The Initial UP to UNIFI Migration Event: Phase 2

The last migration before the launch of GGM UNIFI staking

Important points:

• Important terms and conditions apply, all migration participants should read this entire document before proceeding.
• This is phase two of the first migration event
• There are 40,000 UNIFI available for this phase
• The migration opens for UP deposits on Monday December 21, 2020
• The migration will close no later than December 31, 2020. The exact end time or block will be announced approximately 24 hours before migration closes. **This migration will end December 28, 2020 at 09:00 UTC.**
• UNIFI will be claimable on Ethereum by January 1, 2021 to allow participation in staking promotions surrounding the GGM launch
• Do not provide an exchange-based Ethereum address to receive UNIFI. You must have the private key to the address (see details below).
• All UP contributed to the migration process will be burned (not redeemed) at the end of the event. Burning UP benefits everyone.
• This article may be revised at any time, without notice, to reflect the most current information. Participants in the UP to UNIFI migration event should confirm their information is current prior to participation.

Welcome to Phase 2!

Unifi is proud to announce the launch of the Global Governance Model (GGM) and UNIFI staking at the start of 2021. To prepare for the launch of GGM UNIFI staking, Unifi will be conducting Phase 2 of the first UP to UNIFI migration event. There will be additional promotions associated with the launch of GGM staking, and the intent is for liquidity providers, traders, and UP token holders to be able to migrate their UP to take part in these special events.

The UP to UNIFI migration process is an essential component of the Unifi tokenomics system. Access to UNIFI gives liquidity providers on all Unifi blockchains a voice and opportunity to participate in the GGM.

UP and UNIFI Use Cases

UP is the blockchain-specific liquidity mining token of the Unifi Protocol. Every UP token has a redeem value backed by the base token of the particular blockchain on which it resides. For example, UPbnb on Binance Smart Chain can be redeemed for BNB, while UPeth on Ethereum can be redeemed for ETH. UP is only minted when fees are earned by the Protocol.

UNIFI is the Global Governance Token. Under the UNIFI Proof of Stake ecosystem, candidates for the Unifi Council of Representatives will campaign for election as a Council Representative. Council Representatives will have the ability to propose or vote on changes to the Unifi DAO while earning Governance Rewards. UNIFI token holders can earn Staking Rewards for staking their UNIFI tokens, and may earn even more rewards from their chosen CR after delegating their staked UNIFI.

Future UP to UNIFI Migrations May be Different

This initial two-phase migration event may not be the permanent process for future UP migrations. Details regarding future options for UP to UNIFI migration events as a component of the GGM will be released at a later date.

How will Phase 2 work?

Starting from December 21, 2020, UP holders will go to https://unifiprotocol.com/ and select the blockchain on which their UP tokens reside by clicking the appropriate “Add Liquidity” button. In the UP tab of the uTrade app, there will be an option for UP to UNIFI Migration. Ensure the wallet address with the UP tokens is connected to uTrade. In the Migration dashboard, input how much UP is to be contributed into the migration process. Provide the Ethereum address where you will want to claim the UNIFI. Note: UNIFI will need to be claimed and will not be automatically distributed. ETH will be required to cover the network cost of claiming the UNIFI.

By the end of the event on January 1, 2021, participants will be able to claim their UNIFI at https://gov.unifiprotocol.com (website will be made live on or around January 1, 2021) into the ETH address they had submitted. The user must have an Ethereum wallet that is compatible with Unifi (such as MathWallet or MetaMask) that can access and transact with that address using the private key. Information on supported wallets can be found here.

All UP contributed to the migration will be burned (not redeemed) at the end of the event.

How is the ratio of UP to UNIFI discovered?

1. UP tokens on each blockchain will be assigned a USD value equivalent (USDEV) based on the market price of UP on that blockchain. USDEV is calculated by multiplying the market price of UP on that blockchain in base tokens by the USD market price of that base token on Binance.

2. Each UP contributed to the migration process creates a claimable amount of UNIFI that is in direct proportion to its percentage of total USDEV participating in the migration process by UP tokens on all Unifi blockchains combined.

Example

Let’s make some assumptions for the sake of this example. We will only be looking at two blockchains in this example for simplicity. Also assume 100,000 UNIFI tokens are available for the migration process in this example.

UPbnb is trading on uTrade for 10 BNB, and BNB is valued at $30 USD. Then each UPbnb would be assigned a USDEV of $300. The total amount of UPbnb contributed to the migration was 10, making the total USDEV on BSC $3000.

UPont is trading on uTrade for 2 ONTd, and ONTd is valued at $1. Then each UPont would be assigned a USDEV of $2. The total amount of UPont contributed to the migration was 500, making the total USDEV on Ontology $1000.

The total USDEV contributed to the event from all blockchains was $4000. $3000 from BSC, and $1000 from Ontology. In other words, 75% of the total USDEV was from BSC migration, and 25% was from Ontology migration.

The amount of UNIFI available for this example UP to UNIFI migration is 100,000 UNIFI.

75% (75,000 UNIFI) will go to participants on BSC, and 25% (25,000 UNIFI) will go to participants on Ontology.

If someone contributed 2 UPbnb ($600 USDEV) to the migration process on BSC, that was 20% the total 10 UPbnb that participated (2/10). So they would receive 20% of the 75,000 UNIFI for BSC, which is 15,000 UNIFI.

If someone contributed 300 UPont ($600 USDEV) to the migration process on Ontology, that was 60% of the total 500 that participated (300/500). So they would receive 60% of the 25,000 UNIFI for Ontology, which is 15,000 UNIFI.

Notice how the user on BSC contributed $600 USDEV and the user on Ontology contributed $600 USDEV, so they each received the same amount of UNIFI. But due to market prices of the base tokens, it only required 2 UPbnb while it required 300 UPont for the same result. It is important to realize the final outcome will depend on how much UP is contributed in total on each blockchain. It will not be possible to determine these ratios until the conclusion of the migration process.

User errors which could cause a loss:

1. UNIFI for this event will be claimable as an ERC20 token on Ethereum. The participant must provide an Ethereum address that can accept ERC20 tokens. Providing a Binance Smart Chain address, or address from any other blockchain, could cause a loss of UP and/or UNIFI.

2. Incorrectly inputting the Ethereum address to receive UNIFI. Be careful for typos and missing/additional characters.

3. The user must have the private key to the Ethereum address where the UNIFI is claimable. DO NOT use an Ethereum address of an exchange wallet.

Terms and Conditions

This is the second and final phase of the first migration process. This is still a beta utility and any result is not guaranteed. The UP migration process is not reversible. All UP deposited into the migration will be burned. There is no way to reverse the migration process and no refunds are possible for any reason. Unifi can not retrieve UNIFI made claimable at an address where the user does not hold the private key. Unifi is not responsible for any loss associated with the UP migration process, regardless of cause. Migrating UP to UNIFI is a voluntary action taken upon by the UP token holder.

The migration process is dynamic and governed by market forces. No ratio of UP to UNIFI is suggested, implied, or guaranteed. The final ratio of UP to UNIFI will be determined following the close of the migration period. UNIFI will be available for claim after the migration process has closed.

Users will be required to have ETH in the Ethereum address where they desire to claim the UNIFI, in order to pay the network fee associated with claiming their UNIFI.

Unifi Protocol’s website can be found at https://www.unifiprotocol.com/. You can also connect to the Unifi community on Telegram, Twitter, Reddit or Medium. Developers — check out our bounty list to develop on the Unifi Protocol at https://gitcoin.co/issue/sesame-seed/Quest/1/100023698