Unilend Finance AMA Recap with Pramod’s Global Crypto Community
On the 26th of November, 2020, Chandresh Aharwar, Founder & CEO of UniLend Finance, was live at the Pramod’s Global Crypto Community telegram AMA Session, to provide the community with insights on what Unilend Finance is all about and also answer every of their questions and queries. The session was moderated by one of the Pramod’s Global Crypto Community Telegram moderator.
In order to ensure clarity to my readers, this article has been divided into four segments; the first segment, gives full account of the questions asked by the moderator of this AMA session (Pramod), the second segment gives account of the questions asked by Twitter community members, the third segment gives account of the of the questions asked by Telegram community members, while the last segment gives account of the closing statements.
Pramod — Today we have with us Chandresh from UniLend who is co-founder and CEO of UniLend Finance.
Chandresh Aharwar — Hi Everyone.
Pramod — Can you please give us a brief overview of UniLend?
Chandresh Aharwar — Thanks Pramod bhai for inviting me. Before UniLend, let me give a small background about me.
I have been actively contributing to Blockchain space from late 2016 & have been leading marketing & strategy of Matic Network before starting my Journey with UniLend Finance.
Here is good thread explaining my contributions while at Matic. I started UniLend in August along with my co-founders who were working on a open source metatransaction protocol . UniLend was started with the simple Idea of welcoming every token to DEFI.
UniLend’s mission is to unlock the true potential of decentralized finance. Essentially, UniLend Finance will offer every DeFi capability imaginable for any ERC20 asset, including the $30B+ of assets which are currently excluded from DeFi. UniLend users will be able to permission-lessly list any ERC20 asset for lending/borrowing, spot trading, as well as having the ability to provide liquidity to the protocol in order to take advantage of liquidity mining and yield farming opportunities.
Pramod — You claim this is just the beginning, what do you mean by that?
Chandresh Aharwar — We already have more than $14Billion locked in DeFi currently & that’s too without tapping into all ERC20 assets in money markets.
Our aim is to be the most comprehensive DeFi protocol on the market
With this in mind, we are continually forging strategic collaborations with key players within the industry to add unique abilities to our protocol, such as being able to lend/borrow real-world assets like synthetic gold and silver with the help of OpenDeFi. Real-world assets will open the door to an addressable market cap of over 15 trillion. CyberFi building an automation layer on top of UniLend. Cryptolocally providing interface of UniLend to their users
UniLend is being built from the ground up to truly take the DeFi space to the next level and bring the next wave of users into DeFi via our comprehensive protocol. Many major industry players already recognize our unique value and are in the process of implementing UniLend into their own platforms.
Again this is just the beginning, many more collaborations and unique abilities are yet to be announced.
Pramod — This all sounds so exciting, but how can we know we are safe while using such a new protocol?
Chandresh Aharwar — Great question. I would say we are much more secure than other money market protocols like Aave & Compound etc. For instance, current protocols are dependent on other DEXs like Uniswap etc. for liquidations (which is a major concern for adding illiquidity & more volatile assets).
Nobody has any sort of control on these DEXs, whereas in the case of UniLend, we are deriving the lending/borrowing capacity of assets based on the liquidity available on our trading platform. Hence, we are not dependent on any other protocol for liquidation & everything is handled within the UniLend ecosystem.
The problem we are solving is quite large and it requires a complete ecosystem to be built for catering to such a problem. Maximum security is a priority to UniLend Finance, we are picking up where key DeFi protocols like Uniswap left off and continuing the development of the decentralized finance revolution.
Pramod — So you are picking up from where Uniswap left off? I heard your team has great comparison articles in regards to this question, could you expand on this topic and let us know where we can find these articles?
Chandresh Aharwar — Yes, to clarify, we have the utmost respect for Uniswap and the other leading protocols for being trailblazers in the DeFi space. That said, we believe that our comprehensive DeFi functionality and permissionless listing model will facilitate the evolution of DeFi and bring the next wave of users into the DeFi space.
Our community has requested further clarification on UniLend’s strengths as a DeFi protocol, which is why we launched our DeFi Dissected article series. The goal with the series is to show the cryptosphere why we will be a major contender, with more to offer than our competitors. UniLend is a unique protocol, built from the ground up, that is capable of truly revolutionizing DeFi.
- Read our comparison of UniLend vs. Compound
- Check out our comparison of UniLend and Uniswap
- Check out our comparison of UniLend and Aave
Pramod — It sounds like Unilend will have a great competitive edge. In DeFi however there has to be incentives to encourage user growth, at least initially. How are you approaching this?
Chandresh Aharwar — Another great question, this is something we’ve been ideating heavily. In addition to our key advantages in terms of permissionless listings etc., there will be a number of incentives for those who utilize the UniLend protocol, from liquidity providers to general platform users.
Firstly, we’re implementing community governance to give the community a voice in the functioning and features of the protocol. UFT holders will be able to issue and vote on proposals which require majority consensus to be implemented.
Ecosystem participants who use UniLend for lending, borrowing or trading will be rewarded with governance power in the form of UFT tokens to encourage not only use of the platform’s services, but also to facilitate distributed governance.
Liquidity providers are another key element of any DeFi protocol to ensure sustainability and a great user experience. They will therefore be rewarded with UFT tokens via liquidity mining, in addition to a percentage of trading and borrowing fees. We’ve allocated 15% of the total UFT token supply for liquidity mining & yield farming rewards.
Twitter Community Question 1 — What is your project’s main target of UniLend in this year 2020? and what your VISION and MISSION is in UniLend Marketing?
Chandresh Aharwar — We will have Alpha release this year. Our community has been getting impatient for the detailed roadmap, so that’s coming this week most probably.
We want to welcome every token to DeFi, that’s the main mission we are aiming for & recently we launched a poll also in our community. Would request every one to vote on that too.
We want to become a widely used protocol for token launches, just like Uniswap is being used currently. That’s where the most value additions will come from our side. Imagine every new token getting launched on UniLend also along with Uniswap. Will be huge in my opinion. And we are giving every reason to new projects for launching on UniLend along with Uniswap.
Don’t forget the close marketing support & huge exposure we will provide to all new projects.
Twitter Community Question 2 — What will bring great innovation, value and differential in the DeFi space after the arrival of ETH 2.0 that makes UFT run in front of its DeFi rivals, that UFT is also a giant, and thus attract more investors to the Project.
Chandresh Aharwar — Cheaper fees & faster transactions with ETH 2.0 will obviously mean more trading volume, more interactive users & most importantly more automation in the complete DeFi space.
We have already seen the advantages & value additions of DeFi, this will definately go to bigger level as higher gas fees & slower transactions are barrier for smaller investors currently.
UniLend will also be at huge gain with ETH 2.0 launch as we are totally focused on our alpha launch in December on Ethereum mainnet currently & that’s going to be the main chain for our protocol in near future. So, I am also very excited for upcoming updates on ETH 2.0
Twitter Community Question 3 — UniLend is a permissionless platform focused on Ethereum tokens, but the need for cross-chain solutions is increasingly perceived. Does UniLend intend to be a cross-chain platform, allowing its features to be available to non-ethereum tokens?
Chandresh Aharwar — Yes, we take it very seriously when we say, Welcoming Every Token to DeFi. Our Devs have already been exploring other chains like Binance Smart Chain, some layer 2 on ethereum etc..
We are also watching closing other solutions which are working towards bridging other chains. We will definately do this but our priority is launching our Alpha version on etherum currently in December
Twitter Community Question 4 — What are the requirements for the UniLend credit system? In addition, what are the facilities of this loan program? and how can I participate in community voting in the UniLend ecosystem?
Chandresh Aharwar — You don’t need to create any account or maintain any credentials, you can just use Metamask other solutions to access our protocol. Just like other money market protocols, users will be able to use UniLend also with only difference that it will be easier to use & more secure.
All $UFT holders will be able to take part in the governance of our protocol, just like the goverance of Uniswap currently
Twitter Community Question 5 — The crypto market is full of scams and Uniswap records several lists of fake tokens. How does UniLend intend to prevent the listing of fake tokens if the platform does not have permission? What kind of security can UniLend offer its users?
Chandresh Aharwar — It’s always user discretion in decentralized open source protocols. As it’s open source anyone will be able to list their tokens, but again they will be risking their eth if they are providing liquidity on trading platform.
Also, there won’t be any gains for users to list any fake tokens, but we have seen many scammers doing it. We will have proper warning & rating systems for high performing tokens on our protocol & make sure our users are safe.
Telegram Community Question 1 — What are the possible ways to get $UFT? Will it be exclusively through Farming? And what are the advantages of being a holder when using the platform? In what ways will Unilend reward those who provide liquidity for spot trading and Lending of assets on UNILEND..and what strategies do you have to bring in more liquidity to assets listed for spot trading on unilend
Chandresh Aharwar — Great question. Let me first share all the resources needed for this questions.
Where to trade UFT ?
- Bithumb Global Exchange — UFT/BTC
- Bithumb Global Exchange — UFT/USDT
- MXC Exchange — UFT/USDT
- CoinDCX Exchange — UFT/USDT
- Bilaxy Exchange — UFT/ETH
UFT is already trading currently on multiple platforms, so apart from liquidity mining & yield farming it can already be bought. UFT holders will have many utilities starting from participation in governance to added benefits on liquidity mining & yield farming
Telegram Community Question 2 — Many projects related to farming offer a massive % of APY, and at the end mint a lot of tokens to try to reach that promise, decreasing value, or, even being scam. That’s why I ask you, what APY is offered with $UFT?
Chandresh Aharwar — Totally agree. I have seen many projects giving insane rewards for getting traction & liquidity but ultimately it impacts the project badly in long run.
many projects are also doing liquidity mining on uniswapm which is of no use in my opinion. We have kept aside 15% of total tokens for user incentives & those will be distributed in a very decent manner keeping in consideration all our investors. We will have good incentives to drive traction for our users but will make sure it’s not impacting our investors in a negative way.
Telegram Community Question 3 — What are the plans for liquidity bootstrapping?
Chandresh Aharwar — Liquidity is going to play a major role in our protocol growth. One of the reason, we have already reached out to more than 30 projects which are interested in providing liquidity on our platform.
Apart from this, many of our seed & private investors will also help with liquidity bootstrapping on our platform. We are also partnering with multiple exchanges & platforms which will bring liquidity to our platform.
Also, we have a unique proposition of trading + Money markets, so expecting New projects launching on UniLend along with Uniswap will become a norm in near future. This should solve most of the liquidity concerns for us
Telegram Community Question 4— Where does the project name come from? What does it mean for you and why did you choose that name for your project?
Chandresh Aharwar — Nice Question. UniLend stands for Universal Lending Protocol. We wanted to have a name which describes our Idea of welcoming every token to DeFi perfectly
Telegram Community Question 5 — Any asset can be listed on UniLend platform, but once it does, what trading pairs are created? Is it an automatic feature or the owner has the possibility to decide it?
Chandresh Aharwar — Listing on our platform is similar to listing on Uniswap. Once you create the trading pair, the lending/Borrowing pair will be activated based on the liquidity available for tokens. Our base pair is going to be ETH for all tokens initially & then with time we will gradually allow other pairs also.
Pramod — Yeah, Chandresh Aharwar , we have a great Community where everyone takes part. Thanks for your time answering our community Questions
Chandresh Aharwar — Thanks a lot for inviting Pramod. I had a great time
Pramod — Hope we host you again sometime. If you have any last Comments for our community, please mention.
Chandresh Aharwar — We have lots of exciting things coming up in December along with our Alpha launch. Do follow our socials for upcoming updates. Keep Rocking. Do watch the video for better understanding guys, and don’t forget to join our socials.