Crafting Finance Brings Synthetic Asset Issuance and Trading on NEAR
A smart contract synthetic asset issuance protocol Crafting Finance is now live on the NEAR protocol. As DeFi derivatives and protocols are emerging in the crypto space, the mainnet launch of Crafting Finance will further empower the NEAR DeFi ecosystem.
Synthetic assets are an important component of Defi, which not only provides Defi with derivatives such as short, long and leverage, but also serves as an important bridge between Defi and traditional finance, and even the traditional commodity trading. It can be said that AMM such as Uniswap provides the most basic trading ability for Defi, oracle such as Chainlink provides price output ability for Defi, and Crafting Finance will provide higher level financial ability for Defi, which will integrate the existing Defi and make Defi more easy to use and flexible.
Crafting finance is a new generation synthetic asset protocol based on WASM that creates freely tradable tokenized digital assets by using several assets as collaterals to generate synthetic assets for all types of assets and NFTs. Crafting supports multi-token collaterals to issue synthetic assets, including its native token CRF NEAR, AURORA, BTC, ETH, DAI and USDT. Users can also directly forge all types of synthetic assets, such as Bond, stablecoins, customized assets and the like.
Crafting is based on Near ecology, and its WASM virtual machine is a new generation of virtual machine, which is more efficient and secure compared to EVM. And Near brings efficient underlying infrastructure to Crafting through its own high-performance sharding and other capabilities, while also bringing more convenient asset cross-chain capabilities to Crafting through Rainbow Bridge, etc., so that assets from various public chains can enjoy Crafting’s asset pledge and advanced synthetic asset trading functions.
Because Crafting is an important module of Defi Block World, we will start extensive and deep cooperation with other Defi projects in Near ecosystem after Crafting mainnet is launched, for example, we will cooperate with Jumbo to build our synthetic asset liquidity, we will also use Flux prophecy machine as the price source of system assets, etc. The details of the collaboration will be announced in a later article.
The main functional modules of the entire system include: forging synthetic assets (The Forge), decentralized exchange (The Kingsman), collateral pools, fee pools, interest pools, and oracles.
The Forge — Forging Synthetic Assets
The synthetic assets issued by the entire system are all produced by users staking certain collateral. The initial collateral includes CRF, NEAR, AURORA, BTC and ETH, and the collateralization ratio depends on the variation of the collateral itself. In the future, the collateral and collateralization ratio can be adjusted through community governance. When users stake collaterals and forge synthetic assets, corresponding debts are generated. When the user wants to unlock the collateral, he must repay the debt, that is, destroy the previously generated synthetic assets.
The Kingsman — DEX for Synthetic Assets and Contract Trading
Kingsman is an exchange that provides conversion of different synthetic assets and contract trading. This DEX is built in a way that does not require a counterparty, and hence, there is no issue of trading depth. All synthetic assets can be converted and systematically synthesized, and their conversion rate is determined by the external real price provided by the oracle.
About NEAR
NEAR is a high-performance blockchain that is designed to be super-fast, incredibly secure, and infinitely scalable. NEAR’s vision is to create a network that enables people to reimagine finance, creativity, and community in new and inclusive ways.
NEAR is built by an award-winning team of engineers and entrepreneurs to be simple to use, inclusive and good for the environment. NEAR is backed by top VCs such as A16Z, Pantera Capital, Electric Capital, Dragonfly Capital, Coinbase Ventures, Blockchain.com, and Baidu Ventures.
About Crafting Finance
Crafting is backed by top venture capital firms such as Signum, LD, Longhash, CMS, NGC and others.
Learn More
Website:https://crafting.finance/
Twitter:https://twitter.com/CraftingFinance
Telegram:https://t.me/craftingfinanceofficialgroup
