DeFi states that it provides a fresh look at the flexible sourcing codes that have become commonplace in the decentralized financial sector.
Benchmark Protocol’s goal is to create a bridge between the traditional financial and cryptocurrency markets – all through the adoption and improvement of the proven conversion algorithm provided by Ampleforth.
MARK symbol display is regulated by tracking the movements of the CBOE Volatility Index (VIX), also known as the “fear indicator”, in a smart and fast operation.
While other flexible bid tokens set a price of $ 1 adjusted for US inflation, the target price target is an International Compound Reserve, known as Special Drawing Rights (SDR). It is called the most stable currency in the world due to its formation. The dollar, the euro, the pound, the yuan and the yen.
The Benchmark Protocol team explains, “Combining this effect provides a level of consistency and stability not found in traditional stable coins.” “By using SDRs, ownership of the MARK token promotes wider adoption rather than pegging to a single currency, thereby creating a wider user base and limiting access to markets around the world.”
Hops in VIX ultimately increases the supply of tokens in the reference protocol – a context intended to reduce the impact of filtering events and act as a hedging mechanism. The offer will be rebalanced within five hours after the New York Stock Exchange is close to curbing arbitrage activity, and to coincide with the capital markets, no adjustments will be made over the weekend.
Benchmark’s protocol states that cryptocurrency enthusiasts can choose MARK over stablecoins because it has a global inflation risk profile rather than a single currency risk profile, it is inflation-protected and eliminates security risks as stable currencies may become insolvent because they are now safe. Lesser value than the issued asset.
A comprehensive liquidity pool rewards program, known as The Press, has already been launched, along with a small investment in assets. Two trading pairs – MARK-ETH and MARK-USDC – are now available on Uniswap, and the list of supported pairs will expand over time.
More information from the protocol reference here
Benchmark’s protocol states that the unique feature of The Press means unclaimed rewards are not subject to supply adjustments, which helps in maintaining long-term price stability around the stick.
We hope MARK will in time be an excellent alternative to stable coins.
“Bridging the DeFi gap is important”
Several dynamic collaborative projects have been revealed over the past month, with the inclusion of Benchmark Protocol in Fulcrum, bZx’s margin platform. This ecosystem relies heavily on cryptography and provides a decentralized environment for symbolic lending and margin trading.
When the news was announced again in November, Benchmark Protocol founder Harrison Voitko said, “With the range of features available on the bZx network, connectivity to Fulcrum has been the focus of the team since the inception of our protocol. One of my favorite features is the ability to customize your security risks. ”
Elsewhere, Benchmark Protocol has also confirmed that it uses RenVM to ensure the protocol “can function well in a cross-chain environment,” allowing MARK tokens to seamlessly transition between networks without being tied to blockchain networks. The Ren Alliance houses a range of DeFi projects, including Aave and Matic Network.
Voitko added at the time: “When I think of René, the concept of creating and distributing fundamental decentralized economic channels for the entire cryptocurrency and creating a link to larger capital markets is a real incentive for cooperation.”
The reference protocol also relied on Solana to further optimize capabilities across the chain – increasing liquidity in the broader DeFi sector. The integration is scheduled to be completed in the second quarter of 2021, an important step towards enabling blockchain networks to interact with each other and no longer exist in isolation.
Looking to the future, the project says they intend to continue improving algorithms to improve accuracy – ensuring real use of an ecosystem with flexible offerings and enabling the use of real cases in the short term.