GateLive AMA Recap-Umee
Could you please tell us why do you want to create UMEE?
Brent Xu(Founder and CEO of Umee):
I lived through the mortgage crisis of 08-09, Broken tradfi - we saw 50 trillion of value become destroyed
People like my father lost their jobs, and he was a cancer researcher - what does that have to do with mortgage backed securities?That can be fixed with better open source infrastructure.
What does it mean? Crypto is still early. Crypto currently is small as an asset class. In the world the bond market is 130 trillion. The US stock market is 40 trillion.
Gold is 11 trillion. Crypto as a whole is only 1.2trillion. Btc is only 1/20th of gold.
But why are we here? Because we believe in the web3 future. The next step for crypto is to onboard the rest of world. Umee’s vision next is to onboard the next 100million web2 users to web3.
Umee’s umeemania testnet had over 100k participants and over 1billion tvl.
We’ll capture an even bigger market and use open source technology and decentralized infrastructure to prevent all future Global Crises like we saw in 2008-2009.
What is the road map for Umee?
Brent Xu(Founder and CEO of Umee):
Most exciting thing right now is LSD’s and Stablecoins
Market index is huge
Index Products
Target Stablecoins
liquid staking protocols
Skyrocketing growth of LSD products like Lido, Rocket, and Coinbase. Stablecoins and the yield they bring.
We’ll be creating an index derivative that gives exposure to the basket of asset, diversifying risk while creating more yield opportunities for minters.
We believe the market will jump on it once we launch and it’ll generate a lot of protocol revenue for the Umee chain, which will all translate into token value for the token holders.
Multi-chain lending market. We’ll allow assets to be lent and borrowed from any blockchain. This creates a universal capital facility where anyone can access liquidity
We’ll be revealing an AMM chain that is a Layer 2 to both Ethereum and Bitcoin that is natively interoperable with Umee.
An Oracle chain that provides smart pricing and manipulation proof data to ibc chains, rollups, and any L1
Mobile Wallet integrates all cross chains functions into one interface so that users no longer need to juggle among different websites.
The Umee eco will be the first ever eco that incubates a complete product suites of all critical components of lending, trading, wallet, oracle. This isn’t even the best part.
The best part is each of the products will be released in a few months, each of them will have a token, NFTs, a combination of a token and NFTs, and they will all be airdropped to the Umee stakers.
What market are you trying to replicate?
Brent Xu(Founder and CEO of Umee):
I spent over half a decade on tradfi.When you put your money in a bank, do you trust that it will still be there in the future?
The inspiration from Umee was when I worked on a bond trading desk.
-All centralized
-Very Opaque market
-Inefficient legacy rails
But the Bond market is the largest market in the world, and is the foundation of how capitalism is built. The Bond market is the key to the banking eco: which is why we’re building a NEO Bank for the future of the global bond markets.
Like banks that have different branches, Umee will branch out and create sovereign chains with similar functionalities as the main chain.
-Issue corporate bonds
-Credit products
-Fixed rate loans to web2 companies
Some KYC, some private chains for private placements - for furtune 500 companies and major large cap institutions.
The shared property here is that each of the chains will be powered by interchain security through the Umee token,
meaning that all the protocol revenue, all transaction fees, all the value captured by each of the chains will be captured by the Umee token.
Debt eco is so bad - we need to replace - broken legacy
-Umee is rebuilding the bond market
-Start with short term lending like a repo market
-Move to long term lending which will develop a yield curve
-Create a term structure of interest rates to price all time value in the world
-Build the foundation for credit
The vision is that all of the capital markets will transition to DeFi and open source technology. And we will see an inflow of massive amounts of capital into the crypto native eco
What is the end goal of Umee?
Brent Xu(Founder and CEO of Umee):
We saw these last few months the destruction of the banking .
-Silicon valley bank
-Signature
-Silvergate
-Credit Suisse
-First Republic
-Pacific West
The end goal of Umee is to become the New World NEO bank of Crypto.
-By building a DeFi base layer
-Better debt bond market
-Better capital allocation
-Better open source code
-Better more transparent banking
Platforms like Umee will solve the next banking crisis. By building a foundational NEO bank to bridge the web2 and web3 worlds, Umee is changing how the world should look at technological infrastructure.
This vision is massive, but what Umee is targeting at initially is not to take everything all at once.
We’ll start with corporate Debt issuance and private placements first - Umee has already built an advantage in doing this. Each of our self sovereign blockchains will have all the product, technology and infrastructure that fit what all corporate clients need.
As we build out the debt market from scratch, Umee will solidify its position as the major banking infrastructure of Web3.0. And we will continue to accumulate value to the umee network.
What announcements can we expect in the next 3-6 months?
Brent Xu(Founder and CEO of Umee):
Regarding what’s coming up for later this year, Umee has a top class developer team and we’ve shipped some beloved products, and we want to continue to deliver innovation.
We’re announcing… We have some alpha leak that hasn’t been announced anywhere else yet:
-We’ll be focusing on introducing the new Umee 2.0 Tokenomics to this eco
-New fixed supply cap to the UMEE token
-This will be designed to further align the community with the growth and development of the UMEE token
-We’ll be posting our first governance discussion tomorrow and you can expect more announcements in the coming days!
