BenchmarkProtocol
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BenchmarkProtocol

Introduction to Benchmark Protocol

The MARK Token brings stability and robust traditional finance know-how to the DeFi space.

The Problem

The current DeFi space has been marred with inconsistency. Many projects in the arena have failed as a result of technological vulnerabilities, price volatility and overarching market skepticism. However, stakeholders rightfully continue to see the inherent value of decentralized finance. Unfortunately, Stablecoins traditionally possess unfavorable risk profiles as they compete with their physical counterparts.

Introducing the MARK Token

In order for DeFi to succeed, an immutable, rules-based collateral utility that adapts supply based on liquidity crunches and remains uncorrelated to the broader DeFi sector is necessary. The Benchmark token (MARK) is a supply-elastic, collateral utility. It injects liquidity during periods of high volatility in correlation with global equities markets. This creates a unique, adaptive supply mechanism to optimize value and stability.

Protocol Design

The MARK Token is an ERC-20 Utility Token. The MARK token is the native asset in the Benchmark network and provides only the utility value available to it through the Benchmark network. Benchmark is built on the Ethereum blockchain. The Benchmark Protocol Smart Contract has been audited by CertiK.

The Protocol is rules based, non-dilutive and does not challenge any nationally issued currency. The MARK token is designed and supplied with respect to the Special Drawing Rights (SDR) and the VIX (CBOE Volatility Index).

The Chicago Board Options Exchange (CBOE) aggregates the market’s estimate of future volatility known as the Volatility Index (VIX). The VIX index rises with higher market movements (volatility) by measuring the prices out of the S&P 500 index options, making it the ultimate barometer for both risk and market sentiment in securities markets.

The SDR is a reserve asset, created by the IMF, to supplement its members’ official reserves. Its value is based on an aggregation of the USD, the Euro, the Chinese Renminbi, the Japanese Yen, and the British Pound Sterling. Integrating such metrics provides a level of consistency and stability lacking from traditional stablecoins.

The Benchmark Launchpad

YAM & SushiSwap are projects that recently had great success at capturing market demand and distributing tokens in a transparent and equitable way. Benchmark Protocol will follow this model for the MARK token release through a fair launch of 9% of the total MARK Supply, or 6,750,000 MARK tokens (337,500 MARK will be allotted to 20 unique pools).

We will announce our pools at a later date.

Securitization Mining

During the bootstrap phase of the Benchmark Protocol launch, demand volatility and speculation will dominate MARK token price. As such, even when the MARK token meets its price target objective, loans collateralized with MARK tokens will be subject to supply/demand volatility and risk possible liquidation. As such, Benchmark Protocol will utilize a secondary Secure MARK (SMARK) token that does not undergo supply rebalancing. That is, the value of the SMARK token at loan origination, remains fixed. At the conclusion of the loan term, the SMARK token is redeemable at face value — independent of the supply history of the MARK token. To achieve this, Benchmark has allocated 20% of all tokens to a Securitization Mining pool where SMARK tokens can be redeemed at face value.

The Team

Our team is international, highly diverse, and passionate about bringing much needed change to the DeFi arena. Unlike most tokens that shroud their staff in anonymity, we maintain complete transparency.

Join Us

Learn more by visiting the project website

Find us on: Twitter|Telegram|Discord|Facebook

LinkedIn|Official Announcements Telegram|White-paper|Litepaper

Medium

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The Benchmark Protocol a rules-based, supply-elastic collateral utility that adjusts supply based on deviations from the target metric — equal to 1 Special Drawing Rights

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Benchmark Protocol

Benchmark Protocol

Benchmark Protocol is a Supply Elastic Collateral and Hedging Device, Driven by the Volatility Index.

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