Insight-the second phase of the DEFI series-how UniFi Protocol builds a new bridge for cross-chain DeFi asset transactions
Wonderful views of the guests:
1. UniFi protocol trading platform uTrade will allow tokens on any connected chain (such as Ethereum) to trade with tokens on any UniFi support chain.
2. The Unifi token economic model involves four tokens, which play different roles.
3. The Unifi protocol provides a wealth of DeFi products and services, improves the liquidity of trading pairs, and increases the benefits of participants.
4. The Unifi agreement provides unique trading and revenue opportunities, exclusive opportunity access rights, and global agreement governance.
The following is Nova Club's collation of the entire interview:
Xiaotong: What is the current product and what is Unifi's roadmap?
Juliun : The uTrade project is currently launched and it can be used on Tron. Unifi just announced that its derivatives market is coming soon. This means that JustSwap users can get their liquid equity tokens from there and deposit them in uTrade to start using it for mining! This should be very interesting for miners who want to mine more rewards on both platforms at the same time with the same initial liquidity (hoe). We are confident that once JustSwap miners start using liquidity tokens to earn UP, they will be surprised by all the special advantages of UP tokens. We like to say, earn more with Unifi. Our goal is to make Unifi the most profitable mining site.
Within a few weeks, Unifi will also be available on Ontology, Harmony and Ethereum. Unifi will allow real transaction interactions between blockchains, allowing TRX to be exchanged for Ethereum, visible on these blockchains. Unifi will unite all alt-chain DeFi communities and connect them to the multi-million dollar Ethereum DeFi market
Xiaotong: What are uTrade and uLend? What is the relationship between the two and Unifi?
Juliun : As I mentioned before, Unifi provides development tools for building DeFi products, not just a product. An example is uTrade, which is a trading platform with liquidity mining. This ecology does not only need to trade, there are other ways to make money. For example, the lending platform uLend. Assets backed by actual value can have multiple uses, not just to observe their value increase, such as our UP and SEED tokens. These tokens are backed by funds that can be verified on the chain. uLend can unlock the value for reuse without giving up the basic value they represent.
The advantage of the Unifi protocol is that anyone can build these services and DeFi products on our protocol, and UP holders will benefit from this! Imagine making money from a fully developed DeFi ecosystem, not just relying on traders and miners. There are many opportunities there.
Xiaotong: Unifi's token economic model involves four tokens: UP, uL, SEED and Unifi token UNFI. What are the roles of these four tokens in Unifi's token economic model?
Juliun : UNFI Token- (Global Governance) The global governance token of the entire cross-chain protocol and the public face of the Unifi protocol will be traded on major exchanges. Open exclusive arbitrage channels for agreement users.
UP tokens—(unlimited potential tokens) liquidity mining tokens earned by liquidity providers. UP gets a portion of the fee from each transaction in each pool on the platform. UP also provides an exclusive opportunity to redeem UNFI.
uL Token—(Liquidity Equity Token) The classification of this token can take many forms because it represents the liquidity provided by users to a particular pool. uL tokens enable liquidity providers to claim UP tokens they have already mined.
SEED-(Reward Token) SEED is a multi-chain staked reward token generated by Sesameseed nodes on multiple blockchains. Traders earn SEED as a loyalty dividend. SEED automatically mortgages multiple public chains every day to obtain rewards.
Xiaotong: The evolution of AMM has promoted the prosperity of the current DeFi market. Some trading pairs have insufficient liquidity, resulting in excessive spreads. How to solve this problem?
Juliun : Okay, the interesting thing about uTrade is that even in this case, all UP holders will benefit from it. This is what makes Unifi so friendly to attract liquidity miners. What I want to point out is that the maximum transaction limit of uTrade is 1% of the available liquidity, which means that users on the platform will not make mistakes and will not lose their entire balance in one transaction. This has already happened on other platforms! This is sad to see.
The answer boils down to providing sufficient incentives to liquidity providers to deposit funds into uTrade. I have mentioned several different ways of this protocol. We have also seen that the unique nature of UP brings some very profitable opportunities for users with low liquidity matching. One of the best ways to solve this problem is to benefit those who do choose to participate.
Xiaotong: What is the economic model of the Unifi governance token, UNFI, and how much UNFI is used for market liquidity? What kind of value is generated in the governance of global agreements?
Juliun : Unifi is different from any other DeFi protocol, so its governance token must also be unique. Unifi token (UNFI) is a proof of liquidity income token, which provides unique trading and arbitrage opportunities, exclusive opportunity access rights, and global protocol governance. By linking all platforms in the entire multi-chain Unifi protocol to a global governance token of Ethereum, UNFI makes full use of the potential of UP tokens of liquidity providers in all integrated blockchains. Because it is important to have an incentive and participating community, 55% of the 10,000,000 supply is reserved for liquid mining pools and ecosystem development.
Xiaotong: What is the conversion rate between UP and Unifi tokens?
Juliun : Ah, we have been planning this kind of interaction. We are about to publish an article that will provide more information about the relationship between UP and UNFI. Remember, UNFI is the global governance token for all blockchains enabled by the Unifi protocol. Users who support the protocol and get a lot of UP will be most interested in the token.
Xiaotong: I heard that some very exciting and profitable things have happened on uTrade in the past few days. Can you share it?
Juliun : Yes! We always tell our community that everyone must follow Unifi's official social media, because you never know when the opportunity will come. Within a few hours, a community member discovered that we had just launched USDJ and had a profit opportunity. He achieved an hourly return on investment of 280% (annualized return of up to 2,459,000%). We knew that the system we built was incredible, but even we ourselves did not realize that it was possible. We don't usually say it like this, because it sounds too incredible. But you know, Unifi is all on the chain, so anyone can check whether it is true in the block explorer. The market value of UP has soared to nearly $1 million and is growing every day. As more and more new players find opportunities in Unifi, it will continue to grow. This is a good time for Unifi!
Xiaotong: Finally, I would like to thank Juliun Brabon, the founder of UniFi, the project party, for sharing the analysis and development trend of the UniFi Protocol. At the same time, I would like to thank the Kylin Fund, the co-organizer VBlock, and the media for supporting Cointelegraph Chinese, especially Tokenism and fruit. With strong support from many media such as Wei Finance and Economics, we will see you in the next issue!