Minting
Minting is the name of the process which creates UPFI tokens. In order to mint 1 UPFI token, the user must deposit approximately $1.00 worth of collateral into the protocol in the form of USDC and UPS token. The ratio of USDC and UPS token that is required for minting UPFI token is determined by the Target Collateral Ratio (TCR) The percentage of USDC token required is always equal to the TCR percentage, while the required percentage of UPS token is 100% minus the TCR percentage.
Example: If you would like to mint 1,000 UPFI tokens and the TCR percentage is 75%, then you need 75% USDC and 25% UPS
Last modified 1yr ago