YuCanSwap — World’s First DeFi Protocol in the Loyalty Points Industry
Empowered by Yucan.io, YucanSwap will serve as the bridge between the DeFi community and the loyalty points industry with our upcoming AMM launch.
Innovating a US$323B industry is what Yucan does. Most of us here have loyalty points. Be it from airlines, accommodations or retail, loyalty points are no stranger to us. However, how significant are loyalty points?
Customer loyalty programs are proven methods for growing and sustaining market share for businesses. As for consumers, they want to get something extra or a discount when we shop. Loyalty program helps consumers save on shopping. Even if there’s no discount, consumers can still get reward points!
However, as more businesses are going online, the way that brands engage with their customers is completely changing, and new technologies and methods have to be implemented in order to remain relevant.
Before YucanSwap, There’s Yucan
Loyalty programs tend to be complex and multi-currency; program points can even differ by trip component (flight, car rental, hotel, dining), leading to fragmented point collections and some points never being redeemed. For consumers, it can be difficult for the average person to even accumulate enough points to earn a meaningful reward. Very often, these points will be un-used and expire over time, reducing consumer engagement and resulting into an ineffective loyalty program. Yucan ecosystem connects large community of like-minded people to be able to maximise their points potential by allowing them to trade their loyalty points for others.
For businesses, adopting blockchain would enable companies to rapidly add and maintain loyalty partnerships without adding complexity to their programs. By providing more redemption options, Yucan’s robust, frictionless partner network would act as a much-needed release valve for business’ loyalty point balance sheet liabilities. With Yucan, other than driving efficient cost management, we can enhance consumers’ engagement and increase loyalty program revenue.
Yucan aims to disrupt the fragmented loyalty points industry with the integration of blockchain technology. With over 50 combined years of experience in the hospitality and tech industry, Yucan founder strives to add value to both end consumers and leading loyalty brands by providing a seamless ecosystem.
For more information about Yucan.io, check out our website: https://yucan.io/
YucanSwap — The Beginning of a new Era
The goal of YucanSwap is to achieve equitable distribution to the community before Yucan.io launch our mainnet. The crypto landscape is ever-changing — we see a need in adopting liquidity mining to incentivise more community members to be part of us, at the same time, to reward all of our early supporters with our yield token, YYU.
99% of lifetime supply of YYU will be distributed by mining. 1% (500,000 YYU) is created on genesis for use in presales and for use of liquidity pool.
The total amount of YYU is 50,000,000, which will be released in about 8 years through mining.
95% of YYU released by mining is distributed to users and 5% is reserved for the development team. (e.g 95 goes to pool, 5 goes to dev wallet)
Mining will be divided into 5 stages:
YYU is mined every ethereum block (around ~ 20 seconds a block)
Below is the schedule of mining=>
Genesis Mining: 50 YYU /block,total 50,000 blocks(~7 days)
Stage 1: 5 YYU /block,total 5,000,000 blocks(~1.9 years)
Stage 2: 2.5 YYU /block,total 5,000,000 blocks(~1.9 years)
Stage 3: 1.25 YYU block,total 5,000,000 blocks(~1.9 years)
Stage 4: 0.625 YYU /block,total 5,000,000 blocks(~1.9 years)
To encourage international users, token distribution design will help existing Uniswap liquidity providers to start migrating to YucanSwap more easily. There will be 2 Liquidity Pools on YucanSwap, any Uniswap LP Token holder can put those LP Tokens into YucanSwap pools. The YYU mined will be distributed among the 2 Liquidity pools, with the YYU/ETH having 10x the rewards. Details about all Pools will be released in another update.
YucanSwap smart contract will be able to include or exclude Liquidity Pools (from Uniswap) as and when, if the community vote for it.
1% of YYU total supply will be pre-mined for presale. This is to reward YYU early adopters of the Yucan Ecosystem. ETH raised from presale will be allocated to provide liquidity on UniSwap upon listing, and this initial liquidity will be locked on Unicrypt immediately after listing.
So, what is YuCanSwap’s role?
Seeing the growth of DeFi and the benefits of an AMM protocol in 2020, YuCanSwap is created to allow Yucan ecosystem early adopters to reap the benefits of DeFi protocol at the initial stage while getting reward through yield-farming. With Yucan’s mainnet launch due in 2021, the goal of YuCanSwap is to achieve equitable distribution to the Yucan community before our mainnet launch in 2021. YYU token holders will be integrated into our mainnet upon launch.
During the development stage of YucanSwap, it will also allow our developers to further explore and study different AMM protocols for Yucan to leverage on. If you have read the materials for Yucan.io, our end goal is to become the World’s First DEX for Loyalty Points.
This will involve various key components from existing DeFi protocols such as Automated Market Makers, Liquidity Mining and rewards sharing models.
YucanSwap will be the platform for developers to integrate all of this functions for loyalty points before migrating it to our mainnet.
How does Yucan DEX work after mainnet launch?
YYU will be migrated to YUC through a swap bridge mechanism upon mainnet launch.
To understand the token model, we have to introduce the various pools involved in Yucan’s ecosystem. Two main groups of pools are involved, namely the native token, YUC and the various loyalty point pools. The latter includes frequent accommodation loyalty points such as HH pool, HOTEL pool, and AIRLINES pool.
Yucan’s native token, YUC will facilitates the transaction between the various loyal point pools mentioned above and the payment token, USDT. In the future, other payment tokens will be available depending on the community proposals, including AMPL, DAI, stable EUR, stable GBP etc. The native token, YUC, has a utility function to transact between these various tokens.
How It Works:
1. Sellers mint ERC-20 version of their loyalty points. E.g. 1,000 United points into 1,000 ERC-UNT points. (think of it as a wrapped version of Loyalty points in ERC20)
2. These ERC-UNT points will be added into the liquidity pool with same amount of YUC points. E.g. 1,000 ERC-UNT points and 1,000 YUC points.
3. There is a pool of USDT-YUC to facilitate trade in the Yucan ecosystem.
4. Users purchase the loyalty points with USDT, by tapping into the USDT-YUC pool.
5. The smart contract will facilitate all transactions. On the user end, they can check how much it costs to purchase 1,000 ERC-YUC points and just transfer the USDT into the system.
6. Buyer will deposit the USDT into the system, which is locked up by Yucan Non-Profit Foundation.
7. Seller will receive a notification and use the points to book the flight or hotel for the buyer.
8. Upon completion, Yucan Foundation will send the USDT to the seller
Well, by now you should be wondering when do we launch? For YYU, presale will be starting next week and UniSwap listing/farm launch will be right after presale. As for Yucan mainnet and YUC launch, it will be in 2021. Don’t forget to check out the roadmap on Yucan Whitepaper!
Follow our channels to get the latest update!
Website: https://yucan.finance/
Twitter: https://twitter.com/SwapYucan
Telegram: https://t.me/YuCanSwap
Yucan.io Website: https://yucan.io/
Yucan.io Twitter: https://twitter.com/PointsYucan
Yucan.io Telegram: https://t.me/yucanpoints
