Question 1

What is Roll (ROLL)?

Accepted Answer

Roll (ROLL) is a token on **Base** used as the **utility** and **governance** token for the **RollX** ecosystem. RollX focuses on **perpetual futures** trading, with **margining**, **funding** and **liquidations** enforced by **smart contracts**. In its pooled-liquidity setup, **liquidity providers** supply a shared pool that takes the other side of trader positions, with outcomes driven by **trading fees**, **funding payments** and net **trader PnL**. The ecosystem also includes vault-based participation models such as **strategy vaults** and **copy-trading vaults**, alongside a backstop-style **staking** mechanism intended to help cover shortfalls in stressed conditions. A planned evolution is an **order book**-based design aimed at lower-latency execution and support for both **spot** and **perpetual** markets while keeping **onchain settlement**.

Question 2

What is Roll (ROLL) token used for?

Accepted Answer

ROLL is presented as a coordination layer between **traders**, **liquidity providers** and **builders**. Its uses include:

- **Trading utilities** (via **holding** or **staking** ROLL)
  - **fee reductions**
  - access to **tiers** and **referral** conditions
  - access to tooling and limits that can depend on balance or stake, such as:
    - **TWAP/VWAP** execution tools
    - higher **API limits**
    - additional **order types**

- **Liquidity and safety mechanisms**
  - **incentives** for participants in **vaults** or **pools** linked to protocol liquidity
  - an **insurance backstop** staking mechanism intended to support system safety in extreme scenarios, where stakers may take **loss risk** when applicable

- **Builder and strategy alignment**
  - staking by **strategy managers** and **copy-trading vault** operators as an alignment mechanism
  - unlocking operating conditions, such as:
    - **routing priority**
    - higher **API limits**

- **Governance**
  - voting on protocol decisions and parameters, including:
    - **listings**
    - **risk haircuts**
    - **funding** parameters
    - **fee schedules**
    - **incentive budgets**
    - other protocol parameters
  - a governance approach described as starting **off-chain** and moving towards **on-chain** governance, with specialist councils proposing changes

- **Described future use**
  - staking for **validators** or **sequencers** if an **appchain** design is deployed
  - linking **network security** and **fee capture** to market operation

Question 3

Who created Roll (ROLL)?

Accepted Answer

ROLL is associated with the **RollX** project. Project materials reference **LQD Labs** entities in connection with the ecosystem and its token-related work.