OINDAO: Customizable Stable Coin Issuance on NEAR Protocol

This post was originally published on Oin finance

As previously announced, OIN Finance has recently received a grant from the NEAR Foundation with the purpose of building and launching a NEAR-backed stablecoin on OINDAO.

We will be taking a comprehensive look at some of the key takeaways of this critical collaboration, and how it will elevate both projects in the fast-growing DeFi industry. The full article and more in-depth information about NEAR can be found in the link below:


Partnership details

NEAR will take advantage of OINDAO’s services to issue its own stablecoin, fully collateralized by the $NEAR token. This presents the NEAR community with some interesting value propositions as highlighted by our team:

“A stablecoin provides an excellent method to park money during trading, or to use as a base currency. A NEAR-backed stablecoin acts as the base currency in the NEAR ecosystem, helping the NEAR community to hedge against volatility.”

Unlike other DeFi startups such as MakerDAO and Compound, which establish a significant barrier of entry by only permitting certain projects to become part of their pools, the OINDAO design features allow the integration of any existing altcoin onto its platform. That means any tokens existing in the NEAR ecosystem can also be used as collateral in order to mint new stablecoins, which further expands possible use cases:


“They will also be able to utilize the stablecoins for ecosystem-specific utilities, as leverage to buy more tokens, or even to swap for other stablecoins such as USDC and DAI.”

How will the partnership benefit NEAR Protocol?

1 — Drive up the scarcity of $NEAR

2 — Unlock new value across projects on the NEAR protocol

The partnership will essentially benefit NEAR in two major ways. The first one is that it will increase the scarcity and value of the $NEAR token. As the OINDAO stablecoins become increasingly utilized for different applications in the NEAR ecosystem, more tokens will have to be locked as collateral for minting. This will create a positive network effect and feedback loop in which demand for the $NEAR token will increase:

“With more ecosystem-specific utilities behind a NEAR-backed stablecoin, more NEAR-backed stablecoins can be minted. The increasing amount of locked liquidity drives the price of NEAR up, creating a closed value loop for NEAR’s token economy.”

Secondly, the new 1.5 version of our staking contract allows OINDAO users to receive staking rewards from multiple different assets. This distinguishing feature will allow users to yield up to 20 different tokens when staking their $NEAR, facilitating the flow of assets and value between projects in the process:

“OINDAO’s smart contract supports multi-coin farming functionality for up to 20 different tokens. This support will create synergy between tokens on or bridged to NEAR protocol, providing a linkage between projects in the NEAR ecosystem. This means users who stake NEAR will have the opportunity to farm 20 different projects’ tokens in the NEAR ecosystem.”

A financial revolution

As the DeFi space continues to mature, unlocking value between decentralized protocols is crucial for the liquidity and sustainability of the crypto industry. With solutions like the OINDAO stablecoin ecosystem and the upcoming OIN Swap decentralized exchange (DEX), OIN is at the advent of an open financial revolution and is quickly becoming an essential part of the infrastructure that supports the DeFi movement.

About NEAR

NEAR Protocol is a blockchain-based, ultra-scalable, developer-friendly platform for decentralized applications. NEAR’s platform provides decentralized storage and computational power that is secure enough to manage high-value assets like money or identity. The NEAR high-performance network allows money and identity to become accessible and useful for everyday people, placing the power of the Open Web in their hands.

NEAR Protocol uses a technique called “sharding” which splits the network into multiple pieces so that the computation is done in parallel. Parallelism radically increases throughput and allows the network to scale up as the number of nodes on it increases. With NEAR, there isn’t a theoretical limit on the network’s capacity.

Core contributors of NEAR have won multiple world championships in competitive programming and worked at major tech companies such as Google, Facebook, and Niantic. To learn more about the NEAR Protocol, please visit https://near.org/.

About OIN

OIN is a decentralized stablecoin issuance and trading platform. While MakerDao allows only mainstream assets to be used as collateral to issue DAI, OIN DAO allows projects, large or small, to issue their own brand labeled synthetic assets that are collateralized by their own coins; in essence, any projects can mint their own stablecoins to participate in the greater DeFi ecosystem. Starting with Ethereum, and gradually expanding to other popular ecosystems such as Polkadot, Avalanche, and Near, OIN is on track to become a one-stop shop for cross-chain stablecoin issuance, trading, and implementation.

With planned off-ramps and use cases such as swapping for other mainstream stablecoins, adding leverage, hedging, lending, and a plethora of ecosystem-specific utility, OIN is expanding DeFi to cover all of the crypto space.

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OINDAO: Customizable Stable Coin Issuance on NEAR Protocol was originally published in OIN Finance on Medium, where people are continuing the conversation by highlighting and responding to this story.

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