UniFi AMA Recap
UNIFI: A New Paradigm of Multi-Chain DeFi For PoS Governance
With Paypal’s support for the crypto currency market, traditional investors have more access to it. As inclusive projects with the lowest threshold in the market, DeFi projects inevitably will gather a large number of loyal users. The market is in the midst of a nascent transition after the last small-ups hit bottom. Excellent DeFi projects such as Unifi are expected by many investors as the apple of their eyes. EncryptClub is honored to invite the Unifi team to our community to tell you about the 8th Project on Binance Launchpool — Unifi Protocol.
Our guest today is the founder of Unifi, Juliun Brabon. Juliun will share us the mechanism of Unifi DAO and why it is favored by exchanges.
Q1: Welcome to our AMA, Juliun. Could you briefly introduce yourself, your background and what’s Unifi？
Juliun: My name is Juliun Brabon, I’m the CEO of Unifi Protocol and Sesameseed. I co-founded Sesameseed in early 2018, which today is one of the largest communities on Tron, Ontology,Harmony and actually recently icon. So Sesameseed has been expanding quite well and it has supported the opportunity to develop some very interesting new concepts such as unifi protocol today. We are a very much decentralized team made of community members really, and have been driving the concept of community governance since inception.
The Unifi 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.
Q2: What’s the relationship between Unifi and Sesameseed?
Juliun: Sesameseed was really our first foray to build a community trying to develop these kind of on-chain governance systems around the community and sesameseed is what really initiated that whole movement. And after we started kind of building up this concept of community governance that’s when unifi came about ,we started by launching a decentralized exchange in 2019.
That kind of developed our concepts or our core competence of a decentralized exchange, price discovery and things like that . Until earlier this year, we decided to combine the concepts of governance and community building that we had with our expertise into smart contract ,liquidity mining DEFI to make unifi together. This is quite an important detail as our team’s expertise and knowledge about staking tokenomics and community representation really allowed us to build this incredible system of tokenized liquidity mining and UNFI staking.
Q3: UNFI is the Unifi Global Governance token. Can you explain how this governance token brings all Unifi blockchains together?
Juliun: Sure, so UNFI is a very special token. Unifi has a robust token economy with rewards for traders and rewards for liquidity providers, and all of this is happening independently on each blockchain we’re on. We’ve already launched on four. UNFI migration from UP allows liquidity providers and even traders from each of those chains to become a part of the governance of the entire protocol. This is quite a powerful concept — UNFI allows you to participate in the governance and direction of a DeFi Protocol which can be deployed on almost all L1 blockchains rather rapidly.
Q4: Why is building a community around UNFI important?
Juliun: Blockchain Technology relies on its utility. Fundamentally, that utility is driven by interactions, use case, and activity on the platform.
Building a community is essential to kick starting Unifi’s utility. This same community can help attract developers, further improve liquidity mining, and ultimately encourage the continued development of the platform. This is why it’s so critical that UNFI rewards are perfectly designed to incentivize the formation of vast communities spread across all of the Protocol blockchains, all staking and delegating to their chosen Council Representatives. Within 2 days of announcing this model, we have already seen two declarations of people and organizations campaigning for election.
Q5: What are your major highlights and advantages compared to other DeFi projects?
Juliun: When building Unifi, we really thought through the existing systems (balancer, uniswap, ban-cor) 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.
Many other DeFi projects are still only in the planning stage — Unifi is live on 4 blockchains already with 2 more under development for this year. Security is something else that makes Unifi different, since our UP tokens are minted in direct proportion to fees generated, and entirely governed within smart contracts which have been audited by Slow Mist. Unifi Protocol smart contracts are all custom-made from scratch, and not a clone of any other existing platforms. Finally, nobody has UNFI staking powering the Council of Representatives. This will totally revolutionize DeFi governance.
Q6: What partnership you have built so far?
Juliun: Yeah,we have a couple of different directions here. Obviously, our first type of partner is the blockchain that we’ve been involved with, and these are people that we’ve known for a long time. Tron, Ontology, and Harmony are blockchains that we have built communities around for many years. At the same time, new partners will come in, such as BSC and ICON. And on the other hand, we also have a lot of investors as partners。Each of Unifi’s investors, advisors, and strategic partners were carefully selected based on their ability to support Unifi.
Unifi’s investors and strategic advisors include major blockchains, exchanges, and media outlets. Four major exchanges, MXC, Bibox,Jubi and HBTC, have all invested in the Unifi Protocol ensuring adequate token distribution and liquidity. Other investors include Chain Capital (Polkadot, EOS, Algorand, OmiseGo, ælf) Signum Capital (Kyber, Wax, Zilliqa, ælf, Tomochain) Consensus Labs (QuarkChain, Bitforex) , Odaily, Bitblock Capital, Vector Capital, Waterdrop Capital, Skylink Capital, BlockArk, CRC Capital, Cabin VC, and several others.
Here comes our free Q&A session. We will choose 3 questions for the guest to answer.
User1: How does Unifi generate profits to maintain the project and what is the revenue model? How to make investors and projects win-win?
Juliun: A portion of fees is used to support the team. The way this system is designed is that the trading fees still mint UP, and each time more UP is minted, its redemption value goes up! That means the amount of base tokens for which any token can be redeemed has gone up for everyone, allowing the team to maintain operations for rapid expansion and development at the same time as liquidity providers are benefiting from every trade on the platform.
User2: Now, there are lots of DeFi projects emerging in the market, and many of them return to zero or plummet after opening high. What are the features of our UNFI that can attract investment users to eliminate this concern.
Juliun:Oh we have designed a ton of utiity and use case for UNFI. As the Global Governance Token of the entire Protocol, holders will be able to stake their UNFI and earn rewards, and will be able to delegate those staked UNFI to Representatives of the Unifi DAO and earn even more rewards. In addition to this, there are many planned promotional events where UNFI holders will be able to stake their UNFI (and maybe even some other tokens…) to earn more UNFI. So there are plenty of reasons to actually hold on to the token and use it as it was intended and also enjoy the many staking promotions that are going on.
User 3:What is the main reason why you choose BSC?
Juliun: Of course one of Unifi’s biggest strategic partners is Binance,. Each of Unifi’s investors, advisors, and strategic partners were carefully selected based on their ability to support Unifi. In fact, sneak peek — there will even be UNFI staking promotions held on BSC, where you’ll be able to mine UNFI in different ways. This partnership with BSC will allow more opportunity for everyone to mine UNFI since we recognized such a strong demand for the token on Binance Launchpool with over $600M USD value staked for it. BSC is fast and cost-effective and provides easy access to many Ethereum-based tokens, it was the perfect fit for our Unifi Protocol and goals of interoperability.
Thanks Juliun for joining our AMA and sharing so much valuable information with us. Thank you all for watching this AMA. EncryptClub will work hard and bring more wonderful content for you in future.
