Unreal Finance Tokenomics & UGT’s Use Case
UGT is a community governance token for Unreal Finance. Built on the Ethereum Network, UGT is an ERC20. UGT has three major use cases:
- Governance
- Staking
- Growth of the Unreal ecosystem
Let us explain each of these as they pertain to the UGT token.
UGT Use Cases
Governance:
UGT’s first use case is as a governance token. Governance is a common function of utility tokens, but what exactly that means depends on the platform. For Unreal’s team, transparency in the protocol is of the utmost importance. To maintain the ecosystem, Unreal’s UGT token will allow holders to have a say in which direction the protocol will evolve. This community ownership enables active and opinionated token holders to introduce new proposals and vote on those that the team (or other community members) put forward.
Some of the types of governance proposals users should expect to see with Unreal include:
- Integrations with partners
- Fee decisions
- Grant proposals
- Community expansion proposals
Staking:
The second use case for UGT is staking. Staking will allow token holders to generate yield in the form of additional UGT tokens. Token holders can earn higher rewards by staking their UGT or providing liquidity across AMMs in addition to supporting the protocol by locking up UGT for a specified period. Additionally, two proposals are currently being considered to further incentivize staking:
- (Proposed) Sharing of platform fee to token holders
- (Proposed) Insurance hedge
Growth of the Unreal Ecosystem
The third use case for Unreal’s UGT token is to grow Unreal’s ecosystem. Unreal intends to use much of their allocation to incentivize new users to utilize the protocol. They will issue grants for platforms that integrate with Unreal and reward future research and protocol development. You can read more in the Unreal Lite-Paper.
The Unreal protocol is truly incredible, it stands to revolutionize the way we view yield. Imagine being able to tokenize your yield on staked assets instantly and realizing that yield by trading on the open market. Your tokens may remain locked, but your capital from the traded yield is then free to be deployed wherever you wish, leading to explosive growth & compounding effects. Further, imagine being able to purchase a fixed yield token that pays a set rate over time. Unreal’s unprecedented flexibility and potential for exponential growth makes this a truly paradigm-shifting project.
Our pre-IDO with Genesis Shards was a smashing success. We received over 176,000 entries. We’re working hard to bring you an exceptional IDO with CardStarter, our registration process begins on August 16th & the IDO will take place on August 23rd. You can learn more about the CardStarter platform & how to participate here.
Full Tokenomics
Disclosing all aspects of a project — including the full tokenomics breakdown — is so important, and it cannot be overstated. Transparency is of the utmost importance to the Unreal Finance team because we want to build community trust and encourage mass adoption.
“We are building a truly revolutionary protocol, one that is destined to revolutionize the way you view yield” — Ishan Garg
As you can see from the chart below, the vast majority of the tokens are allocated to the project itself — either through rewards, ecosystem development, or community and strategic reserves. It’s clear that the Unreal team is focused and committed to making this project succeed.
We will now go on to explore all of the different aspects of Unreal’s tokenomics in greater detail, including release timings.
Token Details
The allocation to the ecosystem will be distributed as follows:
- Governance: Token Holders will participate in governance of the protocol
- Fee Discounts: Massive fee discounts to token holders while using the protocol
- Rewards: Protocol rewards, management fees and several other rewards will be given to token holders
- Staking: Users can earn higher rewards by staking it or providing liquidity across AMMs
Seed Sale Funds raised
$500,000
Seed Sale Price
$0.05
Seed Sale Allocation
5%
Strategic Sale Funds raised
$700,000
Strategic Sale Price
$0.075
Strategic Sale Allocation
4.67%
Private Sale Funds raised
$1,500,000
Private Sale Price
$0.095
Private Sale Allocation
7.89%
Public Sale Raise
$300,000
Public Sale Price
$0.12
Public Sale Allocation
1.25%
Token Allocation
Seed
5%
0% unlock at TGE, 10% unlock after 1st month, linear unlock from 4–12 months
Strategic
4.67%
15% unlock at TGE, linear unlock from 4–12 months
Private
7.90%
20% unlock at TGE, linear unlock from 4–12 months
Genesis Shards — Pre-IDO
0.45%
20% on TGE, 20% monthly vesting for 4 months
Public IDO
1.25%
100% unlock at TGE
Ecosystem
15%
0% unlock at TGE, Unlock from 1–18 months
Protocol Rewards
20%
20% after one month, unlock from 2–24 month
Marketing
10%
2% on TGE, equal unlock from 1–18 months
Reserves
14%
Quarterly unlock over 12 months
Community
5.73%
Linear unlock from 1–17 months
Exchange & MM
1%
Unlock at TGE
Team & Advisors
15%
Linear unlock from 4–24 months
Graphical Representations of Unreal’s Tokenomics:
To provide an even simpler representation, the chart above represents the number & breakdown of all UGT tokens to be released into circulation on a monthly basis.
Closing Remarks:
Unreal Finance is ushering in the next generation of decentralized finance and paving the way for institutional adoption by allowing its users to explore more complex, flexible, and innovative interest rate options. With this in mind, we are committed to treating our users respectfully and utilizing our strategic reserves for the benefit of the Unreal platform and all of its users. We’re passionate about the future of DeFi, and we are sure that it’s going to be Unreal!
