In the growing DeFi space, its difficult to differentiate between projects. Platforms are pushing to embrace the DeFi crowd but systems are beginning to buckle under the strain of high fees and delayed transactions. the crypto asset value are at an all-time high, growing to over $6 billion in August. As more people seek high yields and flexible interest rates, powerful and flexible systems need to step up to handle this demand.
To fill this void, MANTRA DAO is building a new system designed to suit both entry-level and advanced users DeFi.
Talking about users, MANTRA DAO has a full suite of DeFi services for users of all levels of experience. These tools are built on systems established by projects like Maker, Compound, and Acala. MANTRA DAO will be offering:
Multiple Asset Staking & Lending
Governance
Self-Governing Organization
Native Reward System
For record purposes DAO stands for Decentralized Autonomous Organization. It's a governance system be run by organization members in a transparent and clear manner. Not only does it give individuals more control over decisions, but enable the community to share in the organization’s success, similar to a Co-op. In MANTRA’s system, these rewards and distributed with its native OM token.
The Token Powering the MANTRA DAO network is OM, an ERC-20 token. Payments, fees, voting, and rewards are all use cases for OM. Holding OM confers specific benefits.
Staking: people who stake their assets on MANTRA DAO will receive OM rewards in addition to their staking shares. The OM token can also be staked itself and can be used as collateral for loans.
Governance: OM token holders receive voting rights on interest rates, grant allocations, and future platform implementations.
Reputation: Users can build up their reputation, or Karma, in the system by contributing to MANTRA, staking OM, voting on proposals, etc. Karma is a separate protocol that operates similarly to a credit rating in traditional finance.
Benefits of a higher Karma include higher staking rewards, better interest rates on loans, and lower staking fees. In short, having a high Karma allows users to earn more OM than those with little Karma, and can double their interest.
The total token supply is limited to 888,888,888 OM. According on the tokenomics.
Staking
Those who do not possess significant amounts of OM or Karma can still use the platform. Staking multiple assets is a unique and welcome feature in the DeFi space. Users with a basket of other DeFi tokens, like COMP, can stake without issue. This flexibility will likely benefit DeFi veterans.
StableCoin
In addition to the OM token, MANTRA DAO will also be offering a stablecoin, the USDOM. Like Maker’s DAI, USDOM will be multi-collateral, generated through Collateralized Debt Positions. It will be pegged 1:1 to the US Dollar.
However, while DAI can only be backed by ERC-20 tokens, USDOM can be backed by any crypto supported by the Polkadot network. These tokens include not only ERC-20 tokens, but also BTC, ETH, XTZ, ADA, EOS, and more. Bitcoin can now be a part of the DeFi trend.
Investor Interest
In its little time as a pubic project, Maker DAO has cultivated interests from institutions. Its token sale was oversubscribed by 4x, with most pools selling out in minutes.
Probably the most exciting investor in the project is Consensus Labs; an institutional investor focused on blockchain technical platform and infrastructure.
MANTRA DAO is built on Rio Chain, a new blockchain based on Parity Substrate for the Polkadot system. It's increased transaction speed helps improving the crypto blockchain, interoperability, and cross-chain transactions. It can reach 3,000 transactions per second, Furthermore, new contracts can up updated on Rio Chain without updating nodes. This flexibility makes Rio Chain ideal to handle the increased traffic anticipated to flow into the DeFi space.
Finally, MANTRA DAO is creating a DeFi protocol for the next generation of investors. With news of financial companies entering the blockchain space, it is only a matter of time before the public decides to move to DeFi. If MANTRA DAO can deliver on its promises, it will become a popular platform sooner than later.