Magic Internet Money
What is Magic Internet Money?
Magic Internet Money (MIM) is a stablecoin that is backed by a range of yield-bearing crypto assets, allowing users to mint MIM tokens by providing collateral in the form of these assets. The platform, Abracadabra, utilizes Kashi Lending Technology to provide isolated lending markets to users, allowing them to adjust their risk according to the decided collateral. This technology aims to allow users to leverage their yield-bearing tokens and provide an opportunity for them to use their locked-in capital for future use.
Unlike other platforms, Abracadabra eliminates the risk of liquidation events by isolating the risk from owning individual liquidation. Users can open multiple collateralized debt positions and set their tolerance accordingly, allowing them to borrow less MIM if a token has a higher chance of depreciating in value.
The MIM token is multichain and can be used with Anyswap, a decentralized cross-chain swap protocol that allows users to swap coins or tokens on any blockchain. The token is pegged to the USD, with mechanisms in place to ensure that it remains at that level. Users holding debt acquire MIM below $1, creating a price rising effect, while users holding valid collateral witness MIM above $1, which will try to trade the MIM, thus having a price-lowering effect.
Users can also swap MIM with other stablecoins by choosing the stable asset they wish to switch into, choosing the maximum slippage and gas price to execute the transaction. This allows for easy conversion of MIM into other stablecoins and provides flexibility for users to choose the stablecoin that best suits their needs.
In summary, Abracadabra provides a platform for users to mint and trade stablecoins, backed by yield-bearing crypto assets, using Kashi Lending Technology to provide isolated lending markets and adjust risk accordingly. The platform also allows for easy conversion of MIM into other stablecoins, providing flexibility for users to choose the stablecoin that best suits their needs.
The investment information, comments, and recommendations provided here do not fall under the scope of investment consulting. Therefore, making an investment decision based solely on the information and comments provided here may not yield results that meet your expectations.
Stay ahead of the competition by accessing high-quality data, advanced tools, and expert research.Try for Free