The nascent DeFi space has significantly propelled the financial world into a new dimension. While this has triggered multiple innovative services, products, and use cases, there are still sizable untapped resources within the space.
Considering the influence of DeFi in solving real-life issues, this article will discuss one of those innovations redefining the fintech landscape and Decentralized financial ecosystem, ShuttleOne.
What is ShuttleOne?
Simply put, ShuttleOne is a digital financial service operating system leveraging blockchain and DeFi technologies. Utilizing artificial intelligence and blockchain technology, this innovation serves as a platform where users can integrate their existing ecosystems to carry out payments of digital assets and where businesses can access capital via decentralized lending.
The primary focus of this project is bridging the gap between some businesses and DeFi by introducing real-life use cases to the decentralized financial space. Thus, it is a project that emphasizes diversification. It implements a G2B (Government to business) solution to offer financial and business solutions to businesses across the globe, with the SZO cryptographic token at the core of it all.
Fundamentally, there are two primary parts to this network
DeFi Operating System for Platforms
In the ShuttleOne framework, businesses and platforms with a pre-existing ecosystem can activate financial services within their space, thereby offering values such as loan financing and remittance to their current ecosystem. Essentially, the project offers diversification, i.e. crypto investors can diversify their portfolio to minimize risk from a market swing. By providing a stable income-generating solution, investors can park their stablecoins in the S1 network to grow their capital while preventing overexposure in their profile.
Considering this framework, while bridging the gap between small and medium enterprises with the DeFi resources, ShuttleOne also enables users to leverage the platform’s data to provide financial services in their respective ecosystems under ShuttleOne Umbrella. With this option, businesses can now create financial services for customers, thereby ushering them into a more compelling infrastructure that guarantees that customers don’t have to opt-in for other options. With this innovative functionality, economically, the influence and potential of ShuttleOne have become even more prominent.
Besides allowing integrations into existing financial ecosystems, ShuttleOne also offers the client the option to access working capital with real assets. This, in itself, can make a significant difference between sustainability and bankruptcy in any business.
ShuttleOne Liquidity Pool
Liquidity Pool serves as funds to the financial services that the platform currently offers to real-world businesses within the framework. Liquidity providers can add stablecoins to the platform’s network to access interests generated by real-world asset collaterals, with the cryptographic coin SZO, as an additional reward.
Investors lending liquidity to this network will play a significant role in helping businesses tokenized their real-world assets and unlock asset liquidity through stablecoin. Besides, with access to pre-existing projects and being a financial ecosystem that offers a financial bridge between them and DeFi space, ShuttleOne is on the path to significantly and exponentially growing its user base.
With the primary objective of setting up liquidity funds for real-world finances, the liquidity pool is funded using stablecoins from different investors. This will be used to finance real-life financial services via loans and remittances. The framework is easy to navigate and understand for new investors within the crypto space.
In addition, it is a non-custodial solution, and as such, the platform no one holds the admin key for the funds since it will be stored in a smart contract. Besides decentralization, one primary reason cryptocurrencies and blockchain have enjoyed significant adoption over the years is due to their trustless nature. A trustless ecosystem without intermediaries or intercessors is necessary when handling a sizable amount of liquidity and funds. The non-custodial solution is applied for liquidity providers’ private keys. ShuttleOne adopts a hybrid model where liquidity providers’ private key is non-custodial, while business loans are custodial. Till today, this framework has helped multiple businesses and merchants secure business capital across multiple sectors such as agriculture, manufacturing, e-commerce, and more. As mentioned before, the project sets itself apart from other DeFi solutions by offering a G2B framework. Utilizing blockchain enables the creation of a transparent ledger that features every asset tokenized on the platform. As such, relevant individuals and participants can securely view and access every asset as well as their documentation.
Tackling Double Collateralization
Double collateralization is a significant issue that has been governing the traditional asset financing space with cold heart sympathy. Many individuals tend to use assets they have previously used for a loan to secure a second loan. Due to multiple underlying issues facing the conventional asset financing space, financers often find it difficult to properly itemize or share asset details transparently across the board.
To tackle this issue, ShuttleOne adopts a real-world asset protocol (RWAP) which involves the use of NFT tokens and Blockchain to establish a database where anyone can view tokenized assets in a place on the chain. Leveraging Alhasa, the platform’s RWAP solution, it documents every asset, which anyone can access safely and view any changes or modifications. This will not only facilitate transparency in the ecosystem but also proffer a solution to a real-world issue haunting financial services.
The revolutionary influence of this innovation has prompted and gained the attention of several notable equity investors, including decentralized financial entities and crypto service providers. With support from Andromeda, Coinshare, MakerDAO, CMT digital, and several other investors, this is a confirmation of the need for integrating SME-centric services into DeFi liquidity.
Unresponsiveness to FUDs or Bear Market
Blockchain holds the promise to necessitates multiple use cases, services, and products relating to DeFi. The ShuttleOne innovation is one of the projects replicating this tendency. Investors diversify their investments in a conducive and cohesive ecosystem. Essentially, enterprise users can tokenize real-world assets and convert them into business capital for Small and medium enterprises to alleviate some of the issues facing the traditional asset financing ecosystem.
Besides these, with the platform’s support for stable coins, assets cannot reduce from their fixed value. Stable coins are a range of crypto assets, further backed by reserve assets. Since they tend to uphold a fixed value over an extended period, they are the most suitable currencies for loans in the DeFi space today. As holders of this coin, you can offer your assets into the liquidity pool, and in turn, generate interest, while the coin is unresponsive to bear market, fears, uncertainty, and doubts. This offers a sizable extent of peace of mind to relevant parties in the ecosystem. Currently, the platform supports three stable coins which are backed by distinctive reserve assets” USDC, USDT, and DAI coin.
In sum, ShuttleOne allows you to integrate its functionalities into existing ecosystems to scale native financial services. Besides, it also serves as a way for SMEs to access capital from real-world assets, easily and in a more accessible manner. It onboards investors to allow them to provide liquidity seamlessly and easily with their stablecoins. Thus, they get to maintain value, irrespective of the market condition, while earning interests on their investments in chosen stablecoins, plus additional reward in the form of the cryptographic coin, SZO.
With the current financial landscape, almost no innovation is currently exploring this space. Hence, the project still enjoys a unique position in trade financing scene. This innovative concept and idea signify the network’s potentials and the versatility of decentralized financial resources.
Disclaimer: This article is not intended to be a source of investment, financial, technical, tax, or legal advice. All of this content is for informational purposes only. Readers should do their own research. The Capital is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by reliance on any information mentioned in this article.