Product Update Issue 11: C-OP and ULend Refinements

TLDR

C-OP Testing in final stage to test new withdraw logic. Various small usability improvements based on tester feedback rolled out.

ULend one-click borrow + C-OP purchase transaction completed (no need for multiple user approvals).

C-OP: Pool Withdrawal Logic and Testing Feedback

To explain the reasoning of our new liquidity pool withdraw logic, it will be helpful to first describe how C-OP protection premiums are distributed:

When a C-OP protection is purchased, the premium of the policy is locked until the earlier of 1) maturity of C-OP policy or 2) claiming of C-OP policy.

The Withdrawal Modal adjusted for new withdrawal logic. The “Locked” amount includes the premium (first number) and liquidity (second number). The “Pending Premiums” are matured policy premiums that have been unlocked and will be automatically distributed to pool periodically.

After experimenting with partial real-time distribution algorithms, UNION settled on this conservative approach to better protect liquidity providers. As C-OP matures and UNION builds in delta-hedging mechanisms (automatically lowering the Put writing concentration risk of the pool), UNION will likely reintroduce partial real-time distribution of premiums.

Unlocked premiums are moved to “pending” state, and auto-distributed to providers periodically, currently set to once a day. UNION may adjust the distribution periods to optimize gas usage.

This periodical distribution brings us to our withdrawal logic. To prevent people from “sniping premiums” (depositing funds just before distribution and withdrawing right after), UNION will prevent a provider from withdrawing for a set period after that provider’s last deposit. This time lock:

  1. is specific to the provider and not affected by other providers’ deposits. For example, the locking counter of User A is not affected by deposits from User B.
  2. resets for the provider after every deposit made by the provider. For example, if provider deposits day 1 and on day 6 deposits again, the time lock is reset for day 6+ 7.

We are targeting a release for our Hatching Program beta testers early next week, after which we can wrap up beta test!

We released new version of our application for Hatching Program, which included UX improvements based on tester feedback. Thanks much to everyone for their thoughtful suggestions.

Landing page now responsive on mobile.

Added Cost + P&L of each C-OP on landing page.

Claims show exercised C-OPs.

Other misc fixes:

  1. Entire protection tile is clickable in the marketplace.
  2. Put minimum price to prevent fractional price issues for policy buying.

We are eager to take C-OP live and optimistic we can wrap up Beta testing middle next week, after which we enter audit. Audits usually take 2 weeks but is dependent on the auditor and their findings.

C-OP is very close to mainnet launch!

ULend: Refinement Continues

To improve usability, our ULend developers cooked up a routing mechanism to complete the purchase of C-OP and borrowing all with one signature request. This is no trivial task as Ulend is acting on behalf (with proper permission, of course) of the borrower to purchase C-OP, deposit C-OP, then transfer to ULend for liquidity considerations on top of borrowing assets, all with one click.

This mechanism saves the borrower from having to sign twice and we the seamless experience is worth the effort!

https://rinkeby.etherscan.io/tx/0x508d27fc0b02d6553e1456f00ab826b5f16e97f83c51bfa87e9efd68d49a9f94

On a related note, we were very excited to read this week about EIP-3074 proposed inclusion for Ethereum’s London upgrade, slated for July.

EIP-3074 is primarily motivated by the need for sponsored transactions — the ability for users to send transactions in which the fees are paid for by another party.

If passed, the creation of routing / chained transactions will be much simpler, bringing easier composability logic for DeFi.

  1. Fixed edge case where switching between Testnet / Mainnet and wallets caused application to crash.
  2. Resolved “dust withdrawal” issue where minute amounts of assets were left when user withdrew max amount.
  3. Responsive UI updates for mobile resolutions.
  4. More error handling (display error message to user / gracefully stop application) than one can shake a stick at.

For more info, follow us at:

Website: https://www.unn.finance/

Twitter: https://twitter.com/unnfinance

Telegram: https://t.me/UNNFinance

Telegram ANN: https://t.me/UNNFinanceANN

Disclaimers:

  1. UNION is not an insurance company and UNION does not sell policies of insurance.
  2. UNION is not an issuer of CDOs.
  3. We are in rapid development phase, and the screens may or may not look like these in final product. Some of the numbers shown are placeholders.

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UNN Finance

UNN Finance

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Building a set of tools to create a complete ecosystem, specifically designed for DeFi