Mobius Finance is a protocol that introduces a comprehensive multi-asset synthetics trading ecosystem that offers users a wide range of off-chain assets to be traded, as well as multi-collateral options depending on their individual needs.
The ever-growing decentralized finance (DeFi) sector has seen tremendous change in recent years. The shift from traditional finance to decentralized financing is creeping up among retail investors and institutions alike, hence, the need for adequate tools and solutions has become apparent.
In the current ecosystem, very few solutions directly engage with customers’ needs and demands, which often call for fast-order execution couple with low transactions fees. Fortunately, Mobius Finance’s efficient algorithm strives to create a decentralized multi-asset trading protocol with a second layer solution to bring forth low transaction fees, fast-order execution, and ultimately enabling off-chain assets.
The protocol is built to allow users to trade without limits by facilitating and simplifying all blockchain-related operations for users.
Powered by blockchain giant Ethereum, Mobiu Finance was founded by Colin Yu and was introduced back in 2020. The team behind the algorithm is equipped with several brilliant individuals with years of experience in blockchain and traditional finance.
It is unknown when funding for the project took place, However, the platform strives to establish its mark on the DeFi ecosystem when fully operational. Mobius Finance enables a variety of markets and introduces cross-chain and off-chain assets.
Through Mobius Finance’s simple, yet efficient algorithm, the team has successfully managed to introduce potential clients to unique solutions and financial instruments, intending to ameliorate overall user experience across the blockchain.
Finally, the protocol aims to offer a platform to have exposure to any asset that has a reliable data source. This enables anyone to create a synthetic asset in a permissionless and open way to increase the exponential growth of the decentralized derivatives market.
What is Mobius Finance:
Mobius Finance strives to introduce a comprehensive multi-asset synthetics trading ecosystem. At its core, the platform offers users a wide range of off-chain assets to be traded and multi-collateral options depending on individual needs. In general, participants will be able to tokenize any given asset from on-chain and off-chain financial instruments (stocks, commodities..etc)
Additionally, Mobius Finance leverages Ethereum’s decentralized protocol to ensure fast-order execution and low transaction fees for all financial operations. Once fully implemented, users will be presented to a highly efficient marketplace while enjoying zero slippage on all orders and transactions for all assets with a reliable data source.
Mobius finance seeks to empower its users by providing a scalable financial solution equipped with a debt balance algorithm to solve debt problems. Furthermore, the protocol relies on the multiple incentives model to satisfy every clients’ needs and expectations.
The Mobius ecosystem will be specifically built for the current quote-driven markets, as its oracle prices will provide users with unlimited liquidity. However, the platform’s most anticipated tool is its auction clearing pool. The tool will be used for risk control and to alleviate any damaging situation during market instability.
Market-wide Trading Models
A quote-driven system is often described as a price-driven market and is equipped with a trading mode often in typical markets for currencies, bonds, and commodities. Here, the Mobius trading platform will appropriate the role of a counterparty in regards to market makers within the international DeFi space.
While relying solely on this approach, the platform is sure to provide all traders with excellent quotes. Traders still benefit from the ability to buy or sell any given quotes through moUSD, the currency of settlement.
Furthermore, the trading model is fully leveraged once an order or series of orders have been executed, and are directly scrutinized by market makers with their offers. Market maker’s offers are generally made notwithstanding the total value of the transaction(s), clearly distinct from the AMM algorithm, which enforces a deduction of some slippage from the offer by the percentage of the total amount of the liquidity pool.
By adopting unique market-wide trading models, Mobius Finance has introduced far better liquidity than previous and current market models. Here the usage of assets’ liquidity is quite dynamic and flexible, as it does not only rely on demands and supply for the satisfaction of all clients. Therefore all assets and data with a stable data feed for quotes will be tradeable in Mobius Finance
Mobius Finance Tokens (moUSD and $MOT)
Described as a settlement currency, moUSD will be used across the Mobius Finance ecosystem primarily to trade synthetic assets. This in return, will increase liquidity and favor the minting of moUSD within the platform, which will facilitate the overall flow of assets.
In general, through constant over-collateralization, the token is used as the settlement currency for all transactions within the protocol. This ensures that the circulation of moUSD is directly proportional to the number of assets collateralized.
Furthermore, the platform will also be equipped with its very own utility token, $MOT. The token will predominantly be used as the unique collateral to provide moUSD. $MOT will also allow users to stake, and give exclusive rights to holders in regards to the governance of the ecosystem.
Holders of utility and governance tokens Mobius tokens ($MOT) will directly participate and manage the Mobius Finance governance. The community governance will be achieved through the basic principle of “one $MOT, one vote”. In the long run, $MOT token holders will gain full control of the ecosystem, giving them a crucial role in the development of the protocol.
Comprehensively, the value of all tokens on the protocol will depend heavily on over-collateralization and the moUSD produced in the process.
A launch, Collateral rates, and options will be available only for DAI, Ethereum, and $MOT.
However, the team behind the ecosystem has explained that all three options chosen for collateralization will eventually change or adjust to the community and market trend. This guarantees the flexibility of the protocol and ensures its scalability on the international market.
In total, $MOT tokens supply will be around one-hundred-millions (100,000,000) tokens, where the founding team will own around 14%. The founding team tokens are set to be released after the launch of the platform. Furthermore, 5% of the circulating tokens will be available for investors who have provided and continue to provide funding for the project
Additionally, the $MOT tokens will be divided into 6 more areas, detrimental to the well-being of the decentralized platform. Namely: 15% for private round, public placement auction(1%), community incentive (45%), community contributors incentives (5%), DAO-reserves (8%) and Eco-development fund (7%).
Mobius Finance protocol has everything to become a leader within the blockchain, the platform’s implementation of already existing solutions efficiently gives it incredible credibility once the final product is released.
Overall, The protocol aims to offer a platform to have exposure to any asset that has a reliable data source. Its low transaction fees and fast order execution facilitate user experience within its ecosystem, allowing for flexibility and scalability for the platform.
At its core, the platform offers users a wide range of off-chain assets to be traded and multi-collateral options depending on individual needs and goals. Mobius Finance successfully leverages Market-wide trading models and more specifically, the Quote-driven system. Under this model, the Order execution will be applied to on-chain oracle-powered quote deals.
The Mobius protocol has proven to be unique, as it empowers all participants to handle their digital assets securely and distinctly. Once released, the platform is sure to get traction across the DeFi space.