Kuji coin - and its three applications
Kujira is a layer one platform built on Cosmos that uses the $KUJI native token. Since witnessing the devastation caused by Terra Classic's collapse at ground zero, the Kujira team has redoubled their efforts, resulting in the launch of a sovereign Cosmos layer one blockchain six weeks later.
Apps built on Kujira provide an efficient, secure, and risk-free environment to create cost-effective and accessible tools for beginners and advanced crypto traders.
ORCA link to Kuji coin
Leverage and loans, particularly in crypto, have grown in popularity. ORCA operates in this market. They take loans that exceed a certain percentage, automatically liquidate these positions, and sell them. Those who take part receive a liquidation fee. If you're wondering how Kuji coin played a role in the LUNA, UST, and Anchor mechanics, here's a quick example:
LUNA tanks. Assuming Kai has some LUNA, he mints $100 of bLUNA on Anchor before depositing it. He is eligible to borrow $60, which he can spend however he sees fit. Viraj, a close friend, has $100 in UST, of which he bids 30% on ORCA. Viraj's bid is a result of ORCA. Kai's LUNA is now worth 95 dollars, putting his loan at risk. Kia's bLUNA has now liquidated, and Viraj has received the bLUNA at the premium offered.
In this case, the Anchor Protocol, as the lender, will recoup the $60 UST loaned to Kai by selling the bLUNA Kai bonded. Viraj now has $95 worth of bLUNA (liquidated from Kai for which he only paid $66.5 (because Viraj bids at a 30% discount on Orca, $95 x 30% = $66.5). In contrast, Kai still has the remaining $33.5 in the ORCA contract in case any other risk liquidation arises.
As Kuji coin continues to establish itself as a new layer one platform, it must restart the application within ORCA.
FIN link to Kuji coin
FIN has no inflationary token incentives, which increases capital efficiency, allowing farmers to reinvest their profits elsewhere. Consider Kucoin, but wholly decentralised and on-chain.
There are no additional fees to incentivise trades because there is no reliance on money to execute them. In short, it's much cheaper, there's a risk of missing a transaction, and there's no room for biased trades bots chosen to execute.
So, what does this mean for protocols? A great deal.
Users no longer require a liquidity pool, which leads to three major points.
To keep people in an LP, you don't need to give away millions of printed / inflationary tokens.
Users community will not suffer any temporary loss to support your project.
Users can redirect your protocol-owned liquidity to more productive use.
Last but not least, it disregards the "first in, first out" model.
Blue and how it swaps Kuji coin
BLUE powers the Kurjira ecosystem and is a dashboard that allows users to bond and swap $KUJI, vote on governance, connect to the Kujira Network, and claim rewards all in one location.
To have a more sustainable and efficient DeFi model and lay the groundwork for decentralised money, Kujira released the stablecoin $USK, an over-collateralised Cosmos stablecoin soft-pegged to the USD and initially backed by $ATOM. They are using maker DAO's trusted, theoretically sound system. Furthermore, as a native Cosmos stable, $USK provides $ATOM with another use case for driving value accrual.
Users can exchange a hard pegged stablecoin for a specified amount of the asset to its fixed value. As can be seen, this is a tried and tested model. It keeps a constant, fixed ratio—a soft pegged stables in value within a range determined by well-designed incentives. When Ethereum dropped from $1400 to $90, for example, $DAI fluctuated between $0.96 and $1.04 per coin, though it was around $1.
To conclude, Kujira does better at building long-term value and rewarding $KUJI token ownership. They operate with no slippage or impermanent loss and focus on generating actual revenue.
Kujira is currently a decentralised order book FIN and a liquidation market ORCA that provides users with actual, sustainable yield by re-allocating network fees to their users.
Author: Emmanuel Baiden
7 years experience within the financial services sector most notably in Sales, Trading, research and writing articles within the crypto space. I have a bachelor's degree in International Business and a Master's in Investment and Risk Finance . I am also an associate member of the Chartered Institute for Securities and Investment.