Introducing Upstate Interactive’s DeFi (Decentralized Finance) Services
At Upstate Interactive, we believe that decentralized finance (DeFi) is the future of financial services.
As it stands, most people’s finances are tied up in big banks, requiring centralized intermediaries and trusts for their transactions. DeFi removes the need for centralized banks and provides new opportunities for the unbanked population to manage their money.
This space is gaining huge momentum in the blockchain world and the UI team believes it’s a sizable paradigm shift worth the investment for new financial solutions.
What Is DeFi exactly?
DeFi is simply a network of financial applications that are built on a decentralized blockchain. This means there is no central authority or middleman, and the result is an open-source service that is available to all, and which allows users to maintain control of their assets.
This brings more accessibility to the financial space, particularly for low-income communities who typically are unable to afford for-profit financial services. These services include borrowing and lending, stocks and bonds, insurance, and more.
The main advantage is the complete ownership of your assets. While typical banks can freeze your accounts and block transactions, control over your account is yours alone.
Another bonus is the transparency of blockchain transactions, keeping providers honest and eliminating the need for any intermediaries or arbitration, which brings down costs as well.
This newer technology is not without its faults — and it’s worth noting that because DeFi is still in its infancy, it’s our recommendation that folks shouldn’t invest what they can’t afford to lose as it’s riskier than more established technologies.
The advantages, however, have outweighed any potential downsides and are soaring DeFi into popularity.
Projects we’re working on
SaveDAI
SaveDAI enables users to open insured, high-interest savings accounts without a bank.
On the outside, saveDAI is super simple. It’s just a regular ERC20 token that you can transfer anywhere you want and that wallets will recognize, plus added functionality to activate the insurance to recover your money if something happens.
Under the hood, saveDAI wraps together Compound Labs’ cDAI and Opyn’s ocDAI tokens.
When you open an account, you deposit DAI into the saveDAI contract, which automatically gets the necessary cDAI and ocDAI and then sends you newly minted saveDAI tokens.
It’s truly the easiest way to open an insured, high-interest savings account.
PrefLogic
PrefLogic is a platform where anyone can raise capital to launch or grow their business or purchase real estate.
PrefLogic’s Offering Smart Contracts enables fundraisers to tokenize their securities through Security Token Offerings (STO). With PrefLogic, securities offerings are done at a fraction of the cost and in a timely fashion considering the chosen path of the issuer.
The platform supports Reg D, CF, S, Reg A+ or S-1 registrations. For Reg D, CF, S (exemptions to registration) the issuer can be to market within 30 days. Reg A+ and S-1 where the SEC must grant the registration statement effective prior to sale of the offering. That is, 3–12 months depending on complexity and accounting challenges.
We helped the PrefLogic team build integration tests for their smart contracts to ensure they are secure and reliable.
Digital assets and securities are ushering in a new era of financial mechanisms and growth.
The Upstate Interactive team empowers individuals to freely control their own financial assets in a more equitable way using open protocols and transparent data. We create alternative financial instruments and management options that are open, decentralized, and remove the need for intermediaries and centralized points of control.
