UniFi protocol is a protocol that can be utilized for the development of next-generation DeFi services, and it is a multi-chain smart contract with non-custodial, interoperability, and decentralized characteristics. UniFi will contribute to the growth of the DeFi market of other blockchains as a bridge to the Ethereum-based DeFi economy. UniFi will utilize the proven SEED Bridge to connect EVM/NVM-based DeFi services on Ethereum or other blockchains .
The Unlimited Potential (UP) token is the core of the UniFi DeFi system. UP token mining is directly proportional to fees and other revenues incurred by the UniFi protocol. The fees and revenues referred to here include all projects developed using the UniFi protocol and revenues and fees generated from UniFi-based platforms. Mining is designed in a structure in which the redemption value of all UP tokens increases each time a new UP token is mined. UP tokens provide a very unique and profitable reward structure for token holders, protocol users and liquidity providers.
The UniFi protocol has a decentralized autonomous organization (DAO) managed by a decentralized governance token.
Below is a summary of the highlights from the UniFi Protocol white paper. The full white paper can be found here: UniFi White Paper
Introduction to UniFi
The UniFi protocol connects the multi-chain DeFi world using SEED Bridge. This allows UniFi to be a complete DeFi protocol capable of multi-chain and non-trusted decentralized swaps.
The UniFi protocol features incentived liquidity pools, fee-sharing governance tokens, loyalty reward tokens, lending platforms, and cross-chain swap interoperability.
UniFi was developed by Sesameseed , a multi-chain staking community . Sesameseed is committed to providing innovative technologies to ecosystem users in all represented blockchainsacting as node operators .
When the UniFi protocol is deployed on the blockchain, it will contribute to increasing the value of the blockchain because various products and services can be created through smart contracts created using the UniFi protocol.
What is uTrade (How does it relate to UniFi?)
uTrade is a trading platform built using UniFi protocol.
uTrade is operated in a decentralized way, anyone can participate as a market liquidity provider, and it is a place where tokens can be exchanged through token liquidity provided by liquidity providers.
What makes uTrade better than traditional trading platforms?
A portion of the revenue generated by the entire UniFi protocol, including commission revenue from the trading pair provided by the liquidity provider, is shared with the liquidity provider.
Liquidity providers can continue to share their commission revenue if they hold UP tokens even if they stop supplying liquidity.
uTrade users will receive part of the transaction fee in the form of SEEDtokens, and can enjoy all the benefits provided to SEED holders , including daily compounding effects . uTrade is the only platform that provides tokens with a reward structure that is automatically staked on multi-blockchains and increases over time as transaction rewards.
uTrade will provide non- trusted token transaction services between different blockchains using SEED Bridge .
UP token additional information
Each blockchain operated by the UniFi protocol will use its own base token as a tool for fees and profits. For example, ONG in Ontology, TRX in Tron, and ONE token in Harmony. Will be a token.
The redemption value of UP tokens will consist of the base token quantity of the UniFi protocol. In other words, it will be exchanged for basic tokens when applying for UP token redemption.
During the UP token creation process, some of the basic tokens (operated by setting a certain percentage) are used to increase the redemption value of the previously created UP token. The basic amount of tokens used here is called the Power UP Rate (hereinafter PUR).
The redemption value of UP can be checked on-chain and increases every time UP tokens are created.
The market value of UP tokens is expected to be formed at a level higher than the redemption value of UP tokens, and the increase in redemption value is expected to have a positive effect on the price of UP tokens traded in the market.
As the use of the UniFi protocol increases and the community expands, the UP token will be used as a decentralized governance vehicle. If the UP token is used as a governance token, the users who support UniFi the most will be able to give more opinions on governance.
A portion of the commission revenue generated on all platforms using the UniFi protocol is shared with UP token holders.
What is uLend?
uLend is a loan platform built with smart contracts based on UniFi protocol.
uLend will provide an environment where UP token holders can receive additional UniFi protocol revenue while maintaining the redemption value of UP tokens. The redemption value of UP tokens will be used for market fluctuations, cross-chain transactions, margin transactions, etc.
ULend based on UniFi protocol will be able to create loan products based on collateral assets.
uLend will be able to provide an opportunity to use funds borrowed from other blockchains after executing a mortgage loan on a specific blockchain through the SEED Bridge . For example, a user holding a UP token on Ontology may execute a loan and use the loan funds for the purpose of capital appreciation of the Ethereum token.
The original text of this article is https://medium.com/@unifiprotocol/introducing-the-unifi-protocol-2ad67bc8435