Presenting USTX Project – a TRC20 token, traded in a multi asset DEX with algorithmic reserve burning and minting
Rome, Italy, 14 Oct 2021, ZEXPRWIRE, Announcing USTX project – A token for consistent growth and reduced volatility.
Introduction
The project is built around two pillars: the USTX token and the DEX. The token is a TRC20 contract, deployed on the Tron blockchain, implementing the needed features to enable simple transactions at very low fees. The DEX is the core of the project. A smart contract actively manages all exchange transactions on the USTX/Stablecoin pairs (USDT, TUSD, USDJ, USDC), with the goal of keeping the internal stablecoins reserve at a certain level compared to the circulating market cap of the token.
The USTX token is a standard TRC20 token with a few addon features:
- Minting and burning. They are needed by the DEX to operate and control the price fluctuations;
- To allow the DEX to access privileged functions, like parameter settings, minting and burning;
The DEX is handled by a different contract that implements a modified AMM model to allow buying and selling USTX in exchange for one of the reserve tokens (TRC20).
The internal mechanism of the DEX that allows it to control the price of the token relies on minting new tokens in the reserve when buying and burning them when selling.
Tokenomics
The idea is to follow the KISS rule, so the USTX team decided to have a community test net phase, followed by a liquidity launchpad and then move to the normal operation of the DEX.
The team will not hold at any time more than 15% of the total supply and will commit to the following vesting periods:
- 100% locked for the first 3 months
- 90% locked for the following 3 months
- 50% locked for the following 6 months
- Unlocked after 12 months.
5% of the tokens will be reserved for marketing and another 5% for development expenses.
The goal of the launchpad is to collect enough liquidity to be able to start trading on the DEX with low price fluctuations. The launchpad will last 4 weeks and will have at most two rounds:
- Round 1: 10M USTX at 0.010 USDT price.
- Round 2: 10M USTX at 0.012 USDT price.
Normal operation of the DEX, after launchpad, will begin at 0.015 USDT price.
Normal DEX operation
The DEX contract provides the following exchange features:
- Buy tokens with exact input in USDT (or USDJ, TUSD, USDC)
- Buy tokens with exact input in USDT (or USDJ, TUSD, USDC) and send them to a recipient
- Sell tokens with exact input in USTX and get USDT (or USDJ, TUSD, USDC)
- Sell tokens with exact input in USTX and send USDT (or USDJ, TUSD, USDC) to a recipient
- Each operation will be carried out using the Tronlink interface directly from the DEX website, protected by TLS.
Transparency
One of the main risks for an early token/coin adopter is being scammed by the team proposing the project. For this precise reason our main goal has been from the beginning to build a trustless and decentralized system. The team will not be allowed to tamper with the contract parameters outside predefined levels, hard coded in the contract code and visible to anyone, because the code is open source.
Before Launchpad, an open testnet phase has been done, to ensure that the contracts and the DEX are bug-free and safe for use.
Another risk related to traditional DEX based systems is rug pull, where the owner of the currency removes all the liquidity from the trading pool, usually after having created a lot of hype on social media. The USTX DEX contract does not implement any function to withdraw the stablecoins liquidity from the pool.
All USTX contracts have been audited to make sure that no security risk or fraud will be possible, before going into mainnet and before the launchpad began.
Another important aspect from the user point of view is the possibility to know the internal reserve level, to make sure that the token value is actually backed by the expected amount of collateral. Since USTX DEX internal reserves are all TRC20 contracts and everything happens on-chain, all the user needs to do is visit the Tron blockchain explorer and look at the balances in the DEX contract.
Conclusion
The team of USTX wants USTX to be a real world use utility token. The token and DEX embedded features should represent positive factors to help in adoption:
- Guaranteed intrinsic value, backed by stablecoins reserve.
- Low transaction fees, thanks to the DPOS model of the underlying blockchain (Tron).
- Low environmental impact, thanks to the DPOS model of the underlying blockchain (Tron).
- Low volatility. For a currency to be used in real life, the value should not oscillate as much as cryptocurrency normally does.
- No-one wants to be scammed.
- Compatible with existing infrastructure. All it needs is a Tronlink wallet.
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