Recap: NAMA Protocol AMA — №2
NAMA Protocol, the first project from NAMA Finance, had another great AMA(Ask Me Anything) on June 15th, 2021 at 6 PM UTC.
Here is a recap of the questions & answers in the AMA event.
There were 4 sessions in the AMA
1. Introduction
2. Questions from Twitter
3. Questions from Web
4. Free Asking
1. INTRODUCTION
Question 1.1: Please introduce yourself to the community
Answer: No matter where you are, which time zone you are in, it is a great pleasure to meeting you all today.
My name is Harry Chu, the CO-Funder of NAMA Finance. Me and another Co-Founder Victor both started playing around with crypto back in 2017, we were very interested in NFT back then and always kept an eye on how NFT goes.
Victor is an expert in smart contract development, he started developing smart contracts back in 2017! He even released an online course teaching people to write smart contracts using Solidity in early 2018.
We conceived the idea of NAMA Finance actually at the very beginning of 2021, and did a bunch of research for a while, during that time we witnessed the NFT explosive increase soon after, which triggered us to decide to bring NAMA finance to the community, to solve the two biggest problems that NFT is now facing but no one had solved ideally.
Question 1.2: What is Nama finance about and with what goals it came to the market?
Answer: NAMA Finance is dedicated to providing a series of protocols and tools for the NFT niche but promising market, and the first member is Nama Protocol. The NAMA Finance family will grow and expand in the long run.
NAMA Protocol is a fully decentralized and community-driven NFTs liquidity protocol, that is built on multi-chain natively.
NAMA solves the 2 most significant problems for the NFT market: Liquidity and Appraisal.
Liquidity: By providing the Borrowing-Lending pair loan platform, NAMA unlocks the most potential of the NFT assets value and solves the Liquidity problem of NFT.
Appraisal: With our unique AI-based Oracle, NAMA can provide NFT appraisal and loan risk assessment. Make sure we are safe, secure, and reliable, block out the scammers and cheaters.
Question 1.3: Can you shed some light on the product features that makes this project truly all in one platform for a crypto trader?
Answer: AI-based Oracle: This is a unique strength that allows us to provide a secure and reliable loan assessment for borrowers and lenders, and keeps the risk to a minimum.
Multi-chain support: NAMA Protocol is built on multi-chain natively, which means the NFT owners can use their NFTs as collateral to get loans on different blockchain networks.
For example, users can package their NFTs minted on Ethereum, and get a loan either on Ethereum, Binance, or Solana blockchains.
Yield Farming support: Anyone can stake their Stablecoins (USDT, USDC, DAI, etc.) to the pools on different networks to get high yield farming and gain attractive interest.
Layer2 support: NAMA will support L2 solutions to make the most of the low gas fee there, compared to Ethereum.
Question 1.4: What are the next big updates in pipeline for Nama finance?
Answer: The simplest words make the biggest sound, so let’s keep it short:
-The beta version of the product will go live to the Ethereum test net within two weeks.
- Token launch event within one month.
- V1 product launch soon following the token release and smart contracts get audited.
- Token listing to exchanges!
2. Questions from Twitter
Question 2.1: Security and privacy are the most important issues. Can Your project users be confident about security?
Answer: Good question.
We take the security of the project very seriously from the beginning of the protocol design, and overall we will secure the user’s funds by following the three most important aspects:
1. The smart contracts will be audited by third-party auditors before they are officially launched on the main net.
2. By leveraging the AI-based Oracle, we analyze the real-time activities in the NFT trading market to keep suppliers' funds safe and secure.
3. All the code will be open source and we will start a bug and security bounty program to encourage others to identify and submit vulnerability reports if there’re any.
Question 2.2: What methods does NAMA Finance plan to control the distribution volume and supply-demand relationship and ensure the value of NAMA Finance ?
Answer: Our token distribution plan is written down in the documentation and open for the public to check up on, you can get it from https://docs.nama.finance.
We have a stable and long vesting schedule for Team, Partner, and Investors, so that all stakeholders stay, unite, focus and continue contributing to the NAMA project.
In terms of the supply-demand relationship, the NAMA token will be used as part of the Lending-Borrowing ecosystem, and the initial supply amount is designed and calculated to be enough for the NAMA community to grow and become manure.
After that, the DAO governance community can vote and decide what to do if we run short of NAMA tokens.
Question 2.3: How do you keep the ecosystem going in your project? and what are your plans for future innovations?
Answer: Focus on the market trend, focus on the community need, and focus on innovation and creativity are the three biggest key points to keep our project healthy and going forward.
As I mentioned earlier, NAMA Finance is a big universe, and the NAMA Protocol is just the first piece of the whole puzzle. There are lots of great ideas we are planning in our mind, for example, when the AI-based Oracle is mature enough, we can make it a standalone service, and it can not only serve for NAMA protocol, but for any other projects in the NFT area.
3. Questions from Web
Question 3.1: What is your strategy for building a strong community? Do you agree that the power of the community will lead your project to develop globally? What services do you provide to the community?
Answer: It is clear and no doubt that community is a core part of the NAMA project. As its inception, just like any others, NAMA protocol governance will be delegated to internal team members.
Future iterations of the NAMA Protocol will introduce a decentralized governance organization (DAO).
The NAMA protocol will utilize the DAO mechanism to empower members to propose and discuss transparently, and they can vote and enact any proposal or rule. All community members will have the opportunity to shape the future success of the NAMA protocol.
Question 3.2: Do you have any Coin Burn / BuyBack systems or any $Token Burn plans to increase the value of Token & attract Investors to invest?
Answer: NAMA protocol will introduce a decentralized governance organization(DAO) mechanism so the community will decide what to do in the future.
Because the NAMA token is highly involved in the daily Borrowing-Lending loan ecosystem, so at this stage, we don’t have the plan to burn or buyback the token because we don’t want to do it just for the sake of doing it.
NAMA token’s value is reflected in the loan transaction ecosystem.
Latest update: NAMA Protocol WILL use part of the protocol income to buyback and burn the NAMA token. The answer for Question 3.2 are out of date.
Question 3.3: Is project available for the global people or It’s limited for some area? If it’s globally gainable are you planning to introduce it globally?
Answer: NFT has no boundaries!!!
We are open to the global NFT market, not limited to any particular country or region.
Borrowers can collateralize their NFT assets to borrow Stablecoins.
Lenders can lend out Stablecoins and gain attractive interest.
Yield farming is so welcomed in NAMA protocol.
4. Free Asking
Question 4.1: As a multi-chain enabled lending protocol to use NFTs as collateral. How does NFT be used as collateral? What kind of NFT items is acceptable as lending collateral? How will you know that NFT given as collateral is legit and valuable?
Answer: NAMA Finance will support not only NFT ERC721 or ERC1155 protocols, but also other NFT specific blockchain networks like Flow and Enjin etc.
For example, we will support the Uniswap V3 LP token NFT!!!
Our AI-based Oracle will provide NFT appraisal and loan risk assessment. Make sure we are safe, secure, and reliable, block out the scammers and cheaters.
Question 4.2: What would happen in the case of a borrower fail to repay the loan in time? Do you have insurance for lenders in that case?
Answer: If the borrower failed to repay the loan in time, it will become a delinquent loan case.
In this scenario, the collateralized NFT assets will be liquidated to pay off the Lenders. There are different ways to liquidate the NFT assets. In the case of the auction sale, the creditors will have the high priority to make offers in the liquidation, because they are the ones who are interested in the collateralized NFT assets thus invested in them.
A standalone Insurance is also something we have in mind and want to explore in the next stage!!
Question 4.3: The gas fee on Ethereum blockchain is crazy high. Why did you decided to build your project on ETH? Any plan to incorporate with other Blockchainchain such as BSC?
Answer: Just want to emphasize, NAMA Protocol is NAMA Protocol is built on multi-chain natively, which means the NFT owners can use their NFTs as collateral to get loans on different blockchain networks.
For example, users can package their NFTs minted on Ethereum, and get a loan either on Ethereum, Binance, or Solana blockchains.
At the same time, we have will have Layer2 support, which will LARGELY save the crazy gas fee in the Ethereum main network.
Question 4.4: I read on the Lightpaper about 3 types of user role: lender, borrower and liquidity provider. But what is the difference between the lender and the liquidity provider? isn’t it the same thing? Because if you lend you provide liquidity too
Answer: Nice question!
This is another great thing we provide in NAMA protocol!
Borrowers and Lenders, they will participate in the loan transaction ecosystem, beyond that, both of them will get extra NAMA token rewards, by successfully completing a loan transaction!
And the Yield Farming on the other hand, is that NAMA Protocol allows you just put your stablecoins into our different kind of pools for example SDC, USDT, DAI, or token-pair pool, and do pure yield farming, WITHOUT taking part in the Borrowing-Lending activity!!
That’s the difference between Lender and Yield Farmer.
Thanks to the host: https://decentralizedclub.medium.com/ama-with-nama-finance-61b5695fec33
