Tigris Protocol — OBT 2.0 Launched

The Collateralized Debt Service (CDS) launched for users to loan stablecoins TTC and CLAY tokens

On Nov. 14th 2019 (Singapore time), TTC ecosystem’s decentralized financial solution Tigris Protocol launched its beta-2 for the open beta testing (OBT). As the Tigris Rewards Program was launched last month per the beta-1 launch, Tigris Protocol is now offering all basic services disclosed in the Whitepaper which includes staking services and CDS. Any user who holds TTC may seamlessly use all Tigris Protocol services via TTC Connect.

In this article we will introduce and discuss the newly presented lending service “CDS”. To learn more about staking services, please refer to this article.

What is CDS?

Simply put, CDS is a lending service where users may borrow stablecoins by collateralizing their TTC or CLAY token assets. Via TTC Connect, users may stake their TTC or CLAY tokens for daily staking rewards or to loan fiat pegged stablecoins to better utilize their assets.

Including CDS, all Tigris Protocol services are based on smart contracts where all variables that may affect the smart contracts such as service fee rates, CDS collateralization ratio, debt ratio, etc. are automatically managed by mathematical algorithms. Thus, unlike other decentralized financial solutions where holders vote to decide on the variables, Tigris Protocol is free of human errors and is able to maintain a much more stable system long term.

How to Use CDS

Anyone who possess TTC may easily use CDS via TTC Connect, TTC’s mobile wallet app that allows users to access all services within the ecosystem.

Borrow

1. Start CDS and touch “I want to borrow”
2. Input the type and amount of asset you would like to collateralize and touch “Stake”
3. Input the type and amount of stablecoins you would like to borrow and touch “Generate”

Repay

1. Touch “Repay” visible from the “Borrow” tab of Tigris Protocol
2. Input the type and amount of loan you would like to repay
3. Check if the amount and type of stablecoin is correct and touch “Repay”

The moment you repay all generated CFIAT and the service fee to the smart contract, your CDS usage is terminated and your collateralized TTC will be unlocked.

Stablecoin ‘CFIAT’

CFIAT is a series of decentralized TST-20 stablecoins issued on the TTC platform which minimizes the price volatility by leveraging various types of assets as collateral. By locking up an asset as collateral, anyone can issue a stablecoin pegged to a major fiat currency of his/ her choice. For example, CUSD is pegged to USD, CKRW to KRW, and so on.

CFIAT has the following characteristics:

Stable

Issued as a debt, CFIAT reflects the value of a user’s collateralized asset; hence, it is important to keep the value of CFIAT as stable as possible. Every CFIAT is always backed in excess by another asset of value. A multi-collateral mechanism adds more stability.

Resilient

CDS is operated by a decentralized, autonomous engine, guided by a series of smart contracts, not votes from holders. Based on mathematical logic, the system is designed to provide the utmost stability by eliminating errors caused by human misjudgments and intentional violations.

Reliable

As a stablecoin, CFIAT provides unique advantages. Users can use them to store their assets in a stable and consistent manner and merchants can accept CFIAT as a payment method without worrying about the losses due to price volatility.

• Hedging: By using the stable valued CFIAT in the volatile cryptocurrency market, users may protect their assets.
• Lending: Both the lender and borrower may lower their risk in regards to price volatility with stablecoins during the process of loaning assets.
• Payments and online purchases: The stable value of stablecoin is reliable, thus, can be easily used for payments and on/offline product/service purchases.

Also, the value stability of stablecoins can be a powerful tool for leveraging, augur market, etc. where long term gains and losses have to be taken into consideration. There will be more use cases, both online and offline, in the future with the expansion of Tigris Protocol.

How CDS Affects the Ecosystem

CLAY tokens are utility tokens used within Tigris Protocol to generate CFIAT with CDS and to pay CDS service fees. The more people use CDS the more CLAY tokens will be used, which results in two outcomes.

1. Stabilization of the Tigris system

The Tigris Reserve is a reserve of assets aggregated for the stability of CDS. In case the price of collaterals drops drastically, the Tigris Reserve is utilized to pay the outstanding CFIAT debt to prevent the collapse of the Tigris Protocol system.

Via a smart contract, 20% of all CDS service fees paid in CLAY tokens are allocated to the Tigris Reserve. As the Tigris Reserve continues to grow, Tigris Protocol can much more effectively loan larger amounts of CFIAT and protect the system from greater risks.

2. Increase of Tigris rewards program daily rewards

When CDS starts to receive larger amounts of service fees, those who staked CLAY tokens via the Tigris Rewards program will be given larger daily rewards. Participants of the Tigris Rewards Program are provided with 80% of the entire collected CDS service fee and the SAVE rewards generated by staking TTC stored in the Tigris Reserve. Hence, as mentioned above, when CDS is used more, more service fee will be collected and more profit will be generated by the Tigris Reserve resulting in higher daily rewards for CLAY token stakers.

Other Notable Updates

A Brand New TDEX

Amid the Tigris Protocol beta-2 launch, the TTC Foundation has also made some core updates to the TTC Decentralized Exchange (TDEX). First of all, TDEX will support multi-pair trading. In addition to the current pair ACN/TTC, other TST-20 tokens such as CLAY tokens and CFIAT stablecoins will be tradable on TDEX as well. Tigris Protocol will display value statistics much accurately as it will utilize TDEX data in real-time. Thus, after the beta-2 launch, the Annual Percentage Rate (APR) shown on Tigris Protocol will be based on the real-time price of TTC/CLAY. Though the daily rewards amount remain the same, the displayed APR is subject to change according to price changes.

Web-based Dashboard Integrated

The TTC Foundation values transparency and has taken the norm “everything must be transparent” into heart during the development of our decentralized financial solution Tigris Protocol. Thus, per the update, the Tigris Protocol website has integrated a dashboard which clearly displays the following statistics of Tigris Protocol.

• Total staked assets: The total value of all staked assets is displayed along with the number of wallets that are using the staking service.
• Total staking rewards & APR: Staking rewards distribution status and past APR can be viewed.
• Total debt value & debt values for each CFIAT: The total amount of debt generated via CDS and the respective debt generated for each individual type of CFIAT are displayed.
• Collateralization Ratio: The ratio between the total amount of collateralized assets and the total amount of CFIAT generated can be viewed.
• Total value within the Tigris Reserve: The total asset value aggregated in the Tigris Reserve and the changes of its value can be viewed as a whole or by asset type.

Besides the statistics listed above, various information regarding Tigris Protocol can be viewed and accessed by anyone, anytime, freely.

What’s Next?

The TTC Foundation plans to improve the overall UI and fix unexpected bugs and errors of Tigris Protocol during the OBT. After the official launch, the foundation will be expanding its services in three major ways.

First, multi-asset collateralization will be supported. We plan to support cryptocurrencies other than TTC and CLAY tokens for CDS.

Second, to create various use cases for CFIAT, services will be developed within the TTC ecosystem and partnerships are planned to be established.

Third, seamless integration with TTC Pay will take place to allow better UX for payments.

The TTC Foundation anticipates Tigris Protocol will stabilize the token economy of the TTC ecosystem and provide many volatile use cases for TTC. Thus, we will continue to improve Tigris Protocol and invest in its growth.

If you would like to learn more about Tigris Protocol and our stablecoin, CFIAT, please read the Tigris Protocol Whitepaper. For more information, please visit the Tigris Protocol Telegram group.

Thank you,

TTC Foundation | Tigris Protocol