Unifi Protocol AMA Summary with Decentralized Club ✔️
Dear, Community,
Welcome to the recap of our AMA with Unifi Protocol.
Our vibrant and enthusiastic community had a lot of questions to ask. To those who want to know quickly what Unifi Protocol is about, we are sure this recap is gonna help you. So without further ado, continue reading 😉
✔️Introduction with Unifi Protocol :👉
BILLY:
Q1. Can you please introduce yourself and also tell us a bit about UNIFI Protocol ? @nuljui
Juliun | Sesameseed.org:
Sure,
My name is Juliun Brabon, I’m the CEO of Unifi Protocol and Sesameseed.
We launched sesameseed about 2.5 years ago with a focus on community building and decentralized governance, expanding this methodology as a blockchain developer and node operator on many blockchains including ontology.
Today we’re happy to announce Unifi Protocol live on the Tron and Ontology blockchains, This protocol is a group of non-custodial, interoperable, decentralized, and multi-chain smart contracts providing the building blocks for the next generation of DeFi development, focusing on building a community-driven ecosystem of governance and innovative DeFi products.
Unifi Protocol has developed from the ground up a series of smart contracts similar to other Defi Exchanges, that allows for Individuals to provide liquidity and earn a share of the protocol fees in a sustainable way.
As they are currently built anyone can participate by providing tokens as liquidity to the platform in return for their proportional share of fee’s
These are live on Tron, and Ontology today with Harmony onboarding later as early as next week and others in the near future.
BILLY:
Okay great. When you say next generation specifically which feature makes it so?
Okay i guess this will be answered in our next question 😅
Q2. What are some of the key features of UNIFI protocol ?
Juliun | Sesameseed.org:
Well I think its about developing a system thats more sustainable for the industry,
Ultimately the existing liquidity platforms that are out there today are built on very similar principals. When we choose to rebuild this sytem we included some needed features, specifically UP token, which is actually a 100% reserve token, meaning it is backed by the native tokens on the blockchain its on.
These can be redeemed at any time by token holders and so you see a minimum value backing it.
When building Unifi, we really thought through the existing systems (balancer, uniswap, bancor) and identified some areas we could improve to make the economy surrounding these systems more sustainable. Some of the most important changes we made were to the rewards mechanism, which unlike other protocols happens entirely on chain and is managed by the smart contracts.
This mechanism also allows the value of the rewards that individuals earn to increase over time.
In addition unifi is designed to be a cross chain defi platform allowing communities from different blockchains to easily move into and out of different ecosystems.
BILLY:
How does on chain rewards mechanism help us?
Juliun | Sesameseed.org:
well,
thats a really interesting question actually.
I would say:
Trust, because it makes the rewards mechanism trustless. As compared to others where there may be some kind of distribution mechansim where things can go wrong, having this on chain and in smart contract means, faster more transparent rewards.
Security, because the contract that pays out this reward (a minted token) isnt managed by a human or server, instead its also in smart contract. Meaning there is no PK to steal, or mechanism to manipulate for this.
for the user i think it also translates to faster, more seemless and accurate transactions.
BILLY:
Okay got it 👍👍👍. And I hope our community understood the benefits too!!
I guess this also answers our 3rd question : Can you elaborate a bit on the solutions or enhancements that UNIFI protocol has brought to the table ?
If you want to add something please go ahead
Juliun | Sesameseed.org:
sure,
Well, the interesting thing about uTrade is the UP token as i mentioned before and that activities on the platform are designed to support UP token holders.
By participating in uTrade you can earn up, and the value of that up is designed such that the redeemable value of that token can only increase over time.
Unlike many alternatives it has more than just its speculative value, It also has a true value it is backed by, because UP is only minted based on the rewards earned by the minting contract, meaning it takes 110% of the redeem value of the token to mint UP. Because up is redeemable for the tokens within the minting contract, the value of UP for all token holders increases with every trade.
BILLY:
Okay that’s innovative 👌
Q4. Finally, what does UNIFI protocol plans to achieve by the end of this year? @nuljui
Juliun | Sesameseed.org:
Well, we really started off earlier this year with a clear focus, to reassess the existing defi landscape, and find what’s improvements could be made to existing contracts and infrastructure to provide more sustainable rewards to liquidity providers, and better cross chain interoperability to users. We developed all of our smart contracts in house from scratch with these goals in mind. This has really set us up for an interesting future.
We successfully completed a capital raise from a diverse group of investors
We have deployed our fully audited smart contracts on Tron, Ontology and soon Harmony
and we’ve set ourselves up for rapid growth.
We plan to add on many additional blockchains including Ethereum,
Deploy our Main net $UNFI token,
Launch our cross chain Governance Ecosystem, and launch our Cross Chain trading / functionality.
BILLY:
Wow. Your schedule seems packed up.. And I am sure you guys will achieve all those you envision 😊😊
Juliun | Sesameseed.org:
yeah, we’re really excited
BILLY:
So let us now move next to our Twitter round.
Is it ok if I post all the 5 questions and then you answer one by one?
Juliun | Sesameseed.org:
sure no problem
BILLY:
Okay 👌
🐧Community ask Questions by Twitter ✔️
BILLY:
Twitter Question no 1
Username : @pr1ncesscrypto
I read that if all transactions ceased in the protocol, the $UP tokens would retain their redemption value. By what mechanism would this be accomplished and how is it that even with that obstacle they could be redeemed from the smart contract at any time?
Juliun | Sesameseed.org:
So, UP is minted according to a formula that includes the current redeem value of the token which is Native Tokens in contract / UP tokens in circulation. UP is minted at 110% of the Redeem value as part of every trade. This means that UP is always backed by more and more base tokens after every trade. On Tron for example, the blockchain launched with a backing of 1 trx per UP, today every up in circulation is backed by 6.26+ trx, and this amount increases after every trade.
The benefits of holding are are baked into the economics, the more the platform is utilized the more the redeemable value of up increases.
In addition to this, at a point in the near future UP will be convertible to UNFI if the holder chooses, which is the unique cross chain governance token designed around our protocol to allow for multi chain governance.
BILLY:
Twitter Question no 2
Username : @Sawan81621079
Today, the activities of hackers have increased significantly. So do you have adequate security to protect your platform from them? Do you have any plans to settle investors’ money in case of hacking?
Juliun | Sesameseed.org:
Firstly, I’d just like to say that Unifi has engaged the well-respected auditing firm of Slow Mist to audit all our smart contracts. Full report can be found at unifiprotocol.com. Secondly, Unifi Protocol’s innovative tokenomics provides its own security. While many cloned DeFi platforms suffer from fatal hacks, the minting process of UP tokens prevents the custom smart contracts from being a target. For each newly minted UP token, some of the input base tokens from the trading fees are allocated to raise the redemption value of all previously minted UP tokens. This removes any financial incentive to try attacking the minting process as it would cost more than it returned. This same utility also happens to offer maximum rewards to those who mine first, but still ensures it will always be a great time to mine UP.
BILLY:
Twitter Question no 3
Username : @metin8688
Unifi has now aimed to launch on Ontology, after its successful launch on TRON. When do you plan to launch Harmony and Ethereum on the Unifi roadmap and how do you make a difference in terms of interoperability?
Juliun | Sesameseed.org:
So Ontology.unifiprotocol.com is now live, with Harmony onboarding within the next few days.
We have many additional blockchains in progress and intend to roll them out in the near future.
In terms of interoperability, thats part of what we’ve designed the UNFI token to help accomplish, as the cross chain governance token of the ecosystem.
BILLY:
Twitter Question no 4
Username : @DamithDilshan17
What your plans in place for global expansion, are you focusing on only market at this time? Or focus on building and developing or getting customers and users, or partnerships?
Juliun | Sesameseed.org:
As you can see from our roadmap, our expansion plans are moving along quickly and smoothly. I think our primary focus today is actually awareness.
We’ve audited our contracts, deployed them on various blockchains, had them community tested/hardened.
We already know we have one of the most sustainable value propositions in the industry. Now its a matter of making the community aware of us.
BILLY:
Twitter Question no 5
Username : @TonyMon253
The Biggest problem to platforms like you is obtain a good amount of users, because there exist huge competitors like Uniswap and Kyber Network, so can you tell me what make special UniFi? Do you have Incentives to your traders?
Juliun | Sesameseed.org:
Sesameseed originated as a Staking community, we developed a sustainable rewards mechanism with our community around a rewards token that is 100% backed native tokens, making them redeemable and provable on chain.
you can see a lot of the principals of sesameseed staking in the Liquidity Mining of Unifi Today.
We do incentivize traders through rewards that can be earned as a part of trading (a share of fees is actually returned to the trader) but i think what sets us apart is the fully on chain nature of the ecosystem, and the sustainability build into the rewards.
Liquidity providers are highly incentivized, meaning larger pools, which ultimately can result in more trading opportunities.
✍️ Telegram live Questions answered by Unifi Protocol ✔
Nishika Solanki:
Can you give us some information on what Unifi Protocol and The Unifi Protocol team have already achieved to date and could you give us an insight into what is coming up in regards to the upcoming roadmap of the Unifi Protocol?
Juliun | Sesameseed.org:
So we talked about this a bit.
Unifi is a 100% in house development team, meaning we can move pretty quickly once we build up the momentum.
We’ve developed the core contracts and had those contracts audited. These contracts are designed to be cross chain interoperable. Meaning now we can leverage our strengths and roll out quickly to new chains. which is exactly what our goal is today.
Ronaldoge:
Besides from UNFI and UP token, uTrade also has SEED token which play a vital role on its platform,
Can you explain more about this SEED token?
And why do we get the SEED tokens as a bonus after we do trade on uTrade?
Juliun | Sesameseed.org:
SEED token is the reward token for Staking with Sesameseed on Tron, Ontology and Harmony today, its a cross chain token that demonstrates our ability to build a cross chain token, with swap and redeem characteristics built in.
As you mentioned the trader earns some seed bonus as part of every trade. A portion of the fee is actually used to buy from the SEED liquidity pool, those seed are provided back to the trader.
Daren Glen:
Does http://UnifiProtocol.com allow you to add liquidity to all types of tokens? Can people make their own token using http://UnifiProtocol.com as a base? What do I need to use http://UnifiProtocol.com? @nuljui
Juliun | Sesameseed.org:
UnifiProtocol.com works with Tron and Ontology today. you can interact with the application through a browser extension such as Tronlink or Cyano wallet.
Chinthaka93|BintexFutures:
Is UNIFI PROTOCOL a global project? Can anyone in anywhere participate on UNIFI PROTOCOL without any restrictions?
Juliun | Sesameseed.org:
Unifi Protocol operates On chain, with smart contracts developed on each blockchain we’re currently integrated with.
Because of this, these contracts can be interacted with by anyone with access to the individual blockchains we are on.
These contracts are considered public tools, and as long as you have access to the blockchain, you have access to these tools.
Sohag Sohag:
In the public chain ecosystem of Unifi You have innovatively used the three token economics model. People can’t understand it well. So Could you explain a bit more to us about it? 🤔
Juliun | Sesameseed.org:
So these tokens all play very important roles within the platform:
UP is the blockchain-specific liquidity mining token of the Unifi Protocol.it’s backed by the native token of whatever blockchain its on (e.g. UPtrx is backed by TRX, UPont is backed by ONTd). It is designed to only increase in redeem value, and it can do so sustainably because it is 100% backed by those native tokens. It’s a long Term, sustainable reward token on each blockchain.
UNFI is the global governance token on all Protocol blockchains. By using UNFI’s global position in the Protocol token economy, liquidity providers can mine UP on one blockchain while still benefiting from the liquidity mining on all the other Protocol blockchains. It is designed to be cross-chain, allow users to participate in Voting, Proposing governance activities, and earn more UNFI as a result of their participation. This token ensures the underlying protocol is constantly evolving along with community sentiment.
uL tokens are simply the tokens that represent the share of liquidity you provided, these are burned when you withdraw your liquidity and minted when you add. They can also be traded on a derivative market, something coming in the near future.