Public Mint
Published in

Public Mint

Public Mint EARN is back on track

It’s no news that the recent downfall of some of the industry’s giants have shifted the sands for all that dwell in the crypto space. The levels of distrust, fear, uncertainty and doubt are higher than ever, and many projects had to scale back to weather the storm.

Public Mint was no exception. Some of the funds in Public Mint’s EARN program were exposed to the Celsius situation. However, while some may look at this as a shortcoming, we’d argue that, from the perspective of the EARN Program, it was actually a confirmation of success.

Public Mint EARN back on track

First things first: the EARN program is going live once again over the next few days, albeit with some caveats. Essentially, everything will resume its normal levels of service — rewards, depositing, withdrawing and sending funds to and from EARN — aside from the funds allocated to Celsius.

Why is this? As is common knowledge, Celsius has filed for chapter 11 and are currently restructuring the company, in an effort to avoid bankruptcy. While we are following the proceedings very closely, at this time we still do not have any clear information regarding the payback of funds invested with Celsius — the best possible outcome would obviously be having all those funds available for withdrawal, but we do have several backup plans in case that scenario does not come to fruition.

How is it going to work? Simple: you’ll have full access to the funds in your EARN account that were not allocated to Celsius.

As per our Litepaper, all funds deposited on EARN are sent to one of our partners — at the time, Abra or Celsius, with a 50/50 distribution. In line with this, you will be able to withdraw up to 50% of your EARN balance at the time when Public Mint paused withdrawals.

All assets assigned to Celsius are now, for all intents and purposes, frozen. They are not locked, nor lost, although they are temporarily inaccessible, so they cannot be withdrawn or moved and are not bearing yield. Since the emergence of this situation we have not allocated any more funds to Celsius, and have ceased our collaboration with them.

As we gain a greater understanding of how the situation will unfold, we will continuously update our community on the matter

EARN proof of concept

Public Mint’s EARN program was always based on two fundamental drivers: high-yield passive income and risk aversion.

As to the earnings bearing sources, it was a no-brainer: yield farms. When it comes to avoiding risk, Public Mint resorted to a method that stood the test of time: diversification. By clustering several different yield bearing partners under the same umbrella and spreading the funds across all of them, the aim was not only to create a first use case for the Public Mint blockchain, but also to provide a user-friendly entryway into the world of crypto, in which you can tap into the high earnings of CeFi and DeFi, without having to deal with all the complexity and risk that comes with it.

And, if it is true that only having two partners at the time made the impact of losing one of them more significant, it is also true that the system worked, in that the totality of the funds was not compromised. And the more partners there are on EARN, the lesser the underlying risk is, since a smaller percentage of the funds will be allocated to each of them.

The only actual problem with the EARN Program was having too few yield bearing partners, because of its young age. On that note, we can disclose that we have done our due diligence and will be adding a new DeFi partner to the EARN program in the coming weeks. And, with the utility of the EARN program now proven, Public Mint commits to having a total of 10 EARN partners by the end of 2023.

Times, they are a-changin’

It’s safe to say that times are challenging for every project involving cryptocurrencies. The recent collapse of Celsius, Voyager and 3AC makes the doomsayers’ warnings ring true. But are they, though?

There are many different takes on the blockchain and web3 phenomenon. For every person telling you that it has run its course, there will be another one guaranteeing that it’s just getting started. One thing is for sure: the crypto landscape is changing — at least when it comes to CeFi solutions.

The current bear run, and its effects on some of the industry’s staples, brought into question the sustainability of their strategy. Whatever the reason behind it, the failure of three of the prominent players in the market tells us they were not equipped to handle such adverse market conditions.

The promise of sky-high returns and three or four digit APYs turned out to be a pipe dream, with no actual guarantees of sustained growth and development. Those wishing to thrive in the cryptoverse must be prepared for the imminent paradigm shift coming our way.

What to expect? No one can say for sure, but present and future conditions will likely demand more regulation, more conservative APYs, and much, much more transparency from centralized enterprises. And that’s a good thing

All that has transpired in the past few months has brought about an inevitable review of EARN’s conditions — especially those relating to the Loyalty Program bonuses. However, regardless of any changes actually implemented, this is a subject that requires extensive planning and deep reflection, so the process will not be rushed. For now, it will remain as is, and you can expect new information regarding the Loyalty Program towards the end of September.

Thank you, and see you on the other side 🟢

About Public Mint

Public Mint is an open and complete blockchain platform for fiat money, where funds are fully collateralized and held on deposit with regulated, FDIC-insured institutions. Public Mint offers an open, fiat-native blockchain and APIs, ready for anyone to build fiat-based applications and accept credit cards, ACH, wire transfers, stablecoins and more. On top of that, the Public Mint EARN platform offers users automated and diversified returns on USD assets, leveraging the power of blockchain and DeFi.

About EARN

The EARN program is a community-governed earnings aggregation application built on top of Public Mint’s fiat-native blockchain. The program aims to make it easy and safe for the broader public to tap into the high returns available on the crypto space.

Website | Litepaper | Discord | Twitter | LinkedIn | Medium | YouTube | Telegram ANN | FTX/Blockfolio



Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store