primex.What makes Primex special?Primex thrives on market dynamics, offering numerous scenarios that necessitate testing and simulating the functionality of the Primex Protocol.Kindly take note that in order to conduct a comprehensive review of Primex, it is vital to perform a test encompassing a wide range of transaction types that are executed on Primex, including (a) deposits, (b) withdrawals, and so on. However, the utmost importance lies in assessing the dApp's performance through the manipulation of time. This test is specifically designed for that purpose, and its scope is much larger than anticipated. We will not solely engage in lending activities but also manipulate the system extensively to conduct thorough end-to-end testing.We could opt for testing on the Goerli Testnet, but then we face a couple of challenges:<ol style="list-style-type:decimal;"><li>Time: Waiting for a year to obtain test results raises questions about the usefulness of such a delayed review.</li><li>Tokens: Accumulating enough Testnet tokens for comprehensive testing is an arduous and time-consuming process.</li></ol>In simple terms, using the Goerli Testnet presents limitations, creating a situation where it cannot be effectively utilized.To overcome this, we considered options like the local Hardhat fork or Anvil fork. However, these alternatives require additional efforts, such as impersonating accounts to obtain ERC20 Tokens and performing various hacks to track transaction outcomes.To streamline the process and make the most of Primex's front end, we opted for <a href="http://buildbear.io/">BuildBear.io</a> to create a Private Testnet based on the Goerli Testnet. As premium users of BuildBear, the <code>chainId</code> provided matches the one we forked from. For instance, our private Testnet on BuildBear named CHARMING DORME, has the <code>chainId 5</code> since it is a fork of Goerli.Preparation prior to testing: Employing our Private Testnet Faucet to mint 21k USDC, and 1k WETH Tokens.<figure class="image image_resized" style="width:46.77%;"><img src="https://strapi.buildbear.io/uploads/Untitled_design_10_1_8d97ad758e.gif" alt="Untitled design (10) (1).gif"></figure><figure class="image image_resized" style="width:48.24%;"><img src="https://strapi.buildbear.io/uploads/Untitled_57_cfd912bc79.png" alt="Untitled (57).png" srcset="https://strapi.buildbear.io/uploads/thumbnail_Untitled_57_cfd912bc79.png 245w,https://strapi.buildbear.io/uploads/small_Untitled_57_cfd912bc79.png 500w,https://strapi.buildbear.io/uploads/medium_Untitled_57_cfd912bc79.png 750w,https://strapi.buildbear.io/uploads/large_Untitled_57_cfd912bc79.png 1000w," sizes="100vw"><figcaption>Primex Dashboard</figcaption></figure>&nbsp;Quick Side Note:<ul style="list-style-type:disc;"><li>LAR is the annual percentage yield, interest paid for lenders.</li><li>BAR Annual percentage trade, the fee paid by the trader.</li><li>Utilization Ratio The utilization rate is the percent of liquidity from a bucket borrowed by Traders&nbsp;</li></ul>Transaction 1: Depositing 1K WETH, At a 0.09 % LAR and 8.43 % Utilization rate.<figure class="image image_resized" style="width:47.99%;"><img src="https://strapi.buildbear.io/uploads/Untitled_58_dc632f4b75.png" alt="Untitled (58).png" srcset="https://strapi.buildbear.io/uploads/thumbnail_Untitled_58_dc632f4b75.png 245w,https://strapi.buildbear.io/uploads/small_Untitled_58_dc632f4b75.png 500w,https://strapi.buildbear.io/uploads/medium_Untitled_58_dc632f4b75.png 750w,https://strapi.buildbear.io/uploads/large_Untitled_58_dc632f4b75.png 1000w," sizes="100vw"></figure>Transaction 2: Depositing 21K USDC, At a 0.67 % LAR and 21.93 % Utilization rate.<figure class="image image_resized" style="width:45.66%;"><img src="https://strapi.buildbear.io/uploads/Untitled_59_dcbd9a7562.png" alt="Untitled (59).png" srcset="https://strapi.buildbear.io/uploads/thumbnail_Untitled_59_dcbd9a7562.png 245w,https://strapi.buildbear.io/uploads/small_Untitled_59_dcbd9a7562.png 500w,https://strapi.buildbear.io/uploads/medium_Untitled_59_dcbd9a7562.png 750w,https://strapi.buildbear.io/uploads/large_Untitled_59_dcbd9a7562.png 1000w," sizes="100vw"></figure>The REAL TestAdvancing the time for a year (Using the BuildBear utility tools we were able to Advance time by a year as shown below).<figure class="image image_resized" style="width:48.72%;"><img src="https://strapi.buildbear.io/uploads/Untitled_design_11_4eb49a4146.gif" alt="Untitled design (11).gif"></figure>Withdrawing the deposited amount:<figure class="image image_resized" style="width:47.64%;"><img src="https://strapi.buildbear.io/uploads/Untitled_60_4977587f2e.png" alt="Untitled (60).png" srcset="https://strapi.buildbear.io/uploads/thumbnail_Untitled_60_4977587f2e.png 245w,https://strapi.buildbear.io/uploads/small_Untitled_60_4977587f2e.png 500w,https://strapi.buildbear.io/uploads/medium_Untitled_60_4977587f2e.png 750w,https://strapi.buildbear.io/uploads/large_Untitled_60_4977587f2e.png 1000w," sizes="100vw"></figure>For the 21k USDC, we deposited, we paid a withdrawal fee of 105 USDC, which corresponds to 0.05% of the deposited sum. After deducting the fee, we achieved a net profit of 35 USDC.<figure class="image image_resized" style="width:17.97%;"><img src="https://strapi.buildbear.io/uploads/Untitled_png_1921_1004_f734455fb1.png" alt="Untitled-png-1921×1004-.png" srcset="https://strapi.buildbear.io/uploads/thumbnail_Untitled_png_1921_1004_f734455fb1.png 199w," sizes="100vw"></figure>For the 1k WETH we deposited, we paid a withdrawal fee of 5 WETH. After deducting the fee, we received 995 WETH.<figure class="image image_resized" style="width:17.97%;"><img src="https://strapi.buildbear.io/uploads/Untitled_65_793e0a0e1e.png" alt="Untitled (65).png" srcset="https://strapi.buildbear.io/uploads/thumbnail_Untitled_65_793e0a0e1e.png 194w," sizes="100vw"></figure>After Withdrawal :<figure class="image image_resized" style="width:45.93%;"><img src="https://strapi.buildbear.io/uploads/Untitled_63_1ba2466265.png" alt="Untitled (63).png" srcset="https://strapi.buildbear.io/uploads/thumbnail_Untitled_63_1ba2466265.png 245w,https://strapi.buildbear.io/uploads/small_Untitled_63_1ba2466265.png 500w,https://strapi.buildbear.io/uploads/medium_Untitled_63_1ba2466265.png 750w,https://strapi.buildbear.io/uploads/large_Untitled_63_1ba2466265.png 1000w," sizes="100vw"></figure>After withdrawing the deposited amount, the LAR amount for WETH and USDC has increased from 0.09% and 0.67% to 0.12% and 0.72% respectively. As mentioned in the <a href="https://docs.primex.finance/guides/credit-buckets/interest-and-borrowing-rates">PrimeX documentation</a>, the LAR changes according to market conditions: a higher utilization ratio results in higher LAR, while a lower utilization ratio results in lower LAR. By withdrawing 21K USDC and 1K WETH, the total liquidity provided has decreased and the Utilization Rate has increased. Resulting in an increase in LAR.Please Note:Despite successfully claiming our position, a small fraction of the assets remains unclaimed. Specifically, 0.000002 WETH and 0.000537 USDC are left unclaimed.Let's explain where this token came from:<ul style="list-style-type:disc;"><li>The front end fetched the maximum amount that we can withdraw.</li><li>Then we have selected the maximum amount available.</li><li>Then clicked on the "withdraw" button and signed the transaction.</li><li>Received the withdrawal amount.</li></ul>The leftover tokens refer to the tokens that were earned within a brief timeframe between when the Frontend fetched the Maximum withdrawal amount and the User signing the transaction.In Conclusion:<figure class="table"><table><thead><tr><th>Deposited Amount</th><th>Net Amount After One Year</th><th>Withdrawal Fee Paid</th><th>Net Amount Received</th><th>LAR Presented by PrimeX</th><th>Annualized Return Based on Amount Received</th></tr></thead><tbody><tr><td>1000 WETH</td><td>1000.923 WETH</td><td>5 WETH</td><td>995.9 WETH</td><td>0.09%</td><td>0.09%</td></tr><tr><td>21000 USDC</td><td>21141.3929 USDC</td><td>105.7 USDC</td><td>21035.68 USDC</td><td>0.67%</td><td>0.67%</td></tr></tbody></table></figure>As shown in the above table, we have received the exact same annualized return as projected by PrimeX. The utilization of the BuildBear Faucet played a crucial role in addressing the token supply limitations on the public Testnet. By depositing significant amounts of tokens and manipulating the time, we were able to accurately assess the actual amount we would receive.Leveraging BuildBear for Quality AssuranceIf you are a DeFi Web3 App seeking to:<ul><li>Establish an internal QA Environment for your team, or</li><li>Develop a private testing environment for your community prior to Mainnet release,</li></ul>Feel free to reach out to us at <a href="mailto:team@buildbear.io">team@buildbear.io</a>. We are here to assist you in creating a fully customized testing environment tailored to your needs, ensuring a seamless experience.NOTE: The information provided in this article should not be considered financial advice.

Pushing the Boundaries: Testing and Simulating Primex v0.4.0 with BuildBear

Let’s get started then, Shall we?

Let’s get started then, Shall we?

Test DApps at Scale.