- What exactly is UPFI?
- How is the price stabilized?
- Benefits of being an investor of UPFI
- Where to learn more
The UPFI Network IDO will be hosted by the Solster IDO. This will happen on a soon-to-be-announced date. You can be secure with this project as Solster only selects projects that have an active public team and product event.
UPFI Network is the fractional-algorithmic stablecoin protocol that is being built on the Solana ecosystem. After winning first prize at the Solana Season Hackathon in Vietnam, UPFI’s goal is to provide money that is stable, highly scalable, decentralized, and algorithmic with hopes to replace fixed-supply digital assets.
Currently at the time of this writing UPFI has managed to successfully raise $2M USD in seed and private rounds. There is indeed a support system behind the project and people that believe in the success of the team.
The system of UPFI has 2 tokens. UPFI is a stable coin partially backed by collateral composed of USDC and UPS and it is partially stabilized by an algorithm and arbitrage opportunities as described further, If for instance, you want to mint 1 UPFI that would require you to deposit USDC and UPS to equal $1 USD. The price of UPFI is guaranteed to be $1.
UPS is the other coin involved in the system and it is not a stable coin. This token serves as the utility token which is used for volatility absorption. This gives the protocol a better ability to scale since less external collateral will be desired for the transactions.
The price constant of $1 is critical to the project’s viability. The Mint/Redeem mode of the network built by UPFI helps to ensure that. If the value of UPFI is less than $1 then users can buy the UPFI token on the open market and redeem it for exactly $1 but if the price is over $1 then users can use USDC and UPS worth $1 to mint UPFI and sell it on the market. This helps keep the price stabilized and organized.
A major portion of UPS (about 60%) is planned to be used for incentives. There will be activities such as farming, minting, lending protocols, and even staking and DAO. The next step would be burning and purchasing lowering the supply and increasing demand. Finally, the UPS prices would rise as demand increases, thus making it more appealing due to the increase in price. UPS will become the incentive in the UPFI network for lending, farming, and more.
There are a lot of great incentives for early adopters of the UPFI network, extra incentives are meant for early adopters from the products on farming, staking, etc. Early adopters will also have the ability to participate in project management. The project also has a governance staking model which means operating rights on fee and distribution mechanisms, integrations, unique functions, events, and more. Early adopters will also receive profits from the investment vault and fees generated from the project.
The next few months are going to go by blazingly fast as the Public Sale (IDO Launchpad, DEX, and CEX listing), token generation event, and mainnet launch are all planned in the next three months.
You can learn more about this project at the official websites:
Official Roadmap: https://docs.upfi.network/roadmap
Project Documentation: https://docs.upfi.network/
Telegram Group: https://t.me/UPFInetworkchat
Telegram Channel: https://t.me/upfinetworkchannel
Official Website: https://upfi.network/
The content of this article, analysis, report, or webpage is not investment advice and does not constitute an offer or solicitation to offer or recommend any investment product. This content is for general purposes only and does not take into account your individual needs, investment objectives, and specific financial circumstances. The author may hold digital assets mentioned in this report
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