The cryptocurrency industry is a dynamic and ever-changing landscape that has undergone significant transformation in recent years. Each new innovation brings with it new challenges, presenting opportunities for strategic growth and stability. At Ubiquity, we embrace this future by integrating proven financial methods and processes with cutting-edge technology and models. We prioritize transparency and simplicity, believing that these qualities build trust among our users and supporters.
One of the most pressing issues facing the industry is the volatility and instability of cryptocurrencies, which have proven attractive to speculators but unreliable as long-term stores of value. To address this problem, centralized stablecoins have emerged, pegged to the US dollar and controlled by central authorities. However, these solutions contradict the principles of decentralization and freedom from external intervention that underlie the cryptocurrency ethos.
What the industry needs is a stablecoin that is not only stable but also independent of centralized currencies and capable of evolving as the industry grows and changes. This is where Ubiquity's fully collateralized polymorphic Ubiquity Dollar (uAD) comes in. The uAD is backed by assets and overseen by a model that dampens market bumps, ensuring its stability and peg. Furthermore, it is adaptable and can evolve as needed, making it an ideal stablecoin for the decentralized finance (DeFi) ecosystem.
The uAD is a sovereign, scalable, and secure digital dollar designed to become the reserve currency of DeFi. As Ubiquity's flagship product and the first polymorphic stablecoin in DeFi, the uAD represents our commitment to building a more stable and trustworthy cryptocurrency ecosystem.
What is uAD?
The Ubiquity Dollar (uAD) is an epoch-less, elastic supply stablecoin. The protocol is designed to prevent prolonged debt cycles and vastly improves a participant's experience by eliminating epochs and epoch-based mechanisms such as "staging." The team has spent years researching the pitfalls of other stablecoins such as Empty Set Dollar, Basis Cash, Iron Finance and Luna to create a mature stablecoin that is made with stability, upgradeability, and scalability in mind.
The primary benefit of holding and using a stablecoin like uAD is its pegged value - in this case, $1. Naturally, the uAD protocol anticipates inflation cycles (price of uAD goes above $1) and debt cycles (price of uAD goes below $1).
- When the price of uAD rises above $1, new uAD is minted. The newly minted uAD can be redeemed by uCR NFT holders and is distributed amongst bonded uAD holders, DEX liquidity providers and the protocol treasury. This supply expansion of uAD is intended to reduce the price of uAD back to $1.00.
- When the price of uAD falls below $1.00, uAD holders are incentivized to burn their uAD in exchange for Ubiquity Credits (uCR). uCR is issued at a premium and can be redeemed 1:1 for uAD when the price rises above $1 again. This supply contraction of uAD is intended to increase demand for uAD, and so, increase its price.
To be clear, there are many competitors in this space (@fraxfinance @MakerDAO) aiming towards this goal. The difference is in the design of uAD as a response to the current problems algorithmic stablecoins are currently facing.
Our research concludes that many algorithmic stablecoins are built on rigid economic strategies that make it difficult to respond to adverse situations. Scenarios such as the changing dynamic of the DeFi ecosystem and security breaches can threaten the stability of the algorithmic dollar.
On the other hand, the collateralized Ubiquity Dollar is designed with a polymorphic architecture that maximizes the flexibility of upgrading stabilization mechanisms, all through a decentralized, transparent, community-driven mechanism. This allows the platform to accommodate the needs of a diverse range of users and applications.
Usage & Integration
Ubiquity DAO's ultimate objective is to drive the mass adoption of the Ubiquity Dollar by facilitating its use in real-world scenarios through strategic integrations. To achieve this, our initial focus is on establishing the Ubiquity Dollar as the premier stablecoin of the crypto gaming and metaverse domains.
Despite the high growth potential of the crypto gaming sector, stablecoins are currently underrepresented in this space. To address this issue, we are directly engaging with these communities and providing specialized support to GameFi projects. This includes collaborating with project teams to design bespoke tokenomics solutions, offering Ubiquity Credit incentives to projects that implement the Ubiquity Dollar and providing access to proprietary resources such as the Ubiquity Cashback Rewards System.
By leveraging our expertise and resources in stablecoin development we are committed to supporting the growth of GameFi and metaverse ecosystems. Our goal is to enable gamers and other participants to transact with the Ubiquity Dollar seamlessly thereby driving mainstream adoption of our stablecoin and enhancing the overall experience.
More
If you are interested in learning more we suggest that you take a look at our Go-To-Market & Adoption Strategy where we break down the various ways we are serving companies and DAOs in this space.
We also recommend that you check out our Tokenomics overview and uAD token documentation pages.
For technical details related to each of the smart contracts the protocol is comprised of see the Ubiquity Smart Contracts page which contains brief descriptions for each contract and a link directly to the Solidity code on our Github.
If you have any questions or are a gaming organization who would like to partner with us, feel free to drop by our Discord server!