On October 24th 2021, our community had a chance to welcome Mr Harry Nguyen – CEO OF UPFI NETWORK to join an AMA to give valuable information about the key features and roadmap of the project.
This AMA was held by CryptoFamily Group – the top crypto community in Vietnam, where investors and traders can obtain the latest news and signals from bot/ admins, as well as discuss and share investment experiences in the crypto space.
At this AMA, Mr Harry Nguyen directly greeted the community and provided detailed information on UPFI as well as some exciting events that will be held in the near future.
Time: 20:00 PM (UTC+7) | Sunday, October 24th, 2021
Below are some main points of this AMA session:
PART I: INTRODUCTION OF UPFI
1. Could you briefly describe what is UPFI Network and its key products?
Mr Harry: Let me introduce myself, I’m Harry – CEO and Co-founder of UPFI Network. I am very happy that today I have the opportunity here to organize an AMA for the CryptoFamily community, to introduce the UPFI Network project as well as its potential. Hope to get a lot of support from the community.
Back to the interesting question.
UPFI Network is the First Fraction Algorithm Stablecoin built on Solana Blocks. Won the 1st Region prize Solana Hackathon 2021. UPFI is a stablecoin that is partially backed by collateral and algorithmically stabilized. This collateral is utilized to make redemptions, which helps to maintain price stability. The collateralized to algorithmic ratio is determined by the market price of UPFI stablecoin. When UPFI trades for more than $1, the protocol reduces the collateral ratio. When UPFI trades for less than $1, the protocol raises the collateral ratio. All of this gonna keep it’s stability.
2. Please share with us the mission and vision of UPFI Network in the near future.
Mr Harry: The important thing is UPFI wants to bring a stablecoin that is safe, efficient, completely onchain and highly applicable in both blockchain transactions and real life. Imagine your daily expense transaction fees are almost zero, and moreover you will receive an incentives on using Upfi and use them anywhere as well.
3. Sounds really great. We’re super excited to learn more about this quality project Would you mind updating any hot news or big events of UPFI Network to attract more users in the upcoming time?
Mr Harry: Sure, we are opening the full testnet and running the whitelist campaign now, everyone can join to have chance to get the whitelist slots. In the upcoming days we will have some big news announce partnership with some big partner. Our IDO will host on Solster and 1 other platform at early November. Yesterday we have announce partnership with Crypto Banter – a big community partner with over 40.000 member in group and over 400.000 Subscribers on Youtube. We will make some minigame on global and local group from now until the IDO to keep the spirit of UPFI’s members.
CF: Thanks for all the above useful information. I believe all the members here would love to hear more about the project, and they have many questions submitted on Twitter today. Let’s dive into Part 2 with some good questions from the form and Twitter!
PART II: PRE-COLLECTED QUESTIONS FROM TWITTER
Q1. From @Aravind75154890
When talking about DeFi platforms there is a perception of great risk, as they are commonly hacked, but how is UPFI Network prepared or what strategies does it plan to implement to mitigate or fully address these security issues that are present in the DeFi space?
Mr Harry: Yes good question. Regarding security, take advantage of the processing speed and low transaction fees on Solana, which makes the price balancing process more efficient than other blockchains. In addition, the UPFI protocol is working closely with the ChainLink & Pyth Network Oracle development team to provide the most secure oracle solution for users on the UPFI Network. In addition, we are doing a careful audit and will share it with the community once it is completed.
Q2. From @tweety_al
As far as I know, strong supporters and partners in the crypto market can bring such huge value to new projects. In the meantime, can you disclose some of the project’s investors and partners? Do you plan to establish more strategic partnerships in the future?
Mr Harry: Yeah, we have raised over $2M in seed and private rounds with many big funds coming in and investing. Some big funds I can mention are MoonWhale Capital, Panda Capital, CSP Dao, DCI, Exnetwork, Master Ventures, Crypto Family Ventures, TradeCoinVietNam,… They have helped us a lot in the past and will continue to support us in the future. We are always welcome to form more partnerships with other partners to grow the project for the long term.
CF: Congratulations on the successful fundrasing round! Many big VCs and KOLs have onboarded, surely they have brought a great deal of value to the UPFI ecosphere.
Q3. From @Dorothy279knot
UPFI has a long term vision to bring a stablecoin that is safe, completely onchain & highly applicable in both blockchain transactions & real life. What are the steps being taken to make this vision a reality? How suitable is the platform for newbies in the crypto ecosystem?
Mr Harry: As you guys may know, fiat-collateralized stablecoins have a lot of transparency issues and are not audited, so we really don’t know exactly if the amount of collateralized money is exactly equal to the amount of stablecoins minted or not. With UPFI, we build completely onchain to transparently show investors the number of tokens issued or burned, and related transactions on the blockchain. We are doing a careful smartcontract audit before opening the mainnet. The team is making an interface that is the easiest to use for users and will be suitable for many newcomers to the crypto industry. As well as connecting many partners to use UPFI more widely.
CF: Thank you for the great answer. Appreciate the fruitful information you have provided.
Q4. From @MasanariToyko
What are the highlights of UPFI protocol that you believe will help you achieve success? What is the utility of $UPS in the UPFI network and how can it bring benefits to token holders? Please share your tokenomics and the mechanism you implemented to secure your success.
Mr Harry: UPFI – The unique features of UPFI Network
For UPFI Network Investors, users can receive UPS by joining UPFI Products: Staking/ Redeeming, Farming, Lending, ….
2. UPS Flying Wheel
- To begin, 60% of UPS will be utilized as incentives for users through farming activities, stablecoins minting, promoting collateral growth, lending protocols and for UPS holders (stake, DAO).
- Since then, the quantity of UPS purchased and burned has increased due to increased demand for UPFI minting. It aids in the reduction of UPS supplies.
- Finally, UPS prices rise as supply falls and demand rises. The more expensive UPS is, the more appealing it is. UPS is the incentive in the UPFI Protocol for actions like lending, farming, etc., so users may earn more profits. It will continue to attract new users to join the protocol.
3. Anti dump/pump mechanism
We would apply the anti pump/dump mechanism to ensure price stability for UPFI. Limit selling amount each time – Charge High Fee if big amount is transferred to another wallet – Using TWAP (time-weighted average price) mechanism to keep system stably and safely.
4. Solana’s features help UPFI grow
– Solana is an emerging ecosystem that is being heavily invested, in addition, they do not have any native partially algorithmic stablecoin on it.
– Solana has a very serious and well-organized infrastructure, reviews tokens quite carefully before being on Solana for about 2 weeks. In addition, the pieces of the ecosystem on Solana are also quite complete with more than 400 projects to help expand the application of stablecoin quickly.
– Solana has almost the fastest TPS (processes per second) on the current blockchain with 50.000 transactions/s, 400ms block times, and a cheap transaction fee of $0.0025 => this helps oracle to get TWAP (Time-Average Price) quickly avoiding the price difference in the UPFI protocol and outside the trading market.
Utility of UPS
1. Farming function
This is the most attractive program on UPFI Network, helping the project attract a large number of users because of its very high APY. The Liquidity Mining process is easy to follow:
(1) Providing liquidity to the rewarded Pools on UPFI Network (as on testnet, we have USDC – UPFI pool. After that there are other attractive pools as well).
(2) Staking LP tokens on UPFI Network’s Farms platform to receive UPS Incentives.
Farming captures value for $UPS in 3 main ways as follows:
- Increase strong Buy demand for UPS token.
- Buy UPS to Farms
- Buy UPS to mint UPFI and farm.
- Increasing demand for stablecoin UPFI
- Increase TVL for UPFI stablecoin pools, which helps reduce volatility.
2. UPFI protocol
To be able to mint $UPFI, users need to have a quantity of $UPS, this number of $UPS will directly reduce the supply in the market. As $UPFI is used more and more, the demand to buy UPS will also increase.
Thereby, we see, this protocol captures value for UPS directly in 2 ways:
- Create Buy Demand
- Reduced supply of $UPS in the market.
This is the product that generates a source of income for the project, which helps increase the price of $UPS tokens.
3. Governance token
By locking UPS tokens on the Governance section of the Platform, you will receive xUP – governance token of UPFI Network. The xUP token serves as our platform’s governance token about fee distribution mechanism, integration, unique functions, events, investment vault, development and more. It was 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.
Tokenomics has been carefully calculated to ensure the sustainable development of the project.
CF: Much appreciation to your detailed answer. With its promient features, no wonder why UPFI is getting more and more interest in the crypto space. And the last question from our community in this part.
Q5: From @Lidiamga
On UPFI Network we can stake USDC and let UPFI do the work. But the Defi it’s known for it’s infinite possibilities and options, so this made me wonder, will we only be able to use USDC on UPFI or do you have plans on adding other stablecoins in order to provide more options?
Mr Harry: Yeah we will not only use USDC as collateral to mint UPFI, but we will gradually expand other crypto assets as collateral with different liquidation rates based on the volatility of that asset on the market so that the risk is lowest for users. In addition, we will have an algorithmic mechanism to effectively use the best collateral capital to bring investment returns to the mortgagor and UPS holders.
CF: That’s the end of Part 2, I believe all of the members here have gathered enough useful information, also they have many questions to exchange with you today.
PART III: BEST LIVE QUESTIONS IN CRYPTOFAMILY GROUP
Q1. Do you have any plans in the future to cross/multi chain interrogation? What are your roadmaps ahead and plans to achieve your goals?
Mr Harry: Currently, we will focus on developing and perfecting strategic products on Solana, then by intergrating application expansion with other partners, when reaching a ertain popularity on Solana, UPFI will cross-chain through other potential chain with good supporting infrastructure to receive new flow money.
Q2. Is Your Project available for the global people or It’s limited for some area? If it’s globally available are you guies planing to introduce it globally?
Mr Harry: From the very beginning of the project, we wanted this to be a global project. Investors and backers of the project come from many countries and regions: China, Indonesia, India, Israel, Turkey, Europe… About our community, the participants are very diverse in nationality, besides now we also have communities for Chinese, Indonesian, Turkish.
Up to now, we promote and develop the project globally through holding AMAs, airdrop events, appearing on youtube clips. UPFI also links with partners such as Chainlink, Solster, Serum.. and will have more and more partners, so that everyone can access the project.
Q3. Vitalik Buterin said that the DeFis had high risks and that they were not recommended. What do you think about this? Is he right or really DeFi’s as UPFI are trustworthy?
Mr Harry: I think Defi is the future in crypto currency and it will have an explosive pump in the near future. UPFI is designed with a smart anchoring mechanism that provides users with a quality solution to find a “shelter” for their assets in the Defi ecosystem in general and Solana Defi in particular. Stablecoins are an integral part of any Defi ecosystem. The fact that there are many new stablecoin protocols on Solana shows that Defi Solana still has a lot of growth potential.
Q4. What is your Project Mechanism in using 2 tokens (UPS and UPFI ) can you explain? And where can I buy both,what is your current token contract can you share it??
Mr Harry: You can simply understand, when a user mints 1 UPFI you need depositing USDC and UPS for approximately one USD worth of value. UPFI only requires a portion of the capital to mint, which is denominated in other stable assets. The remainder is denominated in a volatile asset as collateral. This generates both a natural demand and a value capture for the volatile asset.
After IDO, you can buy UPS right on DEX exchanges, we will add liquidity on it, about DEX information we will announce later, so you often follow our information channel for the latest updates. And mint UPFI from USDC on our platform.
Q5. How strong is your team? Many projects start with some good impressions at first but are later abandoned. Is your project different from other projects?
Mr Harry: We are now have total 15 people in our project, 6 in tech, 6 in marketing, 2 in legal and admin. In 15 people, we have 4 people in founding team, 2 people in founding team at early stage, and 2 people joined team a bit later. This is a quick introduction about our first 2 founders.
1/ Harry Nguyen
*Co-Founder & CEO UPFI Network
* Founder & CEO — UPIT Group
* Co-founder & CTO — AsioPay
* Former Software Engineer and PM at Samsung R&D * 7+ years in product manager, blockchain development & crypto investment
2/ Max Nguyen
* Co-Founder & CTO UPFI Network
* CTO — Raremall NFT
* Blockchain developer at Zcoin.io, Midas network, Vinex network
* 8+ years in software development, blockchain development & crypto investment
Firstly, we take the advantages of existing stablecoins and overcome their disadvantages and limitations by combining the use of fractional-algorithmic. Other types of stablecoin such as crypto-collateralized stablecoin like Pai, Fluidity; the value of Pai, Fluidity on Solana depends on the cryptocurrency it is backed on e.g Sol, Ray. About algorithmic stablecoin, the UST (Terra) stable coin is dependent on supply and demand. About UPFI, a part of it depends on supply and demand, the other part depends on the cryptocurrency it is backed. UPFI is a fractional-algorithmic stablecoin.
Secondly, we are the first fractional-algorithmic stablecoin built on Solana Blocks. The other stablecoin competitors are now just using the bridge to use on Solana, as a result, when the users use the bridge, there is a big amount of transaction fees.
CF: Thank you so much for taking your time to join our AMA today, as well as thanks for hundreds of good questions from our community. Seems like there’re many things to exchange, but I’m afraid the time is up now. For all of the questions that have not been answered yet, guys feel free to search for more information on the links provided below: