Alchemint, a NEO-based stable coin issuance platform, has published its monthly progress report for December, as well as announced a partnership with Phantasma. The report highlights the most recent achievements of the platform and clarifies the project’s focus for 2019.
Alchemint states it will continue working along its development roadmap and improve its stable coin, SDUSD, that was launched on the NEO MainNet at the start of December last year. The MainNet launch was covered by NEO News Today.
SDUSD claims to be an “over-collateral based stable coin,” as well as the first of its kind in the NEO ecosystem.
Through the use of the platform’s smart contract and “oracle” system, NEO can be mortgaged to issue SDUSD on a 1:1 ratio to USD. As a decentralized stable coin, it claims to not suffer from the same acceptance problems of centralized fiat-pegged coins like Tether or TUSD.
Additionally, SDUSD is claimed to be a “more cost-efficient way for lending.” Issuing SDUSD incurs a 2% annual cost in the platform’s governance token, SDS. The 2% fee claims to be lower than the “7% or higher interest fee” charged by other cryptocurrency lending platforms.
A separate mechanism was introduced to the platform to help protect investor’s assets from NEO’s volatility in the market, stating: “when NEO price go down, SDUSD holder can liquid other’s SAR with 149% or lower collateral rate, and receive NEO in 90% of the market price [sic].”
As an on-going project, it’s claimed that the Alchemint Foundation will continue to expand the SDUSD ecosystem and establish additional use cases; its vision is to “become a key infrastructure to connect [the] NEO Smart Economy [with] the real world economy.”
System Status Update
Along with a general overview of Alchemint’s recent progress, the platform also published a “system status update” that shows its financial performance and statistics.
Below is a summary of the above update:
- Total SNEO Collateralized: 10,385.00
- Total SDUSD Issued: 25,685.37
- Overall Mortgage Rate: 353.99%
- Total Service Fee Paid (SDS): 38.66
- Liquidation Trigger Rate: 150%
- Liquidation Discount: 10%
- Annual Fee Rate: 2%
- Overall Issuing Ceiling (SDUSD): 100,000.00
Research and Development
After the Alchemint platform was deployed to the NEO MainNet on December 7th, the team worked a number of enhancements and improvements into its user interface.
The wording and explanation of common terms were updated so that they are easier to understand. Also, its risk management module now notifies the user if their collateral rate drops to less than 200 percent.
Other optimizations include a window that shows the total service fee paid in SDS, which are then claimed to be “burnt and [taken] out from the total supply.”
An update was also made to Alchemint’s website. The team included a “Mall” page where users can buy items using SDUSD, with the first being a NEO DevCon ticket. Thirty tickets can be purchased for NEO’s second annual DevCon event that will be held in Seattle on February 16th and 17th.
The theme for this year’s NEO DevCon is “ContiNEO – We keep on going” and will feature talks from its founders Da Hongfei, Erik Zhang and others for how they plan to “bring the Smart Economy vision to life.”
Customers can purchase the tickets for 119 SDUSD ($119 USD). Instructions for how to buy the tickets can be read here.
SDUSD was listed on the Switcheo decentralized exchange and deposits opened on December 27th, which was covered by NEO News Today.
As a quote currency, SDUSD can be traded against NEO in a NEO/SDUSD trading pair. Alchemint claims that more NEP-5 trading pairs will be released for SDUSD in future.
Alchemint’s SDS token was delisted on the Bitforex exchange January 7th. According to Alchemint, the delisting occurred because the platforms were not able to cooperate and provide adequate support for the token.
SDS holders on the Bitforex platform are urged to withdraw their holdings before February 6th, 2019.
Alchemint platform launching event
A private launch event was held on December 22nd to celebrate Alchemint’s SDUSD deployment. The event was held in Bihu, Zhejiang province, China and claims to have welcomed “industry-leading institutions and project teams.”
Alchemint CEO Elva Zhang and CTO Chris QI reportedly shared the vision of the platform and what their goals are moving forward.
Finally, Alchemint published its 2018 annual report in an infographic format. The report includes the highlights and milestones, as well as its events and exchange listings.
Alchemint partners with Phantasma
On January 8th, Alchemint announced a partnership with Phantasma, a decentralized content distribution system running on the blockchain.
Through the partnership, Alchemint aims to provide the Phantasma users with “a stable way for them to secure their funds.” The stable coin provider believes the partnership will facilitate “industries to innovate and adopt financial solutions using blockchain technology.”