Acumen Ecosystem Update:
Over the past couple of months, there have been many fruitful developments within the protocol’s ecosystem. This article serves as an update for our community and a what’s to come, so the community can see the wide range of things we have been working on quietly.
Acumen’s Multi-Chain Future:
We believe that to create a truly beneficial ecosystem where Acumen can provide cheaper access to capital to millions of entrepreneurs and small businesses worldwide, it is essential to tap into a wide range of liquidity sources. The Acumen team seeks to accomplish this by establishing strategic partnerships with key blockchains in the space — Blockchains that we believe can be global partners and help push Acumen’s long-term vision as well as the financial inclusion mission globally. The Acumen team is currently in discussions with 15+ of the largest blockchains. We believe that these discussions will transpire into mutually beneficial strategic partnerships with some of these chains to establish Acumen as a multi-chain player in the overall blockchain ecosystem, as well as putting these blockchains and Acumen at the forefront of using DeFi for financial inclusion globally!
Strategic Partnerships with these leading blockchains will look as follows: migration of StableDapp to the respective blockchain and the blockchain allocating funds from their treasury to the StableDapp. We believe that this is an essential step for the longevity of the protocol, as these partnerships will do two things in tangent: allow StableDapp to tap into more liquidity and spread the Acumen vision to a new community. The Acumen team is aiming to commit funds to the StableDapp through such strategic partnerships, which will allow token holders to start earning passive income through protocol revenues (explained in greater detail later on).
Acumen in the Real World:
One of the many things that makes Acumen unique is its connection to the real world, but this is also one of the things that makes Acumen take longer to fully develop than other crypto projects. When you are dealing with the real world this means dealing with all the red tape that comes with the traditional financial system. The Acumen team has worked hard to make Acumen a regulatory compliant DeFi protocol — the first in the world! This is an integral part of Acumen’s backbone, as it ensures that the Acumen protocol can operate freely without having to worry about overzealous government regulators, something we fear will haunt other DeFi protocols, as we believe government regulation is inevitable and most DeFi protocols have no plans for this eventuality.
The Acumen team has partnered with many real-world institutions. Over the past couple of months, we have talked to key players in the microfinance space to be able to position Acumen within this ecosystem. We have partnered with the Small Business Administration of El Salvador as well as microfinance companies operating in LATAM and Africa. While pursuing a multi-chain future, we are also setting up the framework for the StableDapp’s global expansion within the real world.
Future of the ACM token:
The ACM token is an important pillar of the Acumen ecosystem. The ACM token is the de facto rule of law in the Acumen ecosystem and controls the management of the protocol. After the StableDapp’s successful test case in El Salvador, to be launched soon, the DAO will have full authority over the StableDapp. Protocol users will be able to delegate funds to SMEs or Third-party deployers, as well as vote on any new third party capital deployer that wants to enter the ecosystem.
Acumen token holders also have the rights to excess protocol revenues. The delta generated by the underlying loans in the StableDapp are allocated to the DAO and distributed to users staking their ACM. This provides users a passive stream of income (in USDC) from protocol revenues. With a large TVL the protocol revenues being distributed to the token holders will be an attractive benefit for holding the ACM token, in turn we believe it will drive, both price appreciation and price discovery. Staking will for ACM will be enabled soon.
The following graph gives you examples of how much an ACM holder can earn in passive income through the excess protocol revenues.
To derive this number, we used the following formula: ((Spread*TVL)/Circ Supply) * ACM in wallet. This formula gives you the excess interest earned at each TVL level (Spread*TVL), which is used to give you the amount of USDC each ACM earns, which is Spread*TVL/ Circulating supply. This multiplied by the amount of ACM you own gives you how much USDC you would earn in a year by holding 10,000 ACM. For example, if you held 10,000 ACM tokens or $18,000 at the current price, you would earn $75,000 in USDC per year with a TVL of 250mm. This function not only offers a stream of passive income to the ACM holders but also establishes a tangible value to the ACM governance tokens. While most crypto projects’ token price is based on network usage or hype, the ACM governance token’s value will be backed by the basket of income-producing assets in the StableDapp and across the other products of the protocol, giving the ACM token inherent value. We believe that this is a unique value proposition, thus making the token more desirable.
How to support our vision:
As explained above, the route Acumen is choosing is a promising one that requires interaction with traditional finance entities, governments, and the crypto space. While the potential benefits are large, both on a social level, as well as a financial level for those supporting our growth, it does mean that we need time and the support of the community to make it happen.
We are therefore asking you to support us in two ways:
1) If you are an ACMN airdrop recipient, we ask you to lock up your token for an additional period of 9 months. All of your token will be eligible for the reward share during this time and you will receive a 10% one time bonus at the end of the lock up period, at which point the monthly distributions will resume. This step will help us to be able to show real-life traction with microfinance loans in El Salvador and distribute rewards before the fair launch token come to market. So far, holders of over 500,000 ACMN (more than half of the airdrop token) have agreed to do this and it helps us a great deal. PLEASE, get in touch with us if you are NOT agreeing to this proposal. We will also hold a vote on this amongst the current ACM governance token holders, but we would like you to get in touch if you feel this would be harmful to you. It goes without saying that the team will lock their token as well. Our token will simply be locked for an additional 12 months, making it 36 months in total. Hopefully, you are willing to support us in our mission like all our large backers are.
2) Help us with retweets, likes and talking about our project. We want to be seen more, but as a project that used just one IDO to finance operations and has mostly been self-funded by the founders, we are relying on you to spread the word. The StableDapp will offer something the crypto space does not have: a stable, high yield on US Dollar assets uncorrelated to crypto markets and coupled with a social impact. That deserves to be talked about.
Thanks for reading about our progress and thank you for supporting our vision, which is to use DeFi to improve financial inclusion and support small businesses and entrepreneurs with affordable microfinance loans. We will be back with more updates when we have news 😊.