DeFi Reviews

Review UPFI Network ($UPS) – A partially-collateralized Stablecoin in the Solana ecosystem

UPFI Network – a Start-up that Won the Regional Prize of Solana Hackathon Has Raised Approximately 2 Million USD. With the support from experienced investors in the industry, combined with the rapid development of the community, UPFI is ambitious to assert its name in the extremely promising stable coin. Read the article completely to understand more about it.

Concept project – What is UPFI Network?

UPFI Network is the unique fractional-algorithmic stable coin protocol. UPFI Protocol’s final goal is to provide stable, highly scalable, decentralized, algorithmic money in place of fixed-supply digital assets. This stable coin protocol should help to overcome the risks and restrictions that previous stable coins have, by providing the 2 tokens – system: UPFI and UPS. 

Whereas, UPFI is a stable coin partially backed by collateral (USDC and UPS share token), and partially stabilized algorithmically. UPFI price is guaranteed to be pegged at 1$. Besides, UPS is the non-stable and utility token, serving as a volatility-absorbing asset, and gives the protocol greater capacity for scaling since the system requires less external collateral (USDC) to grow.

Outstanding features

What is the project trying to achieve?

UPFI Network aims to replace fixed-supply digital assets by bridging the gap between digital currencies and real-world applications with transaction costs of almost zero.

What is the unique selling point?

Top feature on UPFI Network:

  • Mint & Redeem: Mint/redeem stablecoin with partial collateral, also use TCR, and ECR for protocol.
  • Governance: Created to give holders the chance to have a voice on the platform while also being rewarded for holding UPS tokens for a long period of time.
  • Farm: Users can farm UPS by providing liquidity and depositing their LP tokens on UPFI Network.

RoadMap

It can be seen that the IDO and game release time in the UPFI token Roadmap is set for Q4.

Technical data

The UPFI token is a partially collateralized and partially algorithmically stabilized token soft-pegged to the U.S. Dollar. The protocol’s goal is to keep the UPFI token price stable.

Key metrics 

  • Token name: UPS token
  • Ticker: UPS
  • Blockchain: Solona
  • Token standard: Updating
  • Contract: UPS-devtest: 8BSsK1bLBzYQuw1cChwuDpN5prq22xsG6Pv6cWv1UcQP
  • Token type: Updating…
  • Total supply:  1.000.000.000 token 
  • Circulating supply: Updating…

Token allocation

Token use case

UPS tokens are used to mint UPFI, to use in our governance for lending, farming, and staking. UPS tokens are used to mint UPFI, to use in our governance, for lending, farming, and staking. As only part of the UPFI’s volatility is absorbed by UPS, the rest is collateralized with the highly stable coin USDC. In addition, as UPFI demand increases, decrease the ratio of USDC collateral to mint UPFI and increase the rate of systems supported by UPS.

Two tokens are used as collateral: USDC and the UPFI share token (UPS). When a user mints UPFI by depositing USDC and UPS, the USDC is locked in the protocol, and the deposited UPS is burnt. When a user redeems UPFI for the underlying collateral, the user gets their deposited USDC back, and the protocol mints UPS. This dual-collateral design along with the redemption mechanism helps to keep the price of UPFI stable.

Token sale

Updating…

How to own the token?

Users can farm UPS by providing liquidity and depositing their LP tokens on the UPFI network’s own website. These farms are not auto-compounding, however, the next pool may offer auto-compounding farming options as well. All of the following liquidity farming pools are 50%-50% ratio UPS farming pools. There are no locked rewards with any of the pools. 

Markets and Community

Markets

That UPFI Network is integrating the industry-leading Chainlink Price Feeds on Solana as its oracle solution to help maintain the peg of its partially collateralized and partially algorithmically stabilized stable coin called UPFI. The initial integration involves the use of the Chainlink USDC/USD Price Feed, which is referenced during all mints and redemptions.

Recently, UPFI Network has reached an impressive milestone by winning the 1st prize at Solana Season Hackathon – Nation Vietnam.  About Solana Hackathon, it is one of the largest online hackathons ever, organized by The Solana Foundation teamed up with leading crypto projects, aiming at accelerating the already rapid growth of the Solana ecosystem. With the participation of over 13,000 builders registered for the hackathon and 350 teams submitted projects spanning DeFi, NFTs, Web3 and beyond, UPFI has proved its high competitiveness and uniqueness in terms of functionality, potential impact, novelty, design UI/UX and composability.

Community

UPFI Network has crossed the mark of 29,000 Followers on Twitter.

Backers

Team/ Founders

Partners

UPFI Network partner with Pyth Network

Conclusion and analysis

UPFI is designed with a smart anchoring mechanism that provides users with an additional quality solution to “work” in the Defi ecosystem in general and Solana Defi in particular. Stable coins are an integral part of any Defi ecosystem. The fact that there are many new Stable coin protocols on Solana shows that Defi Solana still has a lot of growth potential.

Find more information about UPFI Network:

Website: https://upfi.network/

Telegram: https://t.me/upfinetworkchannel

Twitter: https://twitter.com/upfi_network

If you have any questions, comments, suggestions, or ideas about the project, please email ventures@coincu.com.

Elise

Coincu research

Victor

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