Tokenomics Overview
Ubiquity’s Algorithmic Dollar (uAD) is an algorithmic stablecoin that maintains its peg by virtue of its monetary and fiscal policies. We originally intended to design uAD to have no collateral, but realized that the algorithmic stablecoins that remained on-peg all had some form of collateralization. We are adding in a 1:20 collateralization to the protocol by September 2021. You can read more about this in “Fractional Reserves.”
The current document lays out the foundations behind:
- The stability mechanics of uAD.
- The setup and governance of the Ubiquity ecosystem.
Ubiquity Ecosystem
While currently consisting only of the uAD protocol, the Ubiquity ecosystem is designed with multiple products in mind. The design philosophy is that each product should be able to operate on its own; however, it will also be able to benefit from synergies with other products (the ecosystem being greater than the sum of its parts.)
These are globally shared elements of the Ubiquity ecosystem across all Ubiquity products:
These components are designed to operate with either only one product (uAD) or with other products. Some of the design decisions you will read about are a result of this goal.
Contracts Overview
Below you will find a brief descriptive overview for each of the primary smart contracts in Ubiquity’s algorithmic dollar protocol, along with hyperlinks to their source code on Github.
