Why Choose Universel Protocol

Unlocking a New Era of Financial Flexibility:

Universel Protocol introduces a groundbreaking concept - negative-interest loans. Imagine being able to borrow UUSD using your wETH as collateral, all while earning a steady income and maintaining the potential for significant growth. By choosing Universel Protocol, you can seamlessly access the funds you need without parting with your valuable ETH asset.

Preserving Your Valuable ETH:

Why trade or sell your precious ETH assets when you can put them to productive use? Universel Protocol empowers you to utilize your ETH as collateral, allowing you to secure the liquidity you require without relinquishing your Ethereum holdings. This means that your ETH remains intact and potentially appreciates in value while you access the necessary funds.

Stable Earnings Through Innovative Mechanisms:

When you borrow UUSD through Universel Protocol, you open the door to an unparalleled opportunity. While your held UUSD serves your financial needs, it also works for you by accruing a stable interest rate over time. This unique approach ensures that your holdings remain financially productive, even as you access the liquidity you require.

Meeting the Minting Requirements:

To participate in this transformative borrowing system, all that's needed is for your collateral rate to exceed the safe collateral rate of 150%. As long as your collateral comfortably surpasses this threshold, you can embark on your borrowing journey within the Universel Protocol ecosystem.

Understanding Collateral and Asset Support:

Collateral acts as the bedrock of your borrowing journey, providing security for your loan. Currently, Universel Protocol exclusively supports ETH and stETH as collateral. Any ETH deposits are automatically converted to stETH at a 1:1 ratio, ensuring simplicity and convenience.

A Glimpse into the Interest Logic:

Universel Protocol is committed to your financial growth. By utilizing the Liquidity Staking Derivatives (LSD) revenue generated by stETH, the protocol generates UUSD, which is airdropped proportionally to UUSD holders. This innovative mechanism transforms your borrowing experience into a mutually beneficial cycle, rewarding you for participating in the ecosystem.

Flexible Repayment and Collateral Rate Management:

In Universel Protocol, rigid repayment timelines become a thing of the past. You have the liberty to maintain an open loan as long as your collateral ratio remains above 150%. This empowers you to manage your debt at your pace, ensuring financial flexibility.

The Dynamic Collateral Rate:

The collateral rate serves as a pivotal indicator of your borrowing stability. Universel Protocol calculates this ratio by evaluating the dollar value of your ETH collateral in the Universel Protocol Vault against your UUSD loans. The collateral rate evolves with the shifting ETH price, offering a nuanced perspective on your borrowing health.

Preserving Financial Safety:

To minimize the risk of liquidation, maintaining a collateral rate higher than 200% is highly recommended. This not only ensures the security of your funds but also safeguards your financial position within the Universel Protocol ecosystem.

Join Universel Protocol:

Step into a realm of financial empowerment, flexibility, and stability. Choose Universel Protocol for minting and discover a new way to leverage your assets, earn stable income, and navigate the digital financial landscape with confidence.