Thread by @CrossChainAlex

🧵 @bulmafi $BULMA is an extremely interesting project on #Metis. A decentralized marketplace for creating, trading and managing vouchers: Semi-Fungible Tokens that represent financial rights. This project deserves some attention and a thread of it's own! 1/16

The vouchers are a novel asset class that can be used for a number of things:

* Fundraising
* Community-building
* Liquidity bootstrapping
* Treasury diversification
* Risk mitigation

But what are these vouchers and how do they work? 2/16

They are financial #NFTs based on the EIP 3525 Semi-Fungible Token Standard. $BULMA is based on @SolvProtocol which is building a similar voucher marketplace on #Ethereum #BSC and #Polygon. The $BULMA dev is in discussions with the $SOLV team!

eips.ethereum.org/EIPS/eip-3525 3/16

$BULMA is leveraging #Metis due to low-cost, fast transactions, to secure sufficient liquidity for vouchers (with unique market-maker program and implied price-feed), ensuring investors can trade vouchers with little to no friction, and will feed into the $SOLV ecosystem 4/16

The @BulmaFi development falls into 4 categories:

1. Smart contract development surrounding the vouchers.
2. Front end development for the marketplace and voucher dex
3. Back end development for the market-making and exchange feed
4. Economics and mechanics 5/16

The roadmap for development broadly follows this plan:

1. Implement on #Metis (low cost and cheap fees to build liquidity)
2. Oracle based price feeds to track value of the underlying asset etc.
3. Intro a market-making programme to stimulate liquidity based on price feed. 6/16

Here is an example: $METIS is trading at $300 and decides to raise extra capital by selling locked up tokens to their community. The tokens will be locked in a freely tradable voucher but the tokens itself will not unlock for 3 years. One voucher equals 1000 Metis. 7/16

Market-makers will be incentivised through @bulmafi to quote both a bid and ask on this product. We know the value should be below 1000 x $300 discounted for 3 years and taking into account price impact/slippage of the tokens. 8/16

Depending on the product, market-makers discount the price in the feed based on future premiums, stable borrowing rate or margin costs. For the price impact they use oracles to assess the depth of the books. 9/16

Market-makers will then calculate final pricing based on their own books, risk appetite etc. and give quotes for the voucher. Through the designated market-making program this will ensure this is done with a reasonable spread, to ensure low-friction trading in the vouchers. 10/16

Who can mint?
Anyone who has tokens to lock up can mint vouchers.

Who can trade?
Anyone can buy and sell (but no short selling or margin trading)

Who can merge/split?
Voucher holders (when they have same underlying asset and release schedule) 11/16

The dev is v. hard working and focused on building. Currently hiring additional devs and final testing on smart contracts. They don't engage in speculation but focus purely on products and partnerships in a dedicated dev Telegram channel, here:

t.me/bulmafin 12/16

On the subject of partnerships they have partnered with @lunar_brain $LUN a crypto trading terminal on #Metis, and LiquidiTree Hong Kong, their first market-making partner. It sounds like the dev is cooking up some other interesting partnerships too 👀 13/16

I'm not sure if the @MetisDAO team are following the work @bulmafi are doing but I hope they are as I think $BULMA offers a very innovative product that could go a long way to boosting innovation and credibility of the $METIS ecosystem. 14/16

I invested in $BULMA thanks to a heads up from @ReglaAlger. It's run up hard but I think this is just the start as the dev keeps delivering. This is #NFA and make sure to #DYOR on what is quite a complex, new and very interesting #DeFi product. 15/16

Here are some resources to get you started:

🌐 bulmafinance.com
📗 docs.bulmafinance.com/bulma
🐦 twitter.com/bulmafi
📩 t.me/bulmafi

Really looking forward to seeing where this one is headed! $METIS $BULMA 16/16